S&P rates ERM loans B, CCC+

Standard & Poor's said it assigned a preliminary B long-term corporate credit rating to Emerald 2 Ltd., an intermediate holding company of ERM Worldwide Ltd.

The outlook is stable.

S&P also said it assigned preliminary B ratings to the $680 million senior secured first-lien loans due 2021, $50 million revolving credit facility due in 2020 and $70 million acquisition facility due in 2020, all issued by Emerald 3 Ltd. and other subsidiaries.

The recovery rating on these facilities is 4, indicating 30% to 50% expected default recovery.

S&P also said it assigned a preliminary CCC+ rating to the $150 million subordinated second-lien loans due 2022, issued by Emerald 3 and other subsidiaries.

The recovery rating on this loan is 6, indicating 0% to 10% expected default recovery.

The ratings reflect the company's highly leveraged financial risk profile and fair business risk profile, S&P said.

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