Moody's downgrades Getty Images

Moody's Investors Service said it downgraded Getty Images, Inc.'s corporate family rating to Ba3 from Ba2 and its probability of default rating to B1 from Ba3. Moody's also assigned Ba3 (LGD3, 32%) ratings to the company's $100 million senior secured first-lien revolver due 2015 and $1.27 billion senior secured first-lien term loan due 2016.

The outlook is stable.

The downgrade was prompted by the company's plans to pay a special $495 million dividend to be funded in part by the proposed refinancing of its existing credit facilities, Moody's said.

The downgrade reflects Moody's expectation that the company's financial leverage is likely to remain above historical levels based on management's acquisition strategy and shareholder-friendly policies, Moody's said.

The Ba3 corporate family rating reflects Getty Images' leading market position in the stock imagery market, geographic diversification of its customer base, stable EBITDA margins and free cash flow generation, Moody's said.

Pro forma for the dividend, the company's debt-to-EBITDA leverage ratio is approximately 4.4 times.

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