S&P rates GXS loans B+, CCC+

Standard & Poor's said it assigned its B+ bank loan rating and 1 recovery rating to GXS Corp.'s proposed $350 million first-lien senior secured bank facility, which will consist of a $300 million term loan and a $50 million revolving credit facility, both due 2010.

At the same time, S&P assigned its CCC+ bank loan rating and 4 recovery rating to the company's proposed $100 million second-lien senior secured term loan due 2010.

In addition, S&P affirmed its B corporate credit rating with a negative outlook and its CCC+ rating on the company's $155 million senior subordinated reset notes due 2012.

S&P said the ratings reflect GXS's declining revenue base, presence in a highly competitive marketplace with rapid technology evolution, and high financial leverage. These are only partially offset by recurring revenue streams and adequate near-term liquidity.

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