Moody's affirms Hexcel

Moody's Investors Service said it has affirmed Hexcel Corp.'s corporate family and probability of default ratings of Ba3.

At the same time, the rating agency said it assigned a Ba1 rating to the company's proposed $100 million secured revolving credit facility and $200 million term loan.

The B1 rating on the company's existing $225 million subordinated notes was also affirmed, Moody's added.

The outlook remains stable.

Hexcel's proposed 4-year $100 million revolver and five-year $200 million term loan will replace the current revolving credit and term loans, the agency said, noting that the refinancing of the existing facilities, albeit at higher interest rates, is viewed as a positive to the Ba3 rating, as the company's current $125 million revolver is set to mature on March 1, 2010 and the term loan maturity is extended by two years.

The company's Ba3 rating is supported by strong credit metrics and significant niche market positions, the agency added.

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