Moody's rates Mactec loans B1

Moody's Investors Service said it has assigned a B1 rating to Mactec, Inc.'s new $35 million senior secured revolving credit facility due 2011 and $120 million senior secured first-lien term loan due 2012 and a B2 corporate family rating.

The outlook is stable.

The B2 corporate family rating considers Mactec's relatively high leverage of 5.4 times adjusted debt to EBITDA and projected break even free cash flow during 2006; that the balance sheet includes a significant amount of goodwill and other intangible assets resulting in weak tangible asset coverage of debt; and that the company's diversified, recurring revenue base and positive growth prospects, following periods of weak organic growth, drive continued expansion in contract backlogs.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.