Moody's affirms Manitowoc, gives notes Caa1

Moody's Investors Service said it has affirmed the B2 corporate family rating and probability of default rating of Manitowoc Co., Inc. and assigned a Caa1 rating to the company's proposed $400 million senior unsecured notes issuance, the same rating as is assigned to the company's existing unsecured notes.

The outlook remains negative.

Proceeds from the $400 million senior unsecured notes are anticipated to be used on a pro rata basis to reduce the company's term loan A and term loan B bank debt, the agency added.

The assigned ratings consider that Manitowoc will likely maintain an elevated level of financial leverage, and earnings and cash flow metrics that are best associated with the B2 rating category over the intermediate term, Moody's noted.

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