S&P assigns Mattel notes BB

S&P said it assigned its BB issue-level rating, the same as its long-term issuer credit rating, and 3 recovery rating to Mattel Inc.'s planned $1.2 billion in senior unsecured notes with subsidiary guarantees due 2026 and 2029. The 3 recovery rating reflects an expectation of meaningful (50%-70%; rounded estimate: 65%) recovery in default.

“Because this is largely a refinancing transaction, it does not affect recovery prospects for unsecured noteholders with subsidiary guarantees. Therefore, our issue-level rating assigned to the proposed unsecured notes is BB, the same as the BB rating on the company's existing senior unsecured notes with subsidiary guarantees,” S&P said in a press release.

Mattel plans to use the proceeds with balance sheet cash to redeem $1.225 billion of its outstanding 6¾% senior unsecured guaranteed notes due 2025 and pay the related redemption premium fees and expenses.

© 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.