S&P: No change to McClatchy notes

Standard & Poor's said its ratings on McClatchy Co. remain unchanged following a modification of the size of its debt issue.

The B issue-level rating and 2 recovery rating on the company's 9% first-lien senior secured notes due 2022 remain unchanged following the increase to $910 million from $750 million.

The agency said the transaction slightly increases debt leverage, though it extends the bulk of 2017 maturities and reduces interest expense.

S&P said the B- rating reflects the expectation that its financial profile will remain highly leveraged because of its ongoing revenue declines resulting from the shift of news consumption and advertising to digital media and the company's exposure to weak economic conditions.

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