S&P assigns McJunkin B+, loan B-

Standard & Poor's said it assigned a B+ corporate credit rating to McJunkin Red Man Holding Corp.

The agency said it also assigned a B- issue rating, two notches below the corporate credit rating and a 6 recovery rating to its proposed $450 million term loan facility.

The outlook is stable.

At the same time, the agency said it revised its outlook on operating company McJunkin Red Man Corp. to stable from positive, adding that it affirmed its BB rating, two notches above the B+ corporate credit rating and its 1 recovery rating to McJunkin's proposed $50 million asset-backed revolving credit facility due 2012, which is an add-on to the company's existing $650 million facility.

The proceeds from the proposed financings will be used to return the $475 million special equity contribution that shareholders made in October 2007 to partially fund the McJunkin/Red Man merger transaction, S&P added.

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