S&P: MCD Partners add-on B

Standard & Poor's said it assigned a rating of B with a recovery rating of 4 on MDC Partners Inc.'s proposed $80 million add-on to the unsecured notes due 2016.

The proceeds will be used to pay down its revolving credit facility and for general corporate purposes.

The agency said it expects that leverage could remain well above 4x through at least 2013.

As a result, over the next 12 to 18 months, S&P said it expects to continue to characterize the company's financial risk profile as highly leveraged, which includes leverage in the 4x to 5x range.

Elevated financial risk, together with continued economic uncertainty and a fair assessment of the company's business risk profile, are key considerations, the agency said.

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