S&P affirms Metaldyne, loan

Standard & Poor's said it affirmed its B+ corporate credit rating on Metaldyne LLC and its B+ issue-level rating on its $375 million senior secured term loan due 2017.

The outlook is stable.

"The ratings reflect what we consider Metaldyne's weak business risk profile and aggressive financial risk profile," said S&P credit analyst Nishit Madlani in a news release.

S&P said its business risk assessment incorporates multiple industry risks facing automotive suppliers. The financial risk assessment reflects S&P's view that low free operating cash flow and, in the long term, possible future additional distributions to shareholders will likely limit significant debt reduction, the agency said.

© 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.