S&P: Milacron remains on negative watch

Standard & Poor's said that its ratings on Milacron Inc. (B-/watch negative/--) remain on CreditWatch with negative implications, where they were placed Nov. 5 on concerns about the company's debt maturities.

Ratings affected include the company's B- senior secured bank loan rating and corporate credit rating as well as its CCC+ rated senior unsecured debt.

On Dec. 24, Milacron announced that the banks participating in the company's sale of receivables program have agreed to extend the liquidity facility related to that program to Feb. 27. In addition, the receivables purchase agreement has been amended to mature on Feb. 27.

The liquidity facility was due to expire at year-end 2003. Under the receivables program, Milacron can sell up to $40 million of receivables, of which about $35 million is currently used.

Total lease-adjusted debt was about $390 million at Sept. 30, for Cincinnati-based Milacron, a leader in the plastics machinery sector.

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