Moody's: Oriental Trading on review for downgrade

Moody's Investors Service said it placed the ratings of Oriental Trading Co. Inc. on review for possible downgrade, including the company's B1 senior unsecured issuer rating and Ba3 senior secured and senior implied rating.

Moody's said the review for downgrade was prompted by the decision by Oriental Trading to pay a debt-financed dividend, which will increase leverage.

Moody's noted its review will focus on the impact of this dividend on the company's credit metrics, as well as considering its long-term financial policy. Moody's review will also focus on the terms of the requisite financing, with the potential existing for a one- or two-notch downgrade.

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