S&P rates Oshkosh notes BB+

Standard & Poor's said it assigned a BB+ rating to Oshkosh Corp.'s proposed $250 million senior unsecured notes.

The recovery rating on the notes is 3, indicating 50% to 70% expected default recovery.

Oshkosh intends to use the proceeds from the notes, along with available cash, to redeem its outstanding $250 million unsecured notes due 2017, the agency said.

The ratings reflect the company's fair business risk profile and intermediate financial risk profile, S&P said.

The company has a corporate credit rating to BB+ from BB.

The upgrades reflected the company's good overall operating performance, including its improved profitability, the agency said, and disciplined financial policy.

S&P said Oshkosh's financial policy is considered intermediate after accounting for the company's potential cash flow and leverage volatility.

The company's business risk profile is considered fair, reflecting the market-leading positions in most end-markets, good scale and scope and volatile profitability, 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.