S&P: Recovery rating on Overseas debt to 3

Standard & Poor's said it revised the recovering rating on Overseas Shipholding Group Inc.'s senior unsecured debt to 3 from 4, indicating a 50% to 70% expected recovery in a default. The B long-term corporate rating and the B rating on the company's senior unsecured debt remain unchanged.

The outlook is stable.

The ratings reflect the company's highly leveraged financial profile, the competitive nature of the shipping industry and the company's historically aggressive financial policy, with substantial share repurchases during 2007 and 2008, S&P said.

Positive credit factors include adequate liquidity, a relative strong point in the company's financial profile and a well-established market position in the ocean transportation of crude oil and petroleum products, 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.