S&P gives Sabre loans B+, B-

Standard & Poor's said it assigned ratings to Sabre Inc.'s proposed $3.515 billion secured credit facility.

The agency said that Sabre Inc. is the major operating subsidiary of travel distribution company Sabre Holdings Corp. (BB/Watch negative).

The agency noted that it assigned a B+ rating to Sabre Inc.'s proposed $3.215 billion first-lien senior secured credit facility, with a recovery rating of 2.

The facility consists of a $500 million revolver due March 2013 and a $2.715 billion term loan due September 2014, according to S&P, which said it assigned a B- rating to the $300 million second-lien term loan that matures in March 2015 , with a recovery rating of 5.

Upon completion of these transactions, S&P said it expects to lower the BB corporate credit rating on Sabre Holdings Corp. to B+ and lower the B+ senior unsecured debt rating to B-.

The ratings on Sabre Holdings Corp. reflect its highly leveraged financial profile, pro forma for its acquisition by private equity firms and the cyclical nature of the travel industry, in which it participates as a distributor and marketer, the agency said.

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