S&P changes Schumacher view

S&P said it affirmed the ratings on Schumacher Group of Delaware Inc., including the B corporate credit rating, and revised the outlook to negative from stable.

The outlook reflects the underlying uncertainty regarding the company's projected top-line growth and cash flow, resulting from continued lower volume and revenues as well as EBITDA pressure due to increasing provider costs, the agency explained.

“We also view the recent impairment charge as indicative of cash flow risk caused by continuing underperformance of some contracts,” S&P said in a news release.

© 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.