S&P gives Sedgwick loan B+

Standard & Poor's said it assigned its B+ senior secured bank loan rating to Sedgwick CMS Holdings Inc.'s (B+/positive) $450 million term loan B due 2013 and a $60 million revolving credit facility due 2012.

The agency said that the ratings reflect the company's relatively low interest coverage and above-average leverage, adding that these metrics contribute to Sedgwick's weak financial flexibility.

Offsetting the company's weaknesses is the good competitive position as the leading domestic third-party administrator of self-insured claims management systems, very stable operating performance and extremely strong customer retention, S&P noted.

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