S&P lowers Seven Seas

Standard & Poor's said it lowered the rating to CCC+ from B- on Seven Seas Cruises S de RL's $225 million 9 1/8% second-priority senior secured notes due 2019.

The ratings also were removed from CreditWatch.

S&P also said it revised the recovery rating on these notes to 6 from 5. The 6 recovery rating indicates 0% to 10% expected recovery in a default.

All of the other ratings are unchanged, including the B corporate credit rating.

The outlook is stable.

The downgrade reflects reduced recovery prospects for the second-priority notes following the company's issuance of a $40 million senior secured first-lien revolver and $300 million senior secured first-lien term loan, S&P said.

The required amortization on the recently issued term loan is $3 million on an annual basis compared to the $25 million annually for the previous term loan, the agency said.

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