Moody's cuts Sinclair

Moody's Investors Service said it downgraded Sinclair Broadcast Group, Inc.'s corporate family rating to Caa2 from B3 and probability of default rating to Caa3 from Caa1.

The ratings were placed under review for further possible downgrade, the agency said.

Moody's said it has also downgraded Sinclair's 4.875% senior convertible notes to Caa3 from Caa2 (no change to LGD4 - 59% assessment) as well as Sinclair Television Group, Inc.'s senior secured bank credit facility to B1 from Ba3 (no change to LGD1 - 5% assessment) and 8% senior subordinated notes, downgraded to Caa2, LGD3 - 32% from B3, LGD3 - 31%.

The downgrade and review follows the company's announcement that Cunningham Broadcasting Corp., one of Sinclair's local market agreement partners, may need to amend the terms of the agreement or receive an injection of cash to fund or extend the maturity of its outstanding term loan due on July 31, the agency noted.

© 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.