Moody's rates Six Flags notes B3, ups loan

Moody's Investors Service said it assigned a B3 rating to Six Flags Entertainment Corp.'s proposed $600 million senior unsecured notes due 2021 and upgraded the credit facility ratings of subsidiary Six Flags Theme Parks Inc. to Ba2 from B1.

The agency said it is transferring the B1 corporate family rating and probability of default rating to the parent from the subsidiary because it is now the top level debt issuer within the organization.

Six Flags' B1 probability of default rating is one notch above the prior B2 probability of default rating at Six Flags Theme Parks to reflect a change in the mean family recovery rate from 65% to a 50% level that is typical for companies with multiple classes of debt.

Moody's said it updated the loss given default assessments to reflect the revised debt structure. The outlook is stable.

© 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.