S&P rates Springs loans B, CCC+

S&P said it assigned its B corporate credit rating to SIWF Holdings Inc.

The outlook is negative.

At the same time, the agency affirmed the B corporate credit rating on Springs Industries Inc. and revised the outlook to negative from stable.

S&P also assigned a B issue-level rating to the proposed $840 million senior secured first-lien term loan facility maturing in 2025. The 3 recovery rating indicates an expectation for meaningful (50%-70%, rounded estimate 50%) recovery in the event of a payment default.

The agency also assigned a CCC+ issue-level rating to the proposed $305 million senior secured second-lien term loan facility. The 6 recovery rating indicates negligible (0%-10%, rounded estimate 0%) recovery.

S&P said the ratings reflect the company's elevated debt burden following the leveraged buyout transaction by AEA Investors and British Columbia Investment Management Corp.

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