S&P ups Steinway

Standard & Poor's said it raised its issue-level ratings and revised its recovery ratings on Steinway Musical Instruments Inc.'s (B+/stable) senior unsecured debt.

The agency said it raised the issue-level rating on the 7% notes due 2014 to B+, the same as the corporate credit rating on Steinway, from B.

S&P noted that it has revised the recovery rating on this debt to 4 from 5.

"The raised rating is based on our inclusion of the company's assets in Steinway's recovery analysis under a discrete asset valuation method," said S&P credit analyst Patrick Jeffrey.

"While we believe Steinway would be reorganized in the event of a bankruptcy filing, we have valued the company's assets on a discrete basis as we believe this methodology best captures the overall value of the company."

© 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.