S&P rates Sungard Availability loans BB-, notes B-

Standard & Poor's said it assigned a B+ corporate credit rating to Sungard Availability Services Capital Inc. The outlook is stable.

S&P also assigned BB- issue-level ratings and a 2 recovery rating to the company's proposed $250 million four-year revolver and $1,025,000,000 term loan B. The 2 recovery rating indicates an expectation of a substantial (70%-80%) recovery of principal in the event of a payment default.

Additionally, S&P assigned a B- issue-level rating with a recovery rating of 6 to the company's proposed approximately $425 million of unsecured notes. The 6 recovery rating indicates S&P's expectation of a negligible (0%-10%) recovery of principal in the event of a payment default.

"The rating reflects our view of the company's 'fair' competitive position incorporating our assessment of the company's strong brand, customer diversity, and signs of success in the company's multi-year effort to reposition the business for growth. This is coupled with an 'aggressive' financial risk profile reflecting initial leverage above 4.0x," S&P said in a news release.

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