S&P rates Superior Essex facility BB

Standard & Poor's said it assigned its B+ corporate credit rating to Atlanta, Ga.-based Superior Essex Inc., its BB senior secured bank loan rating to the $120 million senior secured revolving credit facility maturing in 2007, and its B+ rating to the $145 million second-priority secured notes due 2008.

Superior Essex Communications LLC and Essex Group Inc., the operating subsidiaries of Superior Essex Inc., are co-borrowers of the credit facility and co-issuers of the notes. Superior Essex Inc. is a guarantor of the notes co-issued by the two operating subsidiaries.

S&P also assigned its recovery rating of 1 to the revolving credit facility.

Superior Essex emerged from Chapter 11 on Nov. 10 and is the newly formed parent of the operating subsidiaries. The previous parent was known as Superior Telecom Inc., which filed for Chapter 11 protection on March 3, 2003.

S&P said the corporate credit rating reflects a relatively weak business profile, characterized by cyclical operating volatility and low profitability and returns, partially offset by a solid financial profile for the rating, and strong market positions in certain segments of the cable and wire industry.

© 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.