S&P rates Targus B+, loan BB-

Standard & Poor's said it assigned Targus Information Corp. a B+ corporate credit rating and the company's $190 million senior secured credit facility, consisting of a $175 million term loan B due 2016 and a $15 million revolving credit facility due 2015, a BB- issue-level rating and 2 recovery rating, indicating the expectation for substantial (70%-90%) recovery in the event of default.

The proceeds, in addition to cash from the balance sheet, will fund a $187 million shareholder dividend, redeem all outstanding preferred stock and cover related fees.

The ratings reflect the company's participation in a competitive market dominated by well-capitalized incumbent telecommunications providers, a concentrated customer base and an aggressive financial policy, S&P said.

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