Moody’s assigns Disney notes A2

Moody's Investors Service said it assigned an A2 rating to Walt Disney Co.’s new bond offering.

The new issuance will be of benchmark size and will include three tranches of three-, 10- and 30-year maturities. The notes are expected to be pari passu with the company's existing senior unsecured debt.

The outlook is stable.

Proceeds will be used for general corporate purposes. Moody's anticipates that pro forma leverage (including adjustments) for the new debt issuance will be roughly 1.6 times (incorporating adjustments) and comfortably under the 2 times sustained (adjusted) leverage threshold for the A2 rating; therefore, the new bond issuance will not impact the company's A2 senior unsecured long term debt or the Prime-1 short-term debt rating.

Further, the agency expects that Disney will continue to maintain credit metrics consistent with its current debt ratings.

© 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.