Moody's rates Weight Watchers loan Ba1

Moody's Investors Service said it assigned a Ba1 rating to Weight Watchers International Inc.'s $298 million senior secured term loan B due 2010, affirmed existing ratings and maintained a stable outlook.

Moody's said the ratings reflect the company's leading market position and strong brand recognition, the expected growth of the weight loss industry, substantial free cash flow from operations and strong credit metrics.

The ratings also reflect the lack of product diversification and competition from alternate weight loss programs and products.

Ratings affirmed include the $350 million senior secured revolving credit facility due 2009 at Ba1, the senior implied rating at Ba1, and the senior unsecured issuer rating at Ba2.

© 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.