S&P: Western Energy recovery rating to 4

Standard & Poor's said it revised its recovery rating on Western Energy Services Corp.'s senior unsecured notes to 4 from 3.

A 4 recovery rating indicates the expectation of an average recovery (30%-50%) in the event of default.

At the same time, the agency affirmed its B+ issue-level rating on the notes.

"The recovery rating revision reflects our assessment of Western's announcement that it plans to add on C$75 million to its existing C$175 million senior unsecured notes due 2019," S&P credit analyst Aniki Saha-Yannopoulos said in a news release.

Note proceeds will repay borrowings under the company's C$125 million revolving credit facility. In case the add-on is increased above C$75 million, the agency said it expects the recovery rating will remain at 4.

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