S&P rates Willbros loans BB-

Standard & Poor's said it assigned a BB- corporate credit rating to Willbros Group Inc. and, based on preliminary terms and conditions, a BB- issue-level rating with a recovery rating of 3 to its proposed $175 million revolving credit facility and $300 million term loan due 2014.

The outlook is stable.

Willbros will fund its proposed acquisition of InfrastruX Group Inc. with the term loan, approximately $87 million in cash and $120 million of new Willbros equity.

The agency said ratings on Willbros reflect the company's weak business risk profile and significant financial risk profile.

The acquisition of InfrastruX is consistent with the company's strategy to diversify its end markets to complement its upstream oil and gas business, S&P noted.

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