Moody's places Willbros on review for downgrade

Moody's Investors Service said it placed Willbros United States Holdings Inc.'s B3 corporate family rating, Caa1 probability of default rating and B3 senior secured bank ratings under review for downgrade.

At the same time, Moody's has affirmed the company's SGL-4 speculative liquidity rating (indicating weak liquidity).

Moody's said the ratings review is driven by uncertainty as to when Willbros' parent, Willbros Group Inc., will be able to complete its financial statements for the fiscal year ended Dec. 31, 2011. The statements have been delayed due, in part, to the existence of material weaknesses in internal controls related to accounting for income taxes.

Moody's said it is concerned that, should Willbros Group be unable to file its statements by April 9, the company could trigger a default in its bank credit agreement.

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