Moody's cuts Vine

Moody's Investors Service said it downgraded Vine Oil & Gas, LP's corporate family rating to Caa3 from Caa1, probability of default rating to Caa3-PD from Caa1-PD and the senior unsecured notes rating to Ca from Caa2. The outlook remains negative.

"In the absence of a meaningful recovery in natural gas pricing, Vine continues to contend with reduced access to capital markets. Moody's notes higher risk of a distressed exchange, given highly discounted market prices for the company's unsecured notes and the provision by its private equity shareholder of a $280 million junior lien revolving credit facility which may be used to make open market purchases of the unsecured notes," said Sreedhar Kona, a Moody's senior analyst, in a press release.

© 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.