Moody’s downgrades SPIE notes

Moody’s Investors Service said it downgraded to B1 from Ba3 the rating of the €600 million notes due 2024 issued by SPIE SA.

The agency also affirmed the Ba3 corporate family rating and the Ba3-PD probability of default rating.

The outlook is stable.

Moody’s said the downgrade follows the company's announcement that it used the new bank debt facilities, including the €1.2 billion term loan and the new €600 million revolver, to refinance and replace the outstanding credit facilities, including the €1,125,000,000 term loan and the €400 million revolver.

“The downgrade of the outstanding €600 million notes to B1, one notch below the Ba3 corporate family rating, reflects the removal of guarantees from operating subsidiaries and the resulting structural subordination of the notes to sizable liabilities of SPIE's operating subsidiaries, including trade payables, pensions and operating leases,” Moody’s said in a news 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.