S&P cuts TwentyEight CCR, loan to B-

Standard & Poor's said it lowered its corporate credit rating on TwentyEighty Inc. (formerly Miller Heiman Inc.) to B- from B.

The ratings were placed on CreditWatch with negative implications.

The agency also lowered its issue-level rating on the company's $399 million senior secured credit facility due 2019 to B- from B. The 3 recovery rating remains unchanged, indicating an expectation for meaningful recovery (50%-70%; lower half of the range) of principal in the event of a payment default.

"The downgrade reflects the company's weaker-than-expected operating performance, aggressive acquisition strategy, slower-than-expected pace of integrating and reducing costs related to its IPI and VitalSmarts acquisitions, and tight covenant cushion with respect to its maximum senior net leverage covenant," S&P credit analyst Heidi Zhang said in a news release.

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