S&P affirms BE Aerospace

Standard & Poor's said it affirmed the BBB- corporate credit rating on BE Aerospace Inc. after the company signed a definitive agreement to acquire Honeywell International Inc.'s (A/stable/A-1) consumables solutions distribution business for about $1.05 billion.

The outlook is stable.

Pro forma debt-to-EBITDA ratio is expected to be about 2.6 times.

Ratings reflect the company's position as the largest manufacturer of aircraft cabin interior products and appropriate credit protection measures pro forma for the proposed deal, S&P said.

This is offset by risks of the cyclical global airline industry, which is the company's primary customer base, and the potential for additional acquisitions, the agency said.

© 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.