S&P trims Wok Holdings

S&P said it downgraded the ratings for Wok Holdings Inc. and its term loan facility to CCC+ from B. The 3 recovery rating is unchanged.

“The downgrade reflects our view that Wok Holdings' capital structure is potentially unsustainable. It's based on the expectation that rapidly weakening operating performance in the company's largely dine-in operations makes it vulnerable to favorable business and financial conditions to meet its commitments in the long term,” said S&P in a press release.

The outlook is negative.

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