Moody's may cut BW Group

Moody's Investors Service said it placed on review for possible downgrade the Baa3 issuer and debt ratings of BW Group Ltd.

The review has been prompted by a concern that the weak tanker and LPG transportation markets will continue to pressure BW Group's profitability and cash flow, Moody's said. This situation could affect the company's ability to reduce its debt leverage, the agency said.

Moody's said it forecasts an adjusted debt-to-EBITDAR ratio of about 6.3x at the end of 2009, a level significantly higher than the 4.5x suitable for the current Baa3 level.

© 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.