Skip to main content

Posts

Showing posts from March 15, 2019

SS&C Technologies Inc.'s Secured Debt Rating Raised To 'BB+' On Unsecured Note Upsizing, Recovery Rating Revised To '2'

SAN FRANCISCO (S&P Global Ratings) March 15, 2019--S&P Global Ratings today revised its recovery rating on Windsor, Conn.-based SS&C Technologies Inc.'s term loan B (TLB) tranche and SS&C European Holdings S.A.R.L.'s TLB-4 to '2' from '3'. The '2' recovery rating indicates our expectation for substantial (70%-90%; rounded estimate: 70%) recovery in the event of a default. At the same time, we raised our issue-level ratings on the TLBs to 'BB+' from 'BB' in accordance with our notching criteria for a '2' recovery rating. All of our other ratings on SS&C remain unchanged. We expect that the company will use the proceeds from the $1.25 billion upsize, along with the previously announced $750 million note issuance, to repay a portion of its existing TLB-3 (expected balances at close: B1-$515 million, B3-$2.31 billion, B5-$1.86 billion, and SS&C European Holdings S.A.R.L.'s B4-$1.63 billion). The

Coalinga Public Financing Authority, CA Water System Revenue Bond Rating Suspended Due To Lack Of Timely Information

DES MOINES (S&P Global Ratings) March 15, 2019--S&P Global Ratings has suspended its 'BBB' long-term rating on Coalinga Public Financing Authority, Calif.'s series 2012 revenue bonds, issued for the city of Coalinga's water system and wastewater system. This action follows repeated attempts by S&P Global Ratings to obtain timely information of satisfactory quality to maintain its rating on the securities in accordance with its applicable criteria and policies. "We have not received the water and sewer system's fiscal 2017 audit," said S&P Global Ratings credit analyst John Schulz. Failure to receive the requested information will likely result in our withdrawal of the affected rating, preceded, in accordance with our policies, by any change to the rating that we consider appropriate given available information. However, if we receive the fiscal 2017 audit and other information that we consider sufficient and of satisfactory q

Ghana's Proposed Global Medium-Term Note Program Rated 'B'

LONDON (S&P Global Ratings) March 15, 2019--S&P Global Ratings said today that it has assigned its 'B' long- and short-term foreign and local currency issue ratings to the proposed senior unsecured global medium-term note program to be issued by Ghana (B/Stable/B). The amount and interest rate, along with other details pertaining to the bonds issued under the program, will be determined during their placement.

Cloud Peak Energy Resources LLC Rating Lowered To 'SD' From 'CCC' On Missed Interest Payment

On March 15, 2019, U.S.–based thermal coal producer Cloud Peak Energy Resources LLC elected not to make an approximately $1.8 million interest payment on its unsecured notes due 2024 and it continues to evaluate its restructuring alternatives. We do not expect the company will make this payment during the 30-day grace period because of uncertainty related to its ability to cover its fixed charges and the substantial doubt about its ability to continue as going concern. Therefore, we are lowering the issuer credit rating on Cloud Peak to 'SD' from 'CCC'. We are also lowering the issue-level rating on the company's unsecured notes to 'D' from 'CC' and affirming the 'CCC' issue-level rating on the company's second lien notes. NEW YORK (S&P Global Ratings) March 15, 2019--S&P Global Ratings today took the rating actions listed above. The downgrade follows Cloud Peak's election not to make an approximately $1.8

Imperial Metals Corp. Downgraded To 'SD' From 'CCC-' On Bond Maturity Extension; Unsecured Debt Rating Cut To 'D'

Vancouver-based Imperial Metals Corp. announced that it has extended the maturity of its US$325 million senior unsecured notes due today, to Sept. 15, 2019. We believe the notes maturity extension was necessary to avoid a legal default, and the affected investors will receive less value than originally promised as per S&P Global Ratings criteria. As a result, S&P Global Ratings viewed this transaction as tantamount to a selective default, and on March 15, 2019, lowered its issuer credit rating on the company to 'SD' (selective default) from 'CCC-'. At the same time, we lowered our issue-level rating on the company's senior unsecured notes to 'D' (default) from 'CC'. TORONTO (S&P Global Ratings) March 15, 2019--S&P Global Ratings today took the rating actions listed above. The downgrade follows Imperial Metals Corp.'s announcement that the company has extended the maturity of its US$325 million senior unsecured not

MAPS 2019-1 Ltd./MAPS 2019-1 U.S. LLC Assigned Ratings

MAPS 2019-1 Ltd.'s issuance is an ABS securitization backed by 19 aircraft and the related leases and shares and beneficial interests in entities that directly and indirectly receive aircraft portfolio lease rental and residual cash flows, among others. We assigned our ratings to the series A, B, and C notes. The ratings reflect our view of the transaction's initial asset portfolio and the existing and future lessees' estimated credit quality and diversification, among other factors. NEW YORK (S&P Global Ratings) March 15, 2019--S&P Global Ratings today assigned its ratings to MAPS 2019-1 Ltd.'s series A, B, and C fixed-rate 2019-1 (see list). The note issuance is backed by 19 aircraft and the related leases and shares and beneficial interests in entities that directly and indirectly receive aircraft portfolio lease rental and residual cash flows, among others. The ratings reflect the following: The likelihood of timely interest on the series

Stanford University, CA's $581 Million Bond Issuance Assigned 'AAA' Rating

SAN FRANCISCO (S&P Global Ratings) March 15, 2019--S&P Global Ratings assigned its 'AAA' long-term rating to Stanford University, Calif.'s (Stanford, or the university) $121.0 million series 2019 taxable bonds and the California Educational Facilities Authority's $460.0 million series V-1 tax-exempt bonds issued for Stanford. Also, S&P Global Ratings affirmed its 'AAA' long-term rating on the university's outstanding bonds. In addition, S&P Global Ratings affirmed its short-term rating on the university's taxable and tax-exempt commercial paper (CP) program at 'A-1+' and its rating on Stanford's variable-rate demand bonds at 'AAA/A-1+'. The outlook, where applicable, is stable. "The rating reflects our view of Stanford's extremely strong enterprise profile and very strong financial profile," said S&P Global Ratings credit analyst Mary Ellen Wriedt. We assessed the university's enterp

French Region of Bourgogne-Franche-Comte 'AA/A-1+' Ratings Affirmed; Outlook Stable

We think the region of Bourgogne-Franche-Comte (BFC) benefits from a supportive institutional and economic context. Although we expect temporary larger deficits related to the region's train renewal program, strong financial management should help BFC achieve its main budgetary targets and maintain a moderate debt burden and sound liquidity position in 2019-2021. We are affirming our 'AA/A-1+' long- and short-term ratings on BFC. The outlook is stable. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'AA' long-term and 'A-1+' short-term issuer credit ratings on the French region of Bourgogne-France-Comte (BFC). The outlook is stable. At the same time, we affirmed our 'A-1+' short-term issue rating on its €100 million French commercial paper (NEU CP) program. OUTLOOK The stable outlook reflects our base-case expectation that BFC will maintain a moderate debt burden and a sound liquidity position while significantly

Belgian Region of Brussels-Capital 'AA/A-1+' Ratings Affirmed; Outlook Stable

We expect higher deficits for Brussels-Capital in the coming years owing to an increase in capital expenditure. In our opinion, the region benefits from a supportive institutional framework and prudent and highly efficient financial management that will allow it to achieve its main budgetary target and contain debt growth, while maintaining exceptional liquidity, despite the increase in investments. We are affirming our 'AA/A-1+' long- and short-term ratings on Brussels-Capital with a stable outlook. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'AA' long-term and 'A-1+' short-term issuer credit ratings on Belgium's Region of Brussels-Capital. The outlook remains stable. OUTLOOK The stable outlook reflects our base-case expectation that Brussels-Capital will maintain a moderate debt burden and very sound liquidity, while significantly increasing capital expenditure over the next two years. Downside scenario We might

City of Barcelona Affirmed At 'A-'; Outlook Positive

Barcelona's strong financials, with sustained operating surpluses, low debt, and ample and stable liquidity reserves are the result of both Barcelona's very prudent financial management and its relatively sound economic environment. We continue to cap our long-term rating on Barcelona at the level of our long-term rating on Spain. We are affirming our 'A-' long-term rating on Barcelona. The positive outlook continues to reflect that on Spain. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'A-' long-term rating on the Spanish City of Barcelona. The outlook is positive. OUTLOOK The rating on Barcelona is capped by the rating on Spain (unsolicited; A-/Positive/A-2), with the positive outlook on Barcelona therefore reflecting that on the sovereign. Upside scenario We would raise our ratings on Barcelona over the next 12 months if we upgraded Spain to 'A' or higher, assuming the city continues to perform in line with

Malta 'A-/A-2' Ratings Affirmed; Outlook Remains Positive

We expect Malta's economic growth will average about 4% in 2019-2022, while general government debt to GDP will decline. As a small and open economy with a financial sector several times GDP, Malta is more vulnerable to financial market volatility as well as other idiosyncratic external shocks (including Brexit) compared to peers. We are affirming our 'A-/A-2' long- and short-term ratings on Malta. The outlook remains positive. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'A-/A-2' long- and short-term sovereign credit ratings on Malta. The outlook remains positive. OUTLOOK The positive outlook indicates that we could raise the ratings on Malta over the next six months if: Economic growth and the government's fiscal and debt metrics perform in line with our expectations; and The authorities strengthen supervisory standards with respect to the country's financial sector. We could revise the outlook to stable if ris

German State of North Rhine-Westphalia 'AA-/A-1+' Ratings Affirmed; Outlook Positive

We believe that North Rhine-Westphalia (NRW) is well positioned to reduce its still very high debt burden and contingent liabilities, backed by solid tax revenue and balanced accounts. That said, Germany's planned exit from brown coal-based energy production might challenge the state's economy. We are affirming our 'AA-/A-1+' issuer credit ratings on NRW. The positive outlook reflects our view that the state might reduce contingent liabilities more quickly than we currently envisage. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'AA-/A-1+' long- and short-term issuer credit ratings on the German state of North Rhine-Westphalia (NRW). The outlook is positive. We also affirmed our 'AA-' long-term issue ratings on NRW's senior unsecured debt. OUTLOOK The positive outlook reflects our expectation that NRW might reduce contingent liabilities more quickly than we currently envisage while maintaining its consolidatio

Montenegro 'B+/B' Ratings Affirmed; Outlook Stable

We estimate that Montenegro's economy grew by 4.7% last year, exceeding our previous forecast. However, this pace should moderate in the medium term as fiscal adjustment advances and eurozone economic growth decelerates. The debt-financed construction of a public highway, alongside persistently high current spending, has contributed to the rapid accumulation of net general government debt, which we expect will peak at 63% of GDP in 2020. We are affirming our 'B+/B' ratings on Montenegro. The outlook is stable. RATING ACTION On March 15, 2019, S&P Global Ratings affirmed its 'B+/B' long- and short-term foreign and local currency sovereign credit ratings on Montenegro. The outlook on the long-term ratings remains stable. RATIONALE Montenegro's high net general government debt burden--which we expect will peak at 63% of GDP in 2020--constrains our ratings on the sovereign. This is especially pertinent given the country's unilateral adopt