S&P downgrades Astaldi to D

S&P said it lowered its issuer credit rating on Astaldi SpA to D (default) from CCC-.

S&P also lowered to D from CCC- its issue rating on Astaldi's €750 million senior unsecured notes. The 4 recovery rating is unchanged, reflecting an expectation of average recovery prospects (30%-50%; rounded estimate: 30%) in the event of a payment default.

“The downgrade follows Astaldi's announcement on Sept. 28, 2018, that its board of directors had applied in a court in Rome for a composition with creditors ‘with reservation,’ in accordance with Italian insolvency law, and to continue operations as a going concern,” S&P said in a news release.

“We consider these circumstances to be tantamount to a default, because the application foresees the suspension of payments related to outstanding obligations, unless authorized by the court, during the period related to the process of composition with creditors.”

© 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.