S&P rates ATU notes B-

Standard & Poor's said it assigned a preliminary B- long-term corporate credit rating to A.T.U Auto-Teile-Unger Handels GmbH & Co. KG, which is subject to the closing of its proposed refinancing, which will include the issuance of senior secured notes and a new revolving credit facility.

The agency assigned a preliminary B- rating to the proposed notes due 2014 with a recovery rating of 4.

The outlook is stable.

"The preliminary B- corporate credit ratings on ATU reflect our view of the group's highly leveraged financial risk profile, its very aggressive financial policy and weak business risk profile," S&P analyst Anna Stegert said in a statement.

"However, we expect the company's liquidity profile, following a successful completion of the refinancing, to be adequate, with no maturities until the bond falls due in 2014."

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