Moody's: Autoparts view negative

Moody's Investors Service said it affirmed the B2 corporate family and probability of default ratings of Autoparts Holdings Ltd.

In a related action, Moody's affirmed the B1 rating of the company's senior secured first-lien bank credit facilities and the Caa1 rating of the senior secured second-lien term loan.

The outlook was changed to negative from stable.

Moody's said the negative outlook reflects its concern that, even with the benefit of cost saving opportunities, covenant cushions under the bank credit facilities will continue to reduce over the intermediate-term.

In addition, higher cost pressure on ethylene glycol, a key raw material in antifreeze, is expected to remain as global automotive demand trends remain positive, the agency said.

© 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.