S&P: CSG outlook stable

Standard & Poor's said it revised the outlook on CSG Systems International Inc. to stable from positive and affirmed its BB corporate credit rating along with the BBB- rating on CSG's $300 million senior secured credit facilities.

The 1 recovery rating indicates expectations for 90% to 100% recovery. The facilities consist of a $200 million term loan A due 2016 and a $100 million revolving credit facility due 2015, which currently is undrawn.

"Although CSG met the leverage targets we had initially set out for an upgrade (debt-to-last-12-months' EBITDA less than 3x), we have lowered our view of the business risk profile to account for several industry- and company-specific issues that led to disappointing operational performance through the first half of 2011," S&P analyst Naveen Sarma said in a statement.

These factors include an increasingly sluggish global economy, causing customers to delay large infrastructure investment decisions and a staffing issue in its newly acquired Asia-Pacific operations, the agency said.

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