S&P downgrades Culligan

Standard & Poor's said it lowered the ratings on Culligan International Co., including its corporate credit rating, to CCC+ from B-.

The agency also said it revised the company's first-lien credit facilities to 4 from 3.

The outlook reflects the company's continued weak operating performance, as well as uncertainty about its ability to meet future liquidity needs given its significant refinancing risk within the next 11 to 19 months, S&P said.

The downgrade also reflects Culligan's continued weak financial performance, the agency said.

S&P said it believes the company will be challenged to improve its financial results amid continued weak economic conditions, including its business mix shift to lower margin equipment rentals.

Culligan also faces significant near-term refinancing risk from its entire capital structure, all of which matures within the next two years, 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.