Moody's: Cedar Fair loans Ba1

Moody's Investors Service said it assigned Ba1 (LGD 2, 19%) ratings to Cedar Fair, LP's proposed $885 billion senior secured revolver due 2018 and senior secured term loan due 2020.

The Ba1 (LGD 2, 19%) rating also was assigned to Canada's Wonderland Co.'s senior secured revolver due 2018.

Moody's also affirmed Cedar Fair's corporate family rating at Ba3, probability of default rating at Ba3-PD and speculative grade liquidity at SGL-2.

The proceeds will be used to refinance its existing $1.13 billion term loan.

The proposed refinancing is credit positive as it will extend the overall maturity profile at a modest increase in cash interest expense, which is manageable within the company's projected cash flow, the agency said.

The ratings reflect its good operating cash flow and strong EBITDA margins generated from its portfolio of regional amusement parks, high leverage and distribution payout, Moody's said, and exposure to discretionary consumer spending.

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