Moody's lowers Verso Paper

Moody's Investors Service said it downgraded Verso Paper Holdings LLC's second-lien notes to Caa2 (LGD5 79%) from Caa1 (LGD5 72%).

Moody's also affirmed the B3 corporate family rating, B3-PD probability of default rating, the negative outlook and the SGL-3 speculative grade liquidity rating, reassigned them to Verso and withdrew them from Verso Paper Finance Holdings LLC, as all rated debt now resides at Verso.

Moody's said the action reflects the impact of Verso's recently completed debt exchange, which eliminated all debt at the Verso Paper Finance and added $73 million of principal to the first-lien notes at Verso.

© 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.