S&P cuts AGS outlook to negative

Standard & Poor's said it revised its outlook on AGS LLC to negative from stable while it affirmed all ratings on the company, including the B corporate credit rating.

"The outlook revision reflects weak operating performance relative to its expectations, resulting in weaker-than-expected credit measures and a narrow cushion with respect to the company's total leverage covenant in its credit facilities," said S&P credit analyst Melissa long.

During the first nine months of 2008, the company experienced a mid-single-digit decline in revenue, the agency said, adding that this was principally due to changes in many of AGS' revenue-sharing agreements, offset by an increase in its installed base of machines.

© 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.