S&P downgrades Crossmark

S&P said it lowered the issuer credit rating on Crossmark Holdings Inc. to CC from CCC, along with the issue-level ratings on its first-lien to CC and second-lien debt to C.

The recovery ratings are unchanged at 3 and 6, respectively.

The agency said it does not have sufficient information to reassess recovery rating prospects at this time, S&P said.

The downgrades reflect a view that a restructuring or default in the next six- to 12-months is a virtual certainty, the agency explained.

The company has weak free cash flow that can no longer support the company's existing capital structure, which includes a $52.5 million revolving credit facility due in June 2019 and $425 million first-lien term loan due in December 2019, S&P said.

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