Moody's rates Freedom facility

Moody's Investors Service said it has assigned a Ba3 rating to Freedom Communications Inc.'s proposed senior secured credit facility, which includes a $100 million senior secured revolver due 2010, a $250 million senior secured term loan A due 2010, and a $750 million senior secured term loan B due 2011.

The senior implied rating is Ba3, and the issuer rating is B2.

The outlook is stable.

Moody's said the ratings reflect Freedom's high degree of financial leverage, the vulnerability of its business to advertising spending, and its control by a relatively small group of insiders.

Nevertheless, the ratings are supported by the value of Freedom's attractive media assets, the stability and geographic diversification of its cash flows, the company's relatively good liquidity position and the strength of its management team.

© 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.