Moody’s lifts Allison Transmission, rates loan Ba2

Moody's Investors Service said it upgraded Allison Transmission, Inc.'s corporate family rating to Ba2 from Ba3.

The outlook is stable.

The agency also affirmed the company's Ba2 senior secured rating and assigned a Ba2 to the new $470 million incremental term loan, the proceeds of which will be used, along with cash on the balance sheet, to refinance the company's $471 million of 7 1/8% senior notes due 2019.

The B2 rating on the existing senior notes was affirmed, reflecting the expectation for covenant removal on any remaining notes following the company's current tender offer and consent solicitation.

In addition, Moody's affirmed the company's speculative grade liquidity rating of SGL-1.

© 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.