S&P lowers Lightstream

Standard & Poor’s said it lowered the long-term corporate credit rating on Lightstream Resources Ltd. to B from B+, along with the rating on its senior unsecured debt to CCC+ from B-.

The outlook is negative.

The 6 recovery rating on the unsecured notes is unchanged, indicating 0 to 10% expected default recovery.

The downgrade and negative outlook reflect the company’s weakening credit measures as it cuts back its 2015 capital budget in response to falling oil prices, S&P said.

To maintain its financial flexibility, Lightstream reduced its 2015 capital budget and cut back dividends, the agency said.

S&P upgrades Headwaters

Standard & Poor’s said it raised the corporate credit rating on Headwaters Inc. to B+ from B.

The agency also said it raised the ratings on the company’s $400 million senior secured notes to BB- from B+. The recovery rating on the notes is unchanged at 2, indicating 70% to 90% expected default recovery.

The agency also said it raised the ratings on the company’s $150 million senior unsecured notes to B- from CCC+. The recovery rating on the notes is unchanged at 6, indicating 0 to 10% expected default recovery.

The outlook is stable.

Credit measures are expected to improve during the year, but to still remain in line with the company’s aggressive financial risk profile with 2015 leverage expected to be about 4x, S&P said.

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