Moody's lowers OGX to C

Moody's Investors Service said it downgraded OGX Petroleo e Gas Participacoes SA's corporate family rating to C from Ca and OGX Austria GmbH's senior unsecured notes ratings to C from Ca as a result of OGX's filing of a judicial recovery request.

The outlook remains negative.

The downgrade follows the company's Oct. 31 announcement that it filed a judicial recovery request at the Judicial District of Rio de Janeiro State, in the terms of 51 and following articles of law number 11.101/05, as decided by OGX's Board of Directors on Oct. 30.

OGX's C ratings reflect Moody's expectation of weak recovery of the unsecured notes. Under several recovery scenario analyses, Moody's expects recovery to be less than 20% on the unsecured notes, the agency said.

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