Fitch applies BBB+ to Penske notes

Fitch Ratings said it assigned an expected rating of BBB+(EXP) to the $500 million 5.5-year senior unsecured notes issued by Penske Truck Leasing Co., LP and PTL Finance Corp.

The expected rating is aligned with the ratings of all other senior unsecured debt issued by Penske. Fitch said the equalization of the expected rating with Penske's long-term issuer default rating of BBB+ reflects its predominately unsecured funding profile and the presence of unencumbered assets, which suggest average recoveries.

The agency does not believe the issuance will result in a material impact to the company’s leverage as the proceeds will be used to repay existing debt and for general corporate purposes. Penske's leverage, as measured by managed debt to equity, was 3.4 times as of June 30.

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