S&P rates Penske notes BBB

S&P said it assigned its BBB issue-level rating to Penske Truck Leasing Co. LP's proposed senior unsecured notes.

The company plans to use the proceeds from these notes to refinance its existing debt and for general corporate purposes.

“Our BBB corporate credit rating on Penske reflects the company's strong market positions in full-service truck leasing and commercial truck rentals. The company primarily generates its revenue from long-term leases that produce relatively strong and stable cash flow, even during periods of economic weakness,” S&P said in a news release.

“Our rating also reflects Penske's lower-margin logistics business, as well as its substantial debt usage.”

© 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.