Moody's ups Reynolds & Reynolds CFR, cuts loan

Moody's Investors Service said it upgraded Dealer Computer Services, Inc.'s (doing business as Reynolds & Reynolds Co.) corporate family rating to Ba3 from B3 and probability of default rating to Ba3-PD from B3-PD.

The action concludes the review commenced on Sept. 9, following the news that the company will not pursue a broad recapitalization of the company's balance sheet, which was to include a sale of over 20% ownership in the company to Centre College and a capital payout to shareholders, which would have increased debt by $3.4 billion.

As part of the action, Moody's also downgraded the company's senior secured term loan rating at Ba3 (LGD3-44%).

The outlook is stable.

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