Fitch assigns Rite Aid notes CCC+

Fitch Ratings said it assigned ratings to Rite Aid Corp.'s proposed notes as follows: $1.22 billion guaranteed senior unsecured notes at CCC+/RR5.

Fitch said it has also affirmed its existing ratings on Rite Aid as follows: issuer default rating at B-, $1.75 billion bank credit facility at BB-/RR1, $1.25 billion term loans at BB-/RR1, $1.058 billion second-lien senior secured notes at BB-/RR1 and $648 million guaranteed senior unsecured notes at CCC+/RR5.

Fitch noted that it has also downgraded its rating on Rite Aid's $758 million non guaranteed senior unsecured notes to CCC/RR6 from CCC+/RR5.

The outlook is stable.

Fitch added that these actions are in anticipation of the completion of Rite Aid's acquisition of 1,858 drug stores and 6 distribution centers from The Jean Coutu Group for $3.4 billion comprised of $2.3 billion in cash and 250 million newly-issued Rite Aid common shares.

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