Fitch affirms ACCO Brands

In conjunction with ACCO Brands Corp.'s $1.1 billion acquisition of MeadWestvaco Corp.'s consumer and office products business, Fitch Ratings said the company obtained a $1.020 billion credit agreement.

The purchase price is comprised of about $675 million in ACCO shares and $460 in cash.

Fitch also said it affirmed the company's BB issuer default rating, along with the BB+ rating on its $425 million 10 5/8% senior secured notes due March 2015, BB+ rating on its $175 million senior secured asset-backed facility due September 2013 and BB- rating on its $246 million 7 5/8% subordinated notes due August 2015.

The agency also said it affirmed ACCO Brands' $200 million dollar-denominated senior secured revolving credit commitment due 2017 at BB+, $50 million multi-currency senior secured revolving credit commitment due 2017 at BB+, $95 million dollar-denominated senior secured term loan A commitment due 2017 at BB+ and $450 million dollar-denominated senior secured term loan B commitment due 2019 at BB+.

Fitch also affirmed Monaco SpinCo., Inc.'s $190 million dollar-denominated secured term loan A commitment due 2017 at BB+ and $500 million senior unsecured note due in 2020 at BB.

ACCO Brands Canada, Inc.'s $35 million Canadian-dollar secured term loan A commitment due in 2017 also was affirmed at BB+.

The transaction is expected to close during the second quarter after shareholder approval and other customary items, Fitch said.

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