S&P affirms Trailer Bridge

Standard & Poor's said it affirmed the B- long-term corporate credit rating on Trailer Bridge Inc. and the B- rating on the senior secured debt with 3 recovery rating.

The outlook is negative.

"Ratings on Trailer Bridge reflect the company's highly leveraged financial profile, concentrated end-market demand, and participation in the capital-intensive and competitive shipping industry," S&P analyst Funmi Afonja said in a statement.

Positive credit factors include less cyclical demand for ocean cargo shipments of consumer staples and barriers to entry provided by the Jones Act, the agency noted.

At Dec. 31, the issuer's debt-to-EBITDA ratio, adjusted for operating leases, was 8.3x, compared with 5.6x in the prior period.

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