S&P lifts Travelport, rates loan B

Standard & Poor's said it raised its corporate credit rating on Travelport LLC, the indirect subsidiary of Travelport Holdings Ltd. and subsidiary of Travelport Ltd., to B- from SD (selective default) and assigned a B rating with a recovery rating of 2 to the company's new secured $150 million term loan C.

The outlook is stable.

The upgrade of the corporate credit rating was made in accordance with the agency's criteria for distressed debt redemptions based on its view of the company's risk of a future payment default or another distressed debt repurchase.

S&P did not, however, raise its issue-level ratings on Travelport's debt and said this is due to Travelport Ltd.'s July 2 8-K filing, which indicated that the company may periodically purchase its debt securities or loans in open-market or privately negotiated transactions.

The agency believes that if the company purchased its debt securities or loans, this would likely meet S&P's criteria for a distressed debt redemption.

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