S&P trims USF Holdings

S&P said it downgraded USF Holdings LLC and its term loan to CCC from B and B+, respectively. The agency also revised the loan’s recovery rating to 3 from 2. S&P placed the ratings on CreditWatch with negative implications.

“The effects of the coronavirus pandemic will likely reduce USF Holdings LLC’s sales, profitability, and cash flow, rendering their capital structure unsustainable,” said S&P in a press release.

“We expect to resolve the CreditWatch once we have additional information about the effect of the coronavirus on the company’s ability to pay its mandatory debt amortization and meet its financial covenant,” said S&P.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.