S&P gives BB- to Altice loan

S&P said it assigned a BB- issue-level rating and 1 recovery rating to Altice US Finance I Corp.'s proposed $1.265 billion term loan B. The 1 recovery rating indicates an expectation for very high (90%-100%; rounded estimate: 95%) recovery for lenders in the event of a payment default.

Proceeds will be used to refinance the existing $815 million term loan B and to repay a portion of unsecured notes due in 2020.

The B- issue-level and 5 recovery ratings on the company's unsecured debt are unchanged. The 5 recovery rating indicates an expectation for modest (10%-30%; rounded estimate: 10%) recovery in the event of a payment default.

The B corporate credit rating and positive outlook on parent Cequel Communications Holdings I LLC are unchanged because this is a leverage-neutral transaction, S&P noted.

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