S&P cuts Internap, outlook negative

S&P said it cut all of Internap Corp.’s by one notch, citing its position that the company’s capital structure may be unsustainable.

The agency lowered the issuer credit rating to CCC+ from B-.

“The downgrade reflects our view that the capital structure may be unsustainable longer-term given declining earnings, limited cash generation and declining investment in the business to preserve liquidity,” said S&P in a press release.

The outlook is negative.

The negative outlook reflects the potential for a lower rating if the company cannot bolster its liquidity position and financial profile through earnings growth from improved operational performance.

© 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.