Moody’s cuts Froneri, facility

Moody's Investors Service said it downgraded the corporate family rating of Riviera MidCo SA (Froneri) to Ba3 from Ba2 and its probability of default rating to Ba3-PD from Ba2-PD.

Concurrently, the agency downgraded the senior secured ratings on the existing facility of Froneri International plc to Ba3 from Ba2.

The outlook is stable.

"The downgrade of Froneri's ratings to Ba3 reflects our expectations that, following the company's decision to upsize its existing facility, its key credit metrics will remain weak until 2019, when benefits from the company's cost savings initiatives should materialize and result in a reduction in financial leverage,” Paolo Leschiutta, a Moody's vice president, senior credit officer and lead analyst for the company, said in a news release.

© 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.