Obbligazioni societarie HIGH YIELD e oltre, verso frontiere inesplorate - Vol. 1
- Creatore Discussione TRADING_IDEAS
- Data di Inizio
- Stato
fabriziof
Forumer storico
Grazie ,è il mio,così lo posso seguire nella watchlist di onvista
070162
Bond..... solo BOND
cosa fanno questi ?
Fabrib
Forumer storico
Specializzati nella vendita di giocattoli.
https://www.google.it/url?sa=t&rct=...g0A1vYlZAJAnx29ekYx4DRw&bvm=bv.94911696,d.bGQ
sterubb
Forumer storico
Colosso americano dei giocattoli...ricordo loro insegna a NY...qualche indicazione sul rating? Il prezzo sembrerebbe un po' troppo basso
non trovo nulla di più aggiornato
Toys "R" Us Inc. 'B-' Rating Affirmed On Refinancing, Outlook Stable; Term Loans Assigned Ratings
30-Sep-2014 17:52 BST
View Analyst Contact Information
Toys “R” Us Inc. through its operating subsidiaries is procuring a $350
million FILO term loan and $1.025 billion of new term loan B borrowings.
The company will use proceeds to pay down debt that is due in 2016 and
2018, and as a result, Toys does not have any meaningful maturities until
August 2017.
The refinancing will increase the company’s interest costs materially, but
more importantly we think operating trends have stabilized in the first
half of the year, and we expect profits to improve moderately over the
near term.
We are affirming all ratings, including the ‘B-‘ corporate credit rating,
on Toys “R” Us Inc., assigning a ‘B+’ issue level with a ‘1’ recovery
rating to the company’s $350 million FILO term loan, and a ‘B’ issue level
rating with a ‘2’ recovery rating to the $1.025 billion term loan B-4.
The outlook is stable, which incorporates our view that profits should
improve modestly, credit ratios should remain very weak, but the company
should generate enough cash flow to fund debt service and most necessary
business investments through at least 2015.
NEW YORK (Standard & Poor's) Sept. 30, 2014--Standard & Poor’s Ratings
Services today affirmed its ‘B-‘ corporate credit rating on Wayne, N.J.-based
Toys “R” Us Inc.(Toys). The outlook is stable. At the same time, we assigned a
‘B+’ issue-level rating and ‘1’ recovery rating to the $350 million FILO term
loan (the borrowers will be Toy “R” Us-Delaware Inc. (Delaware) and Toys “R”
Us (Canada) Ltd.) and a ‘B’ issue level rating and ‘2’ recovery rating to the
$1.025 billion term loan B-4 (the borrower will be Toys “R” Us-Delaware Inc.).
The ‘1’ recovery rating on the term loan indicates our expectation of very
high (90%-100%) recovery of principal in the event of default, and the ‘2’
recovery rating indicates our expectation of substantial (70%-90%) recovery of
principal in the event of default. We expect the company to use the proceeds
of the loans to repay its term loan B-1 borrowings due in 2016, $350 million
of senior secured notes due in 2016, and a portion of term loan B-2 and B-3
borrowings due in 2018.
"The affirmation reflects the company's operational trends that have mostly
stabilized in the first half 2014," said credit analyst Charlies Pinson-Rose.
"We believe that the company can maintain these trends for the remainder of
this year and into next year. Nonetheless, the transaction will increase the
company’s interest costs and cash flows will be weaker than previously
expected, but not to the extent for a negative rating action. Moreover, the
transaction means that the company does not have material maturities over the
next two years."
The rating outlook on Toys "R" Us Inc. is stable. We expect moderate profit
growth this year driven by at least low-single-digit profit growth and
moderate margin expansion. The company may be moderately cash flow negative as
a result of the higher interest cost and likely capital spending levels, but
has the liquidity sources to fund those uses over the near term.
Downside scenario
We would consider a lower rating if we believed the company's performance
indicated that it has an unsustainable capital structure. For example, we
would likely lower the rating if EBITDA (before operating lease adjustments)
remained below $490 million and cash use continued. The company does have
meaningful maturities in 2017, so credit market conditions remain an important
risk factor.
Upside scenario
Given the company's weak credit metrics and industry competition, we do not
expect to consider a higher rating over at least the next year. Nonetheless,
we would do so if adjusted leverage was in the mid-5x area, with current
adjusted debt levels. We would need to believe the company could reach
unadjusted EBITDA in the range of $750 million before an upgrade. However,
this level is considerably above our near term performance expectations.
- Stato
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