Obbligazioni societarie HIGH YIELD e oltre, verso frontiere inesplorate - Vol. 2
- Creatore Discussione gionmorg
- Data di Inizio
l'ir non ha risposto, non so come interpretare il silenzio
fabriziof
Forumer storico
Hanno il grace period,ma lunedì qualcosa dovranno dire.
captain sparrow
Forumer storico
Bella presa.
sono d'accordowhitesoul9
Forumer storico
Mi toccoBella presa.
Wallygo
Forumer storico
Rating Action:
Moody's downgrades J.C. Penney to Caa1 from B3
31 May 2019
New York, May 31, 2019 -- Moody's Investors Service ("Moody's") today downgraded Penney (J.C.) Company, Inc. ("the company, J.C. Penney") Corporate Family Rating to Caa1 from B3 and its Probability of Default rating to Caa1-PD from B3-PD. Moody's also downgraded Penney (J.C.) Corporation, Inc.'s ("the Corporation") senior secured ABL Revolving Credit Facility to B2 from Ba3, its senior secured term loan and senior secured notes to B3 from B1, its secured second lien notes downgraded to Caa2 from Caa1 and its senior unsecured notes were downgraded to Caa3 from Caa2. The rating outlook is stable. The company's SGL-1 rating has been downgraded to SGL-2.
"J.C. Penney's continues its aggressive liquidation of inventory as it works to recapture customers in a very competitive environment," Moody's Vice President Christina Boni stated. "Further pressure on sales performance in 2019 is expected to result in leverage remaining elevated" Boni further added.
Downgrades:
..Issuer: Penney (J.C.) Company, Inc.
.... Probability of Default Rating, Downgraded to Caa1-PD from B3-PD
.... Speculative Grade Liquidity Rating, Downgraded to SGL-2 from SGL-1
.... Corporate Family Rating, Downgraded to Caa1 from B3
..Issuer: Penney (J.C.) Corporation, Inc.
....Senior Secured Term Loan, Downgraded to B3 (LGD3) from B1 (LGD3)
....Senior Secured ABL Revolving Credit Facility, Downgraded to B2 (LGD3) from Ba3 (LGD2)
....Senior Secured Regular Bond/Debenture, Downgraded to B3 (LGD3) from B1 (LGD3)
....Senior Secured 2nd Lien Regular Bond/Debenture, Downgraded to Caa2 (LGD5) from Caa1 (LGD4)
....Senior Unsecured Medium-Term Note Program, Downgraded to (P)Caa3 from (P)Caa2
....Senior Unsecured Regular Bond/Debenture, Downgraded to Caa3 (LGD5) from Caa2 (LGD5)
....Senior Unsecured Shelf, Downgraded to (P)Caa3 from (P)Caa2
Outlook Actions:
..Issuer: Penney (J.C.) Company, Inc.
....Outlook, Remains Stable
RATINGS RATIONALE
J.C. Penney's credit profile is supported by the company's good liquidity with approximately $1.75 billion - $171 million of cash and approximately $1.6 billion of undrawn revolving credit commitments as of May 4, 2019. Moody's expects the company will generate minimal free cash flow in fiscal 2019 as the company works to improve its competitive position. Debt/EBITDA is estimated to be in excess of 7 times at fiscal year-end 2019. The need to reduce inventory levels and connect more effectively with its core customer suggests that leverage levels will remain elevated as the company works with new leadership to define and execute its strategy to return to stabilizing its market position and improving profitability. The credit is also constrained by the structural challenges facing the department store segment, which include market share losses to off-price retailers, and the cost of investments associated with managing consumer preferences for online shopping.
The stable rating outlook assumes that J.C. Penney will continue to maintain good liquidity as its moves toward stabilizing both sales and operating margins.
Ratings could be upgraded if the company maintains a good liquidity profile and has consistent growth in sales and operating earnings indicating its business initiatives are succeeding. Quantitatively, the company could be upgraded if Debt/EBITDA was reduced and sustained below 6.0x.
Ratings could be downgraded if credit metrics were to weaken such that company's good liquidity profile were to erode.
J.C. Penney Company, Inc. is the holding company of J.C. Penney Corporation, Inc., a U.S. department store operator headquartered in Plano, Texas, with about 860 locations in the United States and Puerto Rico. It also operates a website, www.jcp.com. Revenues are approximately $11.9 billion.
The principal methodology used in these ratings was Retail Industry published in May 2018. Please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.
REGULATORY DISCLOSURES
For ratings issued on a program, series or category/class of debt, this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series or category/class of debt or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody's rating practices. For ratings issued on a support provider, this announcement provides certain regulatory disclosures in relation to the credit rating action on the support provider and in relation to each particular credit rating action for securities that derive their credit ratings from the support provider's credit rating. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. For further information please see the ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.
For any affected securities or rated entities receiving direct credit support from the primary entity(ies) of this credit rating action, and whose ratings may change as a result of this credit rating action, the associated regulatory disclosures will be those of the guarantor entity. Exceptions to this approach exist for the following disclosures, if applicable to jurisdiction: Ancillary Services, Disclosure to rated entity, Disclosure from rated entity.
Regulatory disclosures contained in this press release apply to the credit rating and, if applicable, the related rating outlook or rating review.
Please see www.moodys.com for any updates on changes to the lead rating analyst and to the Moody's legal entity that has issued the rating.
Please see the ratings tab on the issuer/entity page on www.moodys.com for additional regulatory disclosures for each credit rating.
Moody's downgrades J.C. Penney to Caa1 from B3
31 May 2019
New York, May 31, 2019 -- Moody's Investors Service ("Moody's") today downgraded Penney (J.C.) Company, Inc. ("the company, J.C. Penney") Corporate Family Rating to Caa1 from B3 and its Probability of Default rating to Caa1-PD from B3-PD. Moody's also downgraded Penney (J.C.) Corporation, Inc.'s ("the Corporation") senior secured ABL Revolving Credit Facility to B2 from Ba3, its senior secured term loan and senior secured notes to B3 from B1, its secured second lien notes downgraded to Caa2 from Caa1 and its senior unsecured notes were downgraded to Caa3 from Caa2. The rating outlook is stable. The company's SGL-1 rating has been downgraded to SGL-2.
"J.C. Penney's continues its aggressive liquidation of inventory as it works to recapture customers in a very competitive environment," Moody's Vice President Christina Boni stated. "Further pressure on sales performance in 2019 is expected to result in leverage remaining elevated" Boni further added.
Downgrades:
..Issuer: Penney (J.C.) Company, Inc.
.... Probability of Default Rating, Downgraded to Caa1-PD from B3-PD
.... Speculative Grade Liquidity Rating, Downgraded to SGL-2 from SGL-1
.... Corporate Family Rating, Downgraded to Caa1 from B3
..Issuer: Penney (J.C.) Corporation, Inc.
....Senior Secured Term Loan, Downgraded to B3 (LGD3) from B1 (LGD3)
....Senior Secured ABL Revolving Credit Facility, Downgraded to B2 (LGD3) from Ba3 (LGD2)
....Senior Secured Regular Bond/Debenture, Downgraded to B3 (LGD3) from B1 (LGD3)
....Senior Secured 2nd Lien Regular Bond/Debenture, Downgraded to Caa2 (LGD5) from Caa1 (LGD4)
....Senior Unsecured Medium-Term Note Program, Downgraded to (P)Caa3 from (P)Caa2
....Senior Unsecured Regular Bond/Debenture, Downgraded to Caa3 (LGD5) from Caa2 (LGD5)
....Senior Unsecured Shelf, Downgraded to (P)Caa3 from (P)Caa2
Outlook Actions:
..Issuer: Penney (J.C.) Company, Inc.
....Outlook, Remains Stable
RATINGS RATIONALE
J.C. Penney's credit profile is supported by the company's good liquidity with approximately $1.75 billion - $171 million of cash and approximately $1.6 billion of undrawn revolving credit commitments as of May 4, 2019. Moody's expects the company will generate minimal free cash flow in fiscal 2019 as the company works to improve its competitive position. Debt/EBITDA is estimated to be in excess of 7 times at fiscal year-end 2019. The need to reduce inventory levels and connect more effectively with its core customer suggests that leverage levels will remain elevated as the company works with new leadership to define and execute its strategy to return to stabilizing its market position and improving profitability. The credit is also constrained by the structural challenges facing the department store segment, which include market share losses to off-price retailers, and the cost of investments associated with managing consumer preferences for online shopping.
The stable rating outlook assumes that J.C. Penney will continue to maintain good liquidity as its moves toward stabilizing both sales and operating margins.
Ratings could be upgraded if the company maintains a good liquidity profile and has consistent growth in sales and operating earnings indicating its business initiatives are succeeding. Quantitatively, the company could be upgraded if Debt/EBITDA was reduced and sustained below 6.0x.
Ratings could be downgraded if credit metrics were to weaken such that company's good liquidity profile were to erode.
J.C. Penney Company, Inc. is the holding company of J.C. Penney Corporation, Inc., a U.S. department store operator headquartered in Plano, Texas, with about 860 locations in the United States and Puerto Rico. It also operates a website, www.jcp.com. Revenues are approximately $11.9 billion.
The principal methodology used in these ratings was Retail Industry published in May 2018. Please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.
REGULATORY DISCLOSURES
For ratings issued on a program, series or category/class of debt, this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series or category/class of debt or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody's rating practices. For ratings issued on a support provider, this announcement provides certain regulatory disclosures in relation to the credit rating action on the support provider and in relation to each particular credit rating action for securities that derive their credit ratings from the support provider's credit rating. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. For further information please see the ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.
For any affected securities or rated entities receiving direct credit support from the primary entity(ies) of this credit rating action, and whose ratings may change as a result of this credit rating action, the associated regulatory disclosures will be those of the guarantor entity. Exceptions to this approach exist for the following disclosures, if applicable to jurisdiction: Ancillary Services, Disclosure to rated entity, Disclosure from rated entity.
Regulatory disclosures contained in this press release apply to the credit rating and, if applicable, the related rating outlook or rating review.
Please see www.moodys.com for any updates on changes to the lead rating analyst and to the Moody's legal entity that has issued the rating.
Please see the ratings tab on the issuer/entity page on www.moodys.com for additional regulatory disclosures for each credit rating.
