The ratings agency said the chain’s recent purchases of $89.1 million of its $1.8 billion in debt at a deep discount was considered a “distressed exchange” that harmed lenders to the extent that it was a limited default. But at the same time, the agency said that the company’s liquidity over the next 12-18 months, during which recent weak operating performance is expected to continue, remains “ample” because of a $1 billion asset-based revolver. The agency reiterated its Caa1 corporate rating and Caa2 senior secured term loan rating while appending a Limited Default designation for three business days to the ... Log in to view full article.