Preview - Please log in to view full article.

Article Date: April 2019
Word Count: 292

Academy Debt Repurchase Labeled Distressed Exchange


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.

 


Already a subscriber?

User Name:  

Password:  


Not yet a subscriber?

Try SGI for a month FREE. You’ll get our daily news feed, weekly newsletter, and access to the last two months of SGI articles.

Start a new subscription to SGI, or order any of our other products.