Abstract
Longview Power LLC is unlikely to be able to refinance part of its senior secured debt due in February 2014 on favorable terms, and we expect it will continue to use liquidity to meet financial obligations during 2013 and into 2014. Material operational problems continue to occur and merchant power prices are likely to remain depressed. We are lowering the debt rating on Longview Power's credit facilities to 'CCC-' from 'B-', reflecting the high potential for a restructuring before the February 2014 maturity. The outlook remains negative. On June 28, 2013, Standard & Poor's Ratings Services lowered its debt rating on Longview Power LLC's senior secured credit facilities to 'CCC-' from 'B-' and kept the ratings on negative outlook.
Companies mentioned in this report are:
- Longview Power LLC
Action: Downgraded