Clearwater obtains ratings upgrades from ratings agenciesMon, 07 May 2012
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HALIFAX, May 7, 2012 /CNW/ – (TSX: CLR, CLR.DB.B, CLR.DB.A):
Moody’s Investors Service upgrades Clearwater’s Corporate Family Rating from B3 to B2
Standard and Poor’s Ratings Service provides Clearwater with Corporate Credit Rating of B.
Today, Clearwater Seafoods Incorporated reported that in light of its continued strong performance and review of refinancing alternatives for its current debt facilities Moody’s Investors Service has upgraded the Corporate Family Rating on its wholly owned subsidiary, Clearwater Seafoods Limited Partnership (“Clearwater”) and Standard and Poor’s Ratings Services has issued a Corporate Credit Rating of B.
Moody’s Investor Services upgraded Clearwater’s Corporate Family Rating from B3 to B2 with a stable outlook. In addition, Moody’s assigned a B1/LDG3 rating on the proposed senior secured credit facilities.
Standard and Poor’s Ratings Services has issued a Corporate Credit Rating on Clearwater of B with a stable outlook as well as a BB- rating on the proposed senior secured credit facilities.
Ian Smith, Clearwater’s CEO commented “the upgrade by Moody’s and the strong rating by Standard and Poor’s provide support for the proposed refinancing based on the Company’s strong financial results, our plans for the future and the significant value in our quotas. The financing we are considering will improve our capital structure and support the execution of our five-year growth plan for the business while reducing our cost of capital, all of which will enable us to continue to build shareholder value.”
The completion of the proposed financing is subject to securing commitments from potential lenders and the negotiation of satisfactory terms. Accordingly, Clearwater cannot provide any assurances at this time that commitments will be secured, and even if such commitments are secured, that the proposed refinancing will be concluded.
COMMENTARY REGARDING FORWARD-LOOKING STATEMENTS
This news release may contain forward-looking statements, including, without limitation, with respect to the proposed refinancing. Such statements involve known and unknown risks, uncertainties, and other factors outside management’s control including, but not limited to, the possibility that the proposed financing will not be obtained, the terms of the proposed financing may not be obtained on favorable terms, total allowable catch levels, selling prices, weather, exchange rates, fuel and other input costs that could cause actual results to differ materially from those expressed in the forward-looking statements. Clearwater does not undertake any obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances other than as required under applicable securities laws.
Clearwater is one of North America’s largest vertically integrated seafood companies and the largest holder of shellfish licenses and quotas in Canada. It is recognized globally for its superior quality, food safety, diversity of species and reliable worldwide delivery of premium wild, eco-certified seafood, including scallops, lobster, clams, coldwater shrimp, crab and groundfish.
Since its founding in 1976, Clearwater has invested in science, people and technological innovation as well as resource ownership and management to sustain and grow its seafood resource. This commitment has allowed it to remain a leader in the global seafood market and in sustainable seafood excellence.