S&P Global Ratings lowered its issuer credit rating on Cincinnati Bell Inc. to B- from B and removed all ratings from CreditWatch, where they were placed with negative implications on Dec. 26, 2019.
The rating agency expects that the economic impact of the COVID-19 pandemic will make it difficult for the company to maintain adjusted leverage below its downgrade threshold of 5.5x in 2020.
S&P also downgraded the issue-level ratings on Cincinnati Bell's senior secured debt to B+ from BB- and senior unsecured debt to CCC+ from B-.
Concurrently, the issue-level rating on the company's convertible preferred stock was lowered to CCC- from CCC.
The outlook on Cincinnati Bell is stable, reflecting the rating agency's expectation that adjusted leverage will be in the mid-5x area over the next year.
This S&P Global Market Intelligence news article may contain information about credit ratings issued by S&P Global Ratings. Descriptions in this news article were not prepared by S&P Global Ratings.