S&P Global Ratings lowered its issuer credit rating on McClatchy Co. to CC from CCC- and placed the company's all ratings on Creditwatch with negative implications.
The issue-level ratings on the company's senior secured notes were downgraded to CCC- from CCC. The issue-level ratings on the company's senior unsecured notes remain C.
The newspaper publisher recently missed an interest payment on its senior secured notes and entered into a standstill agreement with the Pension Benefit Guaranty Corp. related to the company's underfunded pension program.
The negative Creditwatch reflects S&P Global Ratings' expectation that "a restructuring or default within the next 90 days is inevitable barring unforeseen developments."
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.