S&P Global Ratings on Sept. 18 revised its outlook on Meredith Corp. to stable from positive and affirmed all ratings on the company, including the B+ issuer credit rating.
The rating agency lowered the fiscal 2020 forecast for EBITDA growth and cash flow at Meredith after the company said it expects to see lower EBITDA in that year.
S&P Global Ratings expects Meredith to generate $50 million to $75 million of discretionary cash flow in 2020, and along with $75 million of asset sale proceeds, repay $125 million to $150 million of debt.
The stable outlook reflects the rating agency's expectation that Meredith's leverage will improve to the mid-4x area from 5.1x in fiscal 2019 due to lower severance, transaction and integration costs, as well as continued debt repayment.
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.
