Moody’s raises BJS

Moody’s Investors Service said it upgraded the corporate family rating of BJS Wholesale Club, Inc. to Ba3 from B1, the probability of default rating to Ba3-PD from B1-PD and the senior secured bank credit facility to B1 from B2. The outlook is positive.

“Today’s upgrade recognizes the continued improvement in BJS quantitative credit profile, as well as the reduction in legacy sponsor ownership,” said Charlie O’Shea, a Moody’s vice president, in a press release.

“Margins continue to improve as the company rationalizes some of its products and expands its private label, which combined with debt reductions that have continued since the significant paydown from IPO proceeds, has resulted in metrics that are representative of a Ba company.”

“The positive outlook reflects Moody’s view that BJS operating performance and financial policy will result in continued deleveraging,” he said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.