Moody’s cuts Laredo notes, changes view to stable

Moody’s Investors Service said it downgraded Laredo Petroleum, Inc.’s senior unsecured notes to B3 from B2 and changed the outlook to stable from positive.

The agency said it rates Laredo’s notes two notches below the B1 corporate family rating, reflecting the priority claim of the relatively large borrowing base senior secured credit facility that has a first lien on most of Laredo’s assets.

“The change of Laredo’s rating outlook to stable reflects Moody’s expectation that the company should maintain sound financial metrics while managing its capital program and liquidity prudently, as the company begins executing its strategy to improve margins and returns,” said Moody’s in a press release.

Moody’s affirmed Laredo’s B1 corporate family rating and B1-PD probability of default rating.

© 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.