Moody's: PCA outlook positive

Moody's Investors Service said it revised Packaging Corp. of America's outlook to positive from stable and affirmed the corporate family and probability-of-default ratings and senior unsecured debt ratings at Ba1 (LGD 4, 55%).

The positive outlook reflects the company's profitability track record, its history of debt reduction and solid credit metrics, Moody's said. The outlook also reflects the continued reduction in the shareholdings to less than 10% by Madison Dearborn Partners, a factor which had constrained the ratings.

The company also has consistently generated strong cash flow due to its higher-margin premium product focus and integrated low-cost operations, the agency 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.