S&P rates Potlatch bond BB

S&P said it assigned a BB rating and 3 recovery rating to Potlatch Corp.'s proposed $65.7 million senior unsecured revenue bond obligation to be issued by Nez Perce County, Idaho.

Potlatch will use proceeds of the new bond issue to refinance its existing pollution revenue bonds series 1996 in the amount of about $65.7 million, S&P said.

The new revenue bonds will mature and be due and payable Oct. 1, 2024, which is the same maturity date as the bonds they are replacing, the agency said.

The 3 recovery rating on the new bonds indicates 50% to 70% expected default recovery.

Potlatch is a timber real estate investment trust that owns about 1.4 million acres of timberland in Alabama, Arkansas, Idaho, Minnesota and Mississippi, S&P explained.

The company derives much of its income from the sale of timber, investments in real estate and manufacture of wood products, 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.