Moody’s cuts Potlatch debt, rates CFR Ba1

Moody's Investors Service said it downgraded Potlatch Corp.’s senior unsecured debt ratings to Ba1 from Baa3.

At the same time, the agency assigned a Ba1 corporate family rating, Ba1-PD probability of default rating and an SGL-1 speculative grade liquidity rating.

The outlook is stable.

"The downgrade reflects the company's high leverage and our expectation that breakeven free cash flow over the next several years will limit Potlatch's ability to reduce it," Moody's senior vice president Ed Sustar said in a news release.

"In particular, over-supplied lumber markets will continue to dampen the company's financial performance."

© 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.