S&P ups Tempur-Pedic ratings

Standard & Poor's said it raised its corporate credit and bank loan ratings on mattress manufacturer Tempur-Pedic International Inc. and related entities to BB- from B+. At the same time, the firm's subordinated debt rating was raised to B from B-.

The outlook is stable.

S&P said the upgrade reflects the company's recent $87.5 million initial public offering of common stock and the application of the funds to debt reduction, as well as operating performance that exceeded S&P's expectations.

S&P said the ratings on Tempur-Pedic International are based on its niche presence in the mattress manufacturing industry, modest but growing market share through its alternative technology to traditional innersprings, the stable characteristics of the domestic mattress market, and the firm's leveraged balance sheet.

© 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.