S&P: Audio Visual loans B, CCC+

Standard & Poor's said it assigned its B corporate credit rating to Audio Visual Services Group Inc., which operates under the brand name PSAV Presentation Services. The outlook is stable.

In addition, the agency said it assigned B issue-level and 2 recovery ratings to Audio Visual Services Group's $380 million first-lien credit facilities. The 2 recovery rating indicates an expectation of substantial recovery for lenders in the event of a payment default.

The agency said it also assigned Audio Visual Services Group's $115 million second-lien term loan due 2019 a CCC+ issue-level rating. The recovery rating on this debt is 6, indicating an expectation of negligible recovery for lenders in the event of a payment default.

"The B rating on Audio Visual Services Group reflects our expectation that its financial profile will be highly leveraged because of its private-equity ownership and substantial debt leverage," said S&P credit analyst Hal Diamond in a news release.

"Further considerations include the company's likely modest discretionary cash flow as a result of higher interest expense and moderate capital spending requirements."

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