...May 3, 2022 TORONTO (S&P Global Ratings) May 3, 2022--S&P Global Ratings today said it assigned its '##' issue-level rating and '4' recovery rating to Bombardier Recreational Products Inc.'s (BRP) proposed US$500 million issuance. S&P Global Ratings also affirmed its '##' issue-level rating, with a '4' recovery rating, on BRP's existing term loan, and revised its recovery estimate on the secured debt to 30% from 40%. This revision reflects higher senior secured claims under a simulated default scenario because the proposed incremental term loan issuance ranks pari passu with the existing senior secured term loan. Since the recovery estimate is at the lower end of the '4' recovery rating range, any additional secured debt (upsized asset-based loan [ABL] or incremental term loan) could lead us to revise the recovery rating to '5'. We expect the company will use the proceeds to fund its refinance euro-denominated loans, maintain balance-sheet flexibility, share repurchases, and for other general...
