CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative - S&P Global Ratings’ Credit Research

CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative

CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative - S&P Global Ratings’ Credit Research
CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative
Published Jul 18, 2024
4 pages (1969 words) — Published Jul 18, 2024
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About This Report

  
Abstract:

S&P Global Ratings expects CMG Media Corp.'s leverage to remain above 6x over the next few years given the macroeconomic and secular pressures facing linear TV. As the company faces upcoming maturities in 2026 and 2027, we are increasingly uncertain about CMG's ability to refinance at current leverage levels or having to do so at high rates that limits its ability to generate positive free operating cash flow (FOCF). We lowered our issuer credit rating on CMG to 'CCC+' from 'B-' and we removed all ratings from CreditWatch, where they were placed with negative implications on June 20, 2024. At the same time, we lowered our issue-level rating on the company's senior secured debt to 'CCC+' from 'B-'. Our '3'

  
Brief Excerpt:

...July 18, 2024 - S&P Global Ratings expects CMG Media Corp.'s leverage to remain above 6x over the next few years given the macroeconomic and secular pressures facing linear TV. - As the company faces upcoming maturities in 2026 and 2027, we are increasingly uncertain about CMG's ability to refinance at current leverage levels or having to do so at high rates that limits its ability to generate positive free operating cash flow (FOCF). - We lowered our issuer credit rating on CMG to '###+' from 'B-' and we removed all ratings from CreditWatch, where they were placed with negative implications on June 20, 2024. - At the same time, we lowered our issue-level rating on the company's senior secured debt to '###+' from 'B-'. Our '3' recovery rating on this debt is unchanged. - We also lowered our issue-level rating on its senior unsecured debt to '###-' from '###'. Our '6' recovery rating on this debt is unchanged. - The negative outlook reflects the potential for a lower rating if we envision...

  
Report Type:

Ratings Action

Issuer
CMG Media Corp.
Sector
Global Issuers
Country
United States
Region
United States
Format:
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative" Jul 18, 2024. Alacra Store. Nov 07, 2026. <http://www.alacrastore.com/s-and-p-credit-research/CMG-Media-Corp-Downgraded-To-CCC-On-Elevated-Refinancing-Risk-Outlook-Negative-3216817>
  
APA:
S&P Global Ratings’ Credit Research. (). CMG Media Corp. Downgraded To 'CCC+' On Elevated Refinancing Risk; Outlook Negative Jul 18, 2024. New York, NY: Alacra Store. Retrieved Nov 07, 2026 from <http://www.alacrastore.com/s-and-p-credit-research/CMG-Media-Corp-Downgraded-To-CCC-On-Elevated-Refinancing-Risk-Outlook-Negative-3216817>
  
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