Privately held McLean, Va.-based Capital Automotive LLC, through its wholly owned subsidiary, Capital Automotive L.P., has completed a $325 million second-lien term loan, and utilized $307.5 million of the proceeds to reduce the amount outstanding of its first-lien term loan, thereby boosting recovery prospects for the remaining first-lien loan. We are removing the issue-level ratings on CARS' first-lien term loan and its revolving credit facility from CreditWatch and raising them to 'BB-', with a '2' recovery rating, indicating our expectation of a substantial (70%-90%) recovery in the event of a default. We are affirming our 'B+' corporate credit rating on the company and our 'B-' issue-level rating ('6' recovery rating) on the company's recent second-lien term loan. The stable outlook
