...August 1, 2023 NEW YORK (S&P Global Ratings) Aug. 1, 2023--S&P Global Ratings today assigned its '##-' issue-level rating and '1' recovery rating to Carnival Corp.'s proposed $500 million first-priority secured notes due in 2029. The '1' recovery rating indicates our expectation for very high (90%-100%; rounded estimate: 95%) recovery for lenders in the event of a default. Carnival plans to use the proceeds along with a previously announced $1 billion term loan to repay a portion of its $1.8 billion term loan due in 2025. The company also plans to use cash from its balance sheet to redeem $1.2 billion of second-lien notes due in 2026. Despite the expected $1.2 billion of debt reduction, the proposed transaction does not materially affect our forecast credit measures because we net Carnival's excess cash that we believe is available for debt repayment. However, the planned refinancing and debt repayment will extend its maturities and reduce its cash interest expense. Additionally, the debt...
