Constellation Brands Inc.'s New Senior Credit Facility Rated 'BB+' (Recovery Rating: '3')

NEW YORK (Standard&Poor's) July 17, 2015--Standard&Poor's Ratings Services today assigned its 'BB+' issue-level and '3' recovery ratings to Victor, N.Y.-based Constellation Brands Inc.'s new $1.27 billion term loan A facility maturing 2021 and new $1.43 billion European term loan A facility borrowed by CIH International S.A.R.L following the company's announced amendment to its senior credit facility. The amendment also includes an increase of the existing revolving credit facility to $1.15 billion from $850 million. The issue-level rating on the revolving credit facility remains 'BB+' with a recovery rating of '3'. The '3' recovery rating on the new credit facility and existing revolving credit facility indicates our expectation for meaningful (at the higher end of the 50%

...NEW YORK (Standard & Poor's) July 17, 2015--Standard & Poor's Ratings Services today assigned its '##+' issue-level and '3' recovery ratings to Victor, N.Y.-based Constellation Brands Inc.'s new $1.27 billion term loan A facility maturing 2021 and new $1.43 billion European term loan A facility borrowed by CIH International S.A.R.L following the company's announced amendment to its senior credit facility. The amendment also includes an increase of the existing revolving credit facility to $1.15 billion from $850 million. The issue-level rating on the revolving credit facility remains '##+' with a recovery rating of '3'. The '3' recovery rating on the new credit facility and existing revolving credit facility indicates our expectation for meaningful (at the higher end of the 50% to 70% range) recovery in the event of a payment default. The credit facilities are secured by pledges of the equity interests in certain of the company's domestic subsidiaries and a pledge of 65% of the voting stock...

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