Energy Transfer Equity L.P.'s $2.2 Billion Senior Secured Term Loan Rated 'BB' (Recovery Rating: '4'); On Watch Negative

NEW YORK (S&P Global Ratings) Jan. 23, 2017--S&P Global Ratings said today it assigned its 'BB' issue-level rating to Energy Transfer Equity L.P.'s (ETE) $2.2 billion senior secured term loan due 2024 and placed the rating on CreditWatch with negative implications. The '4' recovery rating reflects our expectation of average (30%-50%; higher end of range) recovery in the event of default. The partnership intends to use loan proceeds to refinance its existing term loan facilities due 2019 and for working capital and other corporate purposes, including the payment of transaction fees and expenses. Dallas-based ETE is a large publicly traded U.S. midstream energy partnership. The 'BB' corporate credit rating is also on CreditWatch with negative implications. For the corporate credit

...NEW YORK (S&P Global Ratings) Jan. 23, 2017--S&P Global Ratings said today it assigned its '##' issue-level rating to Energy Transfer Equity L.P.'s (ETE) $2.2 billion senior secured term loan due 2024 and placed the rating on CreditWatch with negative implications. The '4' recovery rating reflects our expectation of average (30%-50%; higher end of range) recovery in the event of default. The partnership intends to use loan proceeds to refinance its existing term loan facilities due 2019 and for working capital and other corporate purposes, including the payment of transaction fees and expenses. Dallas-based ETE is a large publicly traded U.S. midstream energy partnership. The '##' corporate credit rating is also on CreditWatch with negative implications. For the corporate credit rating rationale, see our research update on ETE published Nov. 22, 2016, on RatingsDirect. RELATED CRITERIA + Criteria - Corporates - General: Recovery Rating Criteria For Speculative-Grade Corporate Issuers, Dec....

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