Hexion Inc. Outlook Revised To Negative From Stable On Refinance Risk; Credit And Issue-Level Ratings Affirmed

Challenging market conditions, coupled with volatile oil markets and macroeconomic conditions, could affect the company's ability to refinance its revolving credit facility. We anticipate that liquidity will remain less than adequate over the next year. We are revising our outlook on Hexion to negative from stable and affirming all ratings, including the 'CCC+' corporate credit rating. We expect funds from operations (FFO) to debt to be in the low-single-digit range and debt to EBITDA to be above 10x. NEW YORK (Standard&Poor's) Feb. 12, 2016--Standard&Poor's Ratings Services today affirmed its 'CCC+' corporate credit rating on Ohio-based Hexion Inc. and revised the rating outlook to negative from stable. At the same time, we affirmed our 'CCC+' first-lien issue

...+ Challenging market conditions, coupled with volatile oil markets and macroeconomic conditions, could affect the company's ability to refinance its revolving credit facility. + We anticipate that liquidity will remain less than adequate over the next year. + We are revising our outlook on Hexion to negative from stable and affirming all ratings, including the '###+' corporate credit rating. + We expect funds from operations (FFO) to debt to be in the low-single-digit range and debt to EBITDA to be above 10x. NEW YORK (Standard & Poor's) Feb. 12, 2016--Standard & Poor's Ratings Services today affirmed its '###+' corporate credit rating on Ohio-based Hexion Inc. and revised the rating outlook to negative from stable. At the same time, we affirmed our '###+' first-lien issue rating on the company's senior secured notes and '###' rating on the remainder of the company's debt issues. The recovery rating on the first-lien notes remains '3', indicating our expectation of meaningful (lower half...

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