TORONTO (Standard&Poor's) Feb. 27, 2006--Standard&Poor's Ratings Services today said it assigned its 'B+' long-term corporate credit rating to Calgary, Alta.-based MEG Energy Corp. (MEG). At the same time, Standard&Poor's assigned its 'BB' bank loan rating with a recovery rating of '1' to MEG's proposed bank loan facilities, which are composed of a seven-year US$700 million secured term loan B and a three-year US$50 million secured revolving credit facility. The '1' recovery rating reflects expectations for a 100% recovery of principal in a default scenario. The 'BB' bank loan rating is two notches above the corporate credit rating, because the collateral value supporting the loans has a high probability of enabling lenders to recover all
