Switzerland-based airline solutions provider gategroup Holding, together with its parent HNA Group, has recently announced that it will not pursue its previously planned Initial Public Offering (IPO) of about 65% of its share capital, due to unfavorable market conditions. We are therefore affirming our 'B-' rating on gategroup and removing it from CreditWatch positive, where it was placed on March 8, 2018. At the same time, gategroup's stand-alone credit profile (SACP) remains at 'bb'. The outlook is stable because, in our view, gategroup has much stronger stand-alone credit metrics than its parent. Based on gategroup's current debt levels, the company has significant headroom for operational underperformance before the 'B-' issuer credit rating would be affected. On March 29, 2018, S&P
