U.S.-based CHG PPC Intermediate II LLC (CHG), a producer of grain-based products, will be hurt by restaurant disruptions and closures due to the coronavirus. We are downgrading the company to 'B-' from 'B' to reflect our expectations of a substantial drop in foodservice revenues and EBITDA. We are lowering our issue-level rating on the company's senior secured debt to 'B-' commensurate with the downgrade. The recovery rating remains '3', reflecting our expectation for a meaningful recovery. The negative outlook reflects the risk that the company's capital structure could become unsustainable given its high debt leverage as a result of deteriorating profitability due to prolonged restaurant closures. The negative outlook indicates our expectation that the rating could be lowered over the next
