S&P Global Ratings has reassessed Confluence Technologies Inc.'s credit profile following a debt exchange transaction, which addressed the refinancing risk related to its near-term revolver maturity and provided it with incremental liquidity. Based on these improvements, we think it is unlikely the company will experience a payment default or pursue another debt restructuring transaction in the next 12 months. That said, we still believe the capital structure is unsustainable due to our expectation for very high leverage, negative free cash flow, and weak interest coverage. As a result, we raised our issuer credit rating on Confluence to 'CCC+' from 'SD' (selective default). We also raised our issue-level rating on the first-lien term loan to 'CCC+' from 'D', with a recovery
