On July 28, 2003, Standard & Poor's Ratings Services assigned its 'BBB' rating to apparel retailer The Gap Inc.'s $750 million senior secured bank loan that matures on June 24, 2006. The 'BB+' corporate credit and senior unsecured ratings on The Gap were also affirmed. The outlook is negative. The San Francisco, Calif.-based company had about $2.9 billion of funded debt as of May 3, 2003. The revolving credit facility is rated two notches higher than the corporate credit rating based on a very strong likelihood of full recovery of principal in the event of default or bankruptcy. This rating is supported by collateral coverage of more than 2.0x at the company's seasonally low inventory period. The loan is secured
