Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative - S&P Global Ratings’ Credit Research

Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative

Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative - S&P Global Ratings’ Credit Research
Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative
Published May 22, 2023
7 pages (2927 words) — Published May 22, 2023
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

We believe LaserShip Inc. (doing business as OnTrac) will face more challenging macroeconomic conditions and higher interest rates in 2023. We expect these factors, along with continued capacity investment, will constrain the company's liquidity and delay the improvement of its credit metrics. Therefore, we lowered our issuer credit rating on OnTrac to 'CCC+' from 'B-'. We also lowered our issue-level ratings on the company's first-lien term loan to 'CCC+' from 'B-' and second-lien term loan to 'CCC-' from 'CCC'. The recovery ratings are unchanged at '3' (rounded estimate: 50%) and '6' (rounded estimate: 0%), respectively. The negative outlook reflects our expectation that liquidity could deteriorate further if availability under the company's revolving credit facility becomes restricted. We believe higher cash

  
Brief Excerpt:

...- We believe LaserShip Inc. (doing business as OnTrac) will face more challenging macroeconomic conditions and higher interest rates in 2023. - We expect these factors, along with continued capacity investment, will constrain the company's liquidity and delay the improvement of its credit metrics. - Therefore, we lowered our issuer credit rating on OnTrac to '###+' from 'B-'. - We also lowered our issue-level ratings on the company's first-lien term loan to '###+' from 'B-' and second-lien term loan to '###-' from '###'. The recovery ratings are unchanged at '3' (rounded estimate: 50%) and '6' (rounded estimate: 0%), respectively. - The negative outlook reflects our expectation that liquidity could deteriorate further if availability under the company's revolving credit facility becomes restricted....

  
Report Type:

Research Update

Ticker
0008170D
Issuer
LaserShip, Inc.
Sector
Global Issuers
Country
United States
Region
United States
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative" May 22, 2023. Alacra Store. May 18, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-LaserShip-Inc-Downgraded-To-CCC-From-B-On-Constrained-Liquidity-Outlook-Negative-2990341>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: LaserShip Inc. Downgraded To 'CCC+' From 'B-' On Constrained Liquidity; Outlook Negative May 22, 2023. New York, NY: Alacra Store. Retrieved May 18, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-LaserShip-Inc-Downgraded-To-CCC-From-B-On-Constrained-Liquidity-Outlook-Negative-2990341>
  
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