...- We expect the recent collapse in crude oil prices, driven by the Saudi-Russian price war and exacerbated by demand destruction due to the coronavirus, will hurt demand for oilfield service companies, as exploration and production (E&P) companies slash capital spending budgets. - We have lowered our crude oil and natural gas price deck assumptions and now assume oil prices average $30 per barrel (/bbl) for Brent oil and $25/bbl for West Texas Intermediate (WTI) oil for the remainder of 2020. - As a result, we have reduced our expectations for Oceaneering's revenues and margins and now believe credit measures will be materially weaker through 2021 compared with our prior projections. - We are lowering our issuer credit rating to 'B+' from '##'. - At the same time, we are lowering our issue-level rating on the company's senior unsecured notes to 'B+' from '##'. The recovery rating remains '3', indicating our expectation of meaningful (50%-70%; rounded estimate: 65%) recovery of principal...
