On July 14, 2004, Standard&Poor's Ratings Services assigned its 'BB' senior secured bank loan rating and a recovery rating of '3' to lawn and garden care products supplier The Scotts Co.'s proposed $400 million secured bank facilities. The 'BB' bank loan rating is the same as Scotts' corporate credit rating; this and the '3' recovery rating indicate that lenders can expect meaningful (50%-80%) recovery of principal in the event of a default. Proceeds from the new facilities will be used to prepay the company's outstanding term loan and related fees and expenses. The rating is based on preliminary documentation and is subject to review once final documentation has been received. The 'BB' rating on Scotts' existing term loan
