...NEW YORK (S&P Global Ratings) May 9, 2016--S&P Global Ratings Services today assigned its '##' issue-level rating and '4' recovery rating to Tesoro Logistics L.P. and Tesoro Logistics Finance Corp.'s proposed $350 million senior unsecured notes due 2024. Our '##' issue-level rating and '4' recovery rating on Tesoro Logistics L.P. and Tesoro Logistics Finance Corp.'s $550 million 6.125% senior unsecured notes due 2021 are unchanged after the partnership announced its proposal to issue a $250 million add-on to the notes. The notes will total $800 million. The recovery rating of '4' indicates our expectation of average (30% to 50%; higher end of the range) recovery if a payment default occurs. The partnership intends to use gross proceeds of the 2021 notes to repay amounts outstanding under the partnership's $1 billion dropdown credit facility, which amounts were used to pay off all amounts outstanding under and terminate the $250 million term loan facility. The proceeds of the term loan were...
