The Goodyear Tire&Rubber Co.'s $400 Million Second-Lien Term Loan Assigned 'BBB-' Rating (Recovery Rating '1')

NEW YORK (S&P Global Ratings) Feb. 20, 2018--S&P Global Ratings today assigned its 'BBB-' issue-level and '1' recovery ratings to Akron, Ohio-based The Goodyear Tire&Rubber Co.'s proposed $400 million second-lien term loan. The '1' recovery rating indicates our expectation that lenders would receive very high recovery (90%-100%; rounded estimate: 95%) in the event of a payment default. The company is refinancing one of its domestic credit facilities. The commitment under its senior secured second-lien term loan will remain $400 million. The proceeds under the amended and restated term loan will be used to repay the existing term loan to lenders who do not consent to the amendment. The company's obligations under the credit facility will be guaranteed by

...NEW YORK (S&P Global Ratings) Feb. 20, 2018--S&P Global Ratings today assigned its '###-' issue-level and '1' recovery ratings to Akron, Ohio-based The Goodyear Tire & Rubber Co.'s proposed $400 million second-lien term loan. The '1' recovery rating indicates our expectation that lenders would receive very high recovery (90%-100%; rounded estimate: 95%) in the event of a payment default. The company is refinancing one of its domestic credit facilities. The commitment under its senior secured second-lien term loan will remain $400 million. The proceeds under the amended and restated term loan will be used to repay the existing term loan to lenders who do not consent to the amendment. The company's obligations under the credit facility will be guaranteed by each of its existing and subsequently acquired direct or indirect domestic and Canadian subsidiaries. The second-lien term loan will be secured by second-priority security interests in all accounts receivable and inventory of the parent...

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