...NEW YORK (S&P Global Ratings) Feb. 16, 2018--S&P Global Ratings today assigned its '##+' issue-level rating and '1' recovery rating to XPO Logistics Inc.'s $1.5 billion term loan due 2025. The '1' recovery rating indicates our expectation of very high (90%-100%; 95% rounded estimate) recovery for debtholders in event of a payment default. XPO will use the proceeds from the term loan to refinance its existing $1.5 billion term loan due 2021. We will withdraw our ratings on the existing term loan following the close of this transaction. RECOVERY ANALYSIS Key analytical factors + Our simulated default scenario contemplates a payment default in 2022 amidst a sustained cyclical economic downturn that leads to a significant decline in U.S. trade volumes and the overall demand for logistics services. + We valued the company on a going concern basis using a 5.5x multiple of our projected emergence EBITDA. + Our recovery analysis incorporates the company's European trade securitization facility,...
