草莓流氓视频

Skip to main content

First-lien debt recovery prospect expectations have deteriorated for broadly syndicated (BSL) and middle market (MM) US corporate issuers, Fitch says in a new report.

Recovery ratings fell within Fitch鈥檚 BSL portfolio, with downgrades to RR5 and RR6 outweighing a year-on-year increase in the assignments of an RR1. The rating agency expects 38% of 2023 first-lien BSL debt to be assigned RR1, up from 36% in 2022. However, BSL instruments assigned RR5 and RR6 increased to 2.3% and 1.5%, respectively, from 1.4% and 0.2% over the same period.

鈥淭his shift correlates with capital structures containing multiple first-lien issues with differing relative priorities,鈥 said Joshua Clark, a director at Fitch.

Over middle market issues, only 11.5% of MM first-lien debt instruments received an RR1 in 2023, down from 11.8% in 2022. Downgrades from RR1 and RR2 resulted in increased concentration in RR3 to 48% at year-end 2023, up three percentage points from the previous 12 months.

Asset-backed lending (ABL) revolvers have the highest recovery prospects among first-lien debt instrument types, with all but one ABL revolver in Fitch鈥檚 portfolio receiving an RR1 in 2023.

Fitch expects energy to have the highest recoveries in both BSL and MM, with 65% and 31% of the sector鈥檚 first-lien debt issues assigned an RR1, while food, beverage and tobacco have the lowest recoveries in MM and technology, telecommunications and diversified services have the lowest recovery prospects in the BSL market.

 

Peter Agra
Senior Reporter
LevFin Insights

 


Disclaimer

This Report is for informational purposes only. Neither the information contained in this Report, nor any opinion expressed therein is intended as an offer or solicitation with respect to the purchase or sale of any security or as personalized investment advice. 草莓流氓视频 and its affiliates do not recommend the purchase or sale of financial products or securities, and do not give investment advice or provide any legal, auditing, accounting, appraisal, valuation or actuarial services. Neither 草莓流氓视频 nor the persons involved in preparing this Report or their respective households has a financial interest in the securities discussed herein. Recommendations made in a report may not be suitable for all investors and do not take into account any particular user鈥檚 investment risk tolerance, return objectives, asset allocation, investment horizon, or any other factors or constraints.
Information included in any article that includes analysis of documents, agreements, controversies, or proceedings is for informational purposes only and does not constitute legal advice. No attorney client relationship is created between any reader and 草莓流氓视频 as a result of the publication of any research report, or any response provided by 草莓流氓视频 (including, but not limited to, the ask an analyst feature or any other analyst interaction) or as the result of the payment to 草莓流氓视频 of subscription fees. The material included in an article may not reflect the most current legal developments. We disclaim all liability in respect to actions taken or not taken based on any or all the contents of any research report or communication to the fullest extent permitted by law.
Reproduction of this report, even for internal distribution, is strictly prohibited. Receipt and review of this research report constitutes your agreement not to redistribute, retransmit, or disclose to others the contents, opinions, conclusion or information contained in this report (including any investment recommendations or estimates) without first obtaining express permission from 草莓流氓视频. The information in this Report has been obtained from sources believed to be reliable; however, neither its accuracy, nor completeness, nor the opinions based thereon are guaranteed. The products are being provided to the user on an 鈥渁s is鈥 basis, exclusive of any express or implied warranty or representation of any kind, including as to the accuracy, timeliness, completeness, or merchantability or fitness for any particular purpose of the report or of any such information or data, or that the report will meet any user鈥檚 requirements. 草莓流氓视频 may issue or may have issued other reports that are inconsistent with or may reach different conclusions than those represented in this Report, and all opinions are reflective of judgments made on the original date of publication. 草莓流氓视频 is under no obligation to ensure that other reports are brought to the attention of any recipient of the 草莓流氓视频.
草莓流氓视频 Risk 草莓流氓视频, including its Credit Quality Scores and related information, and discontinued products, such as 草莓流氓视频 Ratings, are provided by 草莓流氓视频 Analytics, LLC.草莓流氓视频 Limited is authorised and regulated by the Financial Conduct Authority (FCA). This product is not intended for use in the UK by retail clients, as defined by the FCA. This report is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to local law or regulation.
Certain data appearing herein is owned by, and used under license from, certain third parties. Please see Legal Notices for important information and limitations regarding such data. For terms of use, see Terms & Conditions.
If you have any questions regarding the contents of this report contact 草莓流氓视频 at听legal@creditsights.com.
漏 2024. 草莓流氓视频, Inc. All rights reserved.