TEXT-S&P rates Progressive Waste Solutions Ltd

Wed Oct 3, 2012 3:57pm EDT

Oct 3 - Standard & Poor's Ratings Services today said it assigned its
issue-level and recovery ratings to Progressive Waste Solutions Ltd.'s (PWS;
BB+/Stable/--) proposed refinancing in the amount of US$2.25 billion, comprising
a US$1.75 billion revolver and US$500 million term loan B. We rate both the
revolver and term loan 'BBB-' (one notch above the corporate credit rating on
PWS), with a recovery rating of '2', indicating our expectation that lenders
would receive substantial (70%-90%) recovery in a default scenario.

Under the proposed refinancing, PWS will be the borrower of the new credit 
facility, which will replace the debt held at its U.S. (IESI Corp.) and 
Canadian (BFI Canada) subsidiaries. PWS will now finance its operations on a 
consolidated basis as all subsidiary-level credit facilities will be retired. 
In addition, the company's debt maturity schedule will be extended with the 
new facility, with the revolver expected to mature in 2017 and term loan B 
expected due in 2019. 
 
"The refinancing will not affect debt levels and the company's financial risk 
profile will remain within our expectations for the rating," said Standard & 
Poor's credit analyst Jatinder Mall. 


RATINGS LIST
Progressive Waste Solutions Ltd.
Corporate credit rating   BB+/Stable/--

Ratings Assigned
US$1.75 billion revolver         BBB-
Recovery rating                  2
US$500 million term loan B       BBB-
Recovery rating                  2
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