London, 04 April 2007 -- London--Moody's Investors Service today announces the assignment of Probability of Default Ratings (PDRs) and Loss Given Default Assessments (LGDAs) for corporate families in the Telecommunications, Media and Technology sectors whose ratings remain unchanged in conjunction with the implementation of Moody's Loss Given Default (LGD) and Probability of Default rating methodology for existing non-financial speculative-grade corporate issuers in Europe, Middle East and Africa (EMEA).
For corporate families whose debt ratings were directly affected please refer to the previous press release "Moody's implements loss given default methodology in EMEA" issued March 29, 2007.
Moody's current long-term credit ratings are opinions about expected credit loss that incorporate both the likelihood of default and the expected loss in the event of default. The LGD rating methodology (1) disaggregates these two key assessments in long-term ratings; (2) enhances the consistency in Moody's notching practices across industries; and (3) improves the transparency and accuracy of its ratings, reflecting different experiences of recovery across the capital structure.
Moody's assigns Probability of Default Ratings (or PDRs) to issuers, not specific debt instruments. PDRs use Moody's standard alpha-numeric scale and express the rating agency's opinion of the likelihood that an entity within a corporate family will default on any of its obligations.
Moody's assigns Loss-Given-Default Assessments (or LGDAs) to individual rated debt issues -- i.e. loans, bonds and preferred stock. Moody's opinions of expected loss are expressed as a percentage of principal and accrued interest at the resolution of the default, with assessments ranging from LGD1 (loss anticipated to be 0%-9%) to LGD6 (loss anticipated to be 90%-100%).
This press release covers speculative-grade corporate families in EMEA in the Telecommunications, Media and Technology sectors where Moody's Investors Service is assigning PDRs and LGDAs. (Other industry sectors are being covered in subsequent press releases.) All currently outstanding debt ratings for these issuers remain unchanged.
Telecommunications
Sistema Joint Stock Financial Corporation, B1
PDR: B1
Sistema Capital S.A.
Senior Unsecured Medium-Term Note Program, B3 -->B3, LGD5, 78%
8.875% Senior Unsecured Regular Bond/Debenture Due 2011, B3 -->B3, LGD5, 78%
Hellas Telecommunications II S.a.r.l., B2
PDR: B2
Subordinate Regular Bond/Debenture Due 2015, Caa1 -->Caa1, LGD5, 85%
Hellas Telecommunications (Luxembourg) III
8.5% Senior Unsecured Regular Bond/Debenture Due 2013, B3 -->B3, LGD4, 63%
Hellas Telecommunications (Luxembourg) V
Senior Secured Regular Bond/Debenture Due 2012, B1 -->B1, LGD3, 33%
Millicom International Cellular S.A., Ba3
PDR: Ba3
10% Senior Unsecured Regular Bond/Debenture Due 2013, B2 -->B2, LGD5, 85%
Golden Telecom Inc, Ba3
PDR: Ba3
JSC Concern Sitronics, B3
PDR: B3
Sitronics Finance S.A.
7.875% Senior Unsecured Regular Bond/Debenture Due 2009, B3 -->B3, LGD4, 50%
Kabel Deutschland GmbH, Ba3
PDR: Ba3
10.625% Senior Unsecured Regular Bond/Debenture Due 2014, B2 -->B2, LGD5, 88%
10.75% Senior Unsecured Regular Bond/Debenture Due 2014, B2 -->B2, LGD5, 88%
MegaFon OJSC, Ba3
PDR: Ba3
MegaFon S.A.
8% Senior Unsecured Regular Bond/Debenture Due 2009, Ba3 -->Ba3, LGD4, 50%
Mobile TeleSystems OJSC, Ba3
PDR: Ba3
Mobile TeleSystem Finance S.A.
8.375% Senior Unsecured Regular Bond/Debenture Due 2010, Ba3 -->Ba3, LGD4, 50%
8% Senior Unsecured Regular Bond/Debenture Due 2012, Ba3 -->Ba3, LGD4, 50%
US$400M 9.75% Senior Unsecured Regular Bond/Debenture Due 2008, Ba3
-->Ba3, LGD4, 50%
Moscow City Telephone Network (MGTS) (PJSC), Ba3
PDR: Ba3
Open Joint Stock Company Vimpel-Communication, Ba2
PDR: Ba2
10% Senior Unsecured Regular Bond/Debenture Due 2009, Ba2-->Ba2, LGD4, 52%
8.375% Senior Unsecured Regular Bond/Debenture Due 2011, Ba2-->Ba2, LGD4, 52%
8% Senior Unsecured Regular Bond/Debenture Due 2010, Ba2-->Ba2, LGD4, 52%
8.25% Senior Unsecured Regular Bond/Debenture Due 2016, Ba2-->Ba2, LGD4, 52%
Partner Communications Company Ltd, Ba1
PDR: Ba1
Gateway Telecommunications Plc, B3
PDR:B3
9.875% Senior Secured Regular Bond/Debenture Due 2013, B3 -->B3, LGD4, 50%
Antenna TV S.A., B1
PDR: B1
7.25% Senior Unsecured Regular Bond/Debenture Due 2015, B1-->B1, LGD4, 56%
Cable & Wireless Plc, Ba3
PDR: Ba3
4% Senior Unsecured Conv./Exch. Bond/Debenture Due 2010, B1 -->B1, LGD4, 60%
GBP200M 8.75% Senior Unsecured Regular Bond/Debenture Due 2012, B1 -->B1, LGD4, 60%
Cable & Wireless International Finance B.V.
GBP200M 8.625% Senior Unsecured Regular Bond/Debenture Due 2019, B1 -->B1, LGD4, 60%
Cableuropa S.A.U., B1
PDR: B1
ONO Finance Plc
Senior Unsecured GTD FLT RT Euronotes Due 2014, B3 -->B3, LGD6, 92%
10.50% Senior Unsecured GTD Eurobonds Due 2014, B3 -->B3, LGD6, 92%
ONO Finance II Plc
Senior Unsecured GTD Global Bonds Due 2014, B3 -->B3, LGD6, 92%
COLT Telecom Group Limited, B2
PDR: B1
EUR320M 7.625% Senior Unsecured Regular Bond/Debenture Due 2009 B2 -->B2, LGD4, 65%
Completel S.A.S., B3
PDR: B2
11% Senior Secured Regular Bond/Debenture Due 2012, B3 -->B3, LGD4, 67%
Global Crossing (UK) Finance plc, B3
PDR: B2
10.75% Senior Secured Regular Bond/Debenture Due 2014, B3 -->B3, LGD4, 63%
11.75% Senior Secured Regular Bond/Debenture Due 2014, B3 -->B3, LGD4, 63%
Eutelsat Communications SA, Ba2
PDR: Ba3
Senior Unsecured Bank Credit Facility, Ba3 -->Ba3, LGD4, 55%
Orascom Telecom Holding S.A.E, Ba3
PDR: Ba3
Orascom Telecom Finance S.C.A.
7.875% Senior Unsecured Regular Bond/Debenture Due 2014, B2-->B2, LGD5, 82%
Turkcell Iletisim Hizmetleri A.S., Ba2
PDR: Ba2
Media
Liberty Global Inc, Ba3
PDR: Ba3
Central European Media Enterprises Ltd, Ba3
PDR: Ba3
Senior Unsecured FLT RT Global Notes Due 2012, Ba3 -->Ba3, LGD4, 59%
8.25% Senior Unsecured Regular Bond/Debenture Due 2012, Ba3 -->Ba3, LGD4, 59%
Seat Pagine Gialle S.p.a., Ba3
PDR: Ba3
Lighthouse International Company SA
8% Senior Secured Regular Bond/Debenture Due 2014 B2 -->B2, LGD5, 86%
TVN Finance Corporation plc, Ba3
PDR: Ba3
9.5% Senior Unsecured Regular Bond/Debenture Due 2013, B1 -->B1, LGD4, 63%
Yell Group plc, Ba3
PDR: B1
Odyssee 1 S.A.S, B1
PDR: B2
Gallery Media Group Ltd., Caa1
PDR: Caa1
Gallery Capital SA
10.125% Senior Secured Regular Bond/Debenture Due 2013, Caa1--> Caa1, LGD3, 48%
Technology
Invensys plc, Ba3
PDR: Ba3
9.875% Senior Unsecured Regular Bond/Debenture Due 2011, B2 -->B2, LGD6, 92%
US$200M 6.5% Senior Unsecured Regular Bond/Debenture Due 2010, B2 -->B2, LGD6, 92%
Savcio Holdings (Pty) Ltd, B2
PDR: B2
8% Senior Secured Regular Bond/Debenture Due 2013, B2 -->B2, LGD3, 49%
ASML Holding N.V., Ba1
PDR: Ba1
NXP B.V., Ba3
PDR: Ba3
Senior Secured FLT RT Notes Due 2013, Ba2 -->Ba2, LGD3, 40%
7.88% Senior Secured Regular Bond/Debenture Due 2014, Ba2 -->Ba2, LGD3, 40%
9.50% Senior Unsecured GTD Global Notes Due 2015, B2 -->B2, LGD5, 86%
8.63% Senior Unsecured GTD Global Notes Due 2015, B2 -->B2, LGD5, 86%
VAC Finanzierung GmbH, B2
PDR: B2
Senior Secured Regular Bond/Debenture Due 2016, B3-->B3, LGD4, 58%
Vestel Elektronik Sanayi Ve Ticaret A.S., Ba3
PDR: Ba3
Vestel Electronics Finance Ltd.
8.75% Senior Unsecured Regular Bond/Debenture Due 2012, Ba3-->Ba3, LGD4, 50%
Ratings under review (no assignment of PDRs and LGDAs until resolution):
Telecommunications
Invitel Holdings N.V.
Kyivstar G.S.M. Joint Stock Company
Media
WDAC Intermediate Corp.
ProSiebenSat.1 Media AG
EMI Group plc
-Ends-
London
David G. Staples
Managing Director
Corporate Finance Group
Moody's Investors Service Ltd.
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
London
Michael West
Managing Director
Corporate Finance Group
Moody's Investors Service Ltd.
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454
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© Press Release 2007
