May 30 -
-- U.K.-based international publisher of classified directories Yell Group PLC (Yell) has appointed advisors to help the group put in place a new capital structure. The options could be wide-ranging.
-- Due to the limited visibility on timing, and the level of the inflection point in Yell's revenues and earnings, we believe that there is a material risk that the potential options could encompass debt-restructuring measures that we would deem tantamount to a default.
-- We are therefore lowering our long-term corporate credit rating on Yell to 'CCC+' from 'B-'.
-- The negative outlook reflects our view of ongoing pressures on Yell's operating performance and factors in a possible downgrade if the group announces an exchange offer or debt-restructuring measures that we consider to be credit-dilutive.
On May 30, 2012, Standard & Poor's Ratings Services lowered to 'CCC+' from 'B-' its long-term corporate credit rating on U.K.-based international publisher of classified directories Yell Group PLC (Yell). The outlook is negative.