Concluding a ratings review on the funded debt of BSN Glasspack, S.A., which began in February 2004 when Owens-Illinois, Inc. announced it would acquire BSN, Moody“s Investors Service lowered the fol…
Concluding a ratings review on the funded debt of BSN Glasspack, S.A., which began in February 2004 when Owens-Illinois, Inc. announced it would acquire BSN, Moody“s Investors Service lowered the following BSN ratings on 20 September 2004: EUR 140 million senior subordinated notes, due 2009, at BSN Financing Co. S.A. to B3 from B2 EUR 160 million senior subordinated notes (collateralized), due 2009, at BSN Glasspack Obligation S.A. to B2 from B1 Senior implied rating to B1 from Ba3 Senior unsecured issuer rating to B2 from B1 The ratings outlook is stable. The Owens-Illinois acquisition of BSN was closed in late June 2004. Among the reasons cited by Moody“s for the downgrade were “operational challenges in the European glass industry” and the effect of the acquistion by Owens-Illinois, which is a lower-rated company. Paris-based glass packaging manufacturer BSN is a wholly-owned subsidiary of Owens-Illinois and has annual revenues of EUR 1.3 billion.