Recovery Report: DISH Network Corp.'s Recovery Rating Profile May 11
- ID: 1724259
- May 2011
- Standard & Poors
Standard & Poor's Ratings Services has assigned its issue-level and recovery ratings to Englewood, Colo.-based satellite-TV provider DISH Network Corp.'s proposed $1.75 billion senior unsecured notes issuance. The company intends to use the proceeds for general corporate purposes. We note that DISH recently purchased Blockbuster for $226 million, has committed to acquire 100% of the equity of DBSD North America for $1.4 billion, and its $1 billion of 6 3/8% senior notes mature on Oct. 1, 2011. We simulate a default during 2016, reflecting intense competition from cable-TV and telephone companies. In the event of a default, we expect the company would reorganize rather than liquidate, and have valued the enterprise accordingly in arriving at our recovery estimations. The issuer...
Companies mentioned in this report are:
- DISH Network Corp.
- DISH DBS Corp.
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