We are updating our recovery analysis on Russian mobile telecommunications operator Mobile TeleSystems OJSC (MTS). We believe the company would be reorganized in the event of a default. Our simulated default scenario for MTS contemplates a default in 2016, as a result of excessive leverage and deteriorating operating performance. We assume that at our hypothetical point of default, the stressed enterprise value would be about $5.080 billion. We have assigned a recovery rating of '3' on the unsecured debt facilities, indicating our expectation of meaningful (50%-70%) recovery prospects for the unsecured debt holders. The rated debt instruments of Russian mobile telecommunications operator Mobile TeleSystems (OJSC) (MTS; BB/Watch Neg/--) are unsecured obligations. Russian ruble-denominated, unsecured debt instruments sit at MTS, while...
Companies mentioned in this report are: Mobile TeleSystems (OJSC)
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