- Published: March 2010
Recovery Report: PBF Holding Co. LLC's Recovery Rating Profile Jan 12
- Published: January 2012
- Standard & Poors
Our recovery analysis on U.S.-based refining company PBF Holding Co. LLC (PBF) reflects the proposed $675 million senior secured note offering. Our simulated default scenario assumes that a default is most likely to occur during a downturn in the sector when refinery margins are thin and cash flow is constrained. Our default and recovery analysis for refinery companies recognizes that the sector is capital-intensive, highly competitive, and has erratic profitability with periods of weak to negative margins based on high fixed costs and fluctuating commodity input and output prices due to shifting supply and demand dynamics. We expect the bulk of the value of the fixed assets to be available to the claims relating to the secured notes in our...
Companies mentioned in this report are: PBF Holding Co. LLC
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Full Analysis
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PBF Holding Co. LLC