TRANSCONTINENTAL INC. DBRS Morningstar expects the net proceeds will be used to mainly repay existing indebtedness, including Term Loan Tranche C, and for other general corporate purposes.
The Senior Unsecured Notes are direct senior unsecured obligations of Transcontinental, will rank pari passu with all of Transcontinental's existing and future senior unsecured indebtedness, and will rank senior in right of payment to any future subordinated indebtedness of Transcontinental. The Senior Unsecured Notes will be effectively subordinated to all secured indebtedness to the extent of the value of the assets securing such secured indebtedness and will be structurally subordinated in right of payment to all indebtedness and other liabilities, including trade payables, of Transcontinental's nonguarantor subsidiaries.
The obligations of the Company under the Indenture and the Senior Unsecured Notes will be fully and unconditionally guaranteed on a senior unsecured basis.
A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings at https://www.dbrsmorningstar.com/research/373262.
Notes:
All figures are in Canadian dollars unless otherwise noted.
The principal methodologies are Rating Companies in the Printing Industry (
For more information regarding rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/357883.
The related regulatory disclosures pursuant to the National Instrument 25-101 Designated Rating Organizations are hereby incorporated by reference and can be found by clicking on the link under Related Documents or by contacting us at info@dbrsmorningstar.com.
The rated entity or its related entities did participate in the rating process for this rating action. DBRS Morningstar had access to the accounts and other relevant internal documents of the rated entity or its related entities in connection with this rating action.
Generally, the conditions that lead to the assignment of a Negative or Positive trend are resolved within a 12-month period. DBRS Morningstar trends and ratings are under regular surveillance.
For more information on this credit or on this industry, visit www.dbrsmorningstar.com or contact us at info@dbrsmorningstar.com.
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Ratings
Date Issued Debt Rated Action Rating Trend Attributesi
US = Lead Analyst based in USA
CA = Lead Analyst based in
EU = Lead Analyst based in EU
E = EU endorsed
U =
Unsolicited Participating With Access
Unsolicited Participating Without Access
Unsolicited Non-participating
13-Jul-21 Senior Unsecured Debt Provis.-Final BBB (low) Stb CA
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