American Rice Rtgs Lowered by S&P,Placed on Watch Dev.NEW YORK--(BUSINESS WIRE)--S&P CreditWire 8/28/97--Standard & Poor's today lowered its corporate credit rating of American American, river, 30 mi (48 km) long, rising in N central Calif. in the Sierra Nevada and flowing SW into the Sacramento River at Sacramento. The discovery of gold at Sutter's Mill (see Sutter, John Augustus) along the river in 1848 led to the California gold rush of Rice Inc. to triple-'C'-plus from single-'B' and its rating on the company's $100 million 13% mortgage notes due 2002 to triple-'C'-r from single-'B'-minus-r. Additionally, the ratings were placed on CreditWatch with "developing" implications. The rating actions reflect the current impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. of the company's liquidity, primarily due to the loss of financing associated with a failed business arrangement. The company has an interest payment due of approximately $6 million on Aug. 31, 1997. Management is exploring other opportunities to improve its liquidity situation. Should the interest payment be missed, Standard & Poor's will lower the ratings to 'D'. If additional financing arrangements are concluded and there is no default under the notes, Standard & Poor's will explore any benefits of improved flexibility on the existing rating. ---CreditWire CONTACT: Kenneth G. Drucker Drucker may refer to a number of persons (in alphabetic order) :
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of (1) 212-208-1339 For more information on criteria criteria (krītēr´ē  ),n. or subscriptions: http://www.ratings.standardpoor.com |
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