S&P Puts Taubman Ratings on Watch Developing.Business EditorsNEW YORK--(BUSINESS WIRE)--Standard & Poor's Nov. 14, 2002--Standard & Poor's Ratings Services Ratings Service A company, such as Moody's or Standard & Poor's, that rates various debt and preferred stock issues for safety of payment of principal, interest, or dividends. today placed its ratings on Taubman Centers Taubman Centers is an owner of United States upscale regional malls and has headquarters in Bloomfield Hills, Michigan. The Taubman Asia subsidiary is headquartered in Hong Kong. Taubman was founded in 1950 by real estate pioneer A. Alfred Taubman. Inc. (Taubman) and Taubman Realty realty n. a short form of "real estate." (See: real estate) REALTY. An abstract of real, as distinguished from personalty. Realty relates to lands and tenements, rents or other hereditaments. Vide Real Property. Group L.P. on CreditWatch Developing. The outlook on the rating was previously stable. The CreditWatch placement impacts roughly $200 million in rated preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. , and is in response to the recent unsolicited un·so·lic·it·ed adj. Not looked for or requested; unsought: an unsolicited manuscript; unsolicited opinions. unsolicited Adjective offer from Simon Property Group Simon Property Group, Inc. (NYSE: SPG), also known as SIMON, an S&P 500 company headquartered in Indianapolis, Indiana, is the largest developer of shopping malls in the United States. Simon Property Group, Inc. Inc. (Simon) ('BBB+'/Watch Neg) (see list). The CreditWatch designation is warranted because Standard & Poor's believes that the credit implications of a potential transaction could be negative, positive, or neutral depending upon which scenario and/or suitor SUITOR. One who is a party to a suit or action in court. One who is a party to an action. In its ancient sense, suitor meant one Who was bound to attend the county court, also, one who formed part of the secta. (q.v.) ultimately prevails and which financing structure employed. Taubman management has formally rebuffed Simon's initial offer. The ratings on Bloomfield Hills, Mich.-based Taubman were lowered in June 2002 as a result of the combined impact of recently completed, but not yet stabilized, development projects, and a weaker retail leasing environment on the company's financial profile, including debt service coverage measures and general financial flexibility. The revised ratings are supported by Taubman's experienced management team and a seasoned existing portfolio of highly productive regional and super-regional malls. This portfolio includes 20 regional malls, encompassing more than 22 million square feet, including the recently completed Mall at Millenia in Orlando, Fla. Standard & Poor's will monitor developments to assess the likelihood of a transaction actually occurring and the method by which such a transaction would ultimately be financed.
RATINGS PLACED ON CREDITWATCH DEVELOPING
Taubman Centers Inc./Taubman Realty Group L.P.
Rating
To From
Corporate Credit Rating BB+/Watch Dev BB+/Stable
$200 million
8.3% cum redeem pref stk ser A B+/Watch Dev B+/Stable
Copyright 2002, Standard & Poor's Ratings Services |
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