The amendment to each supplemental indenture which will modify the reporting obligations of Allied under the Supplemental Indentures will become effective following the execution of a supplemental indenture by and among Allied, AWNA
, the Guarantors named therein and the trustee.
As a result, it is expected that both the BFI debentures and the AWNA senior notes will become senior unsecured obligations of the company subsequent to the merger.
Once the merger has closed, Fitch will review the ratings of AW, AWNA and BFI and resolve the Rating Watches.
The ratings for AW, along with its AWNA
and BFI subsidiaries, reflect ongoing improvement in the non-hazardous waste services company's credit profile as it allocates free cash flow toward leverage reduction.
The ratings for AW, AWNA
and BFI, reflect the improvement in the non-hazardous waste services company's credit profile over the past two years as it has used free cash flow to reduce its heavy debt load.
The Issuer Default Rating (IDR) for AWNA
is 'B' and the Rating Outlook is Stable.