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TEXT-S&P rates Expedia revolving credit facitlity 'BBB-'
2012年11月9日 / 晚上9点58分 / 5 年前

TEXT-S&P rates Expedia revolving credit facitlity 'BBB-'

Nov 9 - Standard & Poor's Ratings Services today assigned Bellevue,
Wash.-based online travel agency Expedia Inc.'s amended and extended $1
billion revolving credit facility due November 2017 its 'BBB-' issue-level
rating. The company's original $750 million revolving credit facility was due to
expire in 2016. 

The corporate credit rating on Expedia is 'BBB-' and the rating outlook is 
stable. We have assumed that Expedia can maintain its market share in online 
travel and will adhere to its moderate financial policy. We view Expedia's 
business profile as "satisfactory" (based on our criteria) because of its good 
competitive position and good profitability. We expect Expedia to maintain 
adjusted debt leverage below 2.5x, which underpins our assessment of its 
financial risk as "intermediate." Expedia has a stated debt-leverage target of 
2x to 3x. This roughly translates to lease-adjusted debt leverage of 2.2x to 
3.2x.

Expedia has "strong" liquidity to meet its routine business needs. Working 
capital is a positive contributor to cash flow. Uses of liquidity include 
capital expenditures of around $200 million to $220 million in 2012 and 2013. 
The other probable uses of cash include acquisitions and share repurchases. 
Maturities are minimal until 2018. 

RELATED CRITERIA AND RESEARCH
     -- Business Risk/Financial Risk Matrix Expanded, Sept. 18, 2012
     -- Liquidity Descriptors For Global Corporate Issuers, Sept. 28, 2011
     -- 2008 Corporate Criteria: Analytical Methodology, April 15, 2008
     -- 2008 Corporate Criteria: Rating Each Issue, April 15, 2008
     -- 2008 Corporate Criteria: Ratios And Adjustments, April 15, 2008


RATINGS LIST

Expedia Inc.
 Corporate Credit Rating     BBB-/Stable/--

New Rating

Expedia Inc.
 $1B revolver due 2017       BBB-
 


Complete ratings information is available to subscribers of RatingsDirect on 
the Global Credit Portal at www.globalcreditportal.com. All ratings affected 
by this rating action can be found on Standard & Poor's public Web site at 
www.standardandpoors.com. Use the Ratings search box located in the left 
column.

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