Oct 18 - Standard & Poor's Ratings Services said today that it assigned its 'B-' issue level rating (two notches below the 'B+' corporate credit rating on the company) and '6' recovery rating to SunGard Data Systems' proposed offer of $500 million of subordinated notes due 2019. The '6' recovery rating indicates our expectation of negligible (0% to 10%) recovery in the event of payment default. The company will use the proceeds to repay the existing 10.25% senior subordinated notes due 2015, which they expect to tender for. Our corporate credit rating, outlook, and individual issue level ratings are unchanged by the proposed transaction. Our ratings on SunGard reflect our expectation that the company's "satisfactory" business risk profile and significant base of recurring revenues will continue to support its "highly leveraged" financial risk profile. The ratings also reflect SunGard's healthy cash flow generation and strong position in the fragmented market for investment-support processing software. SunGard's revenue and earnings predictability benefit from high contractually recurring revenues, high customer switching costs, and defensible market positions. We expect moderate acquisition activity to enhance organic growth opportunities and product portfolio diversity. Midyear leverage of 5.6x is down from year-end levels of 6.7x, largely because of the repayment of debt with the proceeds of the sale of its Higher Education business. (For the latest corporate credit rating rationale, see Standard & Poor's summary analysis on SDS published on Aug. 23, 2012, on RatingsDirect). RATINGS LIST SunGard Data Systems Inc. Corporate Credit Rating B+/Stable/-- New Ratings SunGard Data Systems Inc. $500 mil subordinated nts due 2019 B- Recovery Rating 6 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.