Moody's: Sale of Inland River Barge Ops is a "Credit Negative" for United Maritime
(Press Release)
Tuesday, April 24, 2012
New York, April 24, 2012 -- Moody's issued a press release on the planned sale of United Maritime Group, LLC's ("UMG", B2 stable) inland river barge operation, United Barge Line, LLC ("UBL") to Ingram Barge Company (not rated) for $222 million, calling it is negative for the company's credit profile. UMG's business profile will change and cash flow generating capacity will meaningfully reduce with the divestiture of its inland river barging operations. However, net proceeds likely in excess of $200 million could fund the repayment of a significant portion of UMG's indebtedness.