NEW YORK-Standard & Poor’s Corp. said it lowered the rating on Paging Network Inc. to a B+ from BB-, citing the company’s low cash flow and high spending during its restructuring.
S&P also lowered the rating on PageNet’s $1.2 billion senior subordinated notes to B- from B, and to B+ from BB on PageNet’s $1 billion bank loan facility.
Additionally, the ratings company pointed to PageNet’s falling subscriber base and expressed some doubt to the prospects of PageNet’s VAST unit. PageNet’s share price fell to $2.75 at the close of trading Thursday.
