March 11, 2008

Complete Production Wins Improved Credit Rating

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Standard & Poor's Ratings Services has raised the corporate credit rating on oilfield-services company Complete Production Services Inc., Houston, (NYSE: CPX) from B+ to BB- and increased its rating on Complete’s $650-million 8% senior unsecured notes from B to B+. The outlook is stable.


S&P credit analyst Aniki Saha-Yannopoulos says the upgrade reflects Complete’s growing completion and production segment. “Also, the company's geographic markets are expanding, and we expect that it will continue to improve its business and operational diversity while maintaining a strong financial profile.”


As of Dec. 31, Complete had $887 million of debt, adjusted for operating-lease expenses. The ratings reflect Complete’s weak business position as an oilfield-services provider with an aggressive growth strategy in a cyclical, capital-intensive and highly competitive industry, S&P reports.


The company’s diversified product lines in the currently favorable well-servicing environment help mitigate these weaknesses, as does its improved financial profile, S&P adds.