DBRS Assigns Rating of BBB to Tim Hortons New Debt Issuance, Stable Trend

DBRS has today assigned a rating of BBB with a Stable trend to Tim Hortons Inc.’s (THI) new senior unsecured notes issuance.

The Senior Unsecured Notes, Series 3 (the Notes) are being offered in Canada on a private placement basis composed of a single tranche of

(1) $450 million 2.85% senior unsecured notes due April 1, 2019.

The Notes will rank pari passu with all other senior unsecured and unsubordinated indebtedness of THI, except as to any sinking fund and statutorily preferred exceptions. Net proceeds from the offering are intended to be used primarily to repay indebtedness outstanding under a bridge credit facility, which is available for general corporate purposes, including share repurchases.

Notes:
All figures are in Canadian dollars unless otherwise noted.

This rating is endorsed by DBRS for use in the European Union.

The applicable methodology is Rating Companies in the Merchandising Industry (October 2013), which can be found on our website under Methodologies.