Minnesota-based fitness club Life Time Inc., also known as Lifetime Fitness, has secured a 364-day $101.5 million loan as of June 24, 2020, according to S&P Global Ratings. The loan, backed by the company’s ownership group, was intended to assist the company’s operational expenditures through 2021.
But recent spikes in confirmed COVID-19 cases resulted in a July 13, 2020 order forcing fitness clubs in 30 counties in California to once again close their doors. Life Time Inc. now faces multiple re-closures in the U.S. South, Southwest and West.
These closures caused S&P to revise the company’s outlook from “developing” to “negative” on July 14, 2020.
Further, S&P affirmed the company’s CCC+ issuer credit rating. S&P also affirmed its CCC- issue-level rating on…