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S&P Global Slashes Odyssey Logistics Rating to Speculative Grade, Flags Default Risk

S&P Global Ratings cut its debt rating on third-party logistics provider Odyssey Logistics to CCC+, bringing the agency into alignment with Moody's November downgrade to Caa1. Both ratings sit seven notches below investment-grade thresholds and only five notches above default classifications. S&P assigned a negative outlook, signaling additional downgrades could follow without operational improvement. The agency cited weakening earnings and refinancing concerns as primary drivers. Odyssey faces $125 million in revolving credit facility obligations due July 2027 and a $490 million term loan maturing October 2027. S&P warned that sustained earnings weakness will hamper the company's ability to refinance upcoming debt maturities, with potential default risks emerging in 2027. Odyssey remains an outlier among third-party logistics firms. It maintains publicly-traded debt despite limited scale compared to larger industry competitors.