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Moody's Downgrades Ultra Petroleum's (UPL) Probability of Default Rating to 'D-PD'; Outlook Negative

May 2, 2016 2:32 PM EDT

Moody's Investors Service ("Moody's") changed Ultra Petroleum Corp.'s (NYSE: UPL)(Ultra) Probability of Default Rating (PDR) to D-PD from Ca-PD/LD following the company's filing voluntary petitions in the United States Bankruptcy Court for the Southern District of Texas, Houston Division, seeking relief under the provisions of Chapter 11 of the United States Bankruptcy Code. Concurrently, Moody's affirmed Ultra's Ca Corporate Family Rating (CFR), C senior unsecured notes rating and the SGL-4 Speculative Grade Liquidity Rating. The outlook remains negative.

Moody's will withdraw all of Ultra's ratings and outlook in the near future. Please refer to Moody's ratings withdrawal policy on www.moodys.com.

The following summarizes the ratings.

Issuer: Ultra Petroleum Corp.

Ratings downgraded:

. Probability of Default Rating -- D-PD from Ca-PD/LD

Ratings affirmed:

. Corporate Family Rating -- Ca

. $450mm Sr Unsec Notes due 2018 -- C (LGD 5)

. $850mm Sr Unsec Notes due 2024 -- C (LGD 5)

. Speculative Grade Liquidity Rating -- SGL-4

Outlook: Negative

RATINGS RATIONALE

Ultra's bankruptcy filing has resulted in the company's PDR being downgraded to D-PD. Ultra's other ratings were affirmed since the previously assigned Ca CFR already incorporated Moody's view of the potential recoveries for each security.

The principal methodology used in these ratings was Global Independent Exploration and Production Industry published in December 2011. Please see the Ratings Methodologies page on www.moodys.com for a copy of this methodology.



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