Under-performing shoe manufacturer TOMS Shoes, LLC saw its Moody’s ratings affirmed. The senior debt remains at Caa3, as did the Corporate Rating. The outlook was downgraded from stable to negative. Apparently, Moody’s is worrying that leverage is too high to expect 2020 debt maturities to be met in the ordinary course. This is a long standing under-performing credit that dates back to 2016, so no great surprise. BDC exposure – all in the afore mentioned 2020 debt- is $9.3mn, equally split between related BDCs MAIN and HMS Income, which have written down the debt by (18%) as of March 2019. The discount has been higher in the past, but actions such as these suggest we should be worried. After all, 2020 is just round the corner.