The amount raised through the instrument will go for refinancing existing debt and for general corporate purposes.

The agency noted that all of the company's long-term ratings remain on review for possible downgrade.

"The review for possible downgrade reflects Moody's view that the pending proposal by Landry's to take the company private -- along with management's history of aggressive financial policies -- could result in a weakening of the company's credit profile," Moody's analyst Bill Fahy said.

The review will primarily take into account the impact that a potential leveraged buyout -- if ultimately consummated -- could have on debt protection metrics, liquidity and the overall risk characteristics of the company, Moody's said. Moreover, it will consider the restaurant operator's operating trends which remain exposed to further worsening in consumer spending and tougher competition, the agency added.

Moody's noted that the company carries an SGL-3 speculative grade liquidity rating, which implies "adequate" liquidity. Despite lower commodity costs and the company's expense management efforts, Moody's expects that increased competitive pressures and the flagging economic environment will lead to breakeven to slightly negative free cash flow from operations over the next 12 months. The cushion under the company's bank covenants could weaken and may require the company to seek an amendment from its bank creditors as results continue to suffer from soft consumer demand, the agency concluded.

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Earlier this month Standard & Poor's Rating Service also revised its outlook, noting "recent improvements in the company's operating performance and debt reduction." Standard & Poor's attributed the Company's improved performance to "a reorganization that better focused its distribution and the launch of new products, such as a pedicle screw system, interbody device, and stem cell-based allograft; as well as the ongoing growth of its spine stimulation revenues." The rating service also alluded to Orthofix's diverse revenue stream, describing the Company's product and customer diversity as strengths.

"We are very pleased that S&P and Moody's have both recognized the progress we have made in improving our financial outlook over the last several quarters. Our focus will continue to be on improved operating results and cash flow, as well as the continued deleveraging of our balance sheet," said Orthofix's President and CEO, Alan Milinazzo. "Our recent improvements are, in part, a reflection the successful introduction of several new products that have been well received by our surgeon customers."

Last month Orthofix released its 3rd quarter results, which included year-over-year improvements in its gross and operating profit margins as well as a significant increase in cash flow from operations. As a result of the improved cash flow, this month the Company made an additional $5 million debt repayment ahead of its scheduled maturity, and has repaid a total of $25 million ahead of scheduled maturities year-to-date.

About Orthofix

Orthofix International, N.V. is a global medical device company offering a broad line of minimally invasive surgical, and non-surgical, products for the spine, orthopedic, and sports medicine market sectors that address the lifelong bone-and-joint health needs of patients of all ages--helping them achieve a more active and mobile lifestyle. Orthofix's products are widely distributed around the world to orthopedic surgeons and patients via Orthofix's sales representatives and its subsidiaries, including BREG, Inc. and via partnerships with other leading orthopedic product companies. In addition, Orthofix is collaborating in R&D partnerships with leading medical institutions such as the Musculoskeletal Transplant Foundation, the Orthopedic Research and Education Foundation, the University of Medicine and Dentistry of New Jersey and the National Osteoporosis Institute. For more information about Orthofix, please visit www.orthofix.com.

FORWARD-LOOKING STATEMENTS

This communication contains certain forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which may include, but are not limited to, statements concerning the projections, financial condition, results of operations and businesses of Orthofix and its subsidiaries and are based on management's current expectations and estimates and involve risks and uncertainties that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements.

Factors that could cause or contribute to such differences may include, but are not limited to, risks relating to the expected sales of its products, including products not yet launched, unanticipated expenditures, changing relationships with customers, suppliers and strategic partners, risks relating to the protection of intellectual property, changes to the reimbursement policies of third parties, changes to and interpretation of governmental regulation of medical devices, the impact of competitive products, changes to the competitive environment, the acceptance of new products in the market, conditions of the orthopedic industry and the economy, corporate development and market development activities, including acquisitions or divestitures, unexpected costs or operating unit performance related to recent acquisitions and other factors described in our annual report on Form 10-K and other periodic reports filed by the Company with the Securities and Exchange Commission.

SOURCE: Orthofix International, N.V.

Orthofix International, N.V. 
Dan Yarbrough, 617-912-2903 
Vice President of Investor Relations 
danyarbrough@orthofix.com

"Structured Finance Workstation Online sets a new standard by making powerful and integrated analytical capabilities broadly available through a flexible and intuitive online interface," said Gus Harris, Executive Director, Moody's Analytics. "The combination of industry-leading macroeconomic scenarios, extensive credit risk models, and sophisticated cash flow analysis gives investors clear insight into their structured finance portfolios and adds real value to their analytical processes."

The platform can provide faster workflow and greater efficiency and help strengthen risk management, research and trading operations for even the most active structured finance market participants. Customers have access to a dedicated support team of experienced financial engineers to help customize solutions and provide on-site training as required. The extensive support is especially helpful for small and mid-size enterprises seeking to quickly deploy the product and adapt it to their specialized needs.

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For more information, visit sfw.moodys.com.

ABOUT MOODY'S ANALYTICS

Moody's Analytics is a leading provider of research, data, analytic tools and related services to debt capital markets and credit risk management professionals worldwide. The company's products and services provide the means to assess and manage the credit risk of individual exposures as well as portfolios; price and value holdings of debt instruments; analyze macroeconomic trends; and enhance customers' risk management skills and practices. Moody's Analytics is a subsidiary of Moody's Corporation (NYSE: MCO), which reported revenue of $1.8 billion in 2008, employs approximately 4,000 people worldwide and maintains a presence in 27 countries. Additional information about the company is available at www.moodys.com.

SOURCE: Moody's Analytics

Moody's 
THOMAS LEMMON, 212.553.7287 
Assistant Vice President 
Communications Strategist 
thomas.lemmon@moodys.com

The programme is rated at long-term A1, which indicates "low credit risk", and short-term Prime-1, which implies "superior" debt servicing capacity.

The outlook is "stable", meaning rating changes are not expected over the medium term.

Moody's noted that the ratings reflect a guarantee provided by the parent.

Mitsubishi Corp's A1 rating takes into account its sound and sustainable franchise evident in its core business lines, as well as the company's strong funding capacity and good management team, the agency said. The rating also factors in the considerable earnings concentration in the worsening global and domestic business environments, which is a challenge for the company, Moody's concluded.

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