S&P cuts Easton-Bell Sports

Standard & Poor's said it lowered the corporate credit rating on Easton-Bell Sports Inc. to B- from B and its senior secured bank loan rating to B from B+, with 2 recovery rating.

The agency lowered the senior subordinated debt rating to CCC from CCC+ with 6 recovery rating.

S&P said the downgrade is based on the company's weak liquidity position and continued high leverage.

Ratings reflect Easton-Bell's weak liquidity, high debt leverage, participation in the highly competitive sporting goods industry and an aggressive financial policy, the agency said.

Easton-Bell benefits from its leading market positions in football, cycling, baseball and hockey equipment, the agency noted.

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