Moody's revises Danaher view to stable

Moody's Investors Service said it affirmed the A2 long-term and P-1 short-term ratings of Danaher Corp. and changed its outlook to stable from negative.

The change in outlook reflects the agency's view that Danaher's improved earnings and free cash flow generation, following its debt-financed acquisitions of Sybron Dental and Vision Systems Ltd., reflects positively the company's ability to integrate material acquisitions while reducing acquisition-related debt and leverage from its balance sheet.

Moody's said the outlook change further reflects Danaher's repayment of roughly $500 million of debt since its June 30, 2006 quarter end; solid liquidity, benefiting from moderating cash balances, significant availability under its $1.5 billion bank credit facility and potentially proceeds from asset sales; improving financial metrics that are approaching pre-Sybron acquisition levels; and the agency's opinion that Danaher will continue to experience strong organic growth.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.