S&P: Group 1 outlook negative

Standard & Poor's said it revised the outlook on Group 1 Automotive Inc. to negative from stable and affirmed its BB- corporate credit rating.

The outlook revision reflects deteriorating macroeconomic conditions that are likely to pressure EBITDA in upcoming quarters and lead to higher leverage that could be insufficient to support the current rating, the agency said.

The rating on Group 1 reflects the company's high leverage resulting from an aggressive acquisition strategy combined with the competitive and cyclical challenges of the automotive retail industry, S&P said.

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