Fitch affirms Kraft

Fitch Ratings affirmed Kraft Foods Inc.'s BBB- long-term issuer default, senior debt and credit facility ratings and F3 short-term issuer default and commercial paper ratings.

Fitch said it also affirmed Kraft's subsidiary Cadbury plc's BBB- long-term issuer default rating and subsidiary Cadbury Schweppes U.S. Finance's BBB- senior debt rating and assigned Cadbury Schweppes a BBB- issuer default rating.

The outlook is stable.

The ratings reflect Kraft's prominent size and scale within the global packaged foods industry, its leading market share positions in most of its categories and many strong brand equities, Fitch said.

The ratings also consider the strategic benefits of acquiring Cadbury's confectionery business, offset by the material increase in its leverage, the agency said.

Kraft's debt-to-operating EBITDA ratio is about 4 times.

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