S&P raises Maidenform

Standard & Poor's said it raised its long-term corporate credit rating on Maidenform Inc. to B+ from B and assigned its 2 recovery rating to the amended $200 million first-lien bank facility due 2010. The existing first-lien credit facility was increased to $200 million from $130 million.

The outlook is stable.

S&P said the upgrade incorporates the company's improved financial results and credit protection measures.

The ratings on Maidenform reflect its participation in a highly competitive and very promotional retail environment, its relatively small size in the intimate apparel sector, its narrow product focus and some customer concentration, the agency said.

The ratings also incorporate the company's well-known brand, Maidenform, which was introduced in 1922 and which still has very good brand recognition, S&P said. In addition, the ratings incorporate Maidenform's solid market shares in its core market, intimate apparel, which is characterized by relatively stable demand, low fashion risk, and high replenishment rates.

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