S&P: Ashtead outlook negative

Standard & Poor's said it revised to negative from stable the outlook on Ashtead Group plc, reflecting expectation of a deteriorating trading environment in the group's core U.S. and U.K. nonresidential construction markets.

The group's BB- long-term corporate credit rating was affirmed.

"The negative outlook primarily reflects our concerns that the group's markets are suffering from recessionary economic conditions, which will contribute to a significant slowing in nonresidential construction activity," S&P analyst Leigh Bailey said in a statement.

"A moderation of demand has been expected for some time and Ashtead is well prepared to counter a slowing in its markets. However, the depth and duration of the downturn and its potential impact on the group's medium-term operating performance and financial profile, in our view, is sufficiently uncertain to warrant a negative outlook."

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