S&P ups Quantum to positive

Standard & Poor's said that it revised the outlook on Quantum Corp. to positive from stable and affirmed the B corporate credit rating on the company.

The outlook revision is based on continued de-levering at Quantum, the agency said. By allocating free cash flow to debt reduction, leverage has fallen to the mid-3x area since March and could be sustained at that level if operating trends stabilize.

The ratings on Quantum reflect the expectation that the company will experience challenges expanding and growing its disk-based business to sufficiently offset the long-term decline of legacy tape-related storage products, the agency said.

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