S&P: Spectrum Brands outlook negative

Standard & Poor's said it revised its outlook on Spectrum Brands Inc. to negative from developing.

At the same time, the agency said it affirmed all of the company's existing ratings, including its CCC+ corporate credit rating.

The agency added that the revised outlook is based on the company's continued very high debt leverage and weak liquidity and follows the company's announced refinancing plans.

Spectrum Brands announced recently that it plans to commence an exchange offer and consent solicitation to refinance its $350 million 8.5% senior subordinated notes due 2013, the agency said, noting that the ratings on Spectrum Brands reflect the company's poor operating performance over the past year, very high leverage, marginal liquidity and very aggressive acquisition history.

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