Fitch lowers Yum!

Fitch Ratings said it downgraded Yum! Brands, Inc.'s ratings following the company's announcement that it plans up to $4 billion in share repurchases over the next two years.

The ratings have been downgraded as follows: long-term issuer default rating to BBB- from BBB, senior unsecured notes to BBB- from BBB, unsecured revolving credit facility to BBB- from BBB and international credit facility to BBB- from BBB.

The outlook is stable.

The agency said that the downgrade is a result of Yum's anticipated increase in leverage, the company's aggressive financial strategy and weaker than expected same-store sales and operating income growth in the United States.

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