...Weakening Credit Metrics: The Negative Outlook encapsulates Fitch Ratings' expectation of increasing financial risks, as expressed by weakening forward-looking debt protection ratios, partly mitigated by the enhanced business risk profile as the group's strategy focuses increasingly on consumer health. Additional concerns stem from near-term pressures on revenues and profitability, resulting from competitive pressures affecting its top-selling respiratory drug Advair, execution risk around the enlarged consumer health division, some negative pipeline newsflow in 2014, and shareholder- friendly policies. Declining Rating Headroom: Fitch believes that from year-end 2014 onwards, GlaxoSmithKline PLC's (GSK) will continue to have limited headroom within its current rating given the pressures on revenues and extraordinary shareholder returns. Overall, we expect FFO adjusted net leverage to remain close to 2.5x over the rating horizon which is a level more in line with a 'A' rating. As a result...
