...The downgrade of Kingfisher plc's Issuer Default Rating (IDR) to `BBB-` from `BBB' in May 2020 reflects Fitch Ratings' view that the coronavirus pandemic and related economic recession will add to the operating challenges already reflected in the decline of Kingfisher's margins, only partly mitigated by the solid underlying performance of Screwfix . The pandemic also increases the risk of Kingfisher delaying its transformation programme, mainly in France. We expect these factors to lead to credit metrics more in line with levels that are consistent with a `BBB-' rating. The Stable Outlook reflects Kingfisher's strong liquidity position to withstand business disruption, along with a product offering that we expect to remain more resilient than many other discretionary items in the economic downturn and period of high unemployment we expect in 2020 and 2021....
