Leading position in the high-growth chain drug retail industry; Strong position in the PBM industry; and Strong cash flow and good liquidity. Participates in a highly competitive industry; History of acquisitions; and Margins pressure from PBMs and the government's Medicare and Medicaid. The ratings on CVS Caremark Corp. reflect Standard&Poor's Ratings Services' expectations that solid operating performance at the retail segment will largely offset weakness at the pharmacy benefit management (PBM) segment, and the company will maintain a moderate financial policy that is commensurate with the rating. We view CVS' business risk profile as strong, supported by its solid position in the favorably regarded drugstore industry, leading position as a PBM company, diverse cash flow stream, and generally
