Canada's largest hard goods retailer with a strong branding and loyalty program Resilient operating margins despite soft revenues in difficult market conditions Ample financial flexibility Higher debt leverage after acquiring Forzani Group Ltd. (now FGL Sports Ltd.) Challenging market environment, with weak consumer demand and very competitive general merchandise marketplace Weak same-store sales growth at the company's core Canadian Tire dealerships The ratings on Canadian Tire Corp. Ltd. reflect the company's strong position as Canada's largest hard goods retailer, supported by extensive market coverage and strong branding. The ratings are further supported by what Standard&Poor's Ratings Services views as the company's resilient earnings amid challenging market conditions, in addition to its well-managed financial services operation that contributes significantly
