Canada's largest hard goods retailer Long-term operating performance consistency Stable capital structure and strong liquidity position Profitable credit card operation Profitability measures only average for ratings category Margin expansion difficult given nature of business Very competitive general merchandise marketplace The ratings on Canadian Tire Corp. Ltd. reflect the Toronto-based company's leading position as the country's largest hard goods retailer, specializing in automotive, sports and leisure, and housewares categories operating in an inter-related network of businesses engaged in retail, financial services, and petroleum. The ratings are further supported by the company's resilient earnings and consistent same-store sales growth in the past several years, strong liquidity, and a well-managed credit card operation that contributes significantly to operating income. These factors are offset
