Carpenter Technology Corp. Outlook Revised To Stable From Negative On Strengthening Credit Measures, Ratings Affirmed

U.S.-based specialty metals production and distribution company Carpenter Technology Corp.'s credit measures are strengthening due to improving conditions in its diverse end markets and its supportive capital structure actions. As a result, we are affirming our 'BBB-' corporate credit rating on Carpenter Technology and revising our outlook to stable from negative. At the same time, we are affirming our 'BBB-' issue-level ratings on the company's unsecured debt. These issue-level ratings are the same as the corporate credit rating because there are no significant elements of subordination risk present in the capital structure, in our view. The stable outlook reflects our expectation that Carpenter's operating performance will be solid over the next 24 months, supported by favorable demand conditions in its

...+ U.S.-based specialty metals production and distribution company Carpenter Technology Corp.'s credit measures are strengthening due to improving conditions in its diverse end markets and its supportive capital structure actions. + As a result, we are affirming our '###-' corporate credit rating on Carpenter Technology and revising our outlook to stable from negative. + At the same time, we are affirming our '###-' issue-level ratings on the company's unsecured debt. These issue-level ratings are the same as the corporate credit rating because there are no significant elements of subordination risk present in the capital structure, in our view. + The stable outlook reflects our expectation that Carpenter's operating performance will be solid over the next 24 months, supported by favorable demand conditions in its key end markets, resulting in adjusted debt to EBITDA of about 3x-3.5x. We expect ongoing operational efficiencies and cost reductions will support cash flows while debt will remain...

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