Strong business profile as the leader in the institutional and industrial cleaning market; Significant international presence; Low-cost, efficient operations support solid profitability; and Conservative financial management. Exposure to economic downturns that affect lodging and restaurant customers; and Challenged to improve international operations, especially in Europe. The ratings on St. Paul, Minn.-based Ecolab Inc. reflect an above-average business profile and a conservative financial philosophy. The company is the well-entrenched leader in the U.S. institutional warewashing business, a technology- and service-intensive segment of the chemical sector. A large direct sales force and a national distribution network serving most U.S. hospitality chains are considerable competitive advantages. Given its significant market penetration, Ecolab uses internal initiatives and midsize acquisitions to provide complementary services for
