Overall stable operating performance over the last few years. Meaningful free cash flow generation as a result of limited capital investment. Reverse logistics division is vulnerable to economic conditions; Limited growth opportunities in our view; and Aggressive financial risk. The speculative-grade ratings on Winston-Salem, N.C.-based Inmar Inc. reflect our expectation that the company will have stable operating performance in the near term and enhance credit ratios with debt reduction through free cash flow. We view the company's financial risk profile as aggressive. We also assess its business risk as weak. This incorporates our belief that Inmar generally has stable and recurring businesses, but that unfavorable macroeconomic and industry conditions could hurt the company's reverse logistics business and overall profits. Operating
