Second-largest office products company, with recognized brand name. Highly competitive and cyclical operating environment; Weak profitability; and Some regional concentration within North American retail and a sizable amount of profits generated outside the U.S. The ratings on Boca Raton, Fla-based Office Depot Inc. reflect the highly competitive operating environment, expectations for continued weak demand, some regional concentration in its North America store base, weak credit protection measures, and profit levels well below industry leader Staples Inc. Office Depot benefits from its well-recognized brand name and No. 2 position in the office products industry. Office Depot is a leading global supplier of office products and services, with a multichannel sales structure consisting of 1,288 retail stores, a contract sales force, Internet,
