In our view, lighting manufacturer Lumileds' cost savings initiatives may not fully compensate for the lower sales expected in 2019, potentially leading to weaker credit metrics in 2019. We are revising our outlook on Bright Bidco B.V., holding company of Netherlands-based Lumileds, to negative from stable, and affirming the 'B' rating on the company and its senior secured debt. The recovery rating on the debt is '3'. The negative outlook reflects our expectation that we could lower the ratings by one notch if Lumileds does not increase its funds from operations cash interest coverage to above 2.5x in the next 12 months. The outlook revision reflects our view of the increasing risk that sales demand will decline further in Lumileds'
