U.S. automotive supplier Federal-Mogul Holdings Corp. has continued to adjust its global distribution footprint, integrate its recent acquisitions, invest in information technology (IT) systems, and rebuild its brands. We believe that the company's key credit metrics in 2016 will be better than we expected. For instance, as of the end of third quarter 2016, the company had positive free operating cash flow (FOCF) of about $111 million. Therefore, we are revising our outlook on Federal-Mogul Holdings Corp. to stable from negative. The stable outlook reflects our view that the company's gross margins will remain stable at 20% or better, and that FOCF will remain positive. On Oct. 31, 2016, S&P Global Ratings revised its outlook on Southfield, Mich.-based automotive supplier
