Jabil announced its intention to sell $200 million of senior unsecured notes, substantially to refinance existing debt. We anticipate that trailing-four-quarter profitability margins will weaken, but that Standard&Poor's adjusted sustained leverage will not be significantly above 3.5x under anticipated business conditions. We assigned our 'BB+' issue-level and '4' recovery ratings to Jabil's proposed sale of $200 million of senior unsecured notes due 2016. Our stable outlook reflects our view that revenue declines have largely stabilized on a sequential basis and that quarterly profitability will improve from recent depressed quarters. On July 28, 2009, Standard&Poor's Ratings Services assigned its 'BB+' issue-level and '4' recovery ratings to Jabil Circuit Inc.'s proposed sale of $200 million of senior unsecured
