Kilroy Realty Corp.'s portfolio continues to face pressure stemming from weaker retention levels and challenging West Coast market fundamentals, resulting in large declines to occupancy. Therefore, S&P Global Ratings revised its outlook to negative from stable and affirmed all of its ratings on the company, including the 'BBB-' issuer credit rating. The negative outlook reflects our expectation that Kilroy?s portfolio will remain pressured over the next two years amid lower retention levels and weaker total leasing volumes. We project S&P Global Ratings-adjusted debt to EBITDA will be in the mid- to high-6x area, with fixed-charge coverage (FCC) remaining about 3x, over the next two years. amid lower retention levels and weak West Coast market office fundamentals. As of June 30,
