Despite Marfrig's improved operating cash generation and its commitment to reduce debt, credit metrics remain weak and debt reduction is challenging. We are affirming our ratings on the company, including the 'B+' global-scale and 'brBBB+' national-scale ratings. The negative outlook reflects our expectation that refinancing risk remains and covenant cushion will be tight in the first half of 2012. The volatile export and credit markets increase uncertainty over its cash generation and ability to improve its capital structure. On April 27, 2012, Standard&Poor's Ratings Services affirmed its ratings, including the 'B+' global-scale and 'brBBB+' national-scale corporate credit ratings, on Brazil-based food producer Marfrig Alimentos S.A. (see list below). The outlook on the corporate credit ratings remains negative. Today's
