Oracle Corp.'s adjusted leverage continues to climb as it engages in large share repurchases, leading to leverage near 1.4x as of fiscal 2019, which ended in May 2019. This is above our downgrade trigger of 1.25x. Our base case forecast assumes continued share repurchases in excess of cash flow generation in fiscal 2020, which would further pressure leverage despite a generally stable operating environment. We have lowered our long-term ratings on Oracle to 'A+' from 'AA-' and affirmed the short-term rating at 'A-1+' given its exceptional liquidity score. The negative outlook reflects our view that the current pace of share repurchases will continue in fiscal 2020, given lack of clear financial policy from the management, and that adjusted leverage could
