U.S.-based Quiksilver's recent operating performance continues to be weak. We are affirming our 'B-' corporate credit rating on the company. We are also affirming our 'B-' issue-level rating on the €200 million senior unsecured debt, 'CCC+' issue-level rating on the $280 million senior secured notes, and 'CCC' issue-level rating on the $225 million senior unsecured notes. We are revising the outlook to negative from stable, reflecting our view that the company will continue to have soft operating results and weaker credit metrics over the next year. On July 14, 2014, Standard&Poor's Ratings Services affirmed its 'B-' corporate credit rating on Huntington Beach, Calif.-based Quiksilver Inc. and revised the outlook to negative from stable. In addition, we affirmed our
