Ring Container Technologies Group LLC performed better than expected in 2020, with resilient earnings despite the challenging market conditions. S&P Global Ratings believes the demand for the company's core products will likely remain steady over the next year, supported by a rebound in foodservice and restaurant sectors. Therefore, we are revising our outlook on Ring Container to positive from negative and affirming all ratings, including our 'B-' issuer credit rating. The positive outlook reflects the one-in-three chance of an upgrade if end markets related to food service and restaurants recover back to pre-COVID levels, with risk of another downturn becoming remote. An upgrade would also incorporate positive free cash flow generation, debt leverage remaining below 6.5x, while maintaining adequate liquidity.
