...- Rodan & Fields LLC's (R+F) revenue and profit decline accelerated in the third quarter to levels significantly worse than our expectations. We now believe R+F is vulnerable and dependent on favorable business, financial, and economic conditions to meet its financial obligations over the long term. - We are lowering our issuer credit rating on R+F to '###+' from 'B' because of the dramatic profit deterioration over the last year. We believe it will likely require edits to R+F's business model to compete effectively and tackle the difficulties that many direct sellers now face attracting and maintaining distributors. - At the same time, we are lowering our issue-level rating on the company's senior secured facility to 'B-' from 'B+'. The '2' recovery rating is unchanged. - The negative outlook reflects that we could lower our ratings in the next 12 months if the company's liquidity position deteriorates further from negative discretionary cash flow generation, resulting in increased revolving...
