We believe U.S.-based novelty gift and Halloween retailer SSH Holdings Inc. (Spencer Spirit) will face significant operating pressures this year due to the coronavirus pandemic, which has resulted in temporary closure of its Spencer's stores. We now expect significantly weaker operating performance than our previous forecast, with double-digit revenue declines and a spike in leverage in fiscal 2020 followed by a partial recovery in fiscal 2021. We are revising our outlook to negative from stable and affirming all our ratings, including our 'B' issuer credit rating. The negative outlook reflects the risk for a lower rating if a prolonged disruption in consumer discretionary spending results in our expectation for a weak Halloween season and causes us to reassess Spencer Spirit's
