We expect Seattle-based coffee retailer Starbucks Corp.'s operating performance recovery to accelerate as macroeconomic conditions strengthen and the company executes its "Growth at Scale" agenda. We now forecast S&P Global Ratings-adjusted leverage will improve to below 3x this year driven by EBITDA expansion, solid free cash flow generation, and $1.7 billion of debt paydown completed fiscal year to date. As a result, we revised our outlook on Starbucks to stable from negative and affirmed all of our ratings, including our 'BBB+' issuer credit rating. The stable outlook reflects our expectation that operating results and cash flow generation will improve such that leverage will return to below 3x this year. The stable outlook reflects our expectation that further improvement in operating
