XPO Logistics Inc.'s credit metrics have improved due to continued earnings growth and debt reduction. Excluding any debt-financed acquisitions, we expect the company's debt-to-EBITDA ratio to improve to the mid-2x area in 2018 from 3.1x in 2017 and funds from operations (FFO) to debt to improve to the low-30% area from 24% in 2017. Therefore, we are upgrading XPO to 'BB' from 'BB-'. The outlook is stable. We are also raising our issue-level ratings on the company by one notch. Our recovery ratings are unchanged. The stable outlook reflects our belief that the company will continue to increase its revenue and earnings over the next 12 months. On Aug. 24, 2018, S&P Global Ratings raised its issuer credit rating on
