The ratings on Switzerland-based personnel services group Adecco S.A. continue to reflect its position and scale as the worldwide leader in the staffing industry. Cost discipline, healthy cash flow generation, a strong presence in the fairly high-margin subsegment of specialized and professional staffing, and a moderate financial policy further underpin the ratings. These factors are offset partially by the staffing industry's cyclical and competitive nature. At Dec. 31, 2007, Adecco's reported debt totaled €1.4 billion. Revenues rose to €21.1 billion in 2007, representing 3% organic growth compared with 2006. This combined with a growing contribution from the professional staffing and permanent placement business as well as stronger cost-monitoring systems, improved reported operating margins (after depreciation, excluding onetime gains) by 26
