Largest wholesale grocery distributor in the U.S. based on revenue; Intense competition and rising logistics costs have resulted in muted growth and slight margin pressure for this sector; and Significant customer concentration, with exposure to weaker regional grocery operators including BI-LO LLC and Tops Holding II Corp. A relatively low-cost operator because of size and economies of scale, with continued diversification in automation services to customers; Significant debt leverage including off-balance sheet multi-employer pension liabilities and capitalized operating leases; and High swings in working capital to fund inventory investments. S&P Global Ratings' stable outlook on C&S Wholesale Grocers reflects our expectation that the company will be able to sustain EBITDA margins, adequate liquidity, and a narrow range of credit metrics
