The ratings on Chart Industries Inc. reflect the company's aggressive financial leverage and the cyclicality inherent in the industrial gas and natural gas processing markets, the company's main revenue source. These weaknesses are only partially offset by the company's strong customer backlog and solid market share across its niche product offerings. Chart, headquartered in Garfield Heights, Ohio, manufactures equipment used for low temperature and cryogenic applications for energy, industrial gas, and biomedical customers. As of March 31, 2006, the company had $342 million of debt. The high cyclicality inherent in the industrial gas and hydrocarbon markets represents the company's most prominent business risk. In 2003, Chart filed for Chapter 11 bankruptcy protection after two years of poor performance, driven in
