Operates in the fragmented and competitive North American boiler market Narrow scope due to limited product and service offerings Serves mature end markets where demand is tied to the replacement cycle Large installed boiler system network provides consistent, ongoing demand for higher-margin aftermarket and replacement parts Credit metrics remain elevated because of weak demand in the energy and petro-chemical end markets Growing backlog, particularly in the Engineered Boiler Systems segment, should provide positive tailwinds over the next 12 months Financial-sponsor ownership constrains financial policy S&P Global Ratings' stable outlook on Cleaver-Brooks Inc. reflects our belief that the company's operating performance will improve notably over the next 12 months as it continues to generate positive free cash flow while maintaining adequate
