The ratings on U.K.-based Compass Group PLC reflect its leading position in the food service industry, its low capital requirements, and its relatively stable cash flows. These positive characteristics are offset partially by the competitive nature of the industry as well as the group's moderate financial profile. At the end of March 2008, total reported debt was £1.6 billion. With annual sales of £10.7 billion during the 12 months to March 31, 2008, Compass is one of the world's largest food service providers. It retains sufficient scale to be competitive in this market and is roughly the same size as its closest competitor Sodexho Alliance S.A. (BBB+/Stable/A-2) as at respective fiscal midyear dates for 2008. The group's operations are relatively
