The ratings reflect ConAgra's relatively low business risk, which results from a diverse portfolio of leading packaged-food brands, as well as the company's major positions in poultry, flour milling, grain trading, and agricultural inputs. These factors are offset, in part, by high debt leverage and cyclical weakness within its agriculture products business. Standard&Poor's expects ConAgra Foods' operating margins to improve following the divestitures of its lower margin commodity beef, pork, and lamb businesses. These divestitures will allow management to focus on its higher margin packaged-foods segment. On Sept. 19, 2002, ConAgra completed the transfer of a 56% interest in its fresh beef and pork processing business to a new venture led by Hicks, Muse, Tate&Furst for
