The ratings on Auburn Hills, Mich.-based Guardian Industries Corp. reflect its strong business risk profile that incorporates a solid position in the large, concentrated global flat-glass market, good geographic diversity and ongoing global expansion, low-cost glass manufacturing operations, and increasing fabrication of value-added architectural glass products. The ratings also reflect the company's modest financial risk profile resulting from a conservative capital structure and a track record of strong financial performance. Guardian manufactures flat-glass and fabricated-glass products for the construction industry, vehicle glass and exterior trim products, and fiberglass insulation. It also distributes building products. Guardian's earnings and cash flow depend heavily on cyclical new construction markets. The company benefits from its broad geographic diversity; however, in our view, both North
