The ratings on Home Depot Inc. are based on the company's leading position in the still-fragmented home improvement industry and its consistently excellent financial profile. Home Depot, which pioneered the full-service, warehouse-style format in the 1970s, has established itself as the clear leader in the more than $400 billion home improvement industry. It is more than twice the size of its nearest competitor, Lowe's Cos. Inc. Home Depot's quality of customer service, competitive prices, and broad merchandise selection distinguish it from its competition. The company's annual store growth of more than 20% in recent years has come at the expense of weaker competitors that do not have the size and operating efficiencies of Home Depot. In response to the weakening
