Stagnant demand in the rubber transport business. Increasing competition in IBC services. Single-product concentration and heavy exposure to the cyclical tire market. Strong position as a global IBC pooling service provider for rubber transport. High leverage, with reduced deleveraging prospects, given the company's weak operating performance. Ownership by a financial sponsor. Positive free operating cash flows. The negative outlook reflects IBC Capital Ltd.'s constrained ability to steadily improve its high debt leverage over the next 12 months. We also expect operating conditions in the company's key businesses to remain tough. We could downgrade IBC Capital if its debt-to-EBITDA ratio remains above 6.0x by the end of fiscal 2016 (year ending June 30, 2016). We could also lower the rating if
