Standard&Poor's Ratings Services derives its 'B+' corporate credit rating on International Automotive Components Group S.A. (IAC) from: Our anchor of 'b+', based on our "weak" business risk and "aggressive" financial risk profile assessments for the company. Analytical modifiers, which had no impact on the rating outcome. Cyclical, competitive industry Fair geographic diversity Concentrated customer base with strong pricing power High fixed costs with potential exposure to volatile resin price increases Lack of meaningful near-term debt maturities Moderating leverage but assume aggressive financial policy, given concentrated private equity ownership Recent positive free cash flow generation The negative rating outlook on IAC reflects our view that there is at least a one-in-three likelihood of a downgrade over the next 12
