The ratings for International Flavors&Fragrances (IFF) reflect the company's position as the leading global creator and manufacturer of flavors and fragrances, and its geographic diversity with about 70% of sales and over 80% of operating profits generated outside of North America. These factors are partially offset by the company's more aggressive financial policy and weaker credit protection measures pro forma for the November 2000 acquisition of U.S.-based Bush Boake Allen Inc. (BBA). In addition, there is a degree of integration risk associated with the acquisition, given its large size in relation to IFF. The acquisition of BBA has augmented IFF's R&D capabilities -- an important competitive strength. The company has achieved a leadership position within the industry through
