Niche player in the intensely competitive wholesale grocery industry. High customer concentration, with top three customers accounting for approximately 50% of sales. Expanding presence in the on-trend and growing specialty, natural and organic (N&O), and fresh foods grocery channel. Leverage expected to decline to the mid-6x area through fiscal 2019. Modestly positive annual free operating cash flow (FOCF) generation. Historically aggressive financial policy, though this has moderated. Employee stock ownership plan (ESOP) structure. The stable outlook on KeHE Distributors Holdings LLC reflects our expectation that healthy demand for specialty, N&O, and fresh food products will contribute to revenue growth above the industry average and lead to credit metrics improving over the next 12 months. We also believe the company will
