The ratings on Office Depot Inc. reflect the company's meaningful position in the North American office products industry, strong balance sheet, diverse distribution channels, and recent operating improvement. These factors are somewhat mitigated by the maturing U.S. office supply industry, which has resulted in key players increasing focus on new markets, particularly Europe. Office Depot is a leading supplier of office products, with $11.4 billion in sales. The company operates about 870 office supply superstores in North America and 182 stores internationally, through wholly owned store, joint-venture, and licensing agreements. Office Depot also holds a leading position in the U.S. mail order and contract stationer businesses, which, combined, represents about 34% of the company's consolidated sales. Since the second half
