Largest player in the highly fragmented and competitive pet supply retail industry; Low volatility of profitability; and Increasing e-commerce competition. Stable credit protection measures; and Moderate cash flow generation. The stable rating outlook on PetSmart Inc. reflects our expectation that favorable industry dynamics, growth of services, and focus on differentiation will continue to propel profitability growth and support the company's credit profile. Although unlikely, we could lower the rating on PetSmart if a weak economy and competitive pressures hurt profitability, leading to funds from operation (FFO) to total debt ratio weakening to below 30%. Under this scenario we would reassess our financial risk profile assessment to "significant". Alternatively, a downgrade would occur because of a more aggressive financial policy such
