Standard&Poor's Ratings Services' 'B+' corporate credit rating on SRAM LLC reflects our expectation of moderate revenue and EBITDA growth. In the 2008-2009 recession, SRAM significantly reduced its cost structure and exited the recession relatively unscathed. If demand conditions soften again, SRAM's revenue trend could deteriorate and the company may be pressed to find more cost savings opportunities. We view the company's business profile as weak given its sales concentration in components for the mid-range to high-end bicycle market and its intense competition against a much larger market dominant player. We view the financial profile as aggressive, as we believe that the company is likely resume acquisitions to increase its market share in existing product categories. We consider SRAM's
