Ratings on Sanmina-SCI Corp. reflect depressed profitability levels, which are likely to persist for at least the next few quarters and resulting high leverage, offset to a limited degree by the company's top-tier business position in low-volume, complex EMS end markets and relatively stable operating performance. San Jose, Calif.-based Sanmina is a leading provider of electronics manufacturing services (EMS) for the high-end computing, telecommunications, and data communications industries. The company had about $1.6 billion in lease-adjusted debt as of June 30, 2009. The company's core EMS business serves lower volume, complex manufacturing needs of the telecommunications, storage, server, and industrial markets. Revenues have been declining since mid-2008, reflecting sluggish demand. Sales were $1.2 billion in the June 2009 quarter, versus
