Standard&Poor's Ratings Services derives its 'BB-' rating on Valeant Pharmaceuticals International Inc. from: Our anchor of 'bb', based on our "satisfactory" business risk and "aggressive" financial risk profile assessments for the company. The financial policy modifier, which had a negative one-notch impact on the rating outcome. Broad geographic, therapeutic, product, and payer diversification. Strong profitability, as characterized by margins over 40%. Low investment in research and development (R&D) and modest organic growth, resulting in a reliance on acquisitions for growth. The rapid pace of acquisitions and a large portfolio of small products, which increases operational risks and management challenges. We expect the company's rapid pace of acquisitions to result in leverage sustained in the 4x to 5x range
