Strong position in global fire protection and commercial security markets; Significant base of recurring revenues; and Modest funded debt leverage. Fragmented and competitive markets with exposure to global construction cycles; and Unresolved legacy tax liabilities. The ratings on Schaffhausen, Switzerland-based Tyco International Ltd. reflect Tyco's "strong" business risk profile and "intermediate" financial risk profile. Following the completion of the spin-offs of its North American residential security and flow control businesses, Standard&Poor's Ratings Services expect Tyco to continue to operate with credit metrics that are adequate for the rating. In particular, while acquisitions, shareholder distributions, and the company's exposure to cyclical construction markets may at times result in leverage that is somewhat higher than at separation, we expect debt
