Leading market position; Geographic diversity; Predictable cash flows; and Favorable demographic trends. Narrow business focus; Participation in the highly competitive weight-loss industry; and Aggressive financial policy and leveraged capital structure. The ratings on New York City-based Weight Watchers International Inc. (WWI) reflect the company's narrow business focus, its participation in the highly competitive weight-loss industry, leveraged financial profile, and aggressive financial policy. These factors are somewhat mitigated by the company's leading market position, its well-recognized brand name, geographic diversity, predictable cash flows, and favorable demographic trends. WWI's overall operating performance was solid in 2007, and the company achieved revenue growth in all of its key segments. Sales and operating income increased by about 19% and 14.6%, respectively, compared with fiscal
