S&P: Molson Coors Credit Ratings Off Credit Watch

NEW YORK (AP) — Standard & Poor's Ratings Services on Friday removed the "CreditWatch negative" status from all credit ratings for Molson Coors Brewing Co.

The ratings agency did, however, lower the brewing company's corporate credit rating, to "BBB-" from "BBB."

The short-term corporate credit rating was affirmed as "A-3." It was not on CreditWatch.

The company's ratings had been placed on CreditWatch with negative implications in February following continued weaker-than-expected credit measures. The outlook is "Stable."

The ratings reflect the company's position as a global brewer, S&P ratings analysts said in a statement. Molson Coors' business profile benefits from some geographic diversity, good brand recognition, and historically good cash flow generation, the analysts said. However, its high debt leverage, challenging industry conditions in the mature and low-growth markets in which it competes, and integration risks at the company's U.S. joint venture, MillerCoors LLC, temper company strengths.

Total debt at Molson Coors was about $1.6 billion as of March 29, 2009.