S&P lifts Albertson's view to stable

Standard & Poor's said it revised the outlook on Albertson's LLC to stable from negative.

The agency also said it affirmed the company's B corporate credit rating and BB- senior secured issue-level rating. The senior secured recovery rating remains at 1, indicating 90% to 100% expected default recovery.

The outlook revision follows improvement to the company's sales and profit trajectory materially in the third quarter of fiscal 2013, S&P said.

The agency said it expects a similar trend in the fourth quarter and into fiscal 2014.

In the first half of last year, the company's strategy was to improve the quality of perishable offerings and make price investments at the supermarkets previously acquired from Supervalu Inc. in March 2013, said Charles Pinson-Rose, an S&P analyst.

"This strategy has mostly been effective as same-stores sales increased in the third quarter and we expect a comparable increase when the company reports fourth quarter results," Pinson-Rose said in a press release.

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