S&P downgrades Vi-Jon

Standard & Poor's said it lowered its corporate credit rating on Vi-Jon Inc. to B from B+. The corporate credit rating outlook remains stable.

In addition, the agency said it revised the recovery rating on the company's secured credit facilities to 3 from 2 to reflect the company's substantial decline in EBITDA. S&P said it lowered the issue-level rating on this debt to B from BB-, in accordance with the agency's notching criteria for a 3 recovery rating.

"We believe higher competition and input costs will continue to hurt the company's operating performance over the next 12 to 24 months," said S&P credit analyst Nalini Saxena in a news release. "We expect minimal organic sales growth during this time period - assuming there is no significant pandemic, which would serve as a major boost to sales of the company's profitable Germ-X hand sanitizer products. Therefore, we expect credit metrics to remain at or near current levels."

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