S&P lowers Crawford outlook to negative

Standard & Poor's said it revised its outlook on Crawford & Co. to negative from stable.

At the same time, S&P said it affirmed its BB- counterparty credit and senior secured bank loan ratings on Crawford.

The agency noted that the outlook was revised primarily due to lower revenues generated by the U.S. Property & Casualty and Legal Settlement Administration business segments, which further stressed earnings in 2007 given the additional expenses and debt and interest obligations assumed in the acquisition of Broadspire Management Services Inc.

The ratings on Crawford reflect the third-party administrator's leading market position and diversified global claims services operations, according to the agency. However, high debt leverage and marginal liquidity are negative factors.

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