Fitch affirms Ingram Micro

Fitch Ratings said it affirmed the BBB- issuer default, senior unsecured credit facility and senior unsecured term loan of Ingram Micro Inc.

The outlook is stable.

Ratings reflect Ingram's position as the largest global wholesale distributor with broad customer diversification, financial and operating profile, and relatively conservative balance sheet, the agency said.

Ratings also consider use of free cash flow for acquisitions as part of its strategy to expand its geographic footprint and expand into higher margin distribution and service niches, Fitch noted.

Concerns also include exposure to cyclicality of information technology demand and global economic conditions as well as low margin and high working capital nature of the wholesale distribution model, the agency said.

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