Fitch gives Ingram Micro notes BBB-

Fitch Ratings said it assigned a BBB- rating to Ingram Micro Inc.'s proposed $300 million seven-year senior unsecured note offering. The company has an issuer default rating of BBB- and BBB- ratings on its $275 million senior unsecured credit facility and $251 million senior unsecured term loan facility.

The outlook is stable.

The debt issuance is to support general corporate cash needs, but will likely be used to refinance the company's $251 million term loan that comes due in 2012, Fitch said.

While the note offering does represent a more permanent form of debt in the company's capital structure than historical precedent, Fitch said it does not believe it represents a material change to the company's longer-term financing strategy.

Fitch said it expects the company to continue to maintain a conservative balance sheet, including a significant reliance on shorter-term debt to effectively match fund cyclical working capital needs.

Concerns include the company's exposure to the cyclicality of IT demand and general global economic conditions, the agency said.

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