S&P lowers Artesyn, notes to B-

Standard & Poor's said it lowered its corporate credit rating on Artesyn Technologies Inc. to B- from B.

The outlook is stable.

At the same time, the agency lowered its issue-level rating on the company's $250 million senior secured notes due 2020 to B- from B. The 3 recovery rating, which remains unchanged, reflects an expectation for meaningful (50% to 70%) recovery of the notes' principal in the event of default.

"The downgrade reflects the company's revenue declines, modest EBITDA, and our expectation that during 2014 negative free cash flow will persist and EBITDA will not significantly increase until the latter half of 2014," S&P credit analyst John Moore said in a news release.

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