S&P boosts Remington Arms

Standard & Poor's said it raised the corporate credit rating on Remington Arms Co. Inc. to B from B-.

The outlook is stable.

According to S&P, the upgrade reflects strengthening credit measures resulting from better operating performance and modest debt reduction since the company's 2007 acquisition by an affiliate of Cerberus Capital Management LP.

Ratings consider the mature industry growth prospects, regulatory and political concerns, aggressive financial policy and the pressure of escalating raw material prices on profitability, S&P said.

These factors outweigh the company's good competitive position and relatively stable unit sales volume despite multiple price increases, the agency added.

Adjusted total debt-to-EBITDA ratio fell to about 4 times in 2007 from about 7 times in 2006.

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