S&P: Renfro outlook negative

Standard & Poor's said it revised the outlook on Renfro Corp. to negative from stable and affirmed the B long-term corporate credit rating.

The outlook revision reflects concerns about Renfro's weaker-than-expected operating performance and tight covenant cushion levels for the quarter-ended July 26, according to the agency.

Leverage was about 7x.

Ratings reflect the company's participation in the highly competitive apparel manufacturing industry, its narrow product portfolio, customer concentration and highly leveraged financial profile, the agency said.

Renfro benefits from the strength of its well-known Fruit of the Loom brand, the agency noted.

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