Updated:
Original:

Moody’s boosts Brunswick credit rating

Moody’s Investors Services recently upgraded Brunswick Corp.'s Corporate Family Rating to Ba3 from B1 due to "significant enhancements in its operating performance and credit metrics and Moody’s expectation that there will be further improvement."

The outlook is stable.

“We believe that the continuing demand for pontoon and aluminum boats, the increasing age of licensed boats and fewer used boats for sale will help drive demand for new fiberglass boats in the future,” Moody’s senior credit officer Kevin Cassidy said in a statement. “Brunswick’s improved cost structure, commitment to debt repayment and stabilizing marine demand trends have led to a meaningful improvement in earnings and credit metrics.”

The announcement comes on the heels of Standard & Poor’s decision to raise Brunswick’s credit rating from B+ to BB-.

In advance of Brunswick’s first-quarter earnings report, scheduled for release Thursday, Wells Fargo Securities’ Tim Conder said, “[Brunswick] remains well-positioned to gain domestic boat share against weakened competitors in boats and international share in diesel and outboard engines.

“While we expect Q1 2012 could be challenged from a topline perspective (absence of Sealine revenues, Q1 2011 large Life Fitness order, FX and reduction of sterndrive engines related to plant consolidation) potential upside could come from small boat shipments and outboard engines,” Conder added.

The bottom line, he said, “We would continue building positions in [Brunswick] shares ahead of Q1 2012 results.”

Brunswick stock opened today at $25.50 a share. Its 52-week high and low are $27.70 and $13.19.

Related

CSP Joins ‘Thirty by Thirty’ Coalition

The Center for Sportfishing Policy and 54 coalition members submitted recommendations for the Biden Administration’s America the Beautiful initiative.

Entries Open for Neptune Awards

The Marine Marketers of America is accepting submissions for its annual contest in 23 categories through Dec. 6.

CSP Joins ‘Thirty by Thirty’ Coalition

The Center for Sportfishing Policy and 54 coalition members submitted recommendations for the Biden Administration’s America the Beautiful initiative.

Take Action Now

We must take action to push Congress to reauthorize the Sport Fish Restoration and Boating Trust Fund. Here’s how you can help.

Southern Marinas Acquires Missouri Facility

Millstone Resort and Marina on Lake of the Ozarks is the fifth addition this year to the company’s portfolio.

Forbes Names Brunswick a World’s Best Employer

Brunswick ranked in the top 15 percent overall and in the top 10 for companies in the engineering and manufacturing category.

Fountaine Pajot Names Dealer

Atlantic Cruising Yachts Texas is the French builder’s exclusive representative for the Gulf Coast.

KingFisher Boats, Barnacle Form Partnership

The boatbuilder will offer Barnacle’s BRNKL remote monitoring system on several model year 2022 boats.