Moody's rates Charles River loans Ba1

Moody's Investors Service said it assigned Ba1 ratings to the $150 million revolving credit facility and $400 million term loan A of Charles River Laboratories International Inc. and a Ba1 senior implied rating, a Ba2 senior unsecured issuer rating and a speculative grade liquidity rating of SGL-1 to the company.

The outlook is stable.

Moody's said the credit ratings reflect the company's moderate leverage, the company's acquisitive strategy, integration risks associated with the acquisition of Inveresk Research Group and the company's limited history as an independent company.

Additional factors limiting the ratings include the competitive nature of the industry, particularly for outsourced drug development services, Moody's concern regarding the recent weakness in pharmaceutical and biotechnology research and development spending and the industry's susceptibility to fluctuations in such spending.

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