S&P upgrades Clorox, debt to A-

S&P said it raised its corporate credit and unsecured debt ratings on Clorox Co. to A- from BBB+.

The outlook is stable.

At the same time, the agency affirmed the company’s A-2 short-term and commercial paper ratings.

Debt outstanding as of June 30 is about $2.8 billion.

"The upgrade reflects Clorox's solid profitability, strong cash flow generation, prudent financial policy, and continued strong market share in midsized categories," S&P credit analyst Diane Shand said in a news release.

It is also based on the agency’s expectation that Clorox will maintain its solid credit measures, including sustaining leverage around 2 times. Clorox's operating performance has been consistently good over the past five years because of its product innovation, focus on reducing costs and solid marketing and distribution capabilities, S&P said.

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