NEW YORK — Moody’s Investors Service changed its outlook on Ingles Markets from negative to stable and affirmed its Ba3 corporate credit rating, saying the Asheville, N.C.-based retailer can grow sales and reduce costs this year.
“The stable outlook incorporates our expectation that the company's same store sales will continue to be positive and credit metrics will continue to modestly improve in the next 12 months,” Mickey Chadha, Moody's senior analyst, said. "The company's new distribution center and warehouse facility is expected to be operational in 2012 and will streamline distribution and result in some cost reductions, resulting in margin improvement.”
Moody’s said it affirmed its credit ratings reflecting “the company's solid regional franchise, its base of owned real estate and adequate liquidity.”