Industry-leading market positions; Good product, vehicle platform, and geographic diversity; Relatively good customer diversity; and Consistent cash flow. Reduced profitability due to difficult automotive markets; Cyclical demand; Strong, well-positioned competitors; and Concentrated automotive customer base with strong purchasing power. The ratings on Milwaukee-based Johnson Controls Inc. (JCI) reflect its solid global market positions, good business diversity, and intermediate financial risk profile, including consistent free cash flow generation, tempered by dependence on cyclical end markets. In the year ahead, we believe global economic challenges for JCI's auto interior and power solutions businesses will pressure its revenues and profitability. JCI is one of the world's largest providers of automotive interior components (48% of fiscal 2008 revenue); building-control systems and heating, ventilation, and...
Companies mentioned in this report are: Johnson Controls Inc.,York International Corp.
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