Moody's Cuts Outlook On Avon Products (AVP)

Moody's cut the outlook on Avon Products's AVP on the company to negative from stable, but reaffirmed its A2 senior unsecured long term rating.

"Persistent weakness in major developed markets, execution-related problems in key developing markets, high spending levels on advertising and representative investments, and continued debt-financed capital expenditures, acquisitions and dividends mean that a recovery in credit metrics could likely require more time and resources than originally planned," said Janice Hofferber, Moody's vice president and senior credit officer.

At last check, shares of AVP were up 28 cents to $27.58, a gain of 1%.