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  "documentTitle": "St. Jude Medical (STJ)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "presentationDate": "2016-08-25 00:00:00",
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      "text": "Rating agencies already have St. Jude Medical on negative watch for a downgrade.",
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      "text": "these issues with its Merlin network. In 2015, the company generated $853 million of free cash flow (Cash from Operating Activities less Capital Expenditures).",
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      "text": "Rating agencies already have St. Jude Medical on negative watch for a downgrade. The companies increasing leverage profile from its recent acquisitions has tipped leverage over 4.25x, which is already high for a single A rated company. According to a Moody’s report in May 2016, Investment Grade Leverage (Debt/EBITDA) for 2015 was 2.35x vs.4.25x for STJ.69 Along with the potential Merlin network issues, we think agencies will need to reevaluate their ratings and possibly downgrade their ratings increasing the company’s borrowing costs and cost of capital.",
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      "text": "69 Moody’s Sector In-depth Report May 20, 2016, page 10",
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      "text": "Potential Credit Rating Downgrades:",
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