S&P National Ratings has cut the credit rating for Azzas 2154 S.A., one of Brazil’s largest fashion and apparel groups, from ‘brAA+’ to ‘brAA’ and placed the company on CreditWatch with negative implications, signaling a potential further downgrade. The action directly follows the company’s announcement of a complex corporate spin-off and reflects the perceived heightened credit risk associated with the unwinding of its massive portfolio.