Fitch Ratings upgrades McKesson ratings

Fitch Ratings on Thursday upgraded several of McKesson Corp.'s ratings and gave the drug distributor a stable outlook, citing better leverage and growth.

Fitch upgraded the issuer default rating, senior unsecured credit, and senior unsecured debt to 'A-' from 'BBB+', or to upper medium grade from lower medium grade. The ratings apply to about $2.28 billion in debt.

Fitch said the rating actions are supported by McKesson's reduced leverage, reliable growth, and cost controls.

During the fiscal first-quarter, net income grew about 3 percent to $298 million on gains from direct distribution revenue.

Shares of McKesson fell 66 cents to $61.61 in afternoon trading.