Nordstrom Inc. /zigman2/quotes/203902116/composite JWN +0.40% had its debt downgraded by S&P Global Ratings late Wednesday on the belief that weak conditions for brick-and-mortar retailers will persist. S&P downgraded Nordstrom to a "BBB," or two notches above a junk rating, from "BBB+" with a stable outlook. "The downgrade reflects our view that Nordstrom's competitive standing has weakened because of challenging industry conditions, which we don't expect to abate," the ratings agency said in a statement. "Shifting consumer tastes, changing shopping habits, and greater competition have created a difficult environment that we believe will continue to pressure the company's operating metrics." Nordstrom shares were flat after hours, having closed down 5.1% at $35.21.