UPDATE: Bank Of America Downgrades Owens-Illinois Inc

Owens-Illinois Inc OI was downgraded from Buy to Neutral by Bank of America on Thursday.

The team of analysts led by George L. Staphos issued a report that explained they had expected a turnaround for the stock in June, but it has fallen nearly 25 percent since July.

The report acknowledged that Owens-Illinois "has not performed as well as we had expected after our upgrade in June. After its recent pre-announcement and sharp pullback, we maintained the Buy given the potential for OI to improve returns to the equity holder through capital structure and use of cash."

A significant reason for the rating change is anticipated U.S. Dollar appreciation which should create “additional headwind” in Bank of America's Owens-Illinois earnings model. "2015 could now wind up being a relatively flat year from an EPS standpoint," according to the report.

Owens-Illinois Inc traded at $25.91 late Thursday, up 0.12 percent.