Sara Lee Corp. Ratings Lowered To 'BBB+' From 'A' On Increased Common Stock Repurchase Program Aug 05
- ID: 1827899
- August 2005
- Standard & Poors
NEW YORK (Standard & Poor's) Aug. 4, 2005--Standard & Poor's Ratings Services lowered its long-term corporate credit and senior unsecured debt ratings to 'BBB+' from 'A' on diversified consumer products company, Sara Lee Corp., and its wholly owned subsidiary, The Earthgrains Co. At the same time, Standard & Poor's lowered its short-term corporate credit and commercial paper ratings on the company to 'A-2' from 'A-1'. The outlook is stable. About $3.7 billion of rated debt of Chicago, Ill.-based Sara Lee is affected. The downgrade follows the company's announcement of its fiscal 2005 earnings and new capital structure initiatives, and reflects Standard & Poor's opinion that the $2 billion common stock repurchase program and dividend payout indicate a much more aggressive...
Companies mentioned in this report are: Sara Lee Corp.,Earthgrains Co. (The)
Action: Outlook: Stable
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