Standard Poor S Corp

Antitrust regulators Monday cleared Dow Chemical Co.'s $7.3-billion purchase of Union Carbide Corp. after Dow agreed to divest itself of a key plastics technology and sell three other overlapping chemical businesses. Also, Standard & Poor's Corp. announced its choice to replace Union Carbide in the blue-chip S&P 500 index: Univision Communications, the Spanish-language TV broadcaster. The Federal Trade Commission said the merger creating the No. 2 chemical firm after DuPont Co.

U.S. retailers face grim prospects in the second half of the year amid lackluster consumer spending, a slow economy and heavy company debt loads, a report Thursday warned. Bond-rating agency Standard & Poor's Corp. said it downgraded the credit-worthiness of 25 retailers in the first half of the year, and said the outlook for the rest of the year was "bleak." Two major retailers Thursday underscored fears of sluggish sales across the industry, as Federated Department Stores Inc.

How much worse will it get for the stock market? On Wall Street, it's clear that there are two distinct schools of thought on that question. An apparent majority of market analysts say the selling that has knocked the Dow Jones industrial average 10.7% off its August peak--and many stocks much more than that--may intensify in the next few days or weeks. But many in this camp don't believe the losses to come will be massive.

Reflecting in part the deep plunge in corporate profits, dividend payouts by the nation's largest companies are expected to drop 6.6% this year overall--the steepest decline since 1942, Standard & Poor's Corp. said Thursday. Dwindling cash dividend payments are another blow to investors who already have suffered through the worst drop in stock prices since at least 1987. Standard & Poor's estimated total dividend payments by companies in the blue-chip S&P 500 index will fall 6.

S&P to Monitor Ralphs' Bonds: Standard & Poor's Corp., the agency that ranks corporate credit, said it will monitor the financial status of Ralphs Grocery Co. to determine if bonds issued by the supermarket operator should be ranked lower. If lowered, some of Ralphs' $1.19 billion in bonds would be ranked "highly speculative." S&P's "creditwatch" statement was issued one day after Ralphs reported a first-quarter loss of $32 million.

Earthquake Leads to Ratings Cut for 20th Century: Standard & Poor's Corp. reduced its ratings of 20th Century Industries' two insurance units, citing an expected $325 million in claims due to the Northridge earthquake. S&P's ratings of the claims-paying abilities of 20th Century Insurance Co. and 21st Century Casualty Co. fell to A from AA. The insurers continue to be on CreditWatch with negative implications, the rating agency said. Payment of the claims will result in a $161.

Standard & Poor's to Rate Bond Mutual Funds: The credit-rating company known for its grades on individual bonds is planning to start rating bond mutual funds for market risk. S&P's service comes as savers continue to pour money into "fixed-income" mutual funds in search of higher yields, sometimes under the belief that their principal is always safe.

Rating on Ahmanson's Debt Lowered: Standard & Poor's lowered its ratings on H. F. Ahmanson & Co.'s subordinated debt to BBB from BBB+, on its preferred stock to BBB- from BBB and on its senior shelf debt to BBB+ from A-. It maintained its rating on Ahmanson's Home Savings of America unit: A- on senior debt, BBB+ on subordinated debt, A/A-2 on uninsured certificates of deposit and A-2 on commercial paper. S&P said the lower ratings on Ahmanson reflect "asset-quality deterioration . . .

S&P May Reconsider State's Bond Rating: Standard & Poor's Corp. issued a warning to California: Get your state budget in shape or face extra costs when you next ask for a loan. An analyst with S&P said the state's weak first-quarter results may force S&P to reconsider California's triple-A bond rating unless swift action is taken to offset worsening conditions.

Here's a news flash: Technology stocks no longer dominate the U.S. stock market. The 65% plunge in the computer and telecommunications stocks that Standard & Poor's classifies as technology companies has knocked the industry group from its perch as the largest of the 11 industry sectors in the benchmark S&P 500 index--a rank it has held since December 1998.

There were few places to hide on Wall Street in the quarter just ended, but one of them was under a hard hat. Engineering and construction companies were among the stock market's biggest first-quarter winners, as construction spending held up surprisingly well--especially considering the softening economy and the plunge in technology spending.

General Motors Corp. and Ford Motor Co., battling smaller rivals for their most lucrative markets in a slowing U.S. economy, faced new questions about their credit-worthiness Tuesday after a major rating agency adopted a negative outlook toward the world's two largest auto makers. Standard & Poor's revised its outlook on GM and Ford to negative from stable, citing "heightened concerns" about their ability to compete.

Antitrust regulators Monday cleared Dow Chemical Co.'s $7.3-billion purchase of Union Carbide Corp. after Dow agreed to divest itself of a key plastics technology and sell three other overlapping chemical businesses. Also, Standard & Poor's Corp. announced its choice to replace Union Carbide in the blue-chip S&P 500 index: Univision Communications, the Spanish-language TV broadcaster. The Federal Trade Commission said the merger creating the No. 2 chemical firm after DuPont Co.

How much worse will it get for the stock market? On Wall Street, it's clear that there are two distinct schools of thought on that question. An apparent majority of market analysts say the selling that has knocked the Dow Jones industrial average 10.7% off its August peak--and many stocks much more than that--may intensify in the next few days or weeks. But many in this camp don't believe the losses to come will be massive.

Global Crossing Ltd., which plans to complete its $12.9-billion purchase of Frontier Corp. by October, won't be included in the Standard & Poor's 500 index because it will continue to be based outside the U.S., Global Chief Executive Robert Annunziata said. Frontier of Rochester, N.Y., the No. 5 U.S. long-distance phone company, is a member of the benchmark S&P 500. The combined company will have headquarters in Hamilton, Bermuda.

General Motors Corp. and Ford Motor Co., battling smaller rivals for their most lucrative markets in a slowing U.S. economy, faced new questions about their credit-worthiness Tuesday after a major rating agency adopted a negative outlook toward the world's two largest auto makers. Standard & Poor's revised its outlook on GM and Ford to negative from stable, citing "heightened concerns" about their ability to compete.

Credit-rating agency Standard & Poor's on Tuesday raised its rating on California's general obligation bonds, citing the state's strong economy and "return to structural fiscal balance" in the state budget. The rating on about $20 billion in outstanding bonds was boosted to "AA-minus" from "A-plus." S&P's rating of "AA" defines a bond as "high quality," whereas an "A" rating is considered "upper medium grade." The highest rating is "AAA."

The Orange County Water District recently received an AA rating from Standard and Poor's, an international bond-rating organization and business information service. The designation makes the district one of the three water organizations in the state to hold such a rating. The district first earned the AA rating in 1994 because of its competitive water rates and ability to easily get loans when needed, as well as its strong service to the area economy.