S&P's 3M ratings unaffected

Standard & Poor's said its ratings on 3M Co. (AA/stable/A-1+) are not affected by the company's announcement that it is considering selling its branded pharmaceuticals business. Operating performance was below 3M's corporate average in 2005 because of price pressures in Europe and decreased demand for older products.

S&P said the divestiture of the business will have a minimal impact on 3M's $21 billion revenue base and does not impair the company's business profile. The company is expected to reinvest the proceeds from the sale to support shareholder return or growth initiatives, including acquisitions or share repurchases, in a manner consistent with current financial policies.

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