S&P: LabCorp unaffected by stock purchase

Standard & Poor's said Thursday that the ratings on Laboratory Corp. of America Holdings (BBB/stable/--) will not be affected by a recently authorized $250 million share repurchase program.

S&P said the clinical lab company has ample liquidity supported by strong free cash flow, and an almost fully available $350 million revolving credit facility.

The agency said it expects LabCorp to execute these repurchases in a measured manner without impairing its credit measures. Moreover, liquidity should remain sufficient to address a potential September 2004 put option on the company's $744 million LYONs issue, which matures in 2021.

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