S&P: Lab Corp. unaffected

Standard & Poor's said there would be no affect on the ratings and outlook on Laboratory Corp. of America Holdings (BBB/stable/--) after the company agreed to acquire US Pathology Labs Inc. for $150 million in cash.

At Sept. 30, LabCorp had more than $230 million in cash, which S&P said it expects the company to use to finance the transaction.

While the purchase reduces liquidity somewhat, S&P said LabCorp does not have any significant near-term maturities and it consistently generates more than $100 million of free cash flow per quarter.

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