S&P: Maytag view developing

Standard & Poor's said it placed its BBB+ long-term and A-2 short-term corporate credit and other ratings on Whirlpool Corp. on CreditWatch with negative implications. At the same time, S&P revised its CreditWatch status of Maytag Corp. to developing from CreditWatch negative.

S&P currently rates Maytag's corporate credit rating BB+ and senior unsecured debt BB+.

The actions follow Whirlpool's announcement that it has made a proposal to acquire Maytag for $17 per share, plus the assumption of debt, for a transaction value of $2.3 billion.

Even though no financial details have been disclosed, S&P said it believes that even a partially debt-financed acquisition of this size could weaken Whirlpool's credit protection measures below levels appropriate for its current rating.

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