S&P: Service Corp. unaffected

Standard & Poor's said Tuesday that the ratings and outlook on Service Corp. International (BB-/stable/--) will not be affected by the company's increased tender for its 6% senior unsecured notes.

The company will now tender for up to $200 million of these notes, rather than the $150 million announced previously. About $272 million of the notes are outstanding.

S&P said the large funeral and cemetery provider has sufficient resources to undertake this transaction without compromising its credit profile. Service Corp. is marketing $250 million of new senior secured notes to partly fund its tender for the 6% notes and also to possibly fund its tender for a portion of its $313 million of 6.75% convertible subordinated notes in June.

At Dec. 31, 2003 the company also had cash balances totaling $239 million and $115 million of unused bank lines.

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