Standard&Poor's Ratings Services said today that Eastman Chemical Co.'s (BBB/Stable/A-2) announcement that its results for the fourth quarter of 2002 would reflect still-difficult economic conditions and seasonal declines in volumes and pricing will not affect its ratings or stable outlook on the company. Eastman also disclosed plans to terminate an operating lease of machinery and equipment and to purchase the related assets for $163 million. This decision does not have rating implications, as Standard&Poor's had previously recognized the company's off-balance sheet commitments within its analysis of the financial profile. Despite lingering industry weakness, Eastman has made good strides toward improving its financial profile, following a number of debt-financed acquisitions, and benefits from adequate sources of liquidity
