Eastman Chemical Co.'s (BBB/Stable/A-2) announcement that it expects to record a loss of $0.16 per share (excluding nonrecurring items) for the fourth quarter does not affect Standard&Poor's ratings or outlook on Eastman. The earnings shortfall reflects continued pressure on volume and pricing due to ongoing economic uncertainty. The company also indicated that the first two quarters of 2002 could be similar to the last two quarters of 2001. Accordingly, at the current ratings, Standard&Poor's anticipates that the expected upturn in economic conditions will support improvement during the second half of this year. The current ratings also anticipate that prudent financial policies will support credit quality until business conditions improve, or until management is able to complete
