NEW YORK (Standard & Poor's) July 19, 2005--Standard & Poor's Ratings Services said today its ratings and outlook on Home Depot Inc. (AA/Stable/A-1+) are unaffected by the company's announcement regarding its plan to acquire National Waterworks Inc. (B+/Watch Pos/--). National Waterworks has about a 14% share of the estimated $11 billion water and wastewater transmission equipment distribution business. The acquisition will expand Home Depot's presence in the business-to-business market. With a 7% compound annual growth rate over the past 10 years, the water products segment has favorable growth prospects and is expected to grow at a good pace given the rapidly aging U.S. water infrastructure. Although no price has been disclosed for the transaction, Home Depot indicated it plans to
