NEW YORK (Standard&Poor's) Feb. 8, 2005—Standard&Poor's Ratings Services said today that its 'BB+/Positive/--' ratings on St. Petersburg, FL-based Jabil Circuit Inc. will not be affected by the acquisition of the business and assets of Varian Electronics Manufacturing (VEM), the manufacturing business of Palo Alto, Calif.-based Varian Inc., for $195 million. VEM is viewed as a complementary acquisition, slightly improving Jabil's business profile, and Jabil's financial capacity is adequate to absorb the cash based transaction without impairing credit quality. The VEM division, which generates about $210 million in sales, serves the medical, industrial and aerospace end markets with primarily low volume, high complexity contracts, supplementing Jabil's core expertise. There is little customer overlap, providing additional growth opportunities
