LONDON (Standard&Poor's) Jan. 7, 2005--Standard&Poor's Ratings Services said today that its ratings and outlook on Marks&Spencer PLC (M&S; BBB/Stable/A-2) are unaffected by the group's announcement of a disappointing trading result for the crucial Christmas quarter and a related profit warning. The downward revision in profit before tax forecasts to between £600 million and £625 million ($1.15 billion) for financial 2005 comes as the group's new management undertakes a fundamental change in its supply chain while implementing various new retailing initiatives in the wake of fierce competition from discount-oriented and mass-market apparel retailers. Nevertheless, Standard&Poor's expects M&S to show signs of improvement in its operating profitability over the next six to 12 months.
