NEW YORK (Standard&Poor's) Dec. 21, 2007--Standard&Poor's Ratings Services said today that it affirmed its 'BB+' long-term foreign, 'BBB' long-term local, 'B' short-term foreign, and 'A-3 short-term local currency sovereign credit ratings on the Federative Republic of Brazil, following a week of mixed success on the fiscal front. The outlook on the ratings is positive. Standard&Poor's also affirmed its 'brAAA' national scale credit rating, 'BBB' transfer and convertibility assessment, and 3 recovery rating on the republic. Standard&Poor's also published an article entitled "Loss Of CPMF Is A Setback—But Not A Derailment—For Brazil?s Credit Prospects," which outlines the challenges facing Brazil following the Dec. 13, 2007, defeat of the Contribuição Provisória sobre Movimentação Financeira
