...Cendant Corp. (###/Negative/--) announced that its board of directors has increased its share-repurchase authorization. Standard & Poor's Ratings Services said that its ratings on the company will not be affected by the action. The $200 million increase allows Cendant to repurchase up to about $250 million of its shares. The company has noted that share repurchases will be funded with free cash flow and balanced with debt reduction. Cendant further noted that acquisition activity will be substantially curtailed. For 2003, Cendant announced that about 50% of its free cash flow will be applied toward debt reduction, with the remainder divided between share repurchases and small-scale acquisitions. The execution of a share-repurchase program will slow progress toward strengthening its balance sheet. However, Cendant's credit measures have improved meaningfully since Dec. 31, 2001, roughly in line with Standard & Poor's expectations. Standard & Poor's currently expects that at Dec. 31, 2002,...
