MELBOURNE (Standard&Poor's) Sept. 3, 2007--Standard&Poor's Ratings Services today said that Leighton Holdings Ltd.'s (Leighton, BBB+/Negative/--) acquisition of a 45% stake in a Dubai-based construction venture with Al Habtoor Engineering for A$870 million would have no immediate impact on the ratings or outlook on Leighton. Leighton's solid financial profile following strong operating performances and cash flow generation in the past two years provides adequate capacity to fund this investment within the current rating. Leighton will merge its existing activities in the Arabian gulf with Al Habtoor Engineering and will acquire a 45% interest in the merged group, Al Habtoor – Leighton (AHL), for A$870 million. The terms of the arrangement will allow Leighton to move to a
