NEW YORK (Standard&Poor's) Aug. 13, 2008--Standard&Poor's Ratings Services said today it affirmed its ratings on Woonsocket, R.I.-based CVS Caremark Corp, including its 'BBB+' corporate credit rating. The affirmation follows the announcement that CVS Caremark will acquire Longs Drug Stores for a total purchase price of $2.9 billion, including the assumption of net debt. The acquisition will be funded by a $1.5 billion bridge loan facility, together with borrowings under its commercial paper (CP) program and cash. The outlook is stable "The rating affirmation is based on CVS Caremark's track record in integrating acquired retail stores, its strong cash flow generation, and the expected debt reduction to restore credit measures to levels more appropriate for the rating,"
