NEW YORK (Standard&Poor's CreditWire) Feb. 24, 1999--Standard&Poor's today assigned its single-'B'-plus rating to Canandaigua Brands Inc.'s proposed $250 million senior subordinated notes due 2009. At the same time, Standard&Poor's affirmed its double-'B' corporate credit rating and single-'B'-plus subordinated debt rating for the company. The ratings outlook is stable. About $195 million of rated debt is outstanding. The ratings affirmation follows Canandaigua's recent announcement of its intention to purchase selected Canadian whiskey brands from Diageo Inc., including Black Velvet, for about $185.5 million. Although this acquisition is expected to be debt financed, the addition of these higher-margin products with strong brand equity should enhance the company's existing distilled spirits product portfolio without a significant deterioration
