TORONTO (Standard&Poor's) Sept. 21, 2005--Standard&Poor's Ratings Services today said it placed its 'BB' long-term corporate credit rating and 'B+' subordinated debt rating on the leading supplier of retailer-branded soft drinks, Toronto, Ont.-based Cott Corp., on CreditWatch with negative implications. The CreditWatch action follows Cott's announcement of substantially weaker earnings now expected for 2005 compared with the company's previous guidance. The effects of higher raw material costs, volume softness in the carbonated soft drink market, and a demand shift in product mix toward lower margin bottled water have precipitated the earnings revision. Furthermore, the company was challenged earlier this year as reflected in its weaker-than-expected financial performance in first-half 2005. Despite a 6% increase in first-half 2005
