NEW YORK (Standard&Poor's) Dec. 19, 2005—Standard&Poor's Ratings Services today placed its 'A' corporate credit ratings on FPL Group Inc. and its subsidiaries on CreditWatch with negative implications. The rating action is the result of the company's announcement that FPL will merge with Constellation Energy Inc., with Constellation Energy shareholders receiving 1.44 shares and FPL shareholders receiving 1 share in the combined Constellation Energy, valuing the combined entity with a market capitalization of about $28 billion. The combination would most likely increase FPL's business risk profile of '5' (satisfactory; business risk profiles are categorized from '1' (excellent) to '10' (vulnerable)) and weaken its financial profile. This action is based on the assumption that the combined entity would
