On Dec. 18, 2008, Standard&Poor's Ratings Services placed on CreditWatch with negative implications its 'A-/A-2' long- and short-term corporate credit ratings on diversified mining group Anglo American PLC. This is due to a sharp market downturn that we consider could lead to much lower cash flows and weaker leverage in 2009. The CreditWatch placement reflects our need to evaluate further the likely effect of a sharp downturn in global economic conditions, and the commodity cycle, on Anglo American's credit quality. We also need to assess the scale and timing of likely corrective actions by management. A clear and deliverable strategy is needed to mitigate negative pressures that could otherwise result in a lowering of the long-term rating of
