Ares will acquire Allied in an all-stock transaction expected to close by end of first-quarter 2010. We have placed our ratings on both firms on CreditWatch. We expect to resolve the CreditWatch within 90 days. On Oct. 26, 2009, Standard&Poor's Ratings Services placed its 'BB+' long-term counterparty credit rating and its 'BB' senior unsecured debt ratings on Allied Capital Corp. (Allied) on CreditWatch with positive implications. At the same time, we placed our 'BBB' long-term counterparty credit rating on Ares Capital Corp. (Ares) on CreditWatch with negative implications. The rating actions follow Ares's announcement that it has agreed to acquire Allied in an all-stock transaction currently valued at $648 million. We do not expect the acquisition, which is
