BRK has announced a definitive agreement to acquire PCC for $37.2 billion, including PCC's net debt. We are placing our ratings on BRK and its core insurance subsidiaries on CreditWatch Negative. The CreditWatch placement reflects uncertainty about how funding for PCC's acquisition will affect BRK's holding company cash resources and leverage metrics, as well as capital adequacy at the insurance companies. On Aug. 11, 2015, Standard&Poor's Ratings Services placed its 'AA' long-term counterparty credit and senior unsecured debt ratings on Berkshire Hathaway Inc. (BRK) and its 'AA+' financial strength and long-term counterparty credit ratings on BRK's core insurance subsidiaries on CreditWatch Negative. We also placed our 'AA' financial strength and counterparty credit ratings on CSI Life Insurance Co.
