On Aug. 16, 2004, Standard&Poor's Ratings Services lowered its ratings on Bristol-Myers Squibb Co. The long-term ratings were lowered to 'A+' from 'AA-', and the short-term ratings were lowered to 'A-1' from 'A-1+'. At the same time, the ratings were removed from CreditWatch, where they were initially placed with negative implications on March 10, 2004. The outlook is negative. The previous CreditWatch listing was due to concerns regarding Bristol-Myers' earnings and cash flow prospects, especially following unfavorable results of a head-to-head trial that could harm the sales prospects of its best-selling product, the cholesterol-lowering statin, Pravachol. The downgrade reflects Bristol-Myers' diminished ability to generate meaningful earnings and cash flow growth over the next few years, due mainly to
