Standard&Poor's Ratings Services lowered its ratings on CB Richard Ellis Services Inc. and removed them from CreditWatch, where they were placed on Feb. 19, 2003, after the announcement of the company's acquisition of Insignia Financial Group Inc. The downgrade is the result of increased indebtedness to fund part of the Insignia acquisition, and limited debt service capacity. While the acquisition would leave the firm with a substantially stronger business position, the significant debt component to the financing will further challenge the firm's debt service capacity, which was already challenged by the operating environment. The majority of revenue still comes from sales and leasing transactions, which are sensitive to economic cycles. Los Angeles, Calif.-based CB Richard Ellis is a
