On March 8, 2007, Standard&Poor's Ratings Services revised the CreditWatch implications on CVS Corp.'s long-term ratings, including the 'BBB+' corporate credit rating, to negative from developing. The ratings were initially placed on CreditWatch on Nov. 2, 2006, when Woonsocket, R.I.-based CVS announced a definitive agreement to merge with Caremark Rx Inc. (BBB/Stable/--). The 'A-2' short-term and the CP ratings on CVS are not on CreditWatch. The revision of the CreditWatch listing follows CVS' and Caremark's fourth proposal for the structure of their proposed merger. Under the revised terms, Caremark's shareholders will receive a special one-time cash dividend of $7.50 per share, about $3.23 billion. The combined company will also repurchase 150 million common shares at a fixed price
