On March 11, 2003, Standard&Poor's affirmed its 'A' long-term and 'A-1' short-term corporate credit ratings on France-based Compagnie de Saint-Gobain S.A. The outlook remains negative. The ratings reflect the group's commitment and expected ability to reduce debt and consistently bolster its financial profile in the short to medium term. The ratings continue to reflect Saint-Gobain's very strong business profile--attributable to the group's extensive product, geographic, and end-market diversification--as well as its leading competitive positions in all of its activities. These strengths translate into solid and consistent free cash flow generation (before acquisitions). These positive factors are tempered, however, by the group's exposure to asbestos claims-related liabilities, and its moderately acquisitive strategy. The ratings assume that the company's asbestos
