On Aug. 2, 2004, Standard&Poor's Ratings Services placed its ratings on diversified media company Cox Enterprises Inc. (CEI) and all related entities on CreditWatch with negative implications. The action follows CEI's announcement of its proposal to acquire the outstanding publicly held 38% minority interest in 62%-owned subsidiary Cox Communications Inc. (CCI), a major cable TV system operator, for cash consideration of $7.9 billion, including fees and expenses. Assuming the transaction is completed as described, the corporate credit rating on CEI, which is analyzed on a consolidated basis with CCI, 62%-owned Cox Radio Inc., and non-public auto auction, newspaper, and TV broadcasting operations, would be lowered to 'BBB-' from 'BBB'. The senior unsecured debt of CEI would be lowered
