Dollar General Corp. announced today that it is offering to acquire Family Dollar Stores Inc. for $9.7 billion including debt; there are now two large debt-financed offers for Family Dollar. We expect the revolver, term loan, and notes anticipated to fund this transaction would lead to a speculative-grade corporate credit rating for the combined Dollar General–Family Dollar. We are placing all of our ratings on Dollar General, including the 'BBB-' corporate credit rating and 'BBB-' issue-level rating on the company's senior unsecured debt, on CreditWatch with negative implications. On Aug. 18, 2014, Standard&Poor's Ratings Services placed all its ratings on Dollar General Corp., including its 'BBB-' corporate credit rating and 'BBB-' issue-level rating on the company's senior unsecured
