On July 31, 2013, Schneider Electric confirmed that it was making a firm offer to acquire U.K.-based Invensys. The transaction requires the consent of at least 75% of Invensys' shareholders and regulatory approval, both expected during the fourth quarter of 2013. Based on current indications of the price and financing structure of the acquisition, we foresee Schneider's pro forma credit ratios being weaker than our parameters for the 'A-' rating, for at least a year. We are keeping our 'A-' long-term rating on Schneider Electric on CreditWatch negative, where we placed it on July 17, 2013. The CreditWatch status reflects the possibility that we could downgrade Schneider by at most one notch if the Invensys acquisition takes place. On Aug.
