France-based Compagnie de Saint-Gobain is substantially exposed to construction markets in Western Europe, which are currently depressed. On June 30, 2012, the company posted rolling 12-month credit metrics that were not commensurate with our benchmarks for the current ratings, and we do not anticipate a marked improvement in the second half of the year. We are therefore revising our outlook on Saint-Gobain to negative from stable and affirming our 'BBB/A-2' ratings on the company. The negative outlook indicates the potential for a downgrade if Saint-Gobain's ratio of adjusted funds from operations to debt stays well below the mid-twenties range over the next 18 months. On Oct. 29, 2012, Standard&Poor's Ratings Services revised its outlook on France-based Compagnie de
