On March 8, 2006, Standard&Poor's Ratings Services said that its 'A+' long-term and 'A-1' short-term corporate credit ratings on Spanish utility Gas Natural SDG, S.A. remain on CreditWatch with negative implications. The ratings were placed on CreditWatch on Sept. 6, 2005, following the company's €22.55 billion bid for a 100% stake in Spanish utility Endesa S.A. (A/Watch Neg/A-1). On Feb. 21, 2006, German utility E.ON AG (AA-/Watch Neg/A-1+) launched a conditional €29.1 billion all-cash counterbid for up to 100% of Endesa. On Feb. 24, 2006, the Spanish government passed new legislation (Royal Decree Law 3/2006) that includes changes to the Spanish wholesale power market regime. Albeit only temporary, these changes could reduce the profitability of the Spanish vertically
