On May 5, 2006, Standard&Poor's Ratings Services revised its outlook on Germany-based cement producer HeidelbergCement AG to positive from stable. This reflects further improvements in the group's financial profile in 2005 and the first quarter of 2006, as well as reduced leverage at the Spohn Cement GmbH level. At the same time, the 'BB+' long-term and 'B' short-term corporate credit ratings, and the ratings on all outstanding debt of HeidelbergCement and its related entities were affirmed. The ratings on HeidelbergCement reflect the group's moderate financial structure and the cement industry's cyclicality and heavy capital intensity. These factors are offset by the company's large size, broad geographic diversity, strong market positions, and sustained ability to generate healthy funds from
