U.S.-based silicone producer Momentive Performance Materials has completed what we consider to be a distressed exchange offer. We are raising the corporate credit rating to 'CCC-' from 'SD' (selective default) and the senior unsecured and subordinated debt ratings to 'C' from 'D'. All other ratings on Momentive and its subsidiaries remain unchanged. The negative outlook on the rating reflects the company's extremely high debt leverage and continuing default risk. On June 22, 2009, Standard&Poor's Ratings Services raised its corporate credit rating on Momentive Performance Materials Inc. to 'CCC-' from 'SD' and its senior unsecured and subordinated debt ratings on the company to 'C' from 'D'. The recovery ratings on this debt remain unchanged at '6', indicating our expectation
