On August 14, 2006, Standard&Poor's Ratings Services placed its 'BB-' corporate credit and other ratings on San Jose, Calif.-based Sanmina-SCI Corp. on CreditWatch with negative implications following the company's announcement that it will delay filing its June 2006 10-Q financial statements until an internal review of stock option practices is complete. While it is too early to assess the outcome of the investigations, Sanmina's liquidity (cash balances totaled $625 million at April 1, 2006) should cushion the downside risk to the rating. The CreditWatch listing reflects uncertainties regarding the outcome of the stock option review. We will monitor the review to assess whether any potential material restatements, further investigation, or additional involvement of the SEC or other judicial
