On Nov. 16, 2005, Standard&Poor's Ratings Services assigned its 'BBB' preferred stock rating to the proposed $450 million enhanced trust preferred securities due 2045 of The Stanley Works Capital Trust I (Stanley Trust), to be issued under Rule 144A with registration rights. Stanley Trust is a wholly owned subsidiary of Stanley Works Co. (The) (Stanley) (A/Stable/A-1). Stanley will irrevocably and unconditionally guarantee the securities on a junior subordinated basis. However, Stanley's guarantee only covers payments when Stanley Trust has sufficient funds to make such payments. At the same time, Standard&Poor's affirmed its other ratings on Stanley. At the end of the 2005 third quarter, debt, including accounts receivable sold and capitalized operating leases, was $760 million.
