NY -- Standard&Poor's CreditWire 8/12/97 -- Standard&Poor's today affirmed its single-`A'-plus claims-paying ability and counterparty credit rating of Highmark Inc. The rating reflects the company's superior capitalization, its excellent market position, and good liquidity, as well as poor operating performance since late 1995 and risks associated with aggressive growth plans. Highmark was formed in December 1996 as the consolidation of Pennsylvania Blue Shield and Veritus Inc. (doing business as Blue Cross of Western Pennsylvania) into one entity. While each entity had historically performed well on a stand-alone basis, the companies decided to merge to respond to the dynamic changes in the operating environment for health care. Major Rating Factors: -- Superior capitalization, with a 209% capital
