France-based Schneider Electric has announced it is considering acquiring the U.K.-based company, Invensys. Schneider has not given indications about the price consideration it could offer for Invensys nor about the financing structure of the acquisition at this stage. Invensys gave public indications on both aspects and the company is publicly floated on the U.K. market. We are placing our 'A-' long-term rating on Schneider Electric on CreditWatch with negative implications and affirming our 'A-2' short-term rating. The CreditWatch placement reflects the possibility that we would downgrade Schneider Electric in case the Invensys acquisition is forthcoming and very largely debt-financed. We currently think that the downgrade potential would be limited to one notch. MILAN (Standard&Poor's) July 17, 2013--Standard&
