The ratings on Autostrade SpA were placed on CreditWatch with negative implications on April 24, 2006, following the announcement of the company's merger with Abertis Infraestructuras S.A. (A/Watch Neg/--), one of Spain's largest infrastructure operators. The CreditWatch listing reflects Standard&Poor's Ratings Services' concerns about the group's future financial policy and strategy, although the merger itself will not necessarily have a negative impact on the merged entity's ratings. We expect to resolve the CreditWatch status over the next three months, once we have greater visibility in these areas. The ratings reflect Autostrade's excellent business profile as Italy's largest motorway company, with a market share of about 60%, and its strong cash generation, mostly derived from toll revenues under a
