Hewlett-Packard Co. and related entities remain on CreditWatch with negative implications. HP's ratings were placed on CreditWatch on Sept. 4, 2001, following the company's announcement that it had reached a definitive stock-for-stock merger agreement with Compaq Computer Corp. The CreditWatch negative placement of HP is based on the acquisition of a lower-rated company with a similar-size revenue base and Standard&Poor's concern about integration and business disruption risks inherent in a merger of this size in the highly competitive and rapidly evolving technology market. These factors are partially offset by HP's strong financial profile. If the merger is not completed, HP's ratings would remain on CreditWatch negative. Standard&Poor's would meet with management to assess the company's near
