On March 20, 2002, Standard&Poor's lowered its long-term corporate credit ratings on Switzerland-based cement producer Holcim Ltd. due to the financial impact of the group's growth strategy. The group's acquisitive growth strategy over the past few years has resulted in financial ratios that are no longer consistent with an 'A-' rating. Holcim's growth strategy has meant that the expected improvement in the funds from operations (FFO)-to-debt ratio to 30% is unlikely to be met in the mid-to-long term. Therefore, the long-term rating has been downgraded to 'BBB+', a level that is sustainable in the context of Holcim's growth plans. The group's very strong business profile, as the world's second-largest cement manufacturer with a broad geographic spread of cost-efficient
