On March 15, 2002, Standard&Poor's affirmed its ratings on Petroleos de Venezuela S.A. (PDVSA) and PDV America Inc. and removed them from CreditWatch with negative implications where they were placed Feb. 11, 2002. The ratings actions are similar to those on the Bolivarian Republic of Venezuela, which is PDVSA's sole shareholder. The ratings on PDVSA, the Venezuelan national oil company, reflect the foreign currency rating of its lone shareholder, the Republic of Venezuela. Standard&Poor's maintains the same rating on PDVSA as on the Republic of Venezuela because of the government's ability to exert substantial control over PDVSA's finances and its dependence on PDVSA's cash flow for meeting its own obligations. Branches of government have direct control
