S/P KEEPS BORG-WARNER ON CREDITWATCH
Standard and Poor's Corp said it is
keeping Borg-Warner Corp's 400 mln dlrs of debt on creditwatch
with negative implications.
    Under review are the company's A-plus senior debt and A-1
commercial paper.
    S and P cited an offer by a Merrill Lynch and Co-backed
investment group's offer to acquire Borg-Warner for 3.76
billion dlrs.
    The purchase would increase Borg-Warner's financial risk
and impair its earnings and cash flow protection, resulting in
a debt leverage rise to a very high level, S and P said.
 Reuter
