DUFF/PHELPS CHANGES BAKER<BKO>, HUGHES<HT> DEBT
Duff and Phelps said it changed the
ratings on outstanding senior debt of Baker International Corp
and Hughes Tool Company.
    The change affects 515 mln dlrs in debt and assumes a
merger of the two companies will be completed.
    Baker's senior debt was downgraded to DP-8 (high BBB) from
DP-7 (low A).
    Hughes senior debt was raised to DP-8 from DP-12 (middle
BB) while subordinated debt was raised to DP-9 (middle BBB)
from DP-14 (high B).
    The debt ratio of the combined compaies will be about 40
pct but available cash plus proceeds from the sale of assets
will permit a prompt reduction in debt, Duff and Phelps said.
    However, fixed charge coverages will remain very thin until
the company's markets improve, D and P said.
 Reuter
