S&P upgrades CB Richard Ellis

Standard & Poor's said it raised CB Richard Ellis Services Inc.'s long-term counterparty credit and senior secured debt ratings to BB+ from BB- and subordinated debt rating to BB- from B in response to the company's debt reduction plans and a continued strong operating environment, which together have improved interest coverage. The outlook is stable.

The agency said the ratings continue to reflect the company's dependence on cyclical sales and leasing transaction volume, offset by improved interest coverage ratios and reduced debt level. Acquisition-related debt and goodwill had left the company with a considerable debt burden and negative tangible equity. Management has been paying down debt aggressively, however, so the debt burden is now less of a ratings factor.

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