S&P: Owens Corning view negative

Standard & Poor's said it revised the outlook on Owens Corning to negative from stable and affirmed the company's BBB- corporate credit rating.

The outlook change reflects Owens Corning's expectations of substantially weaker earnings in 2008, driven by the ongoing housing downturn, according to the agency.

Ratings reflect the company's strong leading market positions, well-known brand names, good product and customer diversity, increasing geographic diversity and moderate financial policies, S&P said.

Ratings also reflect cyclical, competitive and mature markets, current weak U.S. housing markets and raw-material cost pressures, the agency said.

The issuer's debt-to-EBITDA ratio was 3.3 times at year-end 2007 and could remain weak during the housing downturn, the agency noted.

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