Article: Fitch Lowers Solutia's Sr Sec & Unsec Rtgs; Placed On Rtg Watch Negative.

Business Editors

CHICAGO--(BUSINESS WIRE)--Aug. 1, 2003

Fitch Ratings has lowered Solutia Inc.'s (Solutia) senior secured bank facility (revolver) rating to 'B-' from 'BB-' and lowered the senior unsecured debt and senior secured notes rating to 'CCC' from 'B'. The ratings have been placed on Rating Watch Negative.

The ratings downgrade is based on a number of factors including near-term liquidity issues, as well as continued weak operating performance. Weak earnings and cash flow generation has resulted in the deterioration of the company's overall credit quality.

The Rating Watch Negative status reflects a number of near term ...

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