Because of an editing error, an article in yesterday's Business section about USF&G Corp.'s debt rating by Standard & Poor's Corp. suggested that all of the insurer's debt had been lowered to triple-B from single-A. In fact, only the company's senior debt was lowered to triple-B. USF&G's commercial paper rating was lowered to A-2 from A-1, and its preferred stock rating went to triple-B-minus from single-A-minus.
The Sun regrets the errors.
Citing a deteriorating financial condition and management uncertainties, Standard & Poor's Corp. downgraded the debt rating of Baltimore-based USF&G Corp. to triple-B from single-A yesterday and lowered the rating on the insurer's ability to pay claims.
Although still relatively strong, the lowered ratings reflected in part the uncertainties created by the recent appointment of a new chairman and chief executive, Norman P. Blake Jr., and a previous policy of paying dividends that outstripped the company's earnings, S&P said.