Moody's confirmed the A1/Prime-1 ratings of Anheuser-Busch Companies, Inc. and changed the rating outlook to stable from positive, as well as assigning an A1 rating to the company's $2 billion bank revolving credit facility, according to Reuters report from November 13. The change in outlook to stable reflects the fact that, although BUD's valuable beer franchise and cash flow from operations continue to strengthen, the company's long-articulated financial policy of maintaining gross cash flow to debt in the 30 to 40% range results in ongoing debt financed share repurchases. Thus, as the company's cash flows grow, total debt continues to creep upward, while retained cash flow measures after share repurchases are not consistent with the Aa rating category.

14 November, 2003