The ratings service attributed the upgrade to Anadarko Petroleum Corp.'s guarantee of Kerr McGee's debt, since Anadarko acquired the company in August. S&P upped its ratings to "BBB-" from "BB+" and took the company off its CreditWatch list.
"The stable outlook reflects expectations that current debt levels will be reduced by at least $15 billion through proceeds from asset sales and equity issuance over the next 12 to 18 months," said Standard & Poor's credit analyst John Thieroff.
Shares of Anadarko Petroleum Corp. fell 83 cents to $45.71 in afternoon trading on the New York Stock Exchange.
