Legal Definitions - Standard & Poor's

Standard & Poor's is a service that provides investment analysis and advice. It rates the financial strength of businesses on a scale from AAA (strongest) to CCC. The ratings may also include a plus or minus sign to indicate the company's relative strength among similar businesses. If a company has an R rating, it means that it is the subject of some regulatory action.

For example, if a company receives an AAA rating from Standard & Poor's, it means that it has a very strong financial position and is likely to be a good investment. On the other hand, if a company receives a CCC rating, it means that it has a weak financial position and may not be a good investment.

Standard & Poor's ratings are used by investors to make informed decisions about which companies to invest in. By providing objective ratings of a company's financial strength, Standard & Poor's helps investors to minimize their risk and maximize their returns.