Source: The Wall Street Journal                     Date: 13 April, 2011

Leighton Holdings Ltd. has said it will conduct a USD800-million capital-raising, a move that comes as the Australian construction company warned that it will post a loss this year. The profit warning prompted ratings agency Moody's Investors Service to place Leighton's credit rating of Baa1/Stable on review. "The rating action reflects concerns in relation to the write-downs, and the weakening in Leighton's business profile particularly if further disappointments emerge," Moody's said in a written statement.

The capital-raising, through a 1-for-9 rights issue at AUD22.50 a share, will represent one of the largest cash calls in Australia this year.