Moody's: EOPT Outlook Negative

The rating outlook for Equity Office Properties Trust, Chicago, has been revised from stable to negative by Moody's Investors Service.In addition, Moody's affirmed its Baa1 senior debt rating of EOP Operating LP and its Baa2 preferred stock rating of EOPT. Moody's said the negative outlook reflects its expectation that economic weakness and competitive pressures will continue to hurt the company's operating performance in the near term and that earnings may decline further. "In addition, we are concerned about its ability to cover dividends with current cash flow given its high dividend payout ratio," the rating agency said. EOPT is an umbrella partnership real estate investment trust that invests primarily in commercial office properties. Moody's can be found online at http://www.moodys.com.