Following the recent business deal between DaimlerChrysler and Cerberus Capital Management, Standard & Poor’s Rating services has raised its corporate credit rating on DaimlerChrysler from “BBB” to “BBB+,” according to Automotive World.

The agency also affirmed the company's short term “A-2” rating, while it removed the company from CreditWatch. The outlook remains stable.

Standard & Poor's credit analyst Maria Bissinger cites the positive effect of the transaction on DaimlerChrysler's credit profile as the reason for the upgrade.

Although the transaction resulted in a decrease in the company’s net profits in 2007, S&P considers this a one-time effect.

The stable outlook reflects the agency's expectation that DaimlerChrysler will remain profitable despite a possible downturn in the North American truck industry, due to strength in the European truck markets. DaimlerChrysler’s Mercedes Car Group is expected to keep the company stable as well.

However, Bissinger warned that a more severe-than-expected impact on the group's remaining financial service operations, as a result of the recent business transaction, could have a negative effect on the outlook.