Overview -- Google Inc.'s revenues have risen almost 30% year over year, its net income grew by 32%, and the company ended with $43.1 billion of cash and securities. -- We placed the 'AA-' corporate credit rating on CreditWatch with positive implications. -- At the same time, we affirmed our 'A-1+' short-term rating on the company. -- We will meet with management to review its strategic direction, financial policy, and growth objectives before resolving the CreditWatch. Rating Action On Aug. 21, 2012, Standard & Poor's Ratings Services placed its 'AA-' corporate credit rating on Mountain View, Calif.-based Google Inc. on CreditWatch with positive implications. At the same time, we affirmed our 'A-1+' short-term rating on the company. Rationale The CreditWatch reflects Google's continued strong operating performance, while the company maintains exceptional liquidity, a conservative financial policy, and a minimal financial risk profile. In the six months ended June 30, 2012, revenues grew almost 30% year over year, net income rose 32%, and the company ended with $43.1 billion of cash and securities. The ratings on search-based advertising service provider Google Inc. reflect its "minimal" financial risk profile, its "strong" business risk profile, and Standard & Poor's Ratings Services' belief that the company will maintain the technical, managerial, and financial wherewithal to adapt to evolving market and delivery transitions. Operating lease-adjusted debt to EBITDA is below 0.5x. CreditWatch We will meet with management to review its strategic direction, financial policy, and growth objectives before resolving the CreditWatch. We likely will limit any upgrade to one notch. Related Criteria And Research -- Top 10 Investor Questions: How Will The Global Technology Industry Fare Amid An Economy In Flux?, April 26, 2012 -- Global Technology Ratings Trend Shifts To Negative In The First Quarter, April 11, 2012 -- Issuer Ranking: Global Technology Ratings, Strongest To Weakest, March 29, 2012 -- U.S. Technology Companies' Liquidity Is Higher, For Now, Jan. 18, 2012 -- Liquidity Descriptors For Global Corporate Issuers, Sept. 28, 2011 -- Key Credit Factors: Methodology And Assumptions On Risks In The Global High Technology Industry, Oct. 15, 2009 -- Criteria Methodology: Business Risk/Financial Risk Matrix Expanded, May 27, 2009 -- 2008 Corporate Criteria: Analytical Methodology, April 15, 2008 Ratings List Ratings Affirmed; CreditWatch Action To From Google Inc. Corporate Credit Rating AA-/Watch Pos/A-1+ AA-/Stable/A-1+ Google Inc. Senior Unsecured AA-/Watch Pos AA- Ratings Affirmed Google Inc. Commercial Paper A-1+ Complete ratings information is available to subscribers of RatingsDirect on the Global Credit Portal at www.globalcreditportal.com. All ratings affected by this rating action can be found on Standard & Poor's public Web site at www.standardandpoors.com. Use the Ratings search box located in the left column.