Dow Chemical (DOW: sentiment, chart, options) was hit with more negative news when Moody's Investors Service said late Monday that it lowered the senior unsecured ratings of DOW to "Baa1" from "A3" after Kuwait lawmakers voted to back out of a huge joint venture with DOW. Moody's also said it may downgrade the "Baa1" rating of Rohm & Haas Co. (ROH: sentiment, chart, options), because funding from the joint venture was to help Dow finance its acquisition of Rohm & Haas.

Adding to Dow's woes, Standard & Poor's downgraded its ratings of the company and said it may downgrade ratings of Rohm and Haas Co. S&P cut the corporate credit and senior unsecured ratings on Dow to "BBB" from "A-," and said it may downgrade Dow's long-term ratings and commercial paper rating.

Kyle Loughlin, an S&P credit analyst, said in a statement that Kuwait's decision "was unexpected given Dow's recent confidence that it would close the transaction, and is a significant development from both a strategic and financial profile standpoint."

For a closer look at Dow Chemical, check out Andrea's comments from Monday.