Before your eyes glaze over, consider the role played by these companies. The ratings issued by companies like Standard and Poor's and Moody's determine borrowing costs for most major corporations, affecting trillions of dollars in debt instruments and hundreds of millions in interest costs. Moreover, credit ratings can determine whether a company's debt can legally be held by certain types of investment organizations. Credit ratings also act as a spotlight, bringing to public attention how a company is performing. The recent news, for instance, that Time Warner's debt rating was being reduced by both S&P and Moody's, highlighted the real cost of Carl Icahn's activism. In response to pressure applied by the financier, Time Warner substantially increased its share buyback program, to the detriment of its balance sheet. According to Ms. Cunningham, the rating agencies are suffering from a lack of healthy competition.