McAfee to replace Barr Pharmaceuticals on S&P 500

McAfee Inc., a Santa Clara, Calif.-based Internet security firm, will replace Barr Pharmaceuticals Inc. in the S&P 500 index after Barr's acquisition by Israeli drugmaker Teva Pharmaceutical Industries Ltd., Standard & Poor's said Thursday.

Taking McAfee's place on the S&P MidCap 400 will be vehicle parts maker LKQ Corp., which will be replaced on the S&P SmallCap 600 by Circor International Inc., a valve maker.

Standard & Poor's also said it was revising its market capitalization guidelines downward for listed companies on its indices.

It reduced the low-water mark for S&P 500 companies from $4 billion or more to $3 billion or more; trimmed the S&P MidCap 400 range to $750 million to $3.3 billion, down from $1 billion to $4.5 billion; and cut the S&P SmallCap 600 range to between $200 million and $1 billion, down from $250 million to $1.5 billion.

"Standard & Poor's feels that the new market cap ranges for its U.S. indices are appropriate, based on our review of recent market activity, comments from index users and the current U.S. market cap distribution," David Blitzer, the managing director and chairman of the Index Committee, said in a statement.