Some Allied Stores debt was put on creditwatch.

Standard & Poor’s, a debt-rating agency, placed about $650 million of the retailer’s long-term debt on creditwatch with the possibility of a downgrade. S&P; said the action resulted from an unsolicited takeover bid by Campeau Corp., a Canadian real estate company. If the bid is accepted, which is not expected, Allied’s cash flow would be called upon to service its own debt as well as that incurred by Campeau. If Allied fights the bid, the agency said, the retailer’s “credit quality could be diminished.”