Moody's: AT&T unaffected

Moody's Investors Service said that AT&T Inc.'s announcement to resume its previously suspended 300 million share buyback program does not affect the company's A2 stable rating, as the rating agency had expected a resumption of the buybacks on the heels of the failed acquisition of T-Mobile USA.

The company maintains sufficient liquidity to execute the program, and Moody's said it notes that the buybacks will be conducted from available free cash flow that should still keep AT&T within its publicly stated leverage target of 1.3 times to 1.5 times net debt to EBITDA (albeit at the upper end of that range).

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