S&P: Clear Channel unaffected

Standard & Poor's said its ratings and outlook on Clear Channel Communications Inc. (BBB-/negative/--) are not affected at this time by the company's plans to buy back 5.7 million of its shares from affiliates of buyout firm Hicks, Muse, Tate & Furst LP.

S&P said the total purchase price of about $180 million is not material given the company's substantial liquidity of more than $1 billion in discretionary cash flow, $600 million in borrowing availability under its credit facilities and cash balances of $271 million at March 31.

S&P said it remains keenly interested in the results of the company's inventory reduction strategy and in management's commitment to an investment-grade rating while the stock is under pressure.

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