S&P affirms Insight

Standard & Poor's said it affirmed the B- rating on Insight Communications Co. Inc.'s $400 million 9 3/8% senior notes due 2018 following the company's $100 million add-on. The B- rating is two notches lower than its B+ corporate credit rating.

The 6 recovery rating on this debt remains unchanged, indicating an expectation of 0% to 10% recovery in a default. The corporate credit rating on Insight is B+ and remains unchanged.

The outlook is stable.

The ratings reflect the company's aggressive financial profile, lack of scale economies, including significantly higher programming costs than large cable operators, a mature video subscriber base and increasing competition from AT&T's U-verse video service, S&P said.

Tempering factors include Insight's position as the still-leading pay-TV supplier in most of its markets and its robust, high-bandwidth network, the agency said.

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