Fitch rates Verizon notes A-

Fitch Ratings said it assigned an A- rating to Verizon Communications Inc.'s senior unsecured notes offering.

The proceeds will be used to repay the $2.25 billion principal balance and accrued interest on the floating-rate notes due Sept. 15, 2016, Fitch said, and for general corporate purposes.

The company's long-term issuer default rating is A-.

The outlook is stable.

The ratings are supported by Verizon Wireless's strong competitive position, as evidenced through industry-low churn rates, high margins and the extensive coverage of about 98% of the U.S. population with its 4G LTE network, Fitch said.

These factors are balanced against moderately high leverage for the rating, which stems from the February 2014 acquisition of the remaining 45% stake in Verizon Wireless, the agency said.

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