Fitch: Oracle unaffected

Fitch Ratings said it believes Oracle Corp. 's offer to buy BEA Systems, Inc. via a cash offer of $17 per share would not affect current ratings. The offer has yet to be accepted by BEA Systems' board of directors and competing offers appear to be anticipated by the equity market.

Oracle currently has A issuer default, A senior debt and F1 commercial paper ratings from Fitch, and the outlook is stable.

The company's current ratings incorporate the acquisition being funded with current cash balances and commercial paper borrowings. As the company has consistently demonstrated in the past, Fitch expects that over the near term Oracle will generate significant free cash flow and refrain from meaningful share repurchase activity and instead reduce commercial paper borrowings, enabling the company to return to a net cash position.

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