| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers A > Headlines for AT&T Corp. > News item |
S&P lowers AT&T to junk
Standard & Poor's said it lowered its long-term corporate credit and senior unsecured debt ratings on AT&T Corp. to BB+ from BBB and the short-term rating to B from A-3.
The ratings were also removed from CreditWatch negative, where they were placed on April 28.
S&P said the ratings downgrade reflects the company's continued challenging business risk profile due to the telecom industry's transformation and the resultant long-term impact on the company's financial profile. S&P said it anticipates that competition will intensify from other large long-distance carriers, the regional Bell operating companies and cable TV companies in the near-to-intermediate term, further affecting AT&T's weak operating margins.
These factors are mitigated somewhat in the short term by AT&T's solid balance sheet and liquidity positions, S&P said.
Net debt to EBITDA was about 1.1x in the second quarter.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.