Fitch affirms Univision

Fitch Ratings said it affirmed the B issuer default rating of Univision Communications, Inc.

The outlook is stable.

The ratings incorporate the positive view on the U.S. Hispanic broadcasting industry, given expectations for continued growth in number and spending power of the Hispanic demographic, according to the agency.

Univision also benefits from a premier industry position, with duopoly television and radio stations in most of the top Hispanic markets, with a national overlay of broadcast and cable networks, the agency noted.

Concerns center on the highly leveraged capital structure and the significant maturity wall in 2017, limited free cash flow generation relative to total debt, as well as the company's significant exposure to advertising revenue, Fitch said.

Univision is saddled with significant leverage from the 2007 leveraged buyout, with estimated total leverage (including the subordinated convertible preferred debentures due to Televisa) and secured leverage of 11.6 times and 9.4 times, respectively, as of March 31, Fitch said.

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