Fitch rates Verizon notes A-

Fitch Ratings said it assigned an A- rating to Verizon Communications Inc.'s proposed senior unsecured exchange notes due 2024.

The company will commence an offer to exchange up to £600 million of 8.875% notes due 2018 previously issued by Cellco Partnership and Verizon Wireless Capital LLC for the new Verizon notes and cash.

The company's issuer default rating is A- and the outlook is stable.

The February 2014 acquisition of the remaining Verizon Wireless stake pressures Verizon Communications' near-term credit metrics, pushing pro forma leverage to about 2.6x, Fitch said.

But Verizon Wireless has a strong competitive position as evidenced by industry-low churn rates, high margins and the most developed LTE network in the United States, the agency said.

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