Fitch rates Disney notes A

Fitch Ratings said it assigned an A rating to the Walt Disney Co.'s proposed offering of benchmark-sized three-, five- and 30-year senior unsecured notes.

The company has an issuer default rating of A, senior unsecured debt rating of A, short-term issuer default rating of F1 and commercial-paper rating of F1.

The outlook is stable.

The proceeds will be used for general corporate purposes, including repayment of debt and commercial paper, Fitch said.

The notes will be issued under Disney's existing indenture, the agency said, and will rank pari passu with all existing debt. Similar to existing bonds, there are no financial covenants.

Fitch said it believes Disney has the financial flexibility and capacity at the current rating level to accommodate a higher level of share repurchases during its fiscal year 2014 in a manner neutral to its credit profile.

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