S&P downgrades Wind

Standard & Poor's said it lowered the corporate credit rating on Wind Telecomunuicazioni SpA to B+ from BB-, along with the issue rating on Wind's senior secured facilities and notes to BB- from BB.

The agency also lowered the ratings on Wind's third-lien notes to B+ from BB- and the ratings on the subordinated payment-in-kind notes to B- from B.

All of the ratings were removed from CreditWatch with negative implications, where they were placed in October.

The downgrade results from an expectation that there will be no meaningful improvement in Wind's capital structure over the medium term, S&P said.

The agency also said it anticipates that the competitive market, the impact of regulatory actions and high interest and tax payments will limit free cash flow generation and EBITDA growth over the next couple of years, which could stall the company's efforts to reduce debt.

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