AT&T Inc.'s Senior Unsecured Notes Are Rated 'BBB+'

NEW YORK (Standard&Poor's) April 23, 2015--Standard&Poor's Ratings Services today assigned its 'BBB+' issue-level rating to Dallas-based telecommunications provider AT&T Inc.'s proposed senior unsecured debt (various maturities). We expect net proceeds from the notes issuance to partially fund the pending acquisitions of DIRECTV and Nextel Mexico, with remaining proceeds used to refinance upcoming maturities. The 'BBB+' long-term corporate credit rating and 'A-2' short-term rating on AT&T remain unchanged, as does the stable outlook, since we do not expect the transaction to affect key credit measures. Under our base case, we expect that adjusted debt to EBTIDA will be around 3x and fund from operations to debt will remain in the low- to mid-20% area over the next

...NEW YORK (Standard & Poor's) April 23, 2015--Standard & Poor's Ratings Services today assigned its '###+' issue-level rating to Dallas-based telecommunications provider AT&T Inc.'s proposed senior unsecured debt (various maturities). We expect net proceeds from the notes issuance to partially fund the pending acquisitions of DIRECTV and Nextel Mexico, with remaining proceeds used to refinance upcoming maturities. The '###+' long-term corporate credit rating and 'A-2' short-term rating on AT&T remain unchanged, as does the stable outlook, since we do not expect the transaction to affect key credit measures. Under our base case, we expect that adjusted debt to EBTIDA will be around 3x and fund from operations to debt will remain in the low- to mid-20% area over the next few years. We expect some of the new notes will have call provisions at 101% of par, enabling the company to redeem this debt if the deal isn't approved by regulators. AT&T had previously announced that it expects to fund...

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