BCE Inc. (A/Stable/A-2) recently announced a public offering of about C$2 billion in BCE common shares (including full exercise of the overallotment option) at C$24.45 per share, which will be used toward the purchase of SBC Communications Inc.'s minority interest in Bell Canada. As a result, BCE's pro forma debt to capitalization (adjusted for operating leases) is reduced to 53.5% from 57.0% at June 30, 2002. Although viewed positively, this action does not affect either the ratings or outlook on the company as a planned equity offering had been built into Standard&Poor's Ratings Services' expectations for the ratings. BCE's willingness and capacity to balance expected debt issuances with equity given current difficult capital market conditions is a reflection
