Bulletin: Deutsche Telekom Ratings And Outlook Unaffected By T-Mobile US Inc. News Reports

FRANKFURT (S&P Global Ratings) May 22, 2017--S&P Global Ratings said today that its 'BBB+/A-2' long- and short-term corporate credit ratings and stable outlook on Deutsche Telekom AG (DT) and subsidiary Deutsche Telekom International Finance B.V. are unaffected by recent press reports that suggest T-Mobile US Inc. (TMUS), DT's 65%-owned subsidiary, is considering a merger with lower-rated wireless operator Sprint Corp. (see "T-Mobile US Inc. 'BB' Ratings Affirmed; Outlook Developing," published May 19, 2017, on RatingsDirect). We believe there is too much uncertainty at this stage regarding the likelihood of a transaction involving TMUS and its ultimate structure and financing for our ratings on DT to be affected. For example, if Sprint were to acquire TMUS, we would likely need to

...FRANKFURT (S&P Global Ratings) May 22, 2017--S&P Global Ratings said today that its '###+/A-2' long- and short-term corporate credit ratings and stable outlook on Deutsche Telekom AG (DT) and subsidiary Deutsche Telekom International Finance B.V. are unaffected by recent press reports that suggest T-Mobile US Inc. (TMUS), DT's 65%-owned subsidiary, is considering a merger with lower-rated wireless operator Sprint Corp. (see "T-Mobile US Inc. '##' Ratings Affirmed; Outlook Developing," published May 19, 2017, on RatingsDirect). We believe there is too much uncertainty at this stage regarding the likelihood of a transaction involving TMUS and its ultimate structure and financing for our ratings on DT to be affected. For example, if Sprint were to acquire TMUS, we would likely need to assess whether the magnitude and application of proceeds from the acquisition were sufficient to offset any weakening of DT's geographic diversification and growth profile. Conversely, if TMUS were to acquire...

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