...NEW YORK (S&P Global Ratings) March 29, 2019--S&P Global Ratings said today that it views Midcontinent Communications (##-/Stable/--) recent announcement to extend its partnership with Comcast through 2026 as a modest credit positive. Midcontinent will continue to benefit from programming cost advantages through its partnership with Comcast, which can negotiate programming contracts at more favorable rates given its considerable scale. In addition, the extension relieves some overhang in the rating, given that a dissolution of the partnership was scheduled to expire at the end of 2021, which could have pushed leverage to 6.0x or more if Comcast elected to sell its stake in Midcontinent. As a result of the extension, the company will complete a debt-financed distribution of $125 million to its shareholders, Midcontinent Media Inc., and its 50% partner Comcast. We expect the $250 million dividend to be financed with a combination of revolver borrowings and cash. We expect the dividend will...
