NEW YORK (Standard&Poor's) March 4, 2016--Standard&Poor's Ratings Services said today that its ratings on Los Angeles-based competitive local exchange carrier U.S. TelePacific Holdings Corp. (TelePacific) are not affected by the company's announcement that it has agreed to acquire DSCI Corp., a network services business that provides hosted communications, managed IT, and connectivity solutions. We expect the transaction to close in the second quarter of 2016. We believe the acquisition strengthens TelePacific's business by enhancing its product portfolio and capabilities to include managed cloud and hosted service offerings through its own proprietary platform. We also believe the acquisition will enable more customer cross-sell opportunities. Still, while DSCI provides some geographic diversity, the acquisition poses some risk given