Harris Corp. $2.4 Billion Notes Assigned 'BBB+' Rating And Placed On CreditWatch Negative Pending Exelis Acquisition

SAN FRANCISCO (Standard&Poor's) April 22, 2015--Standard&Poor's Ratings Services said today it assigned its 'BBB+' issue-level rating to Melbourne, Fla.-based Harris Corp.'s $2.4 billion senior unsecured notes. The new debt matches the current Harris corporate credit rating, and we are also placing the debt rating on CreditWatch with negative implications given the pending acquisition of Exelis Corp. The proceeds will be used to finance the proposed acquisition. We placed our ratings on Harris--the 'BBB+' corporate credit rating, the senior unsecured debt ratings, and the 'A-2' short-term and commercial paper (CP) ratings--on CreditWatch with negative implications on Feb. 6, 2015, reflecting our expectation that adjusted leverage is likely to surpass the 3x area as a result of the

...SAN FRANCISCO (Standard & Poor's) April 22, 2015--Standard & Poor's Ratings Services said today it assigned its '###+' issue-level rating to Melbourne, Fla.-based Harris Corp.'s $2.4 billion senior unsecured notes. The new debt matches the current Harris corporate credit rating, and we are also placing the debt rating on CreditWatch with negative implications given the pending acquisition of Exelis Corp. The proceeds will be used to finance the proposed acquisition. We placed our ratings on Harris--the '###+' corporate credit rating, the senior unsecured debt ratings, and the 'A-2' short-term and commercial paper (CP) ratings--on CreditWatch with negative implications on Feb. 6, 2015, reflecting our expectation that adjusted leverage is likely to surpass the 3x area as a result of the Exelis acquisition. We expect to lower the ratings on Harris by two notches to '###-' with a stable outlook upon close of the transaction. We will lower the CP rating to 'A-3' from 'A-2' at the same time....

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