Telekom Austria AG has announced an outlook for 2010 that is materially weaker than we had previously expected. We are placing the 'BBB+' long-term corporate credit rating on the company on CreditWatch Negative. The resolution of the CreditWatch will follow our review of the company's medium-term operational, cash flow, and debt prospects. On Dec. 11, 2009, Standard&Poor's Ratings Services placed its 'BBB+' long-term corporate credit rating on Austria-based telecom operator Telekom Austria AG on CreditWatch with negative implications. At the same time, the 'A-2' short-term corporate credit rating was affirmed. The CreditWatch placement follows the announcement on Dec. 9, 2009, by Telekom Austria of its expectations for its financial year 2010, which were materially weaker than we had
