Processing Your Payment

Please do not leave this page until complete. This can take a few moments.

December 19, 2013

Frontier downgraded on $2B telecom play

Fitch Ratings has downgraded Stamford’s Frontier Communications following its announced $2 billion purchase of AT&T’s Connecticut wireline operations.

Fitch downgraded Frontier’s ratings outlook from stable to negative on Wednesday, the day after the deal was announced. It also lowered the company’s issuer default rating and debt ratings for senior unsecured notes from ‘BB+’ to ‘BB.’

The rating agency said increased debt incurred in the transaction led to its downgrade decision.

Fitch also noted positives for Frontier. The deal will bring increased scale and improved free cash flow. And Frontier’s existing debt doesn’t mature until at least 2016, which means it won’t need to access capital markets — where it will may pay higher interest rates with a poorer rating — until then.

Read more

Frontier sees upside in CT’s competitive telecom market

Frontier asks CT regulators to approve AT&T deal

Frontier: AT&T’s CT wireline business netted $237.6M in profits

Sign up for Enews

Most Recent

Most Recent

0 Comments

Order a PDF