WorldCom Responds to S&P Action
CLINTON, Miss., June 17 /PRNewswire-FirstCall/ -- Standard & Poor's today lowered WorldCom Inc.'s corporate credit rating. The following statement should be attributed to Susan Mayer, WorldCom senior vice president and treasurer:
"WorldCom's negotiations with its banks on a new $5 billion bank credit facility continue to go well. Our lead banks are supportive and, in fact, have committed about $450 million of new money to the deal, which means the Company only needs to raise about $300 million from other banks to reach the expected $5 billion level.
"Flexibility in the new credit facility is of most importance to us. With plenty of cash on hand and no debt maturing over the next six months, it does not matter whether the new facility is in place today or any date later this summer. It is much more important that WorldCom secure the best terms possible rather than just rush to get a deal done. The banks and WorldCom are both incented to complete this process as soon as possible.
"Nevertheless, S&P's action today has absolutely no impact on WorldCom's credit facility negotiations, our operations or our customers." |
