Nextel Communications Sr Notes Rtg Raised To B2 By Moody's
February 5, 1998
Dow Jones Newswires
NEW YORK -- Moody's Investors Service Thursday
upgraded the senior unsecured discount notes of Nextel,
Dial Page and OneComm to B2 from B3 and affirmed
the 13% redeemable exchangeable preferred at 'caa'.
Moody's also assigned a B2 rating to Nextel
Communications, Inc.'s proposed senior discount notes
due 2008, with expected gross proceeds of $800 million
and a 'caa' rating to its proposed $500 million in Series
E exchangeable preferred, with a mandatory redemption
in 2010.
In addition, Moody's upgraded Nextel's pending
amended credit facility from B1 to Ba3.
Moody's said the upgrades reflect 'management's
success in executing its business plan, disciplined
marketing focus and product development and company
potential given (its) developing strategic position and its
access to capital.'
The rating level also recognizes the risks of managing a
'fast growth company,' the continued need for additional
capital, 'substantial' ability to raise additional debt,
increasing wireless competition, and uncertainty
regarding the size of Nextel's potential target market,
Moody's said. |
