S&P Lowers WorldCom Rating

The ratings agency cites the company's anticipated delay in obtaining a $5 billion bank line, the need to refinance large debt, and the continued weakness in long-distance services

On June 17, Standard & Poor's lowered the long-term corporate credit rating on WorldCom Inc. was lowered to 'B+' from 'BB.' The ratings remain on CreditWatch negative due to the company's anticipated delay in obtaining an approximately $5 billion bank facility, increased refinancing risk associated with large debt maturities commencing in 2003, and the continued weak environment for long-distance services, says analyst Rosemarie Kalinowski.

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