Cequel Communications, LLC -- Moody's places Cequel on review for downgrade

New York, May 20, 2015 -- Moody's Investors Service has placed the ratings for Cequel Communications Holdings I, LLC ("Cequel") under review for downgrade, including Cequel's B1 CFR, B1-PD PDR, B3 unsecured notes rating and Ba2 secured credit facility rating following the announcement that Altice S.A. will purchase a 70% equity interest in Cequel Corp. for approximately $3.4 billion. The transaction values Cequel at $9.2 billion, or approximately 10x EBITDA. The review for downgrade will focus on the company's ability to offset the high leverage incurred to finance the acquisition with the targeted cost reductions. In addition, Moody's will assess the financial policy and capital allocation stance of the new owners. Moody's expects the downward ratings impact to be limited to one or two notches.

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