Standard and Poor’s ratings services lifted Lucent Technologies Inc.’s corporate rating to B from B- in its review of the telecom equipment industry. “Standard & Poor’s believes industry revenues have stabilized in recent quarters, after declining steeply from their peak in 1999, while Lucent’s cost reduction actions have enabled a return to moderate profitability in the past few quarters,” said S&P’s credit analyst Bruce Hyman.
Crown Castle International Corp. announced it extended its offer to exchange newly issued 7.5 percent senior notes due 2013 for $300 million outstanding principal amount of its 7.5 percent existing senior notes due 2013, and newly issued 7.5 percent series B senior notes due 2013 for $300 million outstanding principal amount of its 7.5 percent series B senior notes due 2013. The offer’s expiration date was extended through March 12.
Texas Instruments Inc. shares took a 4-percent tumble on the news of its optimistic first-quarter revenue forecast for its semiconductor business. TI said it anticipated revenue of between $2.8 billion and $2.9 billion and earnings of between 19 cents per share and 22 cents per share. “I would describe what we’re seeing as pretty broad-based strength,” said Ron Slaymaker, the company’s vice president of investor relations. Analysts think the modest performance of the shares reflects a pattern of caution among buyers in the Nasdaq and Philadelphia Semiconductor Index.
Rural Cellular Corp. said it will offer $510 million aggregate principal amount of its senior secured floating rate notes due 2010 and senior secured notes due 2012 and it anticipates putting in place a new revolving credit facility. The carrier said it plans to use net proceeds from the offering as well as some of its current cash balances to repay all outstanding obligations under its existing credit agreement, to terminate interest rate swap agreements associated with the existing credit agreement, and to pay fees and expenses associated with its new revolving credit agreement and notes offering.
