If you look at the universe and study the universe, what you find is that there is no evidence that we need anything other than the laws of physics and the other laws of science to explain everything we see. There's absolutely no evidence that we need any supernatural hand of god. -- Lawrence Krauss, World-Renowned Physicist
There is probably no other notion in any field of science that has been as extensively tested and as thoroughly corroborated as the evolutionary origin of living organisms. -- Encyclopedia Britannica
FAITH. No one word personifies the absolute worst and most wicked properties of religion better than that. Faith is mind-rot. It’s the poison that destroys critical thinking, undermines evidence, and leads people into lives dedicated to absurdity. It’s a parasite regarded as a virtue. -- PZ Myers
Religion is the antithesis of science, an anesthetic for the mind that disables critical thought and encourages the acceptance of inanity as fact, and wishful thinking as evidence. -- PZ Myers

Thursday, September 1, 2016

Fantastic good news for AT&T. Moody's changed their outlook from negative to stable. This was the one thing I was worried about but now everything is OK.

Rating Action:
Moody's affirms AT&T's Baa1 rating; changes outlook to stable
Global Credit Research - 29 Aug 2016

New York, August 29, 2016 -- Moody's Investors Service, ("Moody's") has affirmed the Baa1 senior unsecured rating and Prime-2 commercial paper rating of AT&T Inc. ("AT&T" or "the company") and changed the outlook to stable from negative based on its improved fundamental credit profile. The key drivers of the outlook change are AT&T's progress with and outlook for cost savings benefits and a more stable wireless subscriber base.

The stable outlook reflects Moody's view that AT&T will continue to grow EBITDA and improve margins such that leverage declines from 3.1x (Moody's adjusted) as of June 30 to below 3x within 12-18 months. Moody's projects AT&T's leverage will remain near or slightly above 3.0x (Moody's adjusted) for 2016, the limit identified for its Baa1 rating, but anticipates leverage to decline as synergies and cost savings initiatives become fully realized. AT&T's wireless subscriber base has stabilized as it continues to grow its Cricket prepaid brand faster than it loses post-paid feature phone subscribers. Branded phone subscribers have grown each of the last three quarters, despite intense competition. These positives are offset by Moody's belief that AT&T's cash flows will continue to be pressured as the company requires additional capital to support ongoing investments. But, the majority of the negative cash flow effect of equipment installment plans (EIPs) is behind AT&T and its current spectrum holdings allow it to be selective in the ongoing incentive auction.

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