Advanced Radio Telecom Rtgs Lwrd, Put on S&PWatch Neg.NEW YORK--(BUSINESS WIRE)--Standard & Poor's CreditWire 6/12/98 -- Standard & Poor's today lowered its rating on Advanced Radio Telecom Corp.'s senior unsecured debt Unsecured debt Debt that does not identify specific assets that the debtholder is entitled to in case of default. to triple-'C' from triple-'C'-plus. The corporate credit rating was lowered to triple-'C'-plus from single-'B'-minus. These ratings are placed on CreditWatch with negative implications. The downgrades and CreditWatch listings reflect heightened concerns about near-term liquidity. Cash balances of $13.5 million at March 31, 1998 are expected to be quickly exhausted through the remainder of 1998, given Advanced Radio Telecom's ongoing operating requirements; the company has yet to identify its financing plans to cover such cash shortfalls. Advanced Radio Telecom's wireless broadband High-speed wireless transmission of data. What is "high" speed is always a changing number. Wireless systems are typically slower than land-based, wireline networks. In the past, wireless broadband started at 250 Kbps, whereas land-based broadband was generally considered to start at T1 network has yet to generate meaningful levels of revenue from its business, and it is expected that the company will need to obtain substantial additional external funding during the remainder of 1998 to meet buildout The construction and implementation of a system. For example, "network buildout" implies constructing the network and going online. expansion and working capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. . Advanced Radio Telecom recently withdrew its planned $125 million debt offering. -- CreditWire CONTACT: Catherine Cosentino, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of (1) 212-208-8198 For more information on criteria or subscriptions: http://www.ratings.standardpoor.com |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion