CHESAPEAKE AND POTOMAC TELEPHONE COMPANY OF VIRGINIA $75 MILLION 7.25 PERCENT DEBENTURES DUE 2024 RATED 'AAA'
CHICAGO, April 14 /PRNewswire/ -- Duff & Phelps Credit Rating Co. has assigned a rating of `AAA' (Triple-A) to Chesapeake and Potomac Telephone Company of Virginia's $75 million issuance of 7.25 percent debentures due April 15, 2024. Chesapeake and Potomac of Virginia has strong pre-tax interest coverages, a low operating cost structure, and generally supportive regulation. Construction spending is expected to increase moderately over the next several years yet should continue to be funded primarily from internal sources. Continued regulatory support in Virginia and the Federal Communications Commission's price cap plan should enable the company to sustain stable coverages over the longer term. Chesapeake and Potomac of Virginia, a wholly-owned subsidiary of Bell Atlantic Corporation (NYSE: BEL), provides local telecommunications services and access to the networks of long distance carriers in several parts of Virginia, most importantly the region surrounding the nation's capital. Local services provides about one-half of revenues. The balance of revenues is provided by access to the networks of long distance carriers, toll services, directory advertising, and other miscellaneous sources. -0- 4/14/93 /CONTACT: William A. Abrams, CFA of Duff & Phelps Credit Rating Co., 312-368-3112/ (BEL)
CO: Chesapeake and Potomac Telephone Company of Virginia ST: Virginia IN: TLS SU: RTG
TM -- NY094 -- 5866 04/14/93 16:03 EDT
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|Date:||Apr 14, 1993|
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