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/C O R R E C T I O N -- FITCH FINANCIAL WIRE/

 /C O R R E C T I O N -- FITCH FINANCIAL WIRE/
 In NY018, moved on Friday, Oct. 2, we have been informed by a


representative of the company that in the second paragraph the second and third lines, Time Warner Entertainment Co., L.P.'s level of debt to cash flow is approximately "4.6 times(x)," rather than, "4.3 times(x)," and its cash flow coverage of interest is approximately "4.3x," rather than, "3.4x" as originally stated. A corrected version of the release follows. TIME WARNER ENTERTAINMENT $350 MILLION SENIOR DEBT RATED 'BBB-' BY FITCH
 -- FITCH FINANCIAL WIRE --
 NEW YORK, Oct. 2 /PRNewswire/ -- Time Warner Entertainment Co., L.P.'s (TWE) new issue of $350 million senior notes due 2012 is rated 'BBB-' by Fitch. Proceeds from the offering will be used to repay a $250 million loan from Merrill Lynch & Co., Inc., issued in connection with the creation of TWE earlier this year. The remaining $100 million will be used to reduce bank debt. TWE's $850 million outstanding 'BBB-' senior notes and $400 million 'F-3' commercial paper are affirmed. The credit trend is improving.
 The investment grade rating considers TWE's moderate level of debt to cash flow, approximately 4.6 times(x), and cash flow coverage of interest of 4.3x. Further credit support is found in the cable television industry's comparatively strong industry profile, TWE's leading market position in the filmed entertainment and pay television programming businesses, and the demonstrated strong and stable cash-flow generating ability of each of TWE's businesses. While the threat of cable reregulation and competition from other home entertainment delivery systems are concerns, growth opportunities offered by new products and technologies, such as video-on-demand and broadband technology, more than offset the credit risks associated with these negative factors.
 TWE is governed by a limited partnership agreement that, in conjunction with the bank agreement, provides a mechanism for keeping cash flow within TWE. As cash accumulates within the partnership, TWE will be able to pay down bank debt and improve leverage and coverage ratios. This financial structure effectively separates Time Warner into two companies: parent Time Warner Inc. and Time Warner Entertainment.
 Time Warner Entertainment is a self-financing limited partnership that includes cable, filmed entertainment, and HBO programming businesses. It is supported by significant equity investments from Toshiba Corp. and C. Itoh & Co.
 -0- 10/5/92
 /CONTACT: Keith Foley of Fitch, 212-908-0572/ CO: Time Warner Entertainment Co., L.P. ST: New York IN: ENT SU: RTG


LR -- NY060 -- 6581 10/05/92 12:20 EDT
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Copyright 1992 Gale, Cengage Learning. All rights reserved.

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Publication:PR Newswire
Date:Oct 5, 1992
Words:427
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