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NYNEX CORPORATION UNITS RATINGS AFFIRMED BY FITCH -- FITCH FINANCIAL WIRE --

 NEW YORK, Oct. 6 /PRNewswire/ -- NYNEX Corp.'s 'F-1+' commercial paper rating is affirmed following yesterday's announcement of a decision to invest $1.2 billion in Viacom Inc. Also affirmed are New York Telephone Co.'s 'A+' refunding mortgage bonds, debentures, and notes as well as New England Telephone & Telegraph Co.'s 'AA' debentures and notes. The actions reflect the limited impact on credit quality measures from the Viacom financing and NYNEX's commitment to fund a significant part of the investment with equity.
 NYNEX will purchase 24 million shares of convertible preferred stock, redeemable after five years into 17.1 million shares of Viacom class B nonvoting stock. This represents about 12 percent of Viacom shares. NYNEX or Viacom may reduce NYNEX's investment by $600 million if a Viacom/Paramount Communications Inc. merger is not completed by Aug. 31, 1994.
 NYNEX's debt ratio stood at just under 47 percent at June 30, 1993. The limited additional borrowings associated with the investment in Viacom will result in a manageable increase in leverage. In addition, Fitch expects that the investment will not impair the credit strength of the two telephone subsidiaries, New York Telephone and New England Telephone & Telegraph. Both companies have shown measurable improvement in credit strength over the last two years.
 NYNEX is the largest cable communications operator in the United Kingdom. Fitch believes that the investment in Viacom will allow NYNEX to acquire further significant experience and skills in programming and cable TV operations in the U.S. NYNEX is headquartered in New York.
 -0- 10/6/93
 /CONTACT: Timothy Cain of Fitch, 212-908-0587/
 (NYN)


CO: NYNEX Corporation; Viacom, Inc. ST: New York IN: TLS SU: RTG

TM -- NY084 -- 9501 10/06/93 17:09 EDT
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Publication:PR Newswire
Date:Oct 6, 1993
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