S&P: Verizon unaffected

Standard & Poor's said its ratings on Verizon Communications Inc. (A+/negative/--) and Cellco Partnership (d/b/a/ Verizon Wireless) (A+/negative/--) are not affected by the announced definitive agreement to purchase all of NextWave Telecom Inc.'s PCS spectrum for $3 billion.

S&P said Verizon's good cash flow generation and proceeds from pending asset sales can support this transaction. The purchase is expected to close by mid 2005, following NextWave's exit from bankruptcy.

In the third quarter of 2004, Verizon's revenues grew about 7% year over year, reflecting the continued strong growth of Verizon Wireless' subscriber base and increased penetration of its other growth businesses, according to S&P.

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