Fitch assigns Telmex notes A-

Fitch Ratings said it has assigned Telefonos de Mexico, SAB de CV's $500 million of 5½% senior notes due 2019 A-.

Fitch added that it currently rates Telmex's local and foreign currency issuer default ratings at A- with a stable outlook.

Proceeds from the offering are expected to be used for general corporate uses, the agency said, noting that Telmex's rating are supported by the company's leading position as a fixed line telecommunications provider in Mexico, robust multiservice network, strong cash flow generation and a sound financial profile.

Conversely, the ratings are tempered by increased regulatory risk, heightened competition and traffic migration from fixed to mobile networks, the agency said.

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