S&P rates Time Warner notes BBB

Standard & Poor's said it assigned a BBB rating to about $2.25 billion of unsecured notes to be sold by Time Warner Cable Inc. (BBB/stable/A-2) in two tranches, consisting of a 10-year maturity and a 30-year maturity.

The BBB corporate credit rating is unaffected.

The outlook is stable.

Proceeds will be used initially to bolster the cash balance, then the bulk of that cash balance will be used to for the pending $3 billion acquisition of Insight Communications Co. Inc. (B+/stable) and for debt refinancing, including $2.1 billion of 2012 maturities.

Ratings reflect the company's strong business risk profile, underpinned by its position as the second-largest U.S. cable operator, solid cash flow generation and a technically robust network, the agency said.

The company's cable operations are largely mature and there is expected continued loss of video subscribers to satellite and telephone company competitors, the agency noted.

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