S&P rates Tyco notes A-

Standard & Poor's said it assigned an A- rating to Tyco International Finance SA's offering of $500 million senior unsecured notes due in 2015. Its parent, Tyco International Ltd., guarantees the notes, which are a drawdown from the group's existing mixed shelf registration.

The company intends to use the net proceeds from the offering, along with other available funds, to redeem all of the outstanding 6.375% notes due October 2011, S&P said.

The ratings reflect the company's strong business risk profile as a leading global provider of security, safety and industrial products and services, the agency said.

The ratings also reflect Tyco's intermediate financial profile, marked by disciplined financing policies, moderate debt leverage and stable cash flow characteristics, S&P added.

The competitive nature of Tyco's end markets, the capital intensiveness of the security business and its limited current capacity for higher leverage at the A- rating temper these factors, the agency said.

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