Fitch: CSC's Ratings Unaffected by Fully Drawn Bank Facility

NEW YORK--(Business Wire)--
Fitch Ratings believes Computer Sciences Corp.'s (NYSE: CSC)
decision to fully draw its $1.5 billion revolving credit facility due
to ongoing disruptions in the commercial paper (CP) market will not
affect CSC's ratings in the near term. Fitch will monitor CSC's
upcoming earnings report scheduled for Nov. 12 and expects to meet
with management thereafter for an annual review of operations, capital
structure strategy and cash investment policies.

CSC announced today that it borrowed $1.5 billion under a $1.5
billion committed revolving credit facility maturing on July 12, 2012,
the proceeds of which will be used to repay outstanding CP and term
debt, and bolster cash balances. Although drawing fully on a bank
facility has historically been viewed as a critical red flag, often
signaling a liquidity crisis, Fitch recognizes that CSC's decision was
motivated by special circumstances, specifically the instability of
the CP market, rather than liquidity and/or operational challenges.

Pro forma for the transaction, Fitch estimates CSC's total debt
will increase to nearly $4.6 billion from $3.8 billion as of July, 4,
2008, but net debt will remain unchanged due to a corresponding
increase in the company's cash balances. Approximately $700 million of
the $1.5 billion of proceeds will be used to redeem CP currently
outstanding as CSC will discontinue its use of the CP market. Fitch
anticipates that the remaining $800 million of proceeds will be
retained for general corporate purposes, including the repayment of
$200 million of 6.25% senior notes upon maturity in March 2009. After
March 2009, CSC's next significant debt maturity occurs in June 2011,
when $500 million of 7.375% term notes are due.

Fitch currently rates CSC as follows:

--Issuer default rating (IDR) at 'BBB+';

--Senior unsecured debt at 'BBB+';

--Bank credit facility at 'BBB+';

--Commercial paper rating at 'F2'.

The Rating Outlook is currently Stable.

Fitch's rating definitions and the terms of use of such ratings
are available on the agency's public site, www.fitchratings.com.
Published ratings, criteria and methodologies are available from this
site, at all times. Fitch's code of conduct, confidentiality,
conflicts of interest, affiliate firewall, compliance and other
relevant policies and procedures are also available from the 'Code of
Conduct' section of this site.

Fitch Ratings, New York
John M. Witt, CFA, +1-212-908-0673
Nick P. Nilarp, CFA, +1-212-908-0649
Cindy Stoller, +1-212-908-0526 (Media Relations)
cindy.stoller@fitchratings.com

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