TEXT-S&P rates Crown Castle's notes 'B-'

Wed Oct 3, 2012 12:15pm EDT

Oct 3 - Standard & Poor's Ratings Services said today that it assigned its
'B-' issue-level and '6' recovery ratings to Crown Castle International Corp.'s
 $1.65 billion proposed senior unsecured notes issue. The company intends
to use the proceeds to partially fund the recently announced acquisition of
rights to about 7,200 T-Mobile USA wireless towers. At the same time, we revised
the recovery rating on subsidiary Crown Castle Operating Co.'s credit facilities
to '3' from '4'. The '6' recovery rating reflects our expectations for
negligible (0%-10%) recovery of principal in the event of payment default and
the '3' recovery rating reflects expectations for meaningful (50%-70%) recovery.
The issue-level rating on the credit facilities remains 'B+'. All other ratings
on the company and its related entities remain unchanged. 

The revision to the recovery rating on the credit facilities reflects our 
assumption under our default scenario that there will be a larger pool of 
unencumbered assets due to the additional of the T-Mobile towers. In our 
recovery analysis, we assume that a limited number of the T-Mobile towers 
remain unencumbered, with the rest used as collateral for future debt 
issuances. 

On Oct. 2, 2012, were revised our rating outlook on Crown Castle to stable 
from positive as a result of our expectation of high leverage associated with 
the T-Mobile tower transaction. We also affirmed our 'B+' corporate credit 
rating and all issue-level ratings on the company. (For more information and 
the complete corporate credit rating rationale, see the research update on 
Crown Castle, published Oct. 2, 2012, on RatingsDirect.) 

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RATINGS LIST

Crown Castle International Corp.
 Corporate Credit Rating           B+/Positive/--

New Ratings

Crown Castle International Corp.
 Senior Unsecured
  $1.65 bil. proposed nts          B-
   Recovery Rating                 6

Issue Rating Unchanged; Recovery Rating Revised
                                   To             From
Crown Castle Operating Co.
 Credit facilities                 B+             B+
   Recovery Rating                 3              4


Complete ratings information is available to subscribers of RatingsDirect on 
the Global Credit Portal at www.globalcreditportal.com. All ratings affected 
by this rating action can be found on Standard & Poor's public Web site at 
www.standardandpoors.com. Use the Ratings search box located in the left 
column.
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