S&P affirms MetroPCS, Leap

Standard & Poor's said it affirmed the B- corporate credit ratings on wireless carriers MetroPCS Communications Inc. and Leap Wireless International Inc.

The outlook is positive.

This follows MetroPCS' recently announced offer to merge with Leap in a stock-for-stock transaction.

"While a merger likely will produce some synergies, the amount and timing of such benefits are uncertain, and there will be integration costs," S&P credit analyst Catherine Cosentino said in a written statement.

However, any cost savings or incremental revenue achieved would bolster the positive outlooks on both companies, according to S&P, since the combined company's ability to achieve net free cash flow would be enhanced.

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