Fitch rates Cableuropa notes BB-

Fitch Ratings said it assigned Nara Cable Funding's proposed senior secured dollar notes due 2018 an expected rating of BB- and an expected recovery rating of RR2. Nara Cable is a finance vehicle for Cableuropa SA.

The long-term issuer default rating is B.

The outlook is positive.

The purpose of the issuance is to refinance part of Cableuropa's secured bank debt, the majority of which currently matures in 2013, according to the agency.

Cableuropa's long term issuer default rating considers the company's revenue and cash flow resilience, despite a difficult economy and communications market, according to the agency.

Leverage, of net debt EBITDA, is 4.6x, and free cash flow margin approaching double digits are potentially already in line with a B+ rating, the agency noted.

Concerns over the economy and the risk of renewed pressure on the consumer - the company's primary source of revenues are constraining factors, Fitch said.

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