02.05.2014 21:53:00

Viacom Inc. -- Moody's says Viacom's announcement to acquire U.K. based Channel 5 is credit favorable use of the company's free cash flow; credit ratings unaffected

New York, May 02, 2014 -- Moody's Investors Service said that Viacom Inc.'s ("Viacom") Baa2 long term debt rating, Prime-2 short term debt rating and stable outlook will not be impacted by the company's announcement to acquire Channel 5 Broadcasting Limited ("Channel 5") for approximately $757 million. In Moody's opinion, this transaction is a credit positive development for Viacom as it represents a prudent use of its off-shore cash and the company stands to gain access to incremental cash flows and greater business and geographic diversity.

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