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  1. Technology
August 1, 1994


By CBR Staff Writer

Pacific Telecom Inc’s senior unsecured medium-term notes rating has been lowered to B-double A-1 from A3, by Moody’s Investors Service Inc. Moody’s expects cash flows from Pacific Telecom’s Alascom subsidiary will be significantly reduced starting in 1996 as a result of direct competition with AT&T Corp in the Alaskan long-distance market. It also fears that that the upcoming debt-funded acquisitions of local exchange telephone properties will impair Pacific Telecom’s financial flexibility.

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