Doubts on ‘Stand-Alone’ DirecTV Prompt S&P 'Negative CreditWatch' Move

S&P Global placed DirecTV on “negative CreditWatch” on doubts that the pay-TV company will have a viable business “on a stand-alone basis” after AT&T’s spinoff to TPG is complete later this year (see 2102260022), said the ratings service Monday. “We view the pay-TV distribution segment as having weak business risk characteristics given the secular industry pressures and intense competition from incumbent cable operators,” plus Dish Network and streaming services such as Netflix, Hulu and Disney+. Ongoing financial support from AT&T is “uncertain,” it said.