AT&T;’s Credit Rating Is Lowered by S

AT&T; Corp. had the outlook for its credit rating cut to “negative” from “stable” by Standard & Poor’s because of increasing competition.

The company also had its short-term commercial paper rating reduced to A3 from A2, S&P; said. Bedminster, N.J.-based AT&T;’s long-term credit rating of BBB is the second-lowest investment grade.

AT&T;, with $17.4 billion of debt, has been hurt by competition from wireless and local phone companies, which have pushed down calling prices. Shares of AT&T; rose 61 cents to $21.65- on the NYSE.