Announcement: Moody’s says Twitter’s $4 billion repurchase program and $2 billion ASR are credit negative but will not impact its Ba2 credit ratingsGlobal Credit Research – 14 Feb 2022New York, February 14, 2022 — Moody’s Investors Service (“Moody’s”) said that Twitter, Inc.’s (Twitter, Ba2 stable) $4 billion share repurchase program and $2 billion accelerated share repurchase agreement (ASR) are credit negative because the repurchases will reduce the company’s financial capacity and available cash in the short term during a period of continued highly elevated investment in the business. As part of the $4 billion share repurchase program, $2 billion will be completed with an ASR which Moody’s believes will be completed over the next few fiscal quarters, and Moody’s expects the remaining $2 billion to be repurchased over time. The program replaces Twitter’s existing repurchase agreement, which had about $819 million remaining. The program has no immediate effect on Twitter’s Ba2 corporate family rating, Ba2 senior unsecured rating or the stable outlook as Moody’s expects that Twitter will sustain a net cash liquidity position (cash and marketable securities will exceed reported debt), and leverage will decline to under 3.5x over the next few years as the investment cycle eases and revenue and profit growth successfully provide returns on the company’s significant investment.Twitter, Inc., with its headquarters in San Francisco, California, is a social networking internet based mobile and desktop platform that helps users discover and converse about what’s happening in the world right now. As of December 31, 2021, Twitter had 217 million monetizable daily active users and is available in more than 40 languages around the world. The company generated approximately $5.1 billion of revenue in 2021, roughly 89% of which was generated through the company’s Advertising Services segment. 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