Strong market position as one of the two largest wireless providers in the U.S. Growth in U-Verse video and broadband service, helping offset secular decline in core residential phone business. Solid cash flow generation and good visibility into future results. Slowing wireless growth and potential for increasing price competition. Improved diversity and scale in the video business from the proposed acquisition of DIRECTV, although with increased exposure to a mature pay TV market in the U.S., that is being threatened by alternative video sources. Leverage is supportive, albeit high, for the financial risk assessment at about 2.7x as of March 31, 2014. We expect leverage to be in the high-2x area by year-end 2015, pro forma for the proposed acquisition
