Liberty Interactive Corp. invested $2.4 billion from existing cash in Liberty Broadband Corp. Under the investment plan, Liberty Broadband will use the proceeds to purchase shares representing about 17% to 19% in New Charter Corp., which is the new publicly-traded parent company of the recently merged Time Warner Cable Inc. and Charter Communications Inc. Lower cash balances as a result of the sizable Broadband investment will cause Liberty Interactive's adjusted debt to EBITDA to increase to about 3.9x, which is weak for the ratings since we net cash to reduce debt in our calculation of the company's adjusted leverage. We are affirming the 'BB' corporate credit rating on Liberty Interactive and revising the outlook to negative from stable because of
