Global scale and superior geographic diversification. Good cash flow stability and visibility. Solid EBITDA margins. Strong track record of operating efficiency. Sound long-term growth prospects. Satellite investment peak, resulting in weak free and discretionary cash flows. High operational risk inherent to the satellite industry. Strategy of expanding into potentially more volatile emerging markets and services. Moderate financial flexibility and some foreign exchange risk. The ratings on Luxembourg-based SES S.A. reflect its business risk profile, which we view as "strong," underpinned by its position as a leading global provider of satellite services and its strong revenue and cash flow visibility, stemming from a contract backlog of €7 billion on June 30, 2011. Standard&Poor's Ratings Services also factors into its
