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 of core residential phone business Solid cash flow generation with good visibility into future results Slowing wireless growth and potential for increasing price competition Leverage is supportive, albeit high, for the financial risk assessment, at about 2.7x as of Dec. 31, 2013 Large dividend and ongoing share repurchases consume a high percentage of free operating cash flow We expect lower discretionary cash flow for the next few years because of higher cash taxes We arrived at an anchor of 'a-', based on our "strong" business risk and "intermediate" financial risk profile assessments for the company.
