Narrow addressable market and limited scale in the insurance broker management software (BMS) industry High level of recurring revenues, strong pricing power, and limited customer concentration Status as one of the leading providers of third-party insurance BMS products and services Forecast fall in leverage to the mid-6x area in fiscal 2016 Free cash flow of over $70 million over the next 12 months Adequate liquidity The stable outlook reflects our expectation that Applied Systems Inc. will maintain its market position as one of two leading players in the property-and-casualty insurance BMS software industry. Additionally, we forecast that the company will continue to increase revenues by mid-single-digit percentages on an organic basis, leading to modest improvements in credit measures over the
