The ratings on Quincy, Mass.-based Atlantic Broadband Finance LLC reflect a highly leveraged financial profile, aggressive competition from direct-to-home (DTH) satellite TV providers for video services and local telephone companies for high-speed data services, cost disadvantages from small company size, and exposure to the below-average growth potential of the company's western Pennsylvania cluster. Tempering factors include the company's second-tier markets, which provide some protection from local telephone companies aggressively deploying facilities-based video offerings in the intermediate term; its position as the dominant provider of pay-TV services in its markets; and growth potential from high-speed data, digital video services, and cable telephony. Atlantic's high leverage and smaller size could limit the company's ability to respond to aggressive competition from DTH providers
