The combination of a "strong" business risk profile and an "intermediate" financial risk profile results in a split anchor of 'a-' or 'bbb+'. For BAE, we assess the anchor as 'bbb+,' reflecting the company being at the weaker end of a "strong" business risk profile score compared with peers. Strong competitive position in global defense markets through a portfolio of geographically diverse high-priority programs. Stable operating margins. Weaker global defense procurement spending, particularly in the U.S. Consistent generation of positive free cash flow and strong liquidity, which we anticipate will continue over our 2014-2016 forecast period. A substantial pension deficit that requires ongoing cash contributions. Standard&Poor's Ratings Services' stable outlook on BAE Systems PLC reflects our expectation that
