Standard&Poor's Ratings Services derives its 'BB+' long-term corporate credit rating on Cogeco Cable Inc. from the following factors: Our anchor of 'bbb-', reflects our "satisfactory" business risk and "significant" financial risk profile assessments for the company We used 'bbb-' as the anchor instead of 'bb+' because we believe Cogeco's business risk profile is firmly within the satisfactory category, given its above-average profitability and good market position We apply a downward adjustment of one notch for financial policy based on our view that the company is likely to pursue additional debt-funded acquisitions in the future which could pressure leverage Solid market position as the incumbent provider of subscription based cable services in the suburban markets of Ontario and Quebec
