Fragmented and competitive operating environment. Salesforce integration challenges following the HEAT Software and LANDesk merger. Good brand recognition for Ivanti products (Endpoint Manager, ITAM, and ITSM products). Diverse customer base. S&P Global Ratings-adjusted leverage in the low-9x area. Negative free cash flow in 2017 due to one-time expenses related to the HEAT and RES acquisitions. Projected free cash flow to debt in the 2%-3% range in 2018. Financial sponsor ownership with aggressive financial policies. The stable outlook reflects our view that Ivanti Software Inc. will stabilize its salesforce issues in fiscal 2018 and maintain its meaningful base of recurring revenue, while deleveraging to around 9x and generating positive free cash flow over the next 12 months. We could lower the
