Leading market position in process control and yield management solutions within the semiconductor capital equipment industry Strong, long-term customer relationships High industry volatility and customer concentration Strong free operating cash flow (FOCF) partly offset by meaningful dividend payments Strong liquidity with $3.1 billion cash and investments on hand Adjusted leverage near the 0.5x area The stable outlook reflects our view that KLA-Tencor Corp. will be able to maintain its strong market position in the process control and yield management segments of the semiconductor capital equipment industry while maintaining adjusted leverage below the mid-2x area. We could lower our ratings on the company if a pronounced industry contraction hampers its business performance, leading to a reduction in EBITDA and cash flow such
