Standard&Poor's Ratings Services' rating on Liberty Interactive Corp. is based on management's shareholder-favoring policy, including a history of split-offs and debt-financed share repurchases. Prior to the split-off of Liberty Starz and Liberty Capital, Liberty Interactive spun off Liberty Entertainment in November 2009, which included its majority interest in DIRECTV. We believe share repurchases will be an ongoing use of cash, and that management may contemplate acquisitions and, potentially, a dividend. Liberty Interactive's sizable equity portfolio and the solid business prospects of QVC partially mitigate these negative factors. We view Liberty Interactive's business profile as "satisfactory," based on QVC's strong competitive position in TV-based retailing and a history of solid operating performance. We assess Liberty Interactive's financial risk as
