The rating on Nexstar Broadcast Group LLC reflects financial risk from debt financed acquisition activity, the potential for future station purchases, and the mature revenue and cash flow growth prospects in the competitive television broadcasting business. These factors are only partially offset by the company's cash flow diversity from major network affiliated television stations in small- and mid-size markets, the stations' decent positions in most markets, good margin and discretionary cash flow potential of the television broadcasting business, and sustainable station asset values. ABRY Partners has significant voting control of the company. Nexstar owns and operates 45 television stations pro forma for pending transactions in 27 small to mid-size markets that reach approximately 7.4% of U.S. television households. Less intense
