The ratings on Luxembourg-based SES Global S.A.--the world's largest satellite operator--reflect the company's lower-than-expected leverage after its November 2001 acquisition of GE Americom, as well as the strong revenue and cash flow visibility stemming from a contract backlog of about €6.7 billion (as of June 30, 2002). Although net debt is likely to increase before year-end 2002 following expected heavier satellite-procurement costs in the second half of the year, the company's net debt to EBITDA ratio should remain below 3 times (x) at year-end, a lower level than anticipated. In addition, since SES Global is at the peak of its investment cycle, satellite investments should be significantly reduced as of 2003, enhancing the company's free cash flow generation and further
