Market leader in the higher education enterprise resource planning (ERP) market Competitive landscape, with ERP products available from Workday and Oracle Stable customer base with a large proportion of recurring revenues High retention rates, in the 96%-98% range Above-average annual maintenance price increases, in the 5% area Increasing deferred revenue trends Financial sponsor ownership Very high S&P Global Ratings-adjusted leverage, around 12x as of second-quarter 2017 Annual free operating cash flow of $60 million or better Lower operating margins over the near term, due to ongoing SaaS transition and higher investments in its technology platform The stable outlook reflects Sophia L.P.'s leading position in the higher education ERP software market, its stable and recurring revenue base, and our expectation that
