The rating on ViaSat Inc. reflects the risks associated with the company's entry into a new business line with uncertain business prospects. Moreover, while the company has a sustainable position in the government services segment of defense network components and benefits from relatively moderate leverage, at about 3x pro forma for the pending acquisition of satellite-based consumer broadband provider WildBlue Holding Inc., its liquidity through early 2011 is modest, given the substantial capital requirements associated with its launch of satellite ViaSat 1 and the pending acquisition of WildBlue. ViaSat's ability to reposition the WildBlue service with the launch of ViaSat 1 to a higher speed, more robust product will provide an important competitive differentiator over the longer term, given Standard
