American Tower Corp. Jan 07
- ID: 2086097
- January 2007
- Region: United States
- Standard & Poors
Favorable business characteristics, including criticality to wireless operations, good revenue stability, high switching costs for customers, substantial barriers to entry, and low technology risk; High operating leverage, providing relatively rapid improvement in margins with additional tenant contracts; Very limited ongoing maintenance capital expenditure requirements; and Limited exposure to wireless consolidation, given the limited network overlap of consolidating carriers and the fact that any such losses would be more than offset by additional lease commitments to support higher capacity requirements. High degree of financial leverage with debt to 2006 third-quarter EBITDA at about 4.1x, excluding operating lease adjustments and non-cash compensation expense (5.7x, including operating lease adjustments); and Uncertainty about the direction of future financial policy. As tenant tower co-location slows...
Companies mentioned in this report are: American Tower Corp.,American Tower L.P.,American Towers Inc.,SpectraSite Inc.,American Tower International Inc.,SpectraSite Communications Inc.,American Tower LLC
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Full Analysis