The stable outlook reflects our expectation that the company will maintain its average adjusted debt to EBITDA below 2.0x and funds from operations (FFO) to debt above 30% for the next two years, despite expected drops in both crude oil prices and margins that will be partially offset by the effect of a full year's operation of the PQS assets. We could lower the ratings in the next two years if additional leverage, coupled with a decline in operating performance, consistently weakens key credit metrics such that adjusted debt to EBITDA is above 3.0x and FFO to debt is below 30%. This could result from Alpek's inability to sell its cogeneration plants in Mexico or from worsening cash flow generation
