Size and diversity of operations that allow for efficient portfolio management. Leading market positions in the global chemicals industry, with well-integrated commodity and specialty activities. Conservative financial profile and strong financial flexibility. Chemicals intermediates business with high exposure to petrochemical feedstock price volatility. Earnings affected by the cyclical swings of chemicals, agrochemicals, and crude oil markets. The ratings on Germany-based chemicals producer BASF AG reflect the group's conservative financial profile, its broadly diversified portfolio of commodity and specialty products, its leading market positions in the global chemicals industry, and the increasing importance of the group's nonchemical activities. In fiscal 2001, BASF had sales of about €32.5 billion ($29.3 billion). The group's size and diversity allow for efficient portfolio management, which
