World leading integrated chemical producer, with unique "Verbund" integration strategy; Improving business profile, owing to continuing expansion of businesses not following the petrochemical cycle, such as oil and gas, construction chemicals, and crop protection; Excellent product diversification and strong geographic diversification; and Modest financial risk and strong cash flow generation capability. Highly capital intensive chemical and plastic business and high sensitivity to demand/supply imbalances resulting in volatile earnings and cash flow; and Continuous need for cost and portfolio optimization in the chemical business. The ratings on Germany-based chemicals producer BASF AG reflect the group's modest financial risk and its global leadership as an integrated chemicals producer, benefiting from a broadly diversified portfolio of commodity and specialty chemicals, crop protection products,
