BASF Upgraded To 'A+' On Strong Debt Reduction, More Supportive Financial Policy, Impressive Performance; Outlook Stable

Germany-based chemicals group BASF's 2010 and first-quarter 2011 operating performance has been impressive and we expect its credit metrics to stay well above our previous expectations. We believe management has made debt reduction a priority in 2011, which indicates a more supportive financial policy. We are raising the long-term rating to 'A+' from 'A'. The stable outlook factors in the supportive chemicals industry environment and our expectation that BASF will increase financial flexibility significantly in 2011 through debt reduction. PARIS (Standard&Poor's) May 10, 2011--Standard&Poor's Ratings Services said today that it has raised the corporate credit and unsecured debt ratings on Germany-based chemicals group BASF SE to 'A+' from 'A'. We affirmed the short-term corporate credit rating

RESEARCH BASF Upgraded To 'A+' On Strong Debt Reduction, More Supportive Financial Policy, Impressive Performance; Outlook Stable Publication date: 10-May-2011 Primary Credit Analyst: Karl Nietvelt, Paris (33) 1-4420-6751; karl_nietvelt@standardandpoors...

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