Cyclical businesses with limited synergy Cash flow and profitability highly exposed to volatile commodity prices High leverage Strong parent support Diversified business portfolio Adequate liquidity position The rating on Hong Kong-based investment holding company CITIC Resources Holdings Ltd. (CRH) reflects the company's weak stand-alone credit profile, which we assess at 'b', and the strong parent support from CITIC Group Corp. (BBB+/Stable/A-2; cnA+/cnA-1). We assess CRH's business risk profile as "weak" and its financial risk profile as "highly leveraged," as our criteria define the term. We view CRH as a strategically important subsidiary of CITIC Group Corp. This is because CRH is an important platform for the wider group to invest in the natural resources sector, including crude oil production. CITIC
