Broad business diversification, with leading positions in attractive product categories such as acetate fibers; Competitive cost position helped by a considerable level of vertical integration and divestiture of low-margin businesses; Use of coal and wood pulp-based feedstocks, which reduces reliance on petrochemicals; and Financial policies that should continue to support an investment-grade rating. Vulnerability to commodity cycles, raw material price volatility, and economic downturns; Currently weak credit metrics for the rating, including sizable unfunded postretirement liabilities; and Risks associated with a large potential gasification project, although these risks have diminished in our view. The ratings incorporate Eastman Chemical Co.'s satisfactory business profile as a diversified global chemicals company with some exposure to economic and chemical cycle downturns, and an intermediate
