This report does not constitute a rating action. Overview Key strengths Key risks Robust support from controlling shareholder Qingdao municipal government, which has a strong economic base. Highly leveraged, with large debt balance arising from ongoing capital investments. Toll fee revenue from Qingdao Jiaozhou Bay tunnels, contributes sizable and stable cash flow to the group. Large short-term debt maturities stemming from the substantive use of short-term borrowings. Strong funding access to capital markets and banks. QCD is one of the major local government financing vehicles (LGFVs) of the Qingdao municipal government. The company has three key segments, modern marine industry, industrial finance, and infrastructure. Among the state-owned enterprises in the city, this company is the leader in the development of
