Our 'BBB' issuer credit rating on Asciano Ltd. remains on CreditWatch with negative implications pending completion of the proposed acquisition of Asciano by a consortium of investors. As part of the proposed transaction, Asciano will sell its ports, bulk, and auto businesses, and will only retain its existing coal haulage, bulk and intermodal rail segments. We continue to consider that if the transaction proceeds as planned, it will significantly reduce Asciano's business diversity and likely result in a lowering of the long-term rating by one notch. We expect to resolve the CreditWatch when the transaction closes in mid-2016 or is terminated. The ratings were initially placed on CreditWatch on Jan. 29, 2016, following the announcement of a proposed acquisition of
