We expect the financial leverage of China Huarong's non-bank operations to reduce to less than 6.5x in 2018 and stay at a similar level in 2019 owing to considerably slower debt growth, significant capital injections, and sustained internal equity generation. We also expect reduced credit pressure from the banking subsidiary because of a potential capital injection by minority shareholders and the bank's diminishing significance to the group credit profile. We are affirming our 'A-/A-2' issuer credit ratings on China Huarong and the 'BBB+/A-2' issuer credit ratings on Huarong International. We are also affirming our 'BBB+' long-term issue rating on the debt that Huarong International guarantees. We are removing the ratings from CreditWatch. The negative outlook on China Huarong reflects the
