Hikvision is the largest provider of video surveillance systems and solutions in China and it is extending its market share lead over competitors. Proposed sanctions by the U.S. government against some Chinese companies could cause supply and production disruption and a decline in credit quality, if enacted. We are affirming our 'A-' long-term issuer rating on Hikvision and 'A-' issue rating on its senior unsecured euro notes. The stable outlook reflects our expectation that Hikvision will see healthy revenue growth (in excess of 15%) in each of the next two years and that it will continue to generate strong cash flow. On Nov. 27, 2018, S&P Global Ratings affirmed its 'A-' long-term issuer credit rating on Hangzhou Hikvision Digital Technology
