Following Pakuwon's subdued property sales in the third quarter of 2016, we expect favorable macroeconomic trends to help uplift property sales in 2017. The Indonesian property developer has taken on more debt, but its interest servicing capacity remains fairly healthy because of its resilient recurring investment income. We are affirming our 'BB-' long-term corporate credit rating and 'axBB+' long-term ASEAN regional scale rating on Pakuwon. In addition, we are affirming our 'BB-' long-term issue rating on the senior unsecured notes that the company guarantees. We are also assigning our 'BB-' long-term issue rating to Pakuwon's proposed guaranteed senior unsecured notes. The stable outlook reflects our expectation that Pakuwon will maintain its financial strength in the next 12-18 months. On Feb.
