Texhong's financial strength is improving, as reflected in operating results that exceeded our expectation for the first half of 2012. We believe the business risk profile of the China-based textile company remains "weak," primarily due to its susceptibility to cotton price volatility. We are revising the rating outlook to stable from negative to reflect our expectation that Texhong's credit protection measures will continue to improve over the next 12 months, at least. We are affirming the 'BB-' long-term corporate credit rating and issue rating and raising our Greater China regional scale ratings on Texhong and its outstanding senior unsecured notes to 'cnBB+' from 'cnBB'. On Sept. 26, 2012, Standard&Poor's Ratings Services revised the rating outlook on Texhong Textile
