Leading position in Korea's oil refining and marketing (R&M) industry Integrated and diversified business portfolio Flexible financial policy Cyclicality in main businesses Vulnerability to oil and currency fluctuations Weak capital structure The rating on Korea-based SK Energy reflects the company's leading position in Korea's oil refining and marketing industry, integrated and diversified business portfolio, and flexible financial policy. The rating is constrained by cyclicality in the company's main businesses and vulnerability to oil and currency fluctuations. Moreover, the current rating has limited tolerance to the company's overall financial risk profile, including capital structure and cash flow protection measurements. SK Energy is Korea's dominant oil refining and marketing player, with about a 40% market share in the domestic petroleum market, as
