On Oct. 25, 2010, Standard&Poor's Ratings Services assigned its 'BBB+' long-term corporate credit rating to Sinochem Hong Kong (Group) Co. Ltd. (Sinochem HK). The outlook is negative. At the same time, we assigned our 'BBB+' issue rating to the US$1.5 billion 4.5% guaranteed senior notes due 2020 and the 6.3% guaranteed senior notes due 2040 issued by Sinochem Overseas Capital Co. Ltd. Sinochem HK guarantees the notes. "High" likelihood of extraordinary government support Large-scale operations and strong market positions in China Strong capabilities in sourcing and distribution Increasing vertical integration and good business diversification Weak albeit improving profitability Aggressive financial risk profile Business transition risk Information risk The rating on Sinochem HK reflects our opinion that there is
