The ratings on U.K.-based mining group Anglo American PLC (Anglo) reflect its above-average business profile as a global mining and natural resource group and its conservative financial profile. As the world's second-largest mining group--behind BHP Billiton PLC (A/Positive/A-1)--Anglo benefits from very strong market positions in a large number of capital-intensive and cyclical extractive industries including platinum, diamonds, gold, and coal. The group has reduced its dependency on South Africa in recent years by pursuing an expansion strategy in Europe, Australia, and South America. In financial 2001, the proportion of EBITDA generated from South Africa was still high, at about 65%, but is expected to fall to about 50% as Anglo continues to expand elsewhere (for example, the acquisition of the
