The ratings on BP PLC reflect its excellent business risk profile, based primarily on upstream strengths and integration into refining and marketing, and its minimal financial risk profile, underpinned by a moderately conservative financial profile and policies. BP's excellent business profile, based on its strong and globally diversified asset base, supports the rating through the company's: Very strong, long-lived, cost-competitive, well-diversified global upstream assets which outside Russia are only moderately exposed to country risks. In 2008, BP's upstream production is set to grow 5% based on major successful field start-ups. Strongly performing non-U.S. downstream operations. Moderate growth in consolidated capital expenditures to $21 billion-$22 billion in 2008, despite high industrywide inflation, leaving BP with a pre-dividend free cash flow in
