The ratings on France-based construction and engineered materials manufacturer and distributor Compagnie de Saint-Gobain reflect our view of its strong business profile, underpinned by a broad business mix and geographic diversity. Also supporting the ratings are the group's large size and solid positions in businesses that are mainly subject to local or regional competition, and in which Saint-Gobain has diversified customer bases. Partly offsetting these strengths are Saint-Gobain's acquisitive medium- to long-term strategy and moderate financial policy; and its exposure to cyclical end markets and to energy and raw material input costs. The group is also involved in asbestos-related litigation in the U.S. and antitrust litigation for flat glass in Europe. Saint-Gobain is a world and European leader in a
