The ratings incorporate Eastman Chemical Co.'s average business profile, reflecting solid market and cost positions in most of its chemicals, plastics, and fibers businesses, and management policies that support the gradual improvement of the financial profile. The company's business profile reflects broad diversification across some differentiated product categories, although operating prospects are still heavily dependant on Eastman's leading positions in the more commodity-like polyethylene terephthalate (PET) and acetate fibers businesses. Eastman is the global leader in the production of PET resins, with approximately 20% of the global market. While profitability has been muted by raw-material price escalation and capacity additions, annual growth in demand for PET resins remains good and intermediate term prospects are favorable. Demand growth is supported by
