The ratings on Germany-based HeidelbergCement AG (HC) are supported by its good profitability, strong market positions as a leading global player in heavy construction materials, and extensive geographic diversity, which translate into strong cash-flow generation. These strengths are offset by the group's aggressive financial profile after the mostly debt-financed Hanson acquisition. With sales of about €10.7 billion in 2007, HC is one of the largest fully integrated global heavy building materials companies alongside Holcim Ltd. (BBB+/Stable/A-2), Lafarge S.A. (BBB/Stable/A-2), and Cemex Inc. (BBB/Negative/--) after the acquisition of Rinker Group Ltd. (BBB/Negative/A-2). The acquisition of U.K.-based building material group Hanson PLC, which was completed on Aug. 23, 2007, contributed €2 billion to 2007 turnover. The acquisition has significantly improved HC's market
