The ratings on France-based Klépierre S.A. primarily reflect the company's strong positions in property and in the management of large food-anchored shopping centers, its broad variety of assets and tenants, geographic diversity, and solid operating performances. These strengths translate into resilient cash flow streams. They are mitigated by the company's moderate debt leverage and large expansion projects primarily targeting foreign markets. Standard&Poor's views Klépierre's development policy as prudent overall, in terms of amounts involved and risk taking, although this is somewhat tempered by on-going exposure to development risks, including construction risks in France. With a portfolio market value of €4.9 billion at end-June 2003, Klépierre is the third-largest player in the French property market and the second retail
