The ratings on France-based property company Klépierre S.A. primarily reflect its large and diversified portfolio, mostly focused on resilient retail assets; high barriers to entry in its main markets, provided by generally tight regulation; and strong position and solid expertise in the ownership and management of shopping center galleries. These business strengths are set to continue to back up Klépierre's cash flow generation and the market values of its retail assets. They are nevertheless tempered by the group's intermediate financial policy; the real estate industry's inherent cyclicality and capital intensity; and some exposure to currently depressed economic conditions, notably in Spain, Portugal and Hungary. The group's "excellent" business risk profile is underpinned by the quality of its assets, which are
