Moscow, 10 June 2016  – UC RUSAL (SEHK: 486; Euronext: RUSAL/RUAL; Moscow Exchange: RUAL/RUALR), a leading global aluminium producer, has been assigned a AA+ corporate credit rating with Stable outlook by rating agency China Chengxin Securities Rating Co., Ltd. (“CCXR”), China’s first nationwide credit rating agency.

The assigned AA+ rating reflects that UC RUSAL has the capacity to comfortably meet its financial obligations, is less susceptible to adverse economic conditions and has a very low risk of default. The stable outlook takes into account possible changes in economic or business fundamentals, indicating the medium to long-term trend of the Company’s credit rating. 

CCXR analysts acknowledged the role of economies of scale at RUSAL, as well as the high level of vertical integration, which provides a strong advantage in terms of production costs, and mature sales network of the Company. The rating report also notes the positive role of RUSAL’s strategic investment with MMC Norilsk Nickel, emphasizing the fact that the diversification increases the Company’s ability to withstand operational risks, whilst dividend payments from associates and joint ventures make a powerful addition to profit and cash flow. 
 
“The respected rating assigned to RUSAL by CCXR nationwide rating agency of China has acknowledged our financial strength and stability. The Chinese market and the Asian region as a whole are a core importance in our development strategy. UC RUSAL’s shares are traded on the HKSE, and the value given to us by the Asian market is very important for the Company from potential borrowing terms and the fair market value of RUSAL’s securities,” commented UC RUSAL’s Deputy CEO Oleg Mukhamedshin.

Note

China Chengxin Securities Rating Company is a subsidiary of China Chengxin Credit Management Co. Ltd., the first Chinese credit rating company established in 1992, which subsequently established China Chengxin (Asia Pacific) Credit Ratings Company Limited and formed China Chengxin International Credit Rating Company Limited with Moody’s. Together, the companies provide a full range of credit-rating services to corporations and institutions which issue debts in the Chinese domestic market. The China Chengxin Credit Rating Group has rated more than 10,000 corporations, banks, and financial institutions in the domestic market of China and the international market over the past 24 years. 

China Chengxin (Asia Pacific) Credit Ratings Company Limited received a Type 10 License (Providing Credit Rating Services) from the Hong Kong Securities and Futures Commission in 2012, becoming the first Chinese credit rating company from the Mainland operating in the international market.

Credit ratings calculated by CCXR classify from АAA (highly solvent and basically immune from any adverse changes in economic environment, so the entity is at an extremely low risk of default) to C (unable to meet debt obligations). 

Credit rating classified AA (next to the top AAA rating) signifies the rated entity is very solvent and relatively insensitive to any adverse changes in economic environment, so the entity is at a very low risk of default.