Summary: Alto Paran? S.A. Dec 11

Standard & Poors, December 2011

Abstract
Standard & Poor's Ratings Services 'BB-' corporate credit rating on Argentina-based forest product company Alto Paran- S.A. reflects our belief that the company's 99.97% controlling shareholder, Celulosa Arauco y Constituci-n S.A. (ARAUCO; BBB/Stable/--), has sufficient economic incentives to support the firm. This is mainly because of its strategic importance as a significant foreign subsidiary in Latin America. ARAUCO fully unconditionally guarantees the company's $270 million notes due 2017, which make up the bulk of Alto Paran-'s financial debt. The company's 'b' stand-alone credit profile, in turn, reflects the inherent risks of operating in Argentina; the company's narrow, mostly commodity-oriented product mix; and its modest scale compared with rated peers. Alta Paran-'s competitive cost position in forest management, pulp production, sawmill...

Companies mentioned in this report are: Alto Parana S.A.,Celulosa Arauco y Constitucion S.A.
Action: Review

Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.

This product consists of a Summary Analysis: Bi-annual (at least). An abbreviated analysis containing Standard & Poor's issuer credit ratings as of the time the article was published. The analysis includes a rating rationale - the basis on which the rating was assigned - and an outlook section if the issuer is not on CreditWatch. Financial statistics are not included.

Alto Parana S.A.,Celulosa Arauco y Constitucion S.A.

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