Fitch: PetroChina, Sinopec, Chalco to negative

Fitch Ratings said it revised the outlooks on the long-term local-currency issuer default ratings of PetroChina Co. Ltd., China Petroleum and Chemical Corp. (Sinopec) and Aluminum Corp. of China Ltd. (Chalco) to negative from stable.

These actions are triggered by the revision of the outlook for China's long-term local-currency issuer default rating to negative from stable.

The agency also affirmed PetroChina's long-term local-currency issuer default rating at AA-, long-term foreign-currency issuer default rating at A+, short-term local-currency issuer default rating at F1+ and short-term foreign-currency issuer default rating at F1.

Sinopec's long-term local-currency issuer default rating was affirmed at A, long-term foreign-currency issuer default rating at A-, short-term local-currency issuer default rating at F1 and short-term foreign-currency issuer default rating at F2.

Chalco's long-term local-currency issuer default rating was affirmed at A-, long-term foreign-currency issuer default rating at BBB+, short-term local-currency issuer default rating at F2 and short-term foreign-currency issuer default rating at F2.

PetroChina's ratings are capped at the ratings of the Chinese sovereign, the company's ultimate majority owner, Fitch said.

Sinopec's and Chalco's ratings are assessed using a top-down approach under the agency's parent-subsidiary methodology and reflect a downward adjustment of two and three notches, respectively, from China's ratings, the agency said.

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