Insurance Opinions

[Construction]

'Very Strong' Status, Ownership and Control: The company is wholly owned by the municipal government, which appoints its board members. Major events, including strategic development, acquisitions, disposals and major capex, require the government's approval. The company's operating and financing activities are closely monitored by the municipality. 'Strong' Support Record: YUCH is the largest GRE in Yangzhou with a strong government support record. The company has received large amounts of assets and capital injections from the government over the past few years. In addition, the company received government subsidies of more than CNY900 million 2019. The government also transferred the shares of Jiangsu Huajian Construction Co., Ltd. and Yangzhou Yunhe Urban Construction Investment Group Co., Ltd. to YUCH in 2019. more help 'Moderate' Socio-Political Implications: The company is a holding group and all its businesses are operated by subsidiaries.

https://www.fitchratings.com/research/international-public-finance/fitch-affirms-yangzhou-urban-construction-at-bbb-outlook-stable-25-11-2020