One Year Gives 156 3A&Nbsp; The Dagong International Is Suspected Of Spamming Rating.

In August 16th, the daily economic news reporter from

"Not only partial to the Ministry of railways, but also the local rating agency of Dagong, which is very partial to all kinds of corporate bonds and city investment bonds of central enterprises, and the highest credit rating of 'AAA' is heavily" wholesale ".

An industry insider told the daily economic news reporter.

Combing reporters found that from August 19, 2010 to now, 156 companies and institutions that were awarded the "AAA" rating by Dagong international are many central business and local government financing platform company bonds.

Analysts say it is reasonable for big Chinese companies to be favoured, but the city's investment debt is also known as "AAA" in a stormy city.

Preference for city investment bonds

In August 8th, the Ministry of Railways issued 90 days' ultra short term financing coupons for 20 billion yuan. This is not the first time that the Ministry of Railways issued bonds. But at that time, the Ministry of Railways still had a "AAA" rating on its credit rating.

In the 156 "AAA" ratings given by Dagong in the past 1 years, the reporter statistics found that there were 15 enterprises credit rating, 3 corporate bond rating, 113 tracking credit rating, 4 corporate bond rating, 2 financial bond rating and 19 credit rating for medium term bills.

In the same period, the number of ratings released by the official website of Dagong international was 624, and the "AAA" rating was 25%.

Reporters noted that China's water conservancy and hydropower construction Limited by Share Ltd, Fengtai District state

In addition, Dagong returned to Changsha city construction investment and Development Group Co., Ltd. 2010 corporate bonds, Hangzhou City Construction Development Co., Ltd. 2005 corporate bonds, Hefei Construction Investment Holdings (Group) Co., Ltd. 2008 corporate bonds and other local government financing platform company bonds, with "AAA" tracking rating.

Take Anhui Hefei Construction Investment Holdings (Group) Co., Ltd. in 2009 as the example of corporate bond tracking rating. In June 30th this year, Dagong maintained its credit rating of "AAA" in 2009, maintaining the main credit rating at "AA+" and maintaining a stable rating outlook.

According to the rating report, the favorable factor is that Hefei is located in the central part of China, with convenient pportation facilities, and has regional advantages in undertaking the industrial pformation of the Yangtze River Delta. In recent years, the construction of economic cities has been developing rapidly.

In 2010, Hefei's fiscal revenue grew rapidly, and its financial strength continued to increase. As the main body of investment and financing of Hefei's urban infrastructure construction, the company continued to receive strong support from the Hefei municipal government.

With its accounts receivable in Hefei Municipal Finance Bureau as collateral, the company still has a strong credit enhancement role.

Is the risk of local platform neglected?

"From the Ministry of Railways credit rating standard AAA level, rating agencies are very concerned about the borrower background and potential repayment ability.

In line with the current system of the Ministry of Railways and government, and the potential financial solvency, the AAA level is too optimistic.

Cai Jianming, a pportation researcher at CIC, told the daily economic news reporter.

At present, more doubts about Dagong international also come from its rating of city investment bonds.

The reporter noted that in the two months since June, Dagong's credit rating was most concentrated, with 20 of the corporate debt rating being upgraded, of which 16 were municipal bonds.

According to WIND information statistics, the main rating of the city investment bonds that are in the focus of attention is the "10 Liaoyuan debt" and the "10 Jinhai Thai debt" rating, respectively. The former A+ and AA are increased to AA- and AA+ respectively, the up time is July 5th and July 8th respectively, and the rating agencies are also Dagong international.

But the background of the same period is that the central bank's interest rate hike in July led to an increase in the cost of local financing platforms. The CBRC raised the market's concerns by introducing regulatory measures such as raising the standard of bank credit debt to capital ratio from zero to 20%.

Guo Hai securities's recent report also pointed out that the market's fear of credit debt has exceeded inflation.

The credit risk of financing platform may not break out, but the crisis of trust has come true.

"In many places, the annual fiscal revenue is obviously not enough to repay interest. In this case, credit rating is still so high?"

A commercial bank has questioned it.

According to the bank's internal rating, credit rating A- is already better, but the Rating firm's worst credit rating is A+.

For risk, Dagong's multiple rating reports also mentioned that "the negative factor is that the government's fund income is relatively high in local fiscal revenue, and the company's interest bearing liabilities have a certain scale growth in 2010."

Although the default risk of local financing platform has also been mentioned, many of them have not affected the rating of bonds issued.

In 2010, when the European debt crisis broke out, economists began to pay attention to the role of rating agencies in the crisis.

Krugman, an American economist, once "exposed" that the market research organization was based on selling research reports and market evaluation opinions to investors at the beginning of the rating agency. Later, it began to "smell" and became a service provider who was employed by the issuing party and provided "credit Notarization" for bonds.

"We had a large share of the debt market in the city, and it should be adjusted at the same time. Other companies have also raised a lot."

A grand duke responded.

A member of Dagong international, who declined to be named, told the daily economic news reporter, "this is a problem of the whole industry."

As a domestic rating agency, Dagong's international path was not smooth. In April 15, 2010, the SEC rejected Dagong's entry into the US market.

However, the above said, "the rating of the Grand Duke is objective and fair. Although some companies also want to spend their money on rating, we refuse to do so, preferring to lose customers and maintain credibility.

In recent years, the market share of Dagong has dropped from 40% to 20%, and there are reasons for this.