AAA is the highest level of rating that all agencies in the world can give, and therefore, the number of companies receiving this rating is much less and mainly for large central state-owned enterprises. On June 16th, Evergrande (3333.HK) announced to issue bonds within the territory of China. The main body and bonds are simultaneously given AAA rating by three institutions, which is the first time in china.

        The announcement showed that the total amount of the bonds issued within the territory of China was not more than 20 billion Yuan, with the issue size of 5 billion Yuan at a five-year period and the interest rate inquiry within 4.3-5.8% in the first phase. June 19th would be the starting date for the issuance of the bonds. It is understood that this is the first time for the red chip company to issue bonds.

        Agencies granting Evergrande the highest AAA rating include China Cheng Xin Credit Rating Co. Ltd. (CCXR), Dagong Global Credit Rating Co., Ltd. (Dagong) and United Ratings, which are the largest and also the most authoritative credit rating agencies.