(The following statement was released by the rating agency)
March 20 - Standard & Poor’s Ratings Services said today that the rating and outlook on Sun Hung Kai Properties Ltd. (A+/Stable/--; cnAAA/--) are not immediately affected by the arrest of the company’s executive director, Kui-yuen Thomas Chan, by the Independent Commission Against Corruption (ICAC). We expect the immediate impact on the company’s business operation and credit profile to be limited because Sun Hung Kai has a well-established management team and business profile. Nevertheless, the incident could create uncertainty at the company’s board and top management, given Mr. Chan’s long service and important role at SHKP.
According to a company announcement, we understand the current investigation by ICAC is against Mr. Chan as an individual. We will assess the impact again if the scope of investigation is expanded to involve other senior management members, or SHKP’s major projects.
Mr. Chan was arrested in connection with an investigation into an offence or offences suspected to have been committed under the Prevention of Bribery Ordinance.