People's Bank of China Notice [2004] No.22

Issued: December 30 2004

Main contents: Institutions intending to issue bonds in the interbank bond market and bonds to be issued thereby shall both be subject to credit ratings by credit rating institutions that have completed commerce and industry registration in China and have the ability to conduct credit ratings for bonds, except where credit ratings are unnecessary (Item One). Where security is provided to the bonds to be issued, credit rating institutions shall also conduct credit ratings on the security provider and the value added to the bonds. Credit ratings reports shall include evaluations with such aspects as the policy environment, capital adequacy levels, liquidity, asset quality, profitability, management quality, credit risk management, market risk management, liquidity risk management, credit guarantee and value added to credit (Item Three).