/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/150728.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Tuesday, July 28, 2015, Vol. 18, No. 147 Headlines A U S T R A L I A ALL ABOUT: Placed Into Administration DFM UNLEY: In Administration; First Creditors' Meeting Set Aug. 3 DUPRE REVELL: First Creditors' Meeting Set For August 3 DYNAMIC PLATINUM: First Creditors' Meeting Set For August 4 EXCEL TRUCK: First Creditors' Meeting Set For August 4 EXIT ALLIANCE: First Creditors' Meeting Slated For August 6 C H I N A CHINA: Biggest State Banks Recruited Into Stock Market Rescue CHINA: Losing Control as Stocks Crash Amid Emergency Measures CHINA ZHENGTONG: Moody's Retains Ba3 CFR on Potential Spinoff PARKSON RETAIL: Fitch Puts 'BB-' Long-Term IDR on Watch Negative H O N G K O N G CHINA OIL: S&P Lowers CCR to 'BB'; Outlook Stable I N D I A AMMA AGRO: CRISIL Assigns 'B' Rating to INR61MM LT Loan ASHOKA FOAM: ICRA Assigns B+ Rating to INR10cr LT Loan ASTRA LIGHTING: CARE Assigns B- Rating to INR10.73cr LT Loan BALAJI TRADING: CRISIL Assigns B Rating to INR50MM Cash Loan BALDEV METALS: ICRA Reaffirms B+ Rating on INR10cr LT Loan BALMUKUND CEMENT: CRISIL Suspends B+ Rating on INR243.6MM Loan BHANSALI IMPEX: ICRA Assigns B- Rating to INR5.0cr Cash Credit BHARAT ISPAT: Ind-Ra Assigns 'IND BB+' Long-Term Issuer Rating CHANDRA PRABHU: Ind-Ra Assigns 'IND BB' Long-Term Issuer Rating FIREFLY BATTERIES: CARE Reaffirms B+ Rating on INR23cr LT Loan GLINT COSMETICS: CRISIL Assigns B+ Rating to INR30MM Loan GOLDCOIN POLYPLAST: CRISIL Assigns B+ Rating to INR63.2MM Loan INDER MOHAN: CRISIL Assigns B+ Rating to INR60MM Cash Loan JAIPRAKASH ASSOCIATES: CARE Cuts INR19,168.07cr Loan Rating to D JAJOO SURGICALS: ICRA Suspends B+ Rating on INR5.50cr LT Loan JANAKI COTTON: CRISIL Assigns B Rating to INR31MM Term Loan JSR DEVELOPERS: CRISIL Lowers Rating on INR90MM Term Loan to D KANPUR PACKAGERS: CRISIL Assigns 'B' Rating to INR80MM Term Loan KK PROTEINS: ICRA Reaffirms B+ Rating on INR15cr Cash Credit KRISHNA SHIPPING: CRISIL Assigns B+ Rating to INR50MM Loan LIMSON ENGINEERING: CRISIL Reaffirms B+ Rating on INR51.4MM Loan MAHAVIR GLOBAL: CRISIL Assigns B Rating to INR50MM Packing Loan MAHESH EXTRUSIONS: CRISIL Reaffirms B- Rating on INR59MM Loan MILLENNIUM VITRIFIED: ICRA Assigns B+ Rating to INR18.38cr Loan MUKTAR INFRA: CRISIL Reaffirms 'B' Rating on INR341.2MM Loan PARK HEALTH: ICRA Assigns B+ Rating to INR7.36cr Term Loan PARK SARVAMANGALA: CRISIL Assigns B Rating to INR125MM Term Loan POOJA SOYA: CRISIL Lowers Rating on INR200MM Cash Loan to 'D' PREMIER AGRO: CRISIL Upgrades Rating on INR75MM Cash Loan to B+ PREMIER CARWORLD: CRISIL Reaffirms B Rating on INR125MM Cash Loan RADIANT TEXTILES: CRISIL Reaffirms B+ Rating on INR500MM Loan RAJESH HOUSING: CRISIL Assigns B+(SO) Rating to INR1.4BB Loan RAMAWAT CONSTRUCTION: ICRA Suspends B- Rating on INR6cr Loan RUSHI COTTEX: ICRA Lowers Rating on INR15.50cr Loan to 'D' S. M. INFRASTRUCTURE: CRISIL Assigns B+ Rating to INR99MM Loan S.P.Y. AGRO: CARE Raises Rating on INR217.84cr LT Loan to B- SATYAWATI SUBODH: ICRA Suspends B- Rating on INR12.45cr Loan SH INFRATECH: ICRA Assigns 'D' Rating to INR20cr LT Loan SHAKTI BHOG: ICRA Lowers Rating on INR1,925cr CC to 'D' SMT. TARAWANTI: CARE Assigns B+ Rating to INR12.36cr LT Loan SRI CHAITANYA: ICRA Assigns B+ Rating to INR19cr Cash Credit SWAMINATHAN ENTERPRISES: CRISIL Rates INR50MM LT Loan at B- SWITCHGEARS & STRUCTURALS: CRISIL Rates INR105MM Loan at B+ TEXORANGE CORPORATION: Ind-Ra Assigns 'IND BB+' Issuer Rating VERSATILE WIRES: CRISIL Assigns B- Rating to INR48.9MM Loan VIRGO CEMENTS: CRISIL Cuts Rating on INR212.8MM Loan to 'D' VSK LABORATORIES: ICRA Assigns 'B' Rating to INR10cr LT Loan I N D O N E S I A INDONESIA: S&P Assigns 'BB+' Rating to Euro-Denominated Notes J A P A N SOFTBANK GROUP: Moody's Assigns Ba1 Rating on Sr. Unsec. Notes N E W Z E A L A N D Q CARD 2014-1: Fitch Affirms 'BBsf' Rating on Series E Notes P H I L I P P I N E S SECURITY BANK: Fitch Affirms 'BB' IDR; Outlook Stable S I N G A P O R E VIVA INDUSTRIAL: S&P Lowers CCR to 'BB'; Outlook Stable S O U T H K O R E A SK HYNIX: Moody's Retains Ba1 CFR on Weaker Operating Results X X X X X X X X * BOND PRICING: For the Week July 20 to July 24, 2015 - - - - - ================= A U S T R A L I A ================= ALL ABOUT: Placed Into Administration ------------------------------------- Cliff Sanderson at Dissolve.com.au reports that All About Animals Pty Ltd has been placed into administration. Richard William Buckby and Anthony Jay Edward Miskiewicz of KoradaMentha were appointed as administrators of the company on July 22, 2015, the report says. According to the report, the administrators are currently seeking a buyer for the business. The Queensland-based pet care company operates under trading names Bubbles Doggy Day Care and Grooming, All About Animals Veterinary Hospital and Bark and All About Animals Veterinarians. The business has been operating since 2013. DFM UNLEY: In Administration; First Creditors' Meeting Set Aug. 3 ----------------------------------------------------------------- Renee Thompson at SmartCompany reports that a men's grooming salon in South Australia linked to former AFL player Tony Gray has been placed in voluntary administration. Administrators Alan Scott and Stuart Otway of BRI Ferrier were appointed to manage the voluntary administration of DFM Unley, which formerly traded as 'Destination for Men', on July 22, according to SmartCompany. The first meeting of the company's creditors will take place on August 3 in Melbourne, SmartCompany says. Destination For Men, a hair salon on Unley Road in the inner Adelaide suburb of Parkside, was billed as a place for men to get anything from a hair cut to a barber shop shave, massage or skin treatment while relaxing "in comfortable leather lounges in front of the multiple large TV screens while enjoying a complimentary beer, mixed drink or cafe latte". It was placed into liquidation in April last year following a failed franchising deal, the report recalls. The salon later relaunched, with Gray telling Glamadelaide.com in August the salon had undergone a revamp. Administrator Alan Scott of BRI Ferrier told SmartCompany Destination for Men and DFM Unley were related companies but not the same, with "common interests" connecting the two. Mr. Scott confirmed Mr. Gray was a director of DFM Unley but said the company has different shareholders to the liquidated business, SmartCompany relates. According to the report, Mr. Scott said DFM Unley has gone into administration for not making "sufficient money" and for trading at a loss, but there were still hopes the business could be sold and BRI Ferrier is hoping to find a buyer. "The business has a value," he said. Mr. Scott said one or two staff at the salon had been "laid off" as a result of the administration. Destination For Men had unpaid debts of almost AUD1.1 million before it was placed in administration, mostly owed to Mr. Gray himself. DUPRE REVELL: First Creditors' Meeting Set For August 3 ------------------------------------------------------- Peter James Lanthois and Christopher Robert Powell of DuncanPowell were appointed as administrators of Dupre Revell Pty Ltd, trading as Tiffins on the Park, on July 22, 2015. A first meeting of the creditors of the Company will be held at DuncanPowell, Level 4, 70 Pirie Street, Adelaide, in South Australia, on Aug. 3, 2015, at 10:30 a.m. DYNAMIC PLATINUM: First Creditors' Meeting Set For August 4 ----------------------------------------------------------- Anthony Robert Cant of Romanis Cant was appointed as administrator of Dynamic Platinum Group Pty. Ltd. on July 23, 2015. A first meeting of the creditors of the Company will be held at the offices of Romanis Cant, 106 Hardware Street, in Melbourne, Victoria, on Aug. 4, 2015, at 11:00 a.m. EXCEL TRUCK: First Creditors' Meeting Set For August 4 ------------------------------------------------------ Jonathan Paul McLeod of McLeod & Partners was appointed as administrators of Excel Truck Transport Pty Ltd on July 23, 2015. A first meeting of the creditors of the Company will be held at McLeod & Partners, Hermes Building, Level 1, 215 Elizabeth Street, in Brisbane, Queensland, on Aug. 4, 2015, at 10:00 a.m. EXIT ALLIANCE: First Creditors' Meeting Slated For August 6 ----------------------------------------------------------- Jonathan Paul McLeod of McLeod & Partners was appointed as administrator of Exit Alliance Pty Ltd, formerly trading as GPT Advisory & Exit Alliance, on July 27, 2015. A first meeting of the creditors of the Company will be held at McLeod & Partners, Hermes Building, Level 1, 215 Elizabeth Street, in Brisbane, on Aug. 6, 2015, at 10:00 a.m. ========= C H I N A ========= CHINA: Biggest State Banks Recruited Into Stock Market Rescue ------------------------------------------------------------- Gabriel Wildau at the Financial Times reports that the huge scale of Chinese government intervention to staunch a stock market sell- off has been revealed by reports showing the country's biggest state-owned banks have provided the equivalent of more than $200 billion to help prop up equities. Much larger than previously disclosed, the lending to the country's margin finance agency highlights the sense of urgency with which top officials viewed the threat to the financial system and the broader economy as the stock market cratered earlier this month, the FT says. The Shanghai Composite index lost more than a third of its value in roughly three weeks, dropping from a seven-year high in mid- June to hit a low point on July 9, according to the FT. Markets have since rebounded, recovering by 17 per cent. But the magnitude of state support casts doubt on whether the rally is sustainable without government support, says the FT. According to the latest revelations, the big state-owned banks have lent a combined CNY1.3 trillion ($209 billion) in recent weeks to the China Securities Finance Corp, for lending on to brokerages to finance their investment in shares and to purchase mutual funds directly, the FT relays. The report notes that the operation echoes a move by the Hong Kong authorities in 1998 to prop up the local stock market by buying 11 per cent of the Hang Seng, funded by drawing on foreign currency reserves. According to the FT, the CSF was established in 2011 to lend to securities brokerages to support margin lending to stock investors. Amid the tumble in equities, however, the government has deployed CSF as a conduit for injecting rescue funds into the stock market, the report notes. The latest reports reveal that the country's big commercial lenders have been a major funding source for CSF, the FT relays. Caijing, a well-known Chinese financial magazine, reported on July 10 that the country's sixth-largest lender by assets, China Merchants Bank, provided the largest single loan, at CNY186 billion, the FT reports. The FT relates that the country's five largest banks -- Industrial and Commercial Bank of China, China Construction Bank, Agricultural Bank of China, Bank of China and Bank of Communications -- each provided more than CNY100 billion. In total, 17 banks provided interbank loans worth about CNY1.3 trillion through July 13, the magazine reported on its website, relays the FT. CHINA: Losing Control as Stocks Crash Amid Emergency Measures ------------------------------------------------------------- Ambrose Evans-Pritchard at The Telegraph reports that Chinese equities have suffered the sharpest one-day crash in eight years, sending powerful tremors through global commodity markets and smashing currencies across East Asia, Latin America and Africa. The Telegraph relates that the Shanghai Composite index fell 8.5% despite emergency measures to shore up the market, with a roster of the biggest blue-chip companies down by the maximum daily limit of 10%. The report says the mood was further soured by news that corporated profits in China are now contracting in absolute terms, falling 0.3% over the past year. The Telegraph says the violence of the moves unnerved investors worldwide, stirring fears that the Communist Party may be losing control after stoking a series of epic bubbles in property, corporate investment and equities to keep up the blistering pace of economic growth. Brent crude prices slid to a five-month low of $53.34, re-entering a bear market, the report discloses. The DB-UBS commodity index fell to 2002 levels, obliterating the gains of the resource "supercycle," says the Telegraph. The FTSE 100 fell 1.27% to 6.497, dragged down by mining groups and energy companies. All of the year's advances have been wiped out, the report notes. According to the Telegraph, Mark Williams, chief Asia strategist at Capital Economics, said the Chinese authorities appear to have been testing the waters to see what would happen if they stopped intervening. The market verdict was swift and brutal. "They have got themselves into a very difficult situation. They have put a lot of credibility on the line to shore up prices and this credibility has been badly damaged," the report quotes Mr. Williams as saying. The Shanghai index looks poised to test its 200-day moving average, now just below 3,600, a crucial support level watched with trepidation by China's authorities, the Telegraph states. According to the report, the Chinese media reported on July 27 that the state regulator is ready to intervene with yet more stock purchases. It has already bought an estimated $250 billion of equities and has borrowing lines for a further $450 billion if necessary, the Telegraph notes. The Telegraph relates that western banks said they are coming under heavy pressure from Chinese officials to refrain from negative comments. They are effectively gagged if they wish to do business in China, the report relays. "Large parts of the market are closed, and those stocks that are still trading are selling off regardless of support measures. Clearly something very serious is happening," said one economist, the report relays. The long-standing assumption that the Chinese authorities know what they are doing has been shattered, according to the report. The Telegraph says the government's heavy-handed measures include a ban on short sales and on new share issues, as well as pressure on the 300 largest companies to buy back their own stock, and forced purchases of stocks by brokerage houses. Many investors are effectively trapped with margin debt used to buy the stocks, the report says. These liabilities cannot be covered without selling the stocks. The longer the market remains partially frozen, the more likely it will lead to extreme stress, the report notes. According to the Telegraph, David Cui, from Bank of America, said $1.2 trillion of stock holdings are being carried on margin debt. This is 34pc of the free float of the Shanghai and Shenzhen stock markets. "When the market ultimately settles at a level that can be sustained on fundamental reasons, we expect that the financial system may wobble, due to high contagion risk," the report quotes Mr. Cui as saying. "Most leveraged positions may suffer from losses ultimately, likely in trillions (of yuan). The risk is that the unwinding of the leverage will be disorderly: due to implicit guarantees behind most shadow banking products, investors could easily panic," he said. The Telegraph relates that Mr Cui said the brokers and trusts have barely CNY1.6 trillion ($260 billion) to absorb losses and may be overrun. "Given the particularly thin front line of the financial institutions, we suspect that it's a matter of time before banks may have to face the music," Mr. Cui, as cited by the Telegraph, said. This in turn risks setting off a "bank run" on the shadow banking system as investors lose trust in wealth management funds, fearing that their deposits in the $2.1 trillion industry no longer have an implicit guarantee, adds the Telegraph. CHINA ZHENGTONG: Moody's Retains Ba3 CFR on Potential Spinoff ------------------------------------------------------------- Moody's Investors Service says that China ZhengTong Auto Services Holdings Limited's (Ba3 stable) announcement on July 20 regarding its intention to spin off its auto supply chain business for a separate listing is credit positive. However, the proposed transaction will not have an immediate impact on its Ba3 corporate family rating and stable outlook, given the limited scale of the auto supply chain business. "The proposed auto supply chain spinoff will provide new equity capital to support the auto supply chain business' growth and provide a new equity funding channel for ZhengTong," says Gerwin Ho, a Moody's Vice President and Senior Analyst. ZhengTong's auto supply chain business includes its logistics and lubricant oil trading operations. The logistics operation provides vehicle and auto parts transportation as well as warehousing services. The lubricant oil trading operation purchases, re-sells and distributes branded automobile lubricant oil. The auto supply chain business' revenues and gross profit reached RMB600 million and RMB80 million in 2014, respectively, and made up 1.9% and 2.9% of ZhengTong's revenues and gross profit. ZhengTong intends to list its auto supply chain business in China's A-share market. The company is currently in the process of selecting and appointing professional consultants to provide professional services in relation to the potential spin-off, which is also pending regulatory and board approval. If the proposed transaction goes ahead, ZhengTong is expected to retain a controlling stake in its auto supply chain business and to continue to consolidate its accounts. The principal methodology used in this rating was Global Retail Industry, published in June 2011. China ZhengTong Auto Services Holdings Limited is a top auto dealership group in China. The company focuses primarily on the luxury and ultra-luxury car market. It operated 105 dealerships, showrooms as well as maintenance and service locations in China at end-2014. It was listed on the Hong Kong Stock Exchange in 2010. This publication does not announce a credit rating action. PARKSON RETAIL: Fitch Puts 'BB-' Long-Term IDR on Watch Negative ---------------------------------------------------------------- Fitch Ratings has placed Parkson Retail Group Limited's (Parkson) Long-Term Issuer Default Rating (IDR) and senior unsecured rating of 'BB-' on Rating Watch Negative. The 'BB-' rating on its USD500m 4.5% senior notes due 2018 have also been placed on Negative Watch. The rating action follows the company's announcement on 15 July 2015 that it has agreed to buy 67.7% of Parkson Retail Asia Limited (PRA) from its parent, Parkson Holdings Berhad , for S$228m (CNY1.05bn) in cash. The transaction is subject to approval by Parkson's minority shareholders and the agreement of the Securities Industry Council of Singapore (SIC) to waive the mandatory general offer requirement. The successful completion of the acquisition will result in Parkson breaching the negative rating sensitivities of above 6x for adjusted FFO net leverage (adjusted for lease, payables, and customer deposits) and below 1.3x for fixed charge coverage. The Rating Watch will be resolved when the acquisition is completed or when it is terminated, whichever comes first. Parkson's rating will be downgraded by one notch if it successfully acquires PRA. If the acquisition is terminated, Fitch will compare key ratios from Parkson's interim or 3Q results to the thresholds defined below to determine the rating on the company upon the resolution of the Rating Watch. KEY RATING DRIVERS Acquisition to Weaken Liquidity: Parkson already faces severe operational headwinds. We expect Parkson's FFO fixed charge coverage to decline to 1.1x at end-2015 from 1.4x a year ago, assuming the acquisition is successful. We estimate that Parkson had CNY4.5bn cash at end-June 2015. Excluding CNY2.5bn of payables to concessionaires and customers' deposits, Parkson had only CNY2bn in available cash, of which CNY1bn will be used to acquire PRA. Fitch believes the persistent weakness in department store sales in China and losses in the initial years of operation of new stores will continue to pressure Parkson's profitability over the next two years. We expect Parkson's EBITDA to continue falling in 2015, after declining to CNY729m in 2014 from CNY931m in 2013. Its EBITDA margin contracted by 368bp in 2013-14. Structural Subordination: Fitch calculates Parkson's leverage without consolidating PRA's financial data as Parkson's access to PRA's cash flow is only through a dividend declared by PRA. PRA as a listed company will manage its treasury independently of Parkson. We have included PRA's cash dividend in our calculation of Parkson's FFO in generating post-acquisition leverage and coverage ratios. We estimate Parkson's payables-adjusted FFO net leverage will increase to 8.5x at end-2015 following the acquisition, from 6.0x at end-2014. PRA's Operations Deteriorating: PRA's revenue dropped 3.3% to SGD432m and EBITDA fell 4.5% to SGD102m in the financial year ended 30 June 2014 (FY14). Cash in hand declined 15% to SGD151m at FYE14 from a year earlier, while trade payables only slightly decreased 4% to SGD128m during the same period, which together drove up PRA's net debt and leverage. Fitch believes that PRA's performance has been negatively impacted by the implementation of a goods and services tax in Malaysia, the effects of which will continue to be felt in FY16. PRA is a department store operator with 67 stores across Malaysia, Vietnam and Indonesia and Myanmar. PRA has a concessionaire sales business model (80% of total merchandise sales), with mostly leased stores. KEY ASSUMPTIONS Fitch's key assumptions within the rating case for Parkson include: -- Sales proceeds to increase in the low single-digit percentages over the next 24 months; -- EBITDA margin to contract 400bp in 2015, and to stabilise thereafter; -- CNY900 million capex in 2015 and CNY500m a year after that -- 48% dividend payout ratio RATING SENSITIVITIES If the acquisition of PRA is successful, Parkson's ratings will be downgraded by one-notch and Fitch will establish new rating sensitivities following such downgrade. If the acquisition is terminated, the following rating sensitivities will apply: Negative: Future developments that may individually or collectively lead to a negative rating action include: -- Adjusted FFO net leverage (adjusted for lease, payables, and customer deposits) sustained above 6x -- Deterioration in fixed charge coverage to below 1.3x. Positive: Positive rating action is not envisaged as Parkson's ratings are on Negative Watch. However, when the Rating Watch Negative is lifted, the previous Negative Outlook could revert to Stable if Parkson's same-store-sales growth stabilise, while maintaining its credit metrics above thresholds indicated in the negative rating sensitivities. ================ H O N G K O N G ================ CHINA OIL: S&P Lowers CCR to 'BB'; Outlook Stable ------------------------------------------------- Standard & Poor's Ratings Services said that it had lowered its long-term corporate credit on Hong Kong-based utility China Oil and Gas Group Ltd. (COGG) to 'BB' from 'BB+'. The outlook is stable. At the same time, S&P lowered the issue rating on the company's outstanding senior unsecured notes to 'BB' from 'BB+'. S&P also lowered its long-term Greater China regional scale rating on COGG and the notes to 'cnBBB-' from 'cnBBB'. "The downgrade reflects our expectation that a lack of visibility over the potential for full pass-through of costs to customers of COGG's regulated city-gas business in China, coupled with weak oil prices for its acquired upstream business, will prevent a strong recovery in the company's creditworthiness over the next two years," said Standard & Poor's credit analyst Gloria Lu. As a result, S&P estimates that COGG's ratio of funds from operations (FFO) to debt will remain weak at 18%-22% over the same period, lower than S&P's previous downgrade trigger of 25%. Accordingly, S&P has revised COGG's financial risk profile to "significant" from "intermediate." S&P believes COGG remains exposed to regulatory risk for its city gas business in China due to a lack of transparency and consistency in the setting of city-gas tariffs. COGG's large exposure to Qinghai province (mainly the capital city Xining), a less-developed region, has amplified the volatility of its operating cash flows compared with its peers'. Although the Xining government has approved a partial pass through of costs to tariffs beginning from March 2015, it remains uncertain whether it will allow the pass-through of remaining costs over the next 12 months--for COGG to recover its operating cash flows. Tempering these weaknesses is COGG's monopoly for city-gas projects in its service areas, and good track record of obtaining additional concession rights in China. In S&P's base case, it expects the company's gas volumes to grow 10%-15% in 2015 and 2016 through organic growth as well as the acquisition of additional concession rights. Furthermore, S&P believes the diversification of its gas distribution exposure within China will reduce the volatility from Qinghai province and improve the visibility of COGG's operating cash flows, albeit in a gradual manner. In the upstream oil and gas business, S&P expects COGG to remain exposed to the volatility in oil and gas prices, such as the sharp decline in oil prices since its Canadian acquisition in July 2014. Although S&P expects COGG to still be able to generate moderate cash flows from its upstream business, the company's strategy of managing drilling and land acquisitions within the upstream business' operating cash flows is likely to limit its growth potential for at least the next one to two years because S&P expects oil prices to remain low. "The stable outlook reflects our expectation that COGG will gradually grow its domestic gas distribution business with a modest improvement in margins, and maintain its business scale in the upstream business over the next 12-18 months," said Ms. Lu. "We believe a further delay in the pass-through of costs due to soft economic conditions in China, or potential acquisitions upstream may further constrain the company's financial strength." S&P could lower the rating if COGG's ratio of FFO to debt approaches 15% without prospect of recovery. This may be a result of weaker-than-expected operating cash flows caused by further delays in the pass-through of costs. In addition, large acquisitions, such as additional upstream assets, may pressure the ratings on the company. S&P could also downgrade the company if its business partner Kunlun Energy Co. Ltd. develops city-gas business on its own, such that the business prospects of the joint-venture company deteriorate. S&P could raise the rating if it sees improved visibility on the company's ability to pass-through its costs on a timely basis, such that its FFO-to-debt ratio improves and approaches 25% on a sustainable basis. Over the longer term, S&P may raise the ratings if the company improves its business risk profile through further diversification into more favorable geographies within China to improve the visibility of its operating cash flows. ========= I N D I A ========= AMMA AGRO: CRISIL Assigns 'B' Rating to INR61MM LT Loan ------------------------------------------------------- CRISIL has revoked the suspension of its rating on the long-term bank facilities of Amma Agro Farms (AAF) and has assigned its 'CRISIL B/Stable' rating to the facilities. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 25 CRISIL B/Stable (Assigned; Suspension revoked) Long Term Loan 61 CRISIL B/Stable (Assigned; Suspension revoked) The ratings were previously suspended by CRISIL on July 25, 2014, because AAF had not provided the necessary information required for a rating review. The company has now shared the requisite information, enabling CRISIL to assign ratings to its bank facilities. The rating reflects AAF's average financial risk profile, with high gearing and small net worth, and its small scale of operations in an intensely competitive segment. These weaknesses are partially offset by the benefits that AAF derives from its promoters' extensive experience in the poultry industry and its established customer relationships. Outlook: Stable CRISIL believes that AAF will continue to benefit, over the medium term, from its promoters' extensive industry experience and its extensive customer relationships. The outlook may be revised to 'Positive' if AAF records a significant increase in its revenue along with an improvement in its profitability, leading to large cash accruals. Conversely, the outlook may be revised to 'Negative' if AAF's financial risk profile weakens, most likely because of low revenue and profitability, or large working capital cycle, or capital withdrawal by the partners. Incorporated in 2008, AAF is engaged in the poultry business. AAF is promoted by Mr. R D Subramanyam Reddy and his family. The firm is located in Chittoor district (Andhra pradesh). ASHOKA FOAM: ICRA Assigns B+ Rating to INR10cr LT Loan ------------------------------------------------------ ICRA has assigned its long term rating of [ICRA]B+ on the INR10.00 crore term loan limits and INR5.00 crore of cash credit limits of Ashoka Foam Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term fund based 10.00 [ICRA]B+; Assigned limits Term Loan Limits Cash Credit Limit 5.00 [ICRA]B+; Assigned The assigned rating takes into account AFPL's modest installed capacity; its plan to commence operations from October 2015 and the highly competitive and fragmented nature of the industry. The ratings are further constrained by the company being a new player in WPC (Wood Plastic Composite) foam board product segment; vulnerability of AFPL's profitability to raw material price volatility. The rating, however, favorably factors in long experience of the promoters in the furniture and plastic industry; established track record of the promoter group across additional business segments like manufacturing of flexible packaging material, aluminium composite panels, foam, etc through other group companies; and the company's wide distribution network. In ICRA's view, the ability of the firm to ramp up its operations in the initial phase of operations and generate healthy profitability shall be the key rating sensitivities. AFPL is a closely held private limited company started in 2003 and promoted by the members of the Goel Family. AFPL is planning to start with the manufacturing of WPC foam board WPC foam doors, PVC foam board, PVC foam window and PVC Foam doors. The company will conduct dry run of its manufacturing facility in the month of August and will commence operations in October 2015 at its manufacturing facility located in Bareilly, Uttar Pradesh. ASTRA LIGHTING: CARE Assigns B- Rating to INR10.73cr LT Loan ------------------------------------------------------------ CARE assigns 'CARE B-' and 'CARE A4' ratings to the bank facilities of Astra Lighting Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term Bank Facilities 10.73 CARE B- Assigned Short term Bank Facilities 0.74 CARE A4 Assigned Rating Rationale The ratings assigned to the bank facilities of Astra Lighting Limited (ALL) are constrained by the history of debt restructuring, small & declining scale of operations, weak financial risk profile marked by cash losses and weak solvency position. The ratings are further constrained by working capital- intense nature of operations, customer concentration risk, and susceptibility to fluctuation in raw material prices and competitive nature of the industry. The ratings, however, favourably take into account experienced promoters, long track record of operations and reputed customer base. The ability of the company to profitably scale-up its operations, improve its capital structure while managing the working capital requirements efficiently would be the key rating sensitivities. ALL was incorporated in 1997 and is currently being managed by Mr Paramjit Singh Chahal, Mr Parmeet Singh Chahal and Mrs Gurbir Kaur. The company is engaged in the manufacturing of high intensity discharge lamps (HID) used in infrastructure projects, floodlighting of monuments, stadiums, lighting of streets, highways, and parking areas (outdoor), at its manufacturing unit located at Solan, Himachal Pradesh with total installed capacity of 15 lakhs units as on March 31, 2015. The company procures raw material which mainly includes arc lights, glass shells directly from local manufacturers and dealers. Furthermore, the company sells its products, ie, HID lamps directly to various original equipment manufacturers (OEMs) such as Bajaj Electricals Limited, OSRAM India Private Limited, Wipro Enterprises Limited, etc. For FY15 (provisional; refers to the period April 1 to March 31), ALL reported a total income of INR12.67 crore with net losses of INR1.40 crore, as against the total income of INR17.46 crore with net losses of INR7.82 crore in FY14. BALAJI TRADING: CRISIL Assigns B Rating to INR50MM Cash Loan ------------------------------------------------------------ CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facility of Balaji Trading Co. Rajkot (BTC). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 50 CRISIL B/Stable The rating reflects the extensive experience of BTC's promoters in the cotton-trading business, their continued funding support to the firm by way of capital infusion and unsecured loans, and efficient working capital management. These rating strengths are partially offset by BTC's low profitability due to the trading nature of its business and its weak financial risk profile marked by below-average debt protection metrics. Outlook: Stable CRISIL believes that BTC will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the firm reports significant growth in revenue and profitability leading to improvement in its debt protection measures. Conversely, the outlook may be revised to 'Negative' in case of a sharp decline in BTC's revenue and margins leading to significant deterioration in its financial risk profile, or if its liquidity stretches on account of large working capital requirements. BTC, based in Rajkot (Gujarat), trades in cotton bales, cotton seeds, and oil cake. The firm was formed as a proprietorship firm in 2013 by Ms. Manishaben P Kakadiya and managed by Mr. Parvin Kakadiya (husband of Ms. Kakadiya). BTC reported net profit of INR0.72 million on net sales of INR207.2 million for 2014-15 (refers to financial year, April 1 to March 31) against profit of INR0.21 million on net sales of INR119.2 million for 2013-14. BALDEV METALS: ICRA Reaffirms B+ Rating on INR10cr LT Loan ---------------------------------------------------------- ICRA has reaffirmed its long term rating of [ICRA]B+ on the INR10.00 crore fund based bank facilities of Baldev Metals Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based Limits- Long Term 10.00 [ICRA]B+; reaffirmed ICRA's rating continues to be constrained by BMPL's modest scale of operations and its presence in a highly fragmented and competitive industry. The profitability of the company remains vulnerable to fluctuations in aluminium prices as well as adverse movements in foreign exchange rates, as it imports around 20-30% of its raw material requirement. Further, the rating takes into account the company's stretched liquidity position as evidenced by near full utilization of its working capital limits and its thin profitability, which results in modest coverage indicators. ICRA also takes note of the customer concentration to which the company is exposed, with its top three clients accounting for over 50% of its Operating Income (OI). The rating however derives comfort from the long track record of the promoters in the industry, the company's established relationships with its customers and suppliers, and its high capacity utilization levels and controlled working capital intensity. Going forward, the company's ability to ramp up its scale of operations in a profitable manner and managing its liquidity will be the key rating sensitivities. Established in 1990, BMPL is an IS0-9001:2008 certified company engaged in the manufacturing of aluminium ingots. The company has been promoted by Mr. Raj Kumar, Mr. Ashok Kumar, Mr. Rajinder Kumar and Ms. Dimple Rajput. The company's manufacturing facility is located in Mayapuri Industrial area, New Delhi and has three furnaces for manufacturing aluminium ingots with installed capacity of 15 metric tonnes (MT) per day (~4800 MT per annum). It provides aluminium alloy ingots in various grades like ADC-12, LM- 4, LM-6, LM-24, LM-25 etc. and customizes them as per client requirements. Recent Results BMPL reported a net profit of INR0.22 crore on an OI of INR70.32 crore for 2013-14 as compared to a net profit of INR0.31 crore on an OI of INR77.93 crore for the previous year. The company reported, on a provisional basis, OI of INR74.32 crore for 2014- 15. BALMUKUND CEMENT: CRISIL Suspends B+ Rating on INR243.6MM Loan -------------------------------------------------------------- CRISIL has suspended its ratings on the bank facilities of Balmukund Cement and Roofings Ltd (BCRL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 95 CRISIL B+/Stable Letter of Credit 120 CRISIL A4 Proposed Term Loan 9.7 CRISIL B+/Stable Term Loan 243.6 CRISIL B+/Stable The suspension of ratings is on account of non-cooperation by BCRL with CRISIL's efforts to undertake a review of the ratings outstanding. Despite repeated requests by CRISIL, BCRL is yet to provide adequate information to enable CRISIL to assess BCRL's ability to service its debt. The suspension reflects CRISIL's inability to maintain a valid rating in the absence of adequate information. CRISIL considers information availability risk as a key credit factor in its rating process and non-sharing of information as a first signal of possible credit distress, as outlined in its criteria 'Information Availability Risk in Credit Ratings' BCRL is promoted by Mr. Nawal Kumar Kanodia. The company has set up a fibre cement sheet (also known as asbestos sheet) plant at Purulia, West Bengal, with capacity of 118,000 tonnes. BHANSALI IMPEX: ICRA Assigns B- Rating to INR5.0cr Cash Credit -------------------------------------------------------------- ICRA has assigned its long term rating of [ICRA]B- to the INR5.0 crore cash credit limits and INR1.00 crore term loans of Bhansali Impex Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit Limits 5.00 [ICRA]B-; Assigned Term Loan 1.00 [ICRA]B-; Assigned The ratings are constrained by the company's weak financial and operational risk profile due to its nascent stage of operations. The rating also factors in the highly competitive nature of the industry characterized by the presence of numerous unorganized players which has lead to moderate profit margins for the company. The company's margins also remain exposed to foreign exchange fluctuation risk as the company is an export oriented unit and does not hedge its foreign currency risk. However, the rating, positively factors in the extensive experience of the promoters, of over two decades, in the manufacturing and exports of handicraft and furniture through its sister concerns. In ICRA's view, the ability of the firm to ramp up its operations in the initial phase of operations and generate healthy profitability shall be the key rating sensitivities. BIL was incorporated in June, 2013 as a closely held limited company and is promoted by Mr. Sharad Bhansali and his family members. The company is engaged in the manufacturing and export of Furniture and other handicraft items from its office located in Jodhpur. The product profile of the Company includes Bed, Almirah, Painted Articles, Industrial Furniture, Side Board, Sofa, Wardrobes, Mirror Frames etc. Recent Results BIL reported a profit after tax (PAT) of INR0.01 crore on an operating income of INR1.48 crore in FY 2013-14. BHARAT ISPAT: Ind-Ra Assigns 'IND BB+' Long-Term Issuer Rating -------------------------------------------------------------- India Ratings and Research (Ind-Ra) has assigned Bharat Ispat Udyog (BIU) a Long-Term Issuer Rating of 'IND BB+'. The Outlook is Stable. Ind-Ra has also assigned BIU's INR100.00 mil. fund- based working capital facilities Long-Term 'IND BB+' with a Stable Outlook and Short-Term 'IND A4+' ratings. KEY RATING DRIVERS The ratings reflect BIU's moderate credit profile and scale of operations along with low margins. According to the provisional financials for FY15, gross interest coverage (operating EBITDA/gross interest expense) was 1.52x (FY14: 2.02x) net leverage (total adjusted net debt/operating EBITDAR) was 3.01x (4.33x), revenue was INR1,385.55 (INR1,218.94) and operating margins were 1.67% (1.52%). The ratings benefit from BIU's comfortable liquidity position as reflected in its average maximum working capital utilization of 48% during the 12 months ended June 2015. RATING SENSITIVITIES Positive: Substantial growth in the overall revenue and the operating profitability leading to a sustainable improvement in the credit metrics will be positive for the ratings. Negative: Substantial deterioration in the operating profitability leading to deterioration in the credit metrics will be negative for the ratings. COMPANY PROFILE Incorporated in 2007, BIU manufactures TMT bars which are supplied to local distributors and project-based businesses. The company's 60,000mtpa manufacturing steel plant is located in Gobindgarh, Punjab. The company is managed by Raj Kumar Goyal since its incorporation. CHANDRA PRABHU: Ind-Ra Assigns 'IND BB' Long-Term Issuer Rating --------------------------------------------------------------- India Ratings and Research (Ind-Ra) has assigned Chandra Prabhu International Limited (CPIL) a Long-Term Issuer Rating of 'IND BB'. The Outlook is Stable. The agency has also assigned CPIL's bank loans these ratings: Amount Facilities (INR Mln) Ratings ---------- --------- ------- Fund-based working 10.00 'IND BB'/Stable and capital facility 'IND A4+' Non-fund-based 170.00 'IND A4+' facility KEY RATING DRIVERS The ratings reflect CPIL's moderate scale of operations, weak credit metrics and thin EBITDA margins. According to the provisional financials for FY15, revenue was INR486.06 mil., net interest coverage (operating EBITDAR/net interest expense) was 1.49x, net leverage (total adjusted net debt/operating EBITDA) was 9.31x and EBITDA margins were 0.94%. However, the ratings are supported by CPIL's comfortable liquidity position as reflected in its 79.22% average working capital utilization during the 12 months ended June 2015. The ratings are also supported by over 30 years of experience of the company's promoters in trading coal and synthetic rubber. RATING SENSITIVITIES Positive: An increase in the EBITDA margins along with an improvement in the overall credit metrics will be positive for the ratings. Negative: A decline in the profitability leading to deterioration in the overall credit profile will be negative for the ratings. COMPANY PROFILE Incorporated in 1984, CPIL trades coal and synthetic rubber. The company is promoted by Gajraj Jain. It is present all over India with its head office at New Delhi and branch offices at Chandasi (Mughal Sarai, Uttar Pradesh), Guwahati (Assam), Bhatinda (Punjab) and Gurgaon (Haryana). FIREFLY BATTERIES: CARE Reaffirms B+ Rating on INR23cr LT Loan -------------------------------------------------------------- CARE reaffirms the ratings assigned to the bank facilities of Firefly Batteries Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term Bank Facilities 23.00 CARE B+ Reaffirmed Long-term/Short-term Bank Facilities 8.70 CARE B+/CARE A4 Reaffirmed Rating Rationale The ratings assigned to the bank facilities of Firefly Batteries Private Limited (FBPL) continue to remain constrained on account of its nascent stage of operations, financial risk profile marked by small scale of operations and low margins. The ratings also remain constrained on account of likely deterioration in capital structure and debt coverage indicators during FY15 (refers to the period April 1 toMarch 31) and FY16 owing to an increase in debt level to support the operations, high level of saleability risk associated with the product along with competition from established players and unorganized sectors and susceptibility of margins to volatility in raw material prices. The ratings, however, continue to take comfort from the resourceful and experienced promoters along with technically qualified team and technological tie up with Firefly Inc. USA. FBPL's ability to achieve envisaged scale of operations and profitability, along with improvement in capital structure, liquidity position and efficient working capital management are the key rating sensitivities. Ahmedabad-based (Gujarat), FBPL was established in the year 2011 as a private limited company. FBPL (erstwhile known as Epsilon Batteries Private Limited) is engaged in the manufacturing of conventional lead-acid battery & carbon-foam battery with an installed capacity of 300,000 KWH storage batteries per annum. These batteries find application in automobile industry, renewable energy and industrial sector such as telecom and hospitality. FBPL is managed by experienced directors Mr Jinal Shah, Mr Satish Mehta and Mr Aanand Pandya. FBPL has commenced commercial operations from November, 2014. During FY14, FBPL reported a total operating income (TOI) of INR1.34 crore and PAT of INR0.03 crore as against a TOI of Rs.0.61 crore and negligible PAT during FY13. As per the provisional results for 10MFY15 (refers to the period April, 1 2014 to January 31, 2015), FBPL registered a TOI of INR0.58 crore. GLINT COSMETICS: CRISIL Assigns B+ Rating to INR30MM Loan --------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the bank facilities of Glint Cosmetics Pvt Ltd (GCPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Term Loan 32 CRISIL B+/Stable Proposed Overdraft Facility 20 CRISIL B+/Stable Long Term Loan 13 CRISIL B+/Stable Overdraft Facility 30 CRISIL B+/Stable The ratings continue to reflect GCPL's moderate scale of operations and exposure to intense competition in the cosmetic products industry and to risks related to its proposed expansion plans. These rating weaknesses are mitigated by the promoters' extensive experience in the FMCG industry and GCPL's moderate financial risk profile, supported by its efficient working capital management practices. Outlook: Stable CRISIL believes that GCPL will maintain its credit risk profile, backed by its promoters' extensive industry experience. The outlook may be revised to 'Positive' if there is a substantial and sustained improvement in the company's business risk profile, on account of timely stabilization of operations post capital expenditure (capex) plans leading to healthy growth in accruals. Conversely, the outlook may be revised to 'Negative' in case of any deterioration in the company's financial risk profile, most likely because of time or cost overruns in the proposed capex plans or large working capital requirements or low cash accruals. GCPL, incorporated in 2004, manufactures and exports cosmetic and baby care products. It is promoted by Mr. Brijmoham Chopra. The current operations of GCPL are managed by Mr. Puneet Chopra and his brother Mr. Manish Chopra who are the directors of the company. GCPL has a manufacturing facility in Turbhe (Navi Mumbai) with a manufacturing capacity of 15 tonnes per day. GOLDCOIN POLYPLAST: CRISIL Assigns B+ Rating to INR63.2MM Loan -------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facilities of Goldcoin Polyplast (GP). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 63.2 CRISIL B+/Stable Cash Credit 36.5 CRISIL B+/Stable Proposed Long Term Bank Loan Facility 0.3 CRISIL B+/Stable The rating reflects the promoters' extensive experience in the polyethylene (PE) stretch films manufacturing and packaging material manufacturing industry with established relationship with customers and suppliers. These rating strengths are partially offset by GP's average financial risk profile marked by high gearing and its initial stage of operations. Outlook: Stable CRISIL believes that GP will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company's cash accruals increase substantially, leading to improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if GP's financial risk profile weakens, most likely because of debt-funded capital expenditure, substantial working capital requirements or significantly low cash accruals. Incorporated in 2012, GP is based in Rajkot (Gujarat). GP is promoted by Mr. Ashvinbhai Pansuriya and Mr. Rameshbhai Tilara. GP manufactures PP (polypropylene) Flute Board, PE stretch films and EPE (Expanded polyethylene epe) Capliner/ Wad sheet. GP, on a provisional basis, reported a profit after tax (PAT) of INR9.58 million on net sales of INR170.8 million for 2014-15 (refers to financial year, April 1 to March 31) on a provisional basis, against a PAT of INR4.74 million on net sales of INR117.6 million for 2013-14. INDER MOHAN: CRISIL Assigns B+ Rating to INR60MM Cash Loan ---------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Inder Mohan Singh Contractor (IMSC). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term Bank Loan Facility 25 CRISIL B+/Stable Bank Guarantee 25 CRISIL A4 Cash Credit 60 CRISIL B+/Stable The ratings reflect IMSC's small scale of operations, vulnerability of its operating margin to volatility in raw material prices, and its below-average financial risk profile marked by high gearing and weak current ratio. These rating weaknesses are partially offset by the established track record of IMSC's proprietor in the civil engineering industry. Outlook: Stable CRISIL believes that IMSC will continue to benefit over the medium term from its established track record and healthy order book; however, its financial risk profile will remain constrained by its small net worth over the period. The outlook may be revised to 'Positive' in case of increase in the firm's scale of operations along with steady profitability or improvement in its capital structure. Conversely, the outlook may be revised to 'Negative' in case of decline in the firm's revenue or operating margin or lengthening of its working capital cycle, resulting in weakening of its financial risk profile. Established in 1965 as a proprietorship firm, IMSC provides building and construction services, mainly related to civil engineering work. It is registered as a 'Class A' contractor with agencies such as Punjab Public Works Department, Punjab Urban Development Authority etc. IMSC is managed by its proprietor Mr. Inder Mohan Singh, who has experience of more than two decades in the construction industry. JAIPRAKASH ASSOCIATES: CARE Cuts INR19,168.07cr Loan Rating to D ---------------------------------------------------------------- CARE revises the ratings assigned to the bank facilities and instruments of Jaiprakash Associates Ltd. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term Bank Facilities 19,168.07 CARE D Revised from CARE BB Short-term Bank Facilities 1,300.00 CARE D Revised from CARE A4 Long/Short-term Bank 4,812.00 CARE D/CARE D Facilities Revised from CARE BB/CARE A4 Long-term Non-Convertible 4,023.33 CARE D Revised from Debentures (aggregate) IV, CARE BB V, VIII, X, XI, XII, XIII Rating Rationale The revision in the ratings of the bank facilities and instruments of Jaiprakash Associates Ltd (JAL) takes into account delay in servicing of debt obligations by the company due to its weak liquidity position. Jaiprakash Associates Ltd (JAL) is the flagship company of the Jaypee group and is engaged in engineering and construction, cement, real estate and hospitality businesses. JAL is one of the leading cement manufacturers in India with an installed capacity of ~20 million tonnes per annum (excluding plants for which agreement to sell has been signed) on a consolidated basis as on March 31, 2015. JAL is also a dominant player in the construction business in the specialized field of civil engineering, design and construction of hydro-power, river valley projects. JAL is also undertaking power generation, power transmission, real estate, road BOT and fertilizer businesses through its various subsidiaries/SPVs. On account of deterioration in the company's financial performance and delay in receipt of funds through monetization of assets as well as debt management exercise; the liquidity position of the company has been impacted, leading to delays in debt servicing by the company. For FY15 (refers to the period April 1 to March 31), JAL reported net loss of INR1,110 crore on a total operating income of INR10,854 crore on a standalone basis as compared with PAT of INR414 crore on a total operating income of INR13,328 crore in FY14. On a consolidated basis, the company reported a net loss of INR1,543 crore on an operating income of INR19,650 crore in FY15 as against net loss of INR703 crore on a total operating income of INR20,007 crore in FY14. JAJOO SURGICALS: ICRA Suspends B+ Rating on INR5.50cr LT Loan ------------------------------------------------------------- ICRA has suspended the long term rating of [ICRA]B+ outstanding on the INR5.50 crore long term bank facilities of Jajoo Surgicals Private Limited. ICRA has also suspended the short term rating of [ICRA]A4 outstanding on the INR2.50 crore short term non fund based limits of Jajoo Surgicals Private Limited. The suspension follows ICRA's inability to carry out a rating surveillance in the absence of the requisite information from the company. Incorporated in 1993 by the Jajoo family, JSPL is engaged in the manufacturing and trading of medical and surgical disposables. The company has a manufacturing facility at Dewas, Madhya Pradesh, with an installed capacity of 55 tonnes per month. Apart from manufacturing, the company also imports disposables from South East Asian countries for supplying to the domestic market. The company's customer profile comprises of various Governmental organizations and private hospital chains in India. The company also exports its products to African countries. JANAKI COTTON: CRISIL Assigns B Rating to INR31MM Term Loan ----------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the bank facilities of Janaki Cotton Mills Ltd (JCML). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 31 CRISIL B/Stable Standby Line of Credit 9 CRISIL B/Stable Proposed Long Term Bank Loan Facility 3.7 CRISIL B/Stable Letter of Credit 30.0 CRISIL A4 Bank Guarantee 4.7 CRISIL A4 Cash Credit 30.0 CRISIL B/Stable The ratings reflect JCML's below-average financial risk profile, marked by small net worth and high gearing, its modest scale of operations in the intensely competitive textile industry, and susceptibility of its operating profitability to volatility in raw material prices. These rating weaknesses are partially offset by the extensive experience of the promoters in the industry. Outlook: Stable CRISIL believes that JCML will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company posts a considerable and sustainable increase in its revenue and profitability, leading to improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if JCML's cash accruals decline, or its working capital management weakens, or if it undertakes a large debt-funded capital expenditure programme, weakening its financial risk profile. JCML, established in 1995, manufactures cotton yarn. Its day-to- day operations are managed by Mr. S Nambirajan. JSR DEVELOPERS: CRISIL Lowers Rating on INR90MM Term Loan to D -------------------------------------------------------------- CRISIL has downgraded its rating on the long-term bank facility of JSR Developers Pvt Ltd (JSR) to 'CRISIL D' from 'CRISIL B/Stable'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 90 CRISIL D (Downgraded from 'CRISIL B/Stable') The rating downgrade reflects delays in repayment of JSR's term debt obligations owing to its stretched liquidity. The rating reflects JSR's modest scale of operations in a highly fragmented industry and weak financial risk profile, marked by modest net worth and high gearing. These rating weaknesses are partially offset by the extensive industry experience of its promoters. JSR was set up in 2005 by Mr. Gyanendra Upadhayay. The company currently operates a solar power plant in Indore (Madhya Pradesh). It also undertakes civil construction works, primarily related to roads and bridges in Madhya Pradesh. The power division is the major contributor to the company's revenue. JSR's registered office is in Indore. KANPUR PACKAGERS: CRISIL Assigns 'B' Rating to INR80MM Term Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Kanpur Packagers Pvt Ltd (KPPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 80 CRISIL B/Stable Cash Credit 29.4 CRISIL B/Stable Proposed Long Term Bank Loan Facility 15.6 CRISIL B/Stable The rating reflects KPPL's low profitability, average financial risk profile marked by a leveraged capital structure and its vulnerability to volatility in raw material prices. These rating weaknesses are partially offset by funding support from KPPL's promoters. Outlook: Stable CRISIL believes that KPPL will continue to benefit over the medium term from its promoters' funding support and improvement in profitability over the medium term. The outlook may be revised to 'Positive' if the company increases its scale of operations substantially while improving its profitability and efficiently manages its working capital requirements. Conversely, the outlook may be revised to 'Negative' if KPPL's working capital cycle is stretched, or its cash accruals are low, leading to further weakening of its liquidity. KPPL, incorporated in 2013, manufactures packaging products such as woven sacks and flexible laminates. It also has a printing division. The company has its manufacturing unit at Kanpur (Uttar Pradesh) and is promoted by Mr. Sunil Gupta and his family. KK PROTEINS: ICRA Reaffirms B+ Rating on INR15cr Cash Credit ------------------------------------------------------------ ICRA has reaffirmed the long-term rating of [ICRA]B+ assigned to INR15.00 crore fund based limits of KK Proteins Private limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 15.00 [ICRA]B+ reaffirmed The rating reaffirmation continues to take into consideration the long standing experience of the promoters in the edible oil business; favourable domestic demand outlook for soya bean oil and the location advantage that the company enjoys by virtue of operating its plant close to the major soya bean growing regions. The rating, however, is constrained by highly fragmented and competitive edible oil industry; susceptibility of profitability and revenues to price fluctuations arising out of global ago- climactic vagaries which is further heightened by the commoditized nature of its products which limits the company's pricing power. The rating is also constrained by weak financial risk profile with operating profit margin of 1.78%, net profit margin of 0.54%, gearing of 1.24 times and modest interest coverage ratios. KK Proteins Private Limited (KKPPL) was incorporated in 2006 to undertake trading, processing and manufacturing of Soybean & its derivative products. The manufacturing unit is located in ponnari village of Adilabad district, Andhra Pradesh. The promoters have more than two decades of experience in the Soybean oil business. The installed capacity of the plant is 250 tons per day. Recent Results As per the audited results, the firm recorded INR111.41 crore of revenues of and a PAT of INR0.60 crore during FY2014 when compared to INR77.43 crore of Operating income and PAT of INR0.56 crore during FY2013. KRISHNA SHIPPING: CRISIL Assigns B+ Rating to INR50MM Loan ---------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facility of Krishna Shipping and Allied Services (KSAS). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Overdraft Facility 50 CRISIL B+/Stable The rating reflects the firm's modest scale of operations in the highly competitive shipping industry and its working-capital- intensive operations. These rating weaknesses are partially offset by the extensive experience of KSAS's partners in the shipping industry. Outlook: Stable CRISIL believes that KSAS will continue to benefit over the medium term from its partners' extensive industry experience. The rating outlook may be revised to 'Positive' if the firm reports significant growth in its revenue and profitability while improving its capital structure. Conversely, the outlook may be revised to 'Negative' in case of a significant decline in firms revenue and margins or stretch in its working capital cycle leading to pressure its financial risk profile, particularly liquidity. Set up in 1996, KSAS is currently a partnership firm promoted by the Thakker family based in Kutch (Gujarat). The firm provides all kinds of shipping-related activities according to customers' requirements. These activities include freight forwarding, stevedoring, intra-port transportation, and other auxiliary port- related services such as custom clearances and storage/port formalities for smooth handling of cargo at the port. For 2014-15 (refers to financial year, April 1 to March 31), on a provisional basis, KSAS reported net profit of INR6.34 million on total sales of INR741.18 million. LIMSON ENGINEERING: CRISIL Reaffirms B+ Rating on INR51.4MM Loan ---------------------------------------------------------------- CRISIL's rating on the long-term bank facilities of Limson Engineering Pvt Ltd (LEPL) continues to reflect its small scale of operations, exposure to intense market competition in a fragmented industry, and geographical concentration in its revenue profile. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 45 CRISIL B+/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 51.4 CRISIL B+/Stable (Reaffirmed) Term Loan 3.6 CRISIL B+/Stable (Reaffirmed) The rating also factors in LEPL's working-capital-intensive operations, and vulnerability of the operating margin to fluctuations in raw material prices. These weaknesses are partially offset by the extensive industry experience of LEPL's promoters and their funding support. Outlook: Stable CRISIL believes that LEPL will continue to benefit, over the medium term, from its promoters' extensive experience and its established customer relationships. The outlook may be revised to 'Positive' if LEPL improves its liquidity with enhanced scale of operations and profitability, leading to sizeable cash accruals. Conversely, the outlook may be revised to 'Negative' if LEPL's financial risk profile and liquidity are constrained by significantly low cash accruals, or substantial working capital requirements or debt-funded capital expenditure. LEPL was established in 1998 and is a part of the Limson group. The company is promoted by Mr. M K Shaikh and his family. LEPL fabricates ferrous and non-ferrous alloys, and has a manufacturing facility in Pune (Maharashtra). MAHAVIR GLOBAL: CRISIL Assigns B Rating to INR50MM Packing Loan --------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facility of Mahavir Global Inc(MGI). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Long Term Loan 20 CRISIL B/Stable Cash Credit 10 CRISIL B/Stable Export Packing Credit 50 CRISIL B/Stable The rating reflects MGI's modest scale of operations in an intensely competitive rice processing industry, susceptibility to risks related to changes in regulatory policies and volatility in raw material prices, and high dependence on the monsoon. The rating also factors in the firm's below-average financial risk profile, marked by moderate total outside liabilities to tangible net worth (TOLTNW) ratio and small net worth. These rating weaknesses are partially offset by the promoters' extensive industry experience and funding support received from them. Outlook: Stable CRISIL believes that MGI will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the firm improves its capital structure either by equity infusion or higher-than- expected cash accruals, backed by improvement in scale of operations and operating profitability along with improvement in its working capital management. Conversely, the outlook may be revised to 'Negative' if MGI's financial risk profile deteriorates on account of further decline in its revenues and profitability or in case of a larger-than-expected, debt-funded capital expenditure, or if the firm's liquidity weakens significantly on account of increase in its working capital requirements. MGI was incorporated in 2011 by Karnal, Haryana based Garg family. It is engaged in milling and processing of paddy into rice, rice bran, broken rice and husk. Mr. Anil Garg and his son, Mr. Vishal Garg are the partners of the firm. Both the partners are also engaged managing day to day activity of the business. MAHESH EXTRUSIONS: CRISIL Reaffirms B- Rating on INR59MM Loan ------------------------------------------------------------- CRISIL's ratings on the bank facilities of Mahesh Extrusions Limited (MEL) reflect its below-average financial risk profile, marked by a weak capital structure and average debt protection metrics, and its modest scale of operations in the competitive pipes and fittings industry. These rating weaknesses are partially offset by the extensive industry experience of the company's promoters. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 5 CRISIL A4 (Reaffirmed) Cash Credit 59 CRISIL B-/Stable (Reaffirmed) Long Term Loan 10.7 CRISIL B-/Stable (Reaffirmed) Outlook: Stable CRISIL believes that MEL will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' in case of a substantial increase in the company's scale of operations and profitability, leading to significant and sustained improvement in its cash accruals and capital structure. Conversely, the outlook may be revised to 'Negative' if MEL's financial risk profile, particularly its liquidity, deteriorates, most likely due to a decline in profitability or a stretch in its working capital cycle. MEL, based in Karnataka, was established in 1991 by Mr. A Prasad Shetty and Mr. S P Y Reddy. The company manufactures polyvinyl chloride and high-density polyethylene pipes, which are used in the construction and agriculture industries. MILLENNIUM VITRIFIED: ICRA Assigns B+ Rating to INR18.38cr Loan --------------------------------------------------------------- ICRA has assigned an [ICRA]B+ rating to the INR18.38 crore term loan and INR12.00 crore fund based cash credit facilities of Millennium Vitrified Tiles Private Limited. ICRA has also assigned an [ICRA]A4 rating to the INR5.77 crore short term non fund based facilities of MVTPL. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Term Loans 18.38 [ICRA]B+; Assigned Cash Credit Limits 12.00 [ICRA]B+; Assigned Bank Guarantee 5.18 [ICRA]A4; Assigned Letter of Credit 0.59 [ICRA]A4; Assigned The assigned ratings also take into account the company's moderate scale of operations with single product portfolio as well as weak financial profile as reflected from low profitability, stretched capital structure and weak coverage indicators. The assigned ratings also consider the company's high reliance on creditors for working capital funding resulting into TOL/TNW of 4.19 times for FY15 and the vulnerability of the company's profitability to the cyclicality associated with the real estate industry as well as increasing prices of gas and power. ICRA also notes the company's presence in competitive business environment with presence of large established organized tile manufacturers as well as unorganized players in the tiles industry. The assigned ratings, however, favourably consider the long standing presence of the promoters in ceramic industry through other group entities for more than two decades; which also entails operational as well as marketing support to the company, location advantage resulting in easy access to raw material sources, steady ramp up of operations and healthy capacity utilization levels. Incorporated in January 2011, Millennium Vitrified Tiles Private Limited (MVTPL) is primary into manufacturing of 'Glazed Vitrified Tiles' with its production facilities located in Morbi, Gujarat with a total manufacturing capacity of 82,800 Metric Ton per annum which translates into 26,70,968 boxes per year. The company is promoted by Mr. Dinesh Patel, Mr. Mansukh Koradiya, Mr. Ramesh Aghara and Mr. Rajesh Koradiya. The promoters have long experience in this line of business. The company is into manufacturing of two sizes vitrified tiles i.e. 600 mm X 600 mm and 800 mm X 800 mm dimensions; however size of 800mmX800mm was started from January 2015. Further the company is planning to add one new larger size i.e. 800X1200 in its product portfolio. The company has established "MILLENNIUM" as the brand for selling its products in the market. The promoters of the company are also associated with other group companies i.e. Millenium Papers Private Limited, Maruti, Silver Ceramic, Victory Floor Tiles Pvt Ltd., Kordiya Ceramic Pvt Ltd., Maruti Gold Industries, Lorenzo Vitrified Tiles Pvt Ltd., Vrndavan Ceramic Pvt Ltd, Gokul Ceramic Pvt Ltd. and Romil Impex. Recent Results During FY15 as per unaudited provisional results, the company reported operating income of INR69.36 crore and profit before tax of INR2.40 crore. MUKTAR INFRA: CRISIL Reaffirms 'B' Rating on INR341.2MM Loan ------------------------------------------------------------ CRISIL's ratings on the bank facilities of Muktar Infrastructure India Pvt Ltd (MIPL) continue to reflect the company's working- capital-intensive operations, order-based nature of operations, and susceptibility of its revenue to timely execution of orders and timely realisation of revenue from customers. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 5 CRISIL A4 (Reaffirmed) Cash Credit 44 CRISIL B/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 341.2 CRISIL B/Stable (Reaffirmed) Term Loan 56.5 CRISIL B/Stable (Reaffirmed) These rating weaknesses are partially offset by the extensive experience of MIPL's promoter in various industries and the benefits that the company derives from being a part of Shaikh Muktar Group (SMG). Outlook: Stable CRISIL believes that MIPL will continue to benefit over the medium term from its promoter's extensive experience. The outlook may be revised to 'Positive' if the company achieves a significant increase in its revenue while improving its working capital cycle, leading to improvement in its capital structure and debt protection metrics. Conversely, the outlook may be revised to 'Negative' if MIPL registers a decline in its revenue or operating margin, or if there is a stretch in its working capital cycle, or if it undertakes a large debt-funded capital expenditure programme, resulting in further weakening of its financial risk profile. MIPL was set up in 2011-12 (refers to financial year, April 1 to March 31) by Mr. Shaikh Muktar. The company undertakes civil construction work; it also has a ready-mix concrete plant. MIPL is a part of Goa-based SMG, which has interests in mining, infrastructure, construction, engineering, logistics, hospitality, and shipping services. MIPL undertakes civil construction work for private parties. It is also constructing a hotel in Goa. MIPL, on a provisional basis, reported net profit of INR2.4 million on net sales of INR110.1 million in 2014-15 (refers to financial year, April 1 to March 31) against net profit of INR0.7 million on net sales of INR110 million in 2013-14. PARK HEALTH: ICRA Assigns B+ Rating to INR7.36cr Term Loan ---------------------------------------------------------- ICRA has assigned a long term rating of [ICRA]B+ to INR7.36 crore term loans, INR2.50 crore cash credit limits and INR0.14 crore unallocated limits of Park Health Systems Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Term loans 7.36 [ICRA]B+ assigned Cash Credit 2.50 [ICRA]B+ assigned Unallocated Limits 0.14 [ICRA]B+ assigned The assigned rating is constrained by small scale of operations of the hospital with 130 beds in Hyderabad; high competition with presence of large number of established players in the vicinity of the hospital and also from other major hospitals in Hyderabad; and revenue concentration risk owing to single location presence. The rating is also constrained by leveraged capital structure with gearing of 2.19 times as on March 31, 2015; and weak liquidity position owing to delayed receivables from Employee State Insurance (ESI) and central government entities like National Mineral Development Corporation (NMDC), Bharat Dynamics Limited (BDL), Bharat Heavy Electricals Limited (BHEL) with whom the company has corporate tie up. The rating, however positively factors in steady increase in hospital revenues from INR10.60 crore in FY11 to INR33.10 crore in FY15 owing to increase in occupancy levels from 30% in FY11 to 75% in FY15; experienced and reputed team of doctors and also central location of the hospital ensuring good patient footfall. Further, ICRA notes the high average inpatient revenue per admission indicating the complex and high end nature of the procedures performed at the hospital. Going forward, maintaining healthy bed occupancy levels and timely receipt of payments would remain key rating sensitivities from credit perspective. Park Health Systems Private Limited (PHSPL) was incorporated in 2007 by Mr. Damodar Reddy and his wife Mrs. Suprita Reddy. PHSPL operates 130 bed hospital (20 Intensive Care Unit (ICU) beds and remaining Non-ICU beds) in Somajiguda, Hyderabad as "The Deccan Hospital". The hospital provides services across diverse areas like Nephrology, Neurology, Orthopedics, Pulmonology, Opthalmology etc. Recent Results In FY15, PHSPL reported an operating income of INR33.10 crore and net profit of INR2.32 crore (provisional and unaudited) as against operating income of INR27.42 crore and net profit of INR1.61 crore during FY14. PARK SARVAMANGALA: CRISIL Assigns B Rating to INR125MM Term Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the bank loan facility of Park Sarvamangala Projects Private Limited (PSPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 125 CRISIL B/Stable The rating reflects PSPL's exposure to risks related to implementation of its ongoing projects and vulnerability to cyclicality in demand inherent in the real estate sector. These rating weaknesses are partially offset by the promoters' extensive experience in real estate industry. Outlook: Stable CRISIL believes that PSPL will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if PSPL completes its project in time and receives better-than-expected customer bookings, resulting in an improvement in its liquidity. Conversely, the outlook may be revised to 'Negative' in case of a time or cost overrun in the project or low customer bookings, adversely impacting the company's liquidity. Incorporated in May 2005, PSPL develops commercial and residential real estate in Ranchi (Bihar). The day to day operation of the company is being managed by Mr. Narendra Butala. POOJA SOYA: CRISIL Lowers Rating on INR200MM Cash Loan to 'D' ------------------------------------------------------------- CRISIL has downgraded its ratings on the bank facilities of Pooja Soya Industries Private Limited (PSIPL) to 'CRISIL D/CRISIL D' from 'CRISIL BB/Stable/CRISIL A4+'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 10 CRISIL D (Downgraded from 'CRISIL A4+') Cash Credit 200 CRISIL D (Downgraded from 'CRISIL BB/Stable') Letter of Credit 40 CRISIL D (Downgraded from 'CRISIL A4+') Proposed Long Term 100 CRISIL D (Downgraded from Bank Loan Facility 'CRISIL BB/Stable') The rating downgrade reflects delays by PSIPL in servicing its debt owing to liquidity constraints. The ratings also reflect PSIPL's presence in an intensely competitive and fragmented edible oil industry and its vulnerability of operating margin to volatility in raw material prices. These weaknesses are partially offset by the extensive experience of the promoters in the industry. Incorporated in 2006, PSIPL is engaged in solvent extraction and production of soya products via crude oil and DOC at its facility in Ratlam (Madhya Pradesh), which has capacity of 600 tonnes per day. PSIPL is promoted by members of the Manglani family, which has been engaged in the soya business since 1964. PREMIER AGRO: CRISIL Upgrades Rating on INR75MM Cash Loan to B+ --------------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank facilities of Premier Agro Products Pvt Ltd (PAPPL) to 'CRISIL B+/Stable' from 'CRISIL B/Stable. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 75 CRISIL B+/Stable (Upgraded from 'CRISIL B/Stable') The rating upgrade reflects CRISIL's belief that PAPPL will maintain its improved liquidity over the medium term, backed by stronger cash accruals. The accruals improved to INR11 million in 2014-15 (refers to financial year, April 1 to March 31) from INR7 million in 2013-14. Furthermore, funding support, in the form of unsecured loans, from the promoter increased by INR28.4 million in 2014-15 to INR31.7 million as on March 31, 2015, also enhancing the liquidity. The company is expected to maintain its improved liquidity over the medium term, supported by cash accruals of INR14 million to INR18 million over the medium term against maturing debt of about INR4.5 million in 2015-16. The rating reflects PAPPL's modest scale of operations and susceptibility to volatility in commodity (wheat) prices. The ratings also factor in PAPPL's working-capital-intensive operations and weak financial risk profile, marked by modest net worth, high gearing and moderate debt protection metrics. These rating weaknesses are partially offset by the benefits that PAPPL derives from its promoter's extensive experience in the agricultural commodities industry. Outlook: Stable CRISIL believes that PAPPL will benefit from the extensive experience of its promoters, over the medium term. The outlook may be revised to 'Positive' if PAPPL significantly improves its financial risk profile, particularly its capital structure supported by increase in cash accruals. Conversely, the outlook may be revised to 'Negative' if any large debt-funded capital expenditure or working capital requirements or reduction in unsecured loans from promoters weakens the financial risk profile. PAPPL, set up in 1992 in Palakkad (Kerala), processes wheat into different by-products such as refined flour (maida), semolina (suji), and whole wheat flour (atta). These products are sold in the market under the brand, Surabhi. The company's milling unit is located in Palakkad (Kerala). PREMIER CARWORLD: CRISIL Reaffirms B Rating on INR125MM Cash Loan ----------------------------------------------------------------- CRISIL's rating on the bank facility of Premier Carworld Private Limited (PCPL) continue to reflect the PCPL's weak capital structure constraining its overall financial risk profile, low profitability, and exposure to intense competition in the automative dealership business. These rating weaknesses are partially offset by PCPL's prudent working capital management. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 125 CRISIL B/Stable (Reaffirmed) Outlook: Stable CRISIL believes that PCPL will benefit over the medium term from its established relationship with Maruti Suzuki India Ltd (MSIL; Rated CRISIL AAA/Stable/CRISIL A1+). The outlook may be revised to 'Positive' in case of higher-than-expected accruals or substantial infusion of capital by the promoter, leading to improvement in PCPL's financial risk profile, particularly its capital structure and liquidity. Conversely, the outlook may be revised to 'Negative' in case of lower-than-expected accruals or if the company's working capital cycle weakens or if it undertakes any large debt-funded capital expenditure programmes, leading to further deterioration in its financial risk profile, especially liquidity. PCPL, incorporated in 2010, and promoted by the Kolkata (West Bengal [WB])-based Mr. Ramesh Chandra Agarwal, is an authorised dealer of MSIL's passenger cars in and around Kolkata. RADIANT TEXTILES: CRISIL Reaffirms B+ Rating on INR500MM Loan ------------------------------------------------------------- CRISIL's rating reflects Radiant Textiles Limited (RTL) weak financial risk profile, marked by high gearing, average debt protection metrics, and large working capital requirements. These rating weaknesses are partially offset by the extensive experience of RTL's promoters in the cotton industry and their funding support. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 500 CRISIL B+/Stable (Reaffirmed) Corporate Loan 60 CRISIL B+/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 202.6 CRISIL B+/Stable (Reaffirmed) Term Loan 247.4 CRISIL B+/Stable (Reaffirmed) Outlook: Stable CRISIL believes that RTL will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company's capital structure improves, either through equity infusions, or substantial cash accruals backed by ramp-up in scale of operations or efficient working capital management. Conversely, the outlook may be revised to 'Negative' if RTL's financial risk profile weakens on account of decline in revenue and profitability or any large capital expenditure; or if the liquidity weakens significantly on account of increase in working capital requirements. RTL was set up in October 2005 by Mr. Ramesh Kumar, Mr. Mohan Lal, Mr. Gian Chand, Mr. Rajesh Goyal, and Mr. Varun Kumar. It commenced commercial production in January 2008. The company manufactures cotton yarn at its plant in Samana (Punjab). RAJESH HOUSING: CRISIL Assigns B+(SO) Rating to INR1.4BB Loan ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+(SO)/Stable' rating to the INR1.4 Billion non-convertible debentures (NCDs) of Rajesh Housing Private Limited (RHPL). The rating reflects flexible terms of the NCD issue, favourable location of RHPL's project in Mumbai ensuring sound demand prospects, and the promoters' extensive experience in the real estate development industry. These rating strengths are partially offset by RHPL's exposure to project implementation risk with nascent stage of its project, high dependence on customer advances for funding the project, and exposure to cyclicality inherent in the real estate sector. RHPL has flexible terms with the investor for the NCD issuance. NCDs have a tenure of 42 months, with no fixed interest payment or principal repayment obligation during the tenure. The NCDs only have the redemption premium equivalent to a fixed Internal Rate of Return (IRR) of 22.50 per cent to be paid on maturity. RHPL's project is located in the central suburbs of Mumbai, which provides good connectivity by rail as well as roads. This in turn is expected to support the project's saleability, given the sound demand prospects. Furthermore, RHPL's promoters have an experience of over 50 years in the real estate industry, and have delivered over 3 million sq ft of residential and commercial projects in Mumbai since 1997. RHPL remains exposed to project implementation risks given the nascent stage of its project. The company is awaiting the requisite approvals for commencement of the project, which is expected to come in 2015-16. The project is expected to be executed in phases, but given its initial stage it is exposed to risks related to time and cost overruns. Although the proven track record RHPL's promoters will help in project implementation, any delay will remain a key rating sensitivity factor. RHPL largely depends on customer advances for funding the construction of its projects. The total construction cost of the project is estimated at about INR 12 billion, of which around 70 per cent will be funded through customer advances. The company is exposed to project implementation risk and is susceptible to the cyclicality inherent in the real estate sector, which could result in fluctuations in its cash inflows because of volatility in realisations and saleability. Any delay in project execution will impact the company's cash flow position and expose it to refinancing risk on maturity of NCDs. Outlook: Stable CRISIL believes that RHPL will continue to benefit over the medium term from the flexible terms of the NCD and the promoters extensive experience in real estate development. The outlook may be revised to 'Positive', if the company achieves better-than- expected progress in project construction and sales, leading to a sustained improvement in its cash flows. Conversely, the outlook may be revised to 'Negative' if RHPL's project progress or sales is lower-than-expected thereby adversely impacting its cash flow position and exposing it to refinancing risk or if the company contracts substantial debt for funding the project. Incorporated in 2015, RHPL is a part of the Rajesh Lifespaces group. The company will be developing residential cum commercial project in central suburbs of Mumbai with total saleable area 13.40 lac sq. ft. The Rajesh Lifespaces group is a real estate developer based in Mumbai, promoted by Mr. Raghavbhai Patel. The companies in the group have been engaged in the business of real estate construction and development for over 50 years. The group is currently managed by the third-generation of the family, Mr. Priyal Patel and Mr. Pratik Patel. The Rajesh group has a long track record in real estate development, with 3.5 million sq ft of developed and delivered projects since 1997; 93 per cent of which are residential development and remaining commercial development in Mumbai. Furthermore, the group has about 5 million sq ft of area under development across various projects as on March 2015. RHPL has no financial performance history, as the company has been incorporated in 2014-15. RAMAWAT CONSTRUCTION: ICRA Suspends B- Rating on INR6cr Loan ------------------------------------------------------------ ICRA has suspended the [ICRA]B- rating for the INR6.0 crore bank facilities of Ramawat Construction Private Limited. The suspension follows ICRA's inability to carry out a rating surveillance in the absence of the requisite information from the company. RUSHI COTTEX: ICRA Lowers Rating on INR15.50cr Loan to 'D' ---------------------------------------------------------- ICRA has revised the long term rating assigned to the INR4.50 crore cash credit facility and INR15.50 crore unallocated amount of Rushi Cottex Private Limited from [ICRA]B+ to [ICRA]D. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 4.50 Revised to [ICRA]D from [ICRA]B+ Unallocated Amount 15.50 Revised to [ICRA]D from [ICRA]B+ The rating revision factors in RCPL's recent instances of delays in debt servicing reflecting highly stressed liquidity position due to closure of business operation from current fiscal on account of heavy losses in FY4 & 15. Rushi Cottex Private Limited (RCPL) was established in September 2008 as a private limited company by Mr. Shailesh Pandya, Ms. Minakshi Soni and Mr. Prashant Mehta and is engaged in trading of Shanker 6 and V-797 cotton bales. Recent Results As per provisional results, for the year ended 31st March, 2014, the company reported an operating income of INR50.24 crore with profit before depreciation and taxes of INR0.19 crore. S. M. INFRASTRUCTURE: CRISIL Assigns B+ Rating to INR99MM Loan -------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facility of S. M. Infrastructure Pvt Ltd (SMIPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 99 CRISIL B+/Stable The rating reflects SMIPL's exposure to risks related to completion and saleability of its ongoing projects and geographic concentration in its revenue profile. These rating weaknesses are partially offset by the extensive experience of the company's promoters in the real estate development business. Outlook: Stable CRISIL believes that SMIPL will continue to benefit over the medium term from its promoters' extensive industry experience and funding support. The outlook may be revised to 'Positive' in case of a considerable increase in bookings and customer advances, leading to substantial cash inflows, along with retention of profits in the company. Conversely, the outlook may be revised to 'Negative' if SMIPL faces significant pressure on its liquidity because of slow booking of the remaining flats or delays in receipt of customer advances. Incorporated in June 2008, SMIPL is promoted by Mr. Vikas Agarwal, Mr. Sarat Kumar Jain, and Mr. Rishi Agarwal. The company is engaged in real estate development. Currently, SMIPL is undertaking a residential real estate project, Suryavatika, in Kampup (Assam). S.P.Y. AGRO: CARE Raises Rating on INR217.84cr LT Loan to B- ------------------------------------------------------------ CARE revises the rating to bank facilities of S.P.Y. AGRO Industries Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term Bank Facilities 217.84 CARE B- Revised from CARE D Short term Bank Facilities 25.00 CARE A4 Revised from CARE D Rating Rationale The revision in the ratings assigned to the bank facilities of S.P.Y. Agro Industries Limited (SPYAIL) takes into account the regularization of debt servicing due to improvement in liquidity position of the company led by improvement in inventory days and financial support in the form of unsecured loans provided by the promoters in FY15 (Prov.; refers to the period April 1 to March 31). The ratings also factors in the satisfactory experience of the promoters and growth in total operating income in FY15 (Prov.). The ratings continue to be constrained by volatility in prices and availability of raw materials, the ongoing debt-funded capacity expansion, challenges of operating in the highly regulated industry, working capital-intensive nature of the business and decline in profit margins, deterioration of capital structure and debt coverage indicators in FY15 (Prov.). The ability of the company to improve its liquidity profile and complete the ongoing capacity expansion without time and cost overrun are the key rating sensitivities. Incorporated in May 2005, SPYAIL is part of the Nandi group of companies based out of Nandyal in Andhra Pradesh. The group has a presence in diversified businesses such as cement, dairy, PVC pipes, construction, TMT bars, etc, since 1978. SPYAIL commenced its commercial operations from FY09. The company has a grain-and- molasses-based distillery plant at Nandyal (Andhra Pradesh) with a capacity of 145 kilo liters per day. ENA is the main raw material in the manufacture of IndianMade Foreign Liquor. During FY15 (Prov.), SPYAIL achieved a total income of INR180.37 crore (FY14: INR153.03 crore) and PAT of INR7.14 crore (FY14: INR6.54 crore). SATYAWATI SUBODH: ICRA Suspends B- Rating on INR12.45cr Loan ------------------------------------------------------------ ICRA has suspended the [ICRA]B- rating for the INR12.45 crore bank facilities of Satyawati Subodh Foundation Trust. The suspension follows ICRA's inability to carry out a rating surveillance in the absence of the requisite information from the company. SH INFRATECH: ICRA Assigns 'D' Rating to INR20cr LT Loan -------------------------------------------------------- ICRA has assigned its long term rating of [ICRA]D to the INR20.00 crore non-fund based bank facilities and INR1.00 crore fund based bank facilities of SH Infratech Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- Non-Fund Based Limits/BG 20.00 [ICRA]D; Assigned Long Term- Fund Based Limits/CC 1.00 [ICRA]D; Assigned ICRA's rating centrally factors in delays in debt servicing by SHIL, due to the stretched liquidity position of the company, owing to delays in realization of contractual payments. Further, the company's net worth is insufficient to meet the working capital funding requirements as well as margins required for availing bank guarantees. Also, the absence of a cost escalation clause in bulk of its orders renders the company's profitability vulnerable to fluctuations in cost of inputs. ICRA however takes note of the experience of the promoters in the civil construction business and its established clientele. Going forward, a track record of timely debt servicing will be the key rating sensitivity. This, in turn would be dependent on SHIL's ability to improve liquidity by infusion of equity and timely collection of receivables. SHIL was incorporated in December 2009 and undertakes civil construction projects, primarily road construction in Uttar Pradesh. The firm's clients are mostly government organizations such as Public Works Departments (PWD). The promoters of the company have been engaged in the civil construction business for the past twenty years, through their proprietorship concern- Shakeel Haider Engineers and Contractors (SHEC, rated [ICRA]D). Recent Results The company reported a net profit of INR1.73 crore on an operating income of INR40.18 crore in FY 2013-14, as against a net profit of INR2.57 crore on an operating income of INR41.76 crore in the previous year. SHAKTI BHOG: ICRA Lowers Rating on INR1,925cr CC to 'D' ------------------------------------------------------- ICRA has revised the long term rating outstanding for INR2155.0 crore bank lines of Shakti Bhog Foods Limited from [ICRA]BBB+ to [ICRA]D. The "negative" outlook on the rating has been withdrawn. ICRA has also revised the short-term rating outstanding for INR695.0 crore bank lines of SBFL from [ICRA]A2 to [ICRA]D. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Term/Corporate Loans 230.0 [ICRA]D downgraded CC 1925.0 [ICRA]D downgraded LC/BG 575.0 [ICRA]D downgraded Short Term Loans 120.0 [ICRA]D downgraded The rating action factors in the delays in debt servicing by the company. SBFL's liquidity position is stretched on account of subdued demand and correction in average realisations of basmati rice, against sizeable rice inventory levels maintained by the company. ICRA notes that the company is in the process of raising debt funding to the tune of INR500.0 crore to ease its liquidity position. ICRA also takes note of the long experience of SBFL's promoters in the agro food products industry; and the strong brand equity enjoyed by the company's "Shakti Bhog" brand. Shakti Bhog Foods Limited (SBFL) is a public limited company promoted by Mr. K K Kumar in 1992. SBFL sells agro based foods products, mainly wheat flour (atta) and basmati rice as well as besan, biscuits/cookies, poha, tea, etc under its brand "Shakti Bhog". For its wheat milling business. SBFL has three manufacturing facilities in Delhi and for the basmati rice business; the company has a milling facility in Kurukshetra (Haryana) and processing facilities in Delhi NCR region. Additionally the company also has a value add product manufacturing facility in Haridwar (Uttrakhand). Recent Results For FY2014, SBFL has achieved an operating income of INR5922 crore and a net profit of INR189 crore. SMT. TARAWANTI: CARE Assigns B+ Rating to INR12.36cr LT Loan ------------------------------------------------------------ CARE assigns 'CARE B+' rating to the bank facilities of SMT. Tarawanti Educational Trust. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term Bank Facilities 12.36 CARE B+ Assigned Rating Rationale The rating assigned to the bank facilities of Smt. Tarawanti Educational Trust (TET) is constrained by its small scale of operations, leveraged capital structure, high level of competition in the industry and limited reach of the trust. The rating, however, favourably takes into account track record of operations, experienced management team, healthy profitability margins and buoyant prospects of the K-12 segment in India. The ability of the society to scale up its operations in a highly competitive market while maintaining its profitability margins and improvement in the capital structure would be the key rating sensitivities. Smt. Taravanti Educational Trust (TET) was established in 2001 by Mr Sanjeev Murria and his family members. The society is being managed by Mr Sanjeev Murria, Mrs Sudarshana Murria and Mrs Vandana Murria. TET is running two schools in Jalandhar, Punjab by the name 'Little Blossom School' and 'La Blossom School', with a total of 1776 students in FY14 (refers to the period April 1 to March 31). Little Blossom School is currently offering classes from pre-nursery to 4th standard whereas La Blossom School is currently offering classes from 1st class to higher secondary (till 11th class). TET provides numerous facilities at its fully air conditioned schools which include smart classrooms, swimming pool, computer labs, mini nursing home, etc. Furthermore, TET has employed experienced and qualified teaching and administrative staff to support the day-to-day operations. For FY14, TET reported a total income of INR5.55 crore with a surplus of INR1.90 crore, as against the total income of Rs3.91 crore with surplus of INR0.76 crore in FY13. Furthermore, the society has achieved total operating income of INR5.70 crore in FY15 (unaudited). SRI CHAITANYA: ICRA Assigns B+ Rating to INR19cr Cash Credit ------------------------------------------------------------ ICRA has assigned the long-term rating to INR9.00 crore (Rs. 19.00 crore enhanced from INR10.00 crore) cash credit facilities of Sri Chaitanya Rice Mill at [ICRA]B+. ICRA has [ICRA]B+ rating outstanding to the existing INR10.00 crore cash credit facilities of Sri Chaitanya Rice Mill. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 19.00 [ICRA]B+ assigned/outstanding The credit strengths and concerns of Sri Chaitanya Rice Mill remain the same as highlighted in ICRA's Rationale issued in June'2015 available at the following link: http://is.gd/s6YKjj Sri Chaitanya Rice Mill (SCRM), set-up in the year 2003, is engaged in the milling of paddy and produces raw and boiled rice. It is a partnership firm promoted by Mr. K.Ramesh Reddy and his family members. The company has a milling unit in Rayavaram Mandal, East Godavari District with a capacity of milling 54000 MTPA of paddy. Recent Result According to audited FY14 results, the firm has recorded an operating income of INR46.51 crore with a net profit of INR0.22 crore. As per the provisional numbers, the company estimates an operating income of INR47.02 crore during FY15 SWAMINATHAN ENTERPRISES: CRISIL Rates INR50MM LT Loan at B- ----------------------------------------------------------- CRISIL has revoked the suspension of its ratings on the bank facilities of Swaminathan Enterprises Pvt Ltd (SEPL) and has assigned its 'CRISIL B-/Stable/CRISIL A4' ratings to the bank facilities. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 15 CRISIL B-/Stable (Assigned; Suspension revoked) Letter of Credit 45 CRISIL A4 (Assigned; Suspension revoked) Long Term Loan 50 CRISIL B-/Stable (Assigned; Suspension revoked) Proposed Long Term 10 CRISIL B-/Stable (Assigned; Bank Loan Facility Suspension revoked) The ratings were 'Suspended' by CRISIL on December 18, 2014, because SEPL had not provided the necessary information required for a rating review. SEPL has now shared the requisite information, enabling CRISIL to assign ratings to its bank facilities. The ratings reflect the extensive experience of SEPL's promoter in manufacturing electric motors for home appliances. The rating strength is partially offset by the company's small scale of operations, weak financial risk profile marked by a small net worth, high gearing and weak debt protection metrics, and the susceptibility of SEPL's operating margin to volatility in raw material prices and to intense industry competition. Outlook: Stable CRISIL believes that SEPL will benefit over the medium term from the promoter's extensive industry experience. The outlook may be revised to 'Positive' if the company reports significantly higher revenue and profitability, while improving its capital structure. Conversely, the outlook may be revised to 'Negative' if SEPL records low cash accruals or if its working capital management deteriorates significantly, or in case of any major debt-funded capital expenditure plans. SEPL, incorporated in 2006, manufactures fractional horse power motors, which are used in various home appliances such as washing machines, wet grinders, and air conditioners. The company is promoted by Mr. V M S Namasivayam and his family members. The company is located at Chennai. SWITCHGEARS & STRUCTURALS: CRISIL Rates INR105MM Loan at B+ ----------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Switchgears & Structurals (India) Pvt Ltd (SSIPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Letter of Credit 25 CRISIL A4 Cash Credit 105 CRISIL B+/Stable Bank Guarantee 70 CRISIL A4 Bill Discounting under Letter of Credit 30 CRISIL A4 The ratings reflect SSIPL's working-capital-intensive and modest scale of operations in the highly fragmented isolator manufacturing industry. These rating weaknesses are partially offset by the industry experience of the company's promoters, and its established market position. Outlook: Stable CRISIL believes SSIPL will continue to benefit over the medium term from its promoters' extensive industry experience and established client network. The outlook may be revised to 'Positive' if the company scales up its operations and significantly improves its profitability and working capital cycle, thereby strengthening its financial risk profile. Conversely, the outlook may be revised to 'Negative' if SSIPL registers low accruals, or if it undertakes a large unexpected debt-funded capital expenditure programme, if its working capital cycle is stretched, resulting in weakening of its financial risk profile, particularly its liquidity. Incorporated in 1983, SSIPL is engaged in the design, manufacture, and testing of isolators and disconnectors. The company's day to day operations are managed by Mr. O Surendra Babu. It has its manufacturing facility at Hyderabad. TEXORANGE CORPORATION: Ind-Ra Assigns 'IND BB+' Issuer Rating ------------------------------------------------------------- India Ratings and Research (Ind-Ra) has assigned Texorange Corporation Ltd. (TCL) a Long-Term Issuer Rating of 'IND BB+'. The Outlook is Stable. The agency has also assigned TCL's INR291.5 mil. fund-based working capital limits a Long-Term 'IND BB+' rating with a Stable Outlook. KEY RATING DRIVERS The ratings reflect TCL's moderate scale of operations and credit profile, along with narrow EBITDA margins. In FY14, revenue was INR1,049m, EBITDA margins were 4.6%, net financial leverage (total adjusted net debt/operating EBITDA) was 3.8x and EBITDA interest coverage was 2.7x. The ratings also reflect TCL's tight liquidity as reflected by its around 91% average working capital use during the 12 months ended June 2015. The ratings, however, benefit from the over a decade-long experience of TCL's promoters in manufacturing and exporting fabrics and garments. RATING SENSITIVITIES Positive: A sustained improvement in the scale of operations and overall credit metrics will be positive for the ratings. Negative: Deterioration in the profitability and credit metrics will be negative for the ratings. COMPANY PROFILE Mumbai-based TCL was incorporated in 2004 and commenced commercial operations in FY10. The company manufactures and exports fabrics and garments. According to the provisional results for FY15, TCL's net revenue was INR1,158 mil. VERSATILE WIRES: CRISIL Assigns B- Rating to INR48.9MM Loan ----------------------------------------------------------- CRISIL has assigned its 'CRISIL B-/Stable/CRISIL A4' ratings to the bank facilities of Versatile Wires Limited (VWL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Letter of Credit 27.5 CRISIL A4 Funded Interest Term Loan 5.6 CRISIL B-/Stable Foreign Exchange Forward 0.3 CRISIL A4 Bank Guarantee 27.1 CRISIL A4 Cash Credit 48.9 CRISIL B-/Stable The ratings reflect VWL's weak financial risk profile, marked by a negative net worth, weak debt protection metrics and stretched liquidity owing to losses being incurred by the company. The rating also factors in the small scale of operations of the company. These rating weaknesses are partially offset by the extensive industry experience of VWL's promoters. Outlook: Stable CRISIL believes that VWL will continue to benefit over the medium term from its promoter's extensive industry experience and established customer base. The outlook may be revised to 'Positive' in case of a substantial and sustained increase in VWL's scale of operations and accruals, along with improved working capital management, or if there is significant equity infusion by the promoters leading to improvement in the company's capital structure and overall financial risk profile. Conversely, the outlook may be revised to 'Negative' in case of lower-than- expected operating income and accruals, or if the company undertakes any capital expenditure programme or witnesses a stretch in its working capital cycle, leading to further deterioration in its liquidity profile. VWL was originally incorporated on November 9, 1993, as a private limited company; it was reconstituted as a public limited Company in 1995 and listed on the Calcutta Stock Exchange. VWL was jointly promoted by Indian promoters Mr. Sriram Khemka and Mr. Lokesh Khemka in technical assistance with ''Eldra Electrodraht Erzeugung GmbH" of Austria, which has a stake of about 14 per cent in the company. VWL manufactures enamelled copper and aluminium winding wires and processes bare copper wires of various measurements, as per the client's requirements. The company's manufacturing facility is located at Rasapunja, South 24 Parganas (West Bengal). VIRGO CEMENTS: CRISIL Cuts Rating on INR212.8MM Loan to 'D' ----------------------------------------------------------- CRISIL has downgraded its rating on the long-term bank facilities of Virgo Cements Ltd (VCL) to 'CRISIL D' from 'CRISIL B-/Stable'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 64 CRISIL D (Downgraded from 'CRISIL B-/Stable') Term Loan 212.8 CRISIL D (Downgraded from 'CRISIL B-/Stable') The rating downgrade reflects instances of delay by VCL in debt servicing. The delays resulted from weakening of the company's liquidity. VCL has a weak financial risk profile, and a modest scale of operations. Moreover, the company is exposed to intense competition in the cement industry, while its operating margin is susceptible to downturns in its end-user industry and to volatility in raw material prices. However, VCL benefits from the extensive industry experience of its promoters. VCL, incorporated in 1986, manufactures portland pozzolona cement. The company sells its products under the brand, Virgo Cement. VSK LABORATORIES: ICRA Assigns 'B' Rating to INR10cr LT Loan ------------------------------------------------------------ ICRA has assigned the long term rating of [ICRA]B to the INR10.00 crore fund based limits of VSK Laboratories Private Ltd. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Fund based Limits 10.00 [ICRA]B; Assigned The assigned rating is constrained by the project implementation risk for setting up a bulk drug manufacturing unit given that ~40% of the project cost is yet to be incurred; marketing risk in the absence of any customer agreements and high competitive intensity in the fragmented bulk drug industry in India which is likely to result in a pressure on margins. The debt servicing is highly sensitive to timely completion of the project and ability of the company to achieve the envisaged capacity utilisation and margins. The rating, however, positively factors in the experience of the management in the pharmaceutical industry and the favourable demand prospects for the Applied Pharmaceutical Ingredients (API's). The ability of the company to complete the project without any time delays and cost over-runs, and stabilize operations as per the schedule would be the critical rating sensitivity. Following commencement of operations, the market acceptance of the products and scaling up would be key monitorables. VSK Laboratories Private Limited (VSK) was incorporated in the year 2006, with the objective of manufacturing Active Pharmaceutical Ingredients (API's). The company is currently setting up an API manufacturing facility in the Chotuppal mandal of Nalgonda district in Telangana. The total capacity of the plant for manufacturing the proposed API's is 384 Tonnes per annum. The total cost of the project is estimated at INR26.35 crore funded by term loan of INR17.00 crore and remaining INR9.35 crore as promoter contribution. VSK plans to manufacture 9 API's in the anti-hypertension, anti-retro viral, anti-histamine therapeutic segments. The commercial production is expected to start from December 2015. ================= I N D O N E S I A ================= INDONESIA: S&P Assigns 'BB+' Rating to Euro-Denominated Notes ------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'BB+' long-term issue rating to benchmark-size euro-denominated senior notes that the Republic of Indonesia (BB+/Positive/B; axBBB+/axA-2) proposes to issue as part of its US$30 billion global medium-term notes program. The notes will constitute the direct, unconditional, unsubordinated, and unsecured obligations of Indonesia. The ratings on Indonesia balance the country's low per capita income and developing policy and institutional settings against the improved credibility of its monetary policy, buoyant economic growth, and sound public finances. The positive outlook on the sovereign indicates the possibility that S&P could raise its ratings on Indonesia over the next 12 months if the government achieves its stated objective of improving the quality of expenditure. This would include allowing fuel pump prices to adjust more freely and allocating its public investment budget efficiently. S&P will also be reviewing the 2016 budget, due to be presented in October, to evaluate not only the government's commitment to modest fiscal deficits but also its intentions for its vast public enterprise sector. S&P believes these fiscal measures are important not only for public finance but also for the country's savings and investment balance. On the other hand, S&P could revise the outlook to stable if the government's reform ambitions wane or macroeconomic imbalances rise. ========= J A P A N ========= SOFTBANK GROUP: Moody's Assigns Ba1 Rating on Sr. Unsec. Notes -------------------------------------------------------------- Moody's Japan K.K. has assigned a definitive Ba1 rating to the senior unsecured euro and US dollar notes issued by SoftBank Group Corp. The rating outlook is stable. The assignment of definitive rating follows SoftBank's successful completion of its foreign currency notes issuance, the final terms and conditions of which are consistent with Moody's expectations. The notes will be guaranteed by SoftBank Corp. (former SoftBank Mobile Corp.), the primary operating vehicle that engages in mobile and fixed-line telecommunication businesses generating over half of the group's reported consolidated EBITDA for the fiscal year ended March 31, 2015 (FYE3/2015). The specific notes rated are: -- USD 1.0 billion 5.375% senior unsecured USD notes due 2022 at Ba1 -- USD 1.0 billion 6.000% senior unsecured USD notes due 2025 at Ba1 -- EUR 0.5 billion 4.000% senior unsecured EUR notes due 2022 at Ba1 -- EUR 1.25 billion 4.750% senior unsecured EUR notes due 2025 at Ba1 -- EUR 0.5 billion 5.250% senior unsecured EUR notes due 2027 at Ba1 RATINGS RATIONALE Despite its high leverage -- at 5.5x of adjusted gross debt / EBITDA for FYE3/2015 -- SoftBank's Ba1 rating is supported by a significant degree of financial flexibility, which includes its maintenance of large amounts of cash on hand and unrealized gains from investments led by Alibaba Group Holding Limited (A1 stable). At the same time, the rating also reflects the acquisitive nature of the company to expand its business globally. SoftBank issued a total of USD 2 billion and EUR 2.25 billion of new senior unsecured notes. Moody's expects that SoftBank will use most of the proceeds from the proposed note issuance to repay maturing debt in the next several years, which will help restrain the impact on future leverage. Nevertheless, if the company uses a substantial part of cash on hand and/or takes on additional new incremental debt for the purpose of a sizable acquisition, and causes a deterioration in its credit metrics, the rating would come under pressure. The stable outlook reflects Moody's view that the company will maintain significant financial flexibility to offset its already high leverage. The outlook also considers Softbank's position as the second-largest mobile telecommunications operator in Japan by the number of subscribers, which supports steady cash flow from operations. The ratings could be upgraded if SoftBank's improves its profitability and debt leverage such that adjusted EBITDA margin stays above 35% and adjusted gross debt/EBITDA falls below 3.5x. In addition, the company will need to demonstrate an excellent liquidity profile and access to the capital markets. The ratings could be downgraded if Moody's expects SoftBank's adjusted EBITDA margin to remain below 30%. The ratings could also be downgraded if the company's adjusted gross debt/EBITDA exceeds 5.5x on a sustained basis. Significant depletion of liquidity or values in its investments could also increase downward rating pressure. The principal methodology used in these ratings was Global Telecommunications Industry (Japanese) published in February 2011. SoftBank Group Corp. is a Japanese holding company with operations in mobile and fixed-line telecommunications, broadband, Internet, gaming and other businesses. Its subsidiary, SoftBank Corp., is the second-largest mobile telecommunication operator in Japan measured by the number of subscribers. ==================== N E W Z E A L A N D ==================== Q CARD 2014-1: Fitch Affirms 'BBsf' Rating on Series E Notes ------------------------------------------------------------ Fitch Ratings has affirmed the ratings of notes issued by The New Zealand Guardian Trust Company Limited in its capacity as trustee of the Q Card Trust. The transaction is a securitisation of New Zealand credit card receivables. The transaction is a revolving, asset backed note programme that features a multi class structure that will purchase eligible receivables from the seller on a revolving basis. The rating actions are: -- NZD 10.0 mil., VFN affirmed at 'AAAsf'; Outlook Stable; -- NZD 89.5 mil., Series A 2014-1 affirmed at 'AAAsf'; Outlook Stable; -- NZD 58.0 mil., Series A 2014-2 affirmed at 'AAAsf'; Outlook Stable; -- NZD 58.0 mil., Series A 2014-3 affirmed at 'AAAsf'; Outlook Stable; -- NZD 32.5 mil., Series B 2014-1 affirmed at 'AAsf'; Outlook Stable; -- NZD 22.8 mil., Series C 2014-1 affirmed at 'Asf'; Outlook Stable; -- NZD 16.3 mil., Series D 2014-1 affirmed at 'BBBsf'; Outlook Stable; and -- NZD 18.0 mil., Series E 2014-1 affirmed at 'BBsf'; Outlook Stable. KEY RATING DRIVERS The affirmation reflects Fitch's view that the available credit enhancement is sufficient to support the notes' current rating, and the agency's expectations of New Zealand's economic conditions. Credit quality and the performance of the underlying receivables have remained within the agency's expectations. The transaction was modelled with a base case gross yield rate of 17.3%, a base case monthly payment rate (MPR) of 6.8% and a base case charge-off rate of 5.0%. The transaction has performed better than expected with an average gross yield rate of 19.7%, an average MPR of 7.4% and an average charge-off rate of 3.0% since closing. Arrears greater than 120 days are low at 3.84% as of June 30, 2015. Arrears greater than 120 days have been stable in the 2%-4% range, well below the excess spread trapping trigger of 8.00%. Fitch has not revised its base case assumptions. RATING SENSITIVITIES At the base case of the gross yield rate, MPR, and charge-off rate, the transaction can withstand multiples of the current charge-off rates ranging from 4.94x in a 'AAAsf' scenario to 2.53x in a 'BBsf' scenario. At the average gross yield rate, MPR, and charge-off rate since closing, the transaction can withstand higher multiples of the current charge-offs rates ranging from 10.22x in a 'AAAsf' scenario to 5.53x in a 'BBsf' scenario. DUE DILIGENCE USAGE No third party due diligence was provided or reviewed in relation to this rating action DATA ADEQUACY Fitch conducted a file review of 10 sample loan files focusing on the underwriting procedures conducted by Fisher & Paykel Finance Limited compared to its credit policy at the time of underwriting. Fitch has checked the consistency and plausibility of the information and no material discrepancies were noted that would impact Fitch's rating analysis. Initial Key Rating Drivers and Rating Sensitivities are described further in the New Issue report dated Aug. 12, 2014. ===================== P H I L I P P I N E S ===================== SECURITY BANK: Fitch Affirms 'BB' IDR; Outlook Stable ----------------------------------------------------- Fitch Ratings affirmed the Long-Term Issuer Default Ratings (IDRs) of three Philippine banks - China Banking Corporation (China Bank), Security Bank Corporation (Security Bank) and Rizal Commercial Bank Corp. (RCBC) - at 'BB', and their Viability Ratings (VRs) at 'bb'. Their Outlooks are Stable. KEY RATING DRIVERS VRS, IDRS, AND NATIONAL RATINGS The IDRs of the three Philippine banks and the National Ratings of China Bank and Security Bank are driven by their VRs. The ratings reflect their higher risk appetite, adequate capitalization, sound funding and liquidity, and their small yet meaningful market shares. The VRs also take into account structural issues within the local banking system, including concentrated loan portfolios, conglomerate/family ownership and developing corporate governance standards. The Stable Outlooks on all three banks reflect Fitch's view that their financial profiles will likely remain steady over the near to medium term in light of sustained economic growth, a fairly conservative regulatory environment, and sufficient funding and liquidity in the system that is supported by strong inflows from overseas workers. Fitch expects the three banks to continue expanding their branch networks to support deposit and loan growth, and they may undertake acquisitions to enhance their franchises and market positions. Loans growth will likely stem from infrastructure and power projects and the SME and consumer segments, which are higher-yielding and underpenetrated. Fitch believes system loan growth may slow from the fast pace in 2011-2014 (17% on average a year) given external headwinds - arising from slower global growth, rising interest rates and the risk of weaker-than-expected growth in China - and regulatory changes announced in 2014 aimed at strengthening the banks' underwriting practices and cooling down the real estate sector. The ratings also capture Fitch's expectation that the banks will maintain sound capital buffers to balance loan growth and potential loan deterioration. Fitch believes the banks in this peer group would qualify as domestic systemically important banks (D-SIBs) and would have to maintain a minimum CET1 ratio of 10.0% by January 2019, a requirement which they can all comfortably meet already. The CET1 ratios of Security Bank and China Bank were both close to 14% at end-March 2015, and that of RCBC improved to around 14% at end-June 2015 from 12% at end-2014 following a capital injection - equivalent to around 2% of risk-weighted assets - from Cathay Life Insurance in April 2015. Asset quality at Security Bank and RCBC has remained broadly steady, aided by a favourable macroeconomic environment and low interest rates over the last five years, and Fitch believes that there is likely limited room for further improvement. Fitch does not rely too much on the banks' regulatory NPL ratios, which hover around 1%-2%, as it is a backward-looking measure that only considers past-due loans Fitch considers Security Bank's asset quality as the strongest in this peer group, given its lower concentration in large loans relative to capital, smaller exposure to consumer loans and larger securities portfolio that is mainly in Philippine government bonds. Nonetheless, its relative strength can quickly diminish if the bank's recent rapid growth, particularly in the consumer segment, leads to higher delinquencies and impairment costs. China Bank's consolidated asset quality deteriorated after it acquired Planters Development Bank (Plantersbank) in 2014. Its reported NPL ratio rose to 2.5% at end-March 2015 from 2.0% at end-2013, and there may be further deterioration emanating from the assets of the newly acquired bank. SUPPORT RATINGS AND SUPPORT RATING FLOORS The banks' Support Ratings of '3' and Support Rating Floors of 'BB-' reflect Fitch's view of a moderate probability of extraordinary state support for the banks, if needed. This takes into account the Philippine sovereign's fiscal position - as captured in its rating of 'BBB-' - as well as the banks' moderate systemic importance, stemming from their market shares of 3%-5% of system assets, placing them among the sixth to tenth in the market by that measure. SENIOR DEBT AND LEGACY HYBRID SECURITIES The 'BB' ratings on the senior notes of Security Bank and RCBC are driven by their IDRs, as they are direct, unsubordinated and unsecured obligations of the banks, and rank equally with all their other unsecured and unsubordinated obligations. RCBC's Basel II perpetual callable subordinated hybrid notes are rated 'B', which is three notches down from the bank's 'bb' VR, reflecting the presence of both subordination and going-concern loss-absorption mechanisms. RATING SENSITIVITIES VRS, IDRS AND NATIONAL RATINGS The three banks' IDRs and VRs, and National Ratings of China Bank and Security Bank are primarily sensitive to changes in their risk appetites and maintaining sound capital buffers to offset risks attached to rapid growth. Reduced concentration risk and stronger corporate governance could support positive ratings action but Fitch would expect such changes to occur only over the longer term. Their ratings could come under pressure if the banks' credit profiles were to deteriorate as a result of excessive lending to riskier and more volatile sectors and increasing concentration risk. RCBC and China Bank could be more vulnerable to negative rating action due to their weaker asset quality. In addition, China Bank's ratings may be negatively affected by weak execution on its growth strategy, in particular if the integration of Plantersbank goes poorly. SUPPORT RATINGS AND SUPPORT RATING FLOORS The SRs and SRFs would be sensitive to any change in the government's perceived ability or willingness to provide extraordinary support in a timely manner. However, they are not likely to change in the foreseeable future - as the Long-Term IDR for the Philippines was recently affirmed at 'BBB-' with a Stable Outlook, and Fitch does not foresee any sign of diminishing implicit state support for the banks in the near term. SENIOR DEBTS AND HYBRID SECURITIES A change in the Long-Term IDR of Security Bank and RCBC would affect the ratings on their senior notes. RCBC's perpetual hybrid notes are notched from the VR, and as such, a change in the VR would impact the issuer's rating. That said, RCBC has announced it will exercise its call option on the perpetual hybrid notes on 24 July 2015, and the rating on RCBC's hybrid notes will be withdrawn if and when the exercise is completed. The rating actions are: China Bank -- Long-Term Foreign- and Local-Currency IDRs affirmed at 'BB'; Outlook Stable -- National Long-Term Rating affirmed at 'AA-(phl)'; Outlook Stable -- Viability Rating affirmed at 'bb' -- Support Rating affirmed at '3' -- Support Rating Floor affirmed at 'BB-' Security Bank -- Long-Term Foreign- and Local-Currency IDRs affirmed at 'BB'; Outlook Stable -- Short-Term Foreign-Currency IDR affirmed at 'B' -- National Long-Term Rating affirmed at 'AA-(phl)'; Outlook Stable -- Viability Rating affirmed at 'bb' -- Support Rating affirmed at '3' -- Support Rating Floor affirmed at 'BB-' -- Rating on senior notes affirmed at 'BB' RCBC -- Long-Term Foreign- and Local-Currency IDRs affirmed at 'BB'; Outlook Stable -- Viability Rating affirmed at 'bb' -- Support Rating affirmed at '3' -- Support Rating Floor affirmed at 'BB-' -- Ratings on senior notes affirmed at 'BB' -- Ratings on Basel II perpetual callable subordinated hybrid notes affirmed at 'B' ================= S I N G A P O R E ================= VIVA INDUSTRIAL: S&P Lowers CCR to 'BB'; Outlook Stable ------------------------------------------------------- Standard & Poor's Ratings Services said that it had lowered its long-term corporate credit rating on Singapore-based Viva Industrial REIT to 'BB' from 'BB+'. The outlook is stable. S&P also lowered its long-term issue rating on Viva's guaranteed senior unsecured medium-term notes (MTN) program and Singapore dollar (S$) 100 million drawdown to 'BB+' from 'BBB-'. At the same time, S&P lowered its long-term ASEAN regional scale rating on the REIT to 'axBBB-' from 'axBBB' and on the notes to 'axBBB' from 'axBBB+'. "We lowered the rating because we expect Viva's balance sheet to weaken with the REIT's aggressive debt-funded acquisition plans over the next 12-18 months," said Standard & Poor's credit analyst Yuehao Wu. S&P estimates that Viva's leverage (as measured by the ratio of debt to assets) will be close to, or higher than, 40% over the period. This ratio is at the top of the REIT's financial policy. Viva's ratio of funds from operations (FFO) to debt could also decline to less than 9%, the lower end of an "intermediate" financial risk profile. S&P has therefore revised the financial policy modifier to "negative" from "neutral." Viva's uncertain risk tolerance and aggressive growth appetite are key rating weaknesses, in S&P's view. The REIT's leverage has historically exceeded the stated financial policy. Viva's acquisition of two properties in Singapore in November 2014 pushed its leverage close to 45%. The leverage fell temporarily to 38.9% as of June 30, 2015, after an equity raising for the payment of Technopark@ChaiChee's (TPCC) conversion premium for Viva's asset enhancement initiative (AEI) during the month. S&P expects the leverage to rise with debt drawdown to fund the construction cost. In S&P's view, the AEI carries leasing risks because only 27% of the converted retail/commercial space is preleased. Moreover, TPCC is an old business park with 62%-64% occupancy for the past two years and it has a short remaining land lease of 16 years. S&P expects an occupancy improvement at the property to be modest because the total converted space accounts for a small portion (14%-15%) of total net lettable area. Viva also faces a growing risk of rental support expiring in three years with no meaningful organic growth in earnings from occupancy improvement. Without rental support, Viva's financial health would be much weaker, with an FFO-to-debt ratio of 6.4%-7.0%. S&P's base case does not incorporate any potential debt-funded acquisition because the size of an acquisition and its funding mix are uncertain and S&P captures the event risk in its "negative" financial policy modifier. In S&P's base case, it projects Viva's leverage at 42%-43% over the next 12 months. S&P expects Viva's leverage to decline to close to 40% by 2016 because of substantial valuation gain (according to an independent property appraiser) upon completion of the TPCC asset enhancement, rather than through absolute debt reduction. S&P anticipates the FFO-to-debt ratio, adjusted for rental support, to remain above 9% and gradually rise to 10.0%-10.5% by 2016. S&P lowered the issue ratings on the MTN program and the notes in line with the lowering of the corporate credit rating. The issue ratings are one notch higher than the corporate credit rating to reflect S&P's view of the program's substantial recovery prospects because of over-collateralization of the trust's secured debt. "The stable outlook reflects our expectation that Viva will operate close to the top of its financial policy of 40% leverage over the next 12-18 months," said Ms. Wu. "Our stable outlook also hinges on steady rental support over the period." S&P expects Viva's financial risk profile to remain at "intermediate" after factoring the ongoing AEI at TPCC, but it may weaken to "significant" with potential debt-funded acquisitions. S&P may lower the rating if Viva's debt-funded acquisitions are more aggressive than our expectation, substantially weakening its balance sheet. An FFO-to-debt ratio that is persistently below 7% could indicate such weakness. Downgrade pressure may also arise if Viva's occupancy levels decline materially and weaken its profitability. A disruption to the rental support could also immediately stress the financial risk profile. The rating upside is limited for Viva over the next 12 months, in S&P's view. However, S&P may raise the rating if the REIT meaningfully enhances the portfolio occupancy and profitability while expanding and diversifying its portfolio. An upgrade also hinges on the REIT demonstrating a record of financial discipline. Evidence of a more conservative financial policy would be an FFO- to-debt ratio of more than 10% and leverage below 40% on a sustained basis. ==================== S O U T H K O R E A ==================== SK HYNIX: Moody's Retains Ba1 CFR on Weaker Operating Results ------------------------------------------------------------- Moody's Investors Service says that SK Hynix Inc.'s weaker operating results for Q2 2015 and announcement of a share buyback will not immediately impact the memory chip maker's Ba1 corporate family rating and stable outlook. "Despite the quarter-on-quarter weakening in revenue and operating profit, SK Hynix's profitability remained robust when compared with its similarly-rated peers," says Gloria Tsuen, a Moody's Vice President and Senior Analyst. "In addition, the company's net cash position as well as low leverage continue to provide an adequate buffer against the weak outlook for demand for PCs and consumer electronics," adds Tsuen. Based on the company's announcement, SK Hynix's revenue and operating profit declined by 4% and 13% quarter on quarter. The declines were largely due to weak demand for PC DRAM, while the weakness in the prices for PC DRAM also affected the prices for other DRAM products, such as server & consumer DRAM. Average selling price for DRAM fell 8%, more than offsetting the 4% increase in bit shipment. The NAND flash market was relatively stable, with bit shipment up 8% while average selling price fell 6%. The company reported an operating profit margin of 30% in Q2 2015, which is strong for its ratings category. On a year-on-year basis, Q2 2015 revenue grew 18%, and operating profit increased 27%. As at end-June, SK Hynix maintained a net cash position with a total cash balance -- including short-term investments -- of KRW4.2 trillion, against total debt of KRW3.8 trillion. The company's leverage also remains low for its rating category with adjusted debt/EBITDA below 1x. The company also announced plans to repurchase 22 million shares, or approximately KRW840 billion (based on the July 22 closing stock price), which can be accommodated in its current rating. Although Moody's expects SK Hynix's revenue growth to slow in 2015, in line with industry forecasts amid decelerating demand for consumer electronics, its operating margin should remain above the mid-to-high 20% range for all of 2015. The industry will remain capital intensive and Moody's expects that SK Hynix will incur capital expenditure of KRW5.5-6 trillion in 2015 and 2016, which is likely to be funded out of operating cash flow. Still, we expect the company to maintain a prudent approach on capital management and a strong liquidity profile. Specifically, Moody's expects the company to maintain a cash balance above the KRW3.5-4.0 trillion range, which will provide a financial buffer in the event of an industry downturn. While SK Hynix's financial metrics are strong for the rating level, the rating also considers the inherent cyclicality of the memory chip industry and the high level of capex required to maintain its competitive edge and cost advantages. Upward rating pressure could arise if SK Hynix significantly improves its position in the memory market, in particular, in the NAND segment, diversifies its customer base and products, and maintains stability of earnings through cycles. Credit metrics that would further support upgrade pressure include sustained operating margins above 10% through the cycle, positive free cash flow, and adjusted debt/EBITDA remaining below 1.0x, over the course of a cycle. Downward rating pressure could arise if SK Hynix's financial metrics deteriorate owing to (1) a significant industry downturn; (2) rapid commoditization of mobile DRAM; (3) significant erosion of its market positions or delays in technological migrations; or (4) changes in its investment and shareholder distribution policies, such that its cash balance declines or results in negative free cash flow. Other specific financial metrics for a downgrade include operating margin deteriorating to below 15%, adjusted FCF/debt turning negative, cash balance deteriorating to below KRW2.5 trillion, or adjusted debt/EBITDA increasing above 2x. In addition, an adverse change in the relationship between SK Hynix and SK Telecom Co Ltd (SKT, A3 stable) could result in a negative rating action. The principal methodology used in this rating was Global Semiconductor Industry Methodology published in December 2012. SK Hynix Inc., a Korea-based company, is engaged in the design, manufacture, and sale of memory chips, such as DRAM and NAND flash memory. It is 20.07%-owned by SK Telecom Co Ltd. =============== X X X X X X X X =============== * BOND PRICING: For the Week July 20 to July 24, 2015 ----------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- AUSTRALIA --------- ANTARES ENERGY LTD 10.00 10/30/23 AUD 1.83 BOART LONGYEAR MAN 7.00 04/01/21 USD 70.75 BOART LONGYEAR MAN 7.00 04/01/21 USD 68.30 CML GROUP LTD 9.00 01/29/20 AUD 0.99 CML GROUP LTD 9.00 01/29/20 AUD 0.99 CRATER GOLD MINING 10.00 08/18/17 AUD 25.00 CRATER GOLD MINING 10.00 08/18/17 AUD 25.00 EMECO PTY LTD 9.88 03/15/19 USD 71.50 FMG RESOURCES AUGU 6.88 04/01/22 USD 58.97 FMG RESOURCES AUGU 6.88 04/01/22 USD 61.00 IMF BENTHAM LTD 6.35 06/30/19 AUD 70.50 KBL MINING LTD 12.00 02/16/17 AUD 0.31 LAKES OIL NL 10.00 03/31/17 AUD 8.61 MIDWEST VANADIUM P 11.50 02/15/18 USD 5.00 MIDWEST VANADIUM P 11.50 02/15/18 USD 3.08 STOKES LTD 10.00 06/30/17 AUD 0.45 TREASURY CORP OF V 0.50 11/12/30 AUD 63.06 CHINA ----- CHANGCHUN CITY DEV 6.08 03/09/16 CNY 40.46 CHANGZHOU INVESTME 5.80 07/01/16 CNY 40.71 CHANGZHOU WUJIN CI 5.42 06/09/16 CNY 50.38 CHINA DEVELOPMENT 3.52 04/18/20 CNY 74.25 CHINA GOVERNMENT B 1.64 12/15/33 CNY 70.70 DATONG ECONOMIC CO 6.50 06/01/17 CNY 71.48 ERDOS DONGSHENG CI 8.40 02/28/18 CNY 57.70 GRANDBLUE ENVIRONM 6.40 07/07/16 CNY 72.12 HANGZHOU XIAOSHAN 6.90 11/22/16 CNY 72.00 HEILONGJIANG HECHE 7.78 11/17/16 CNY 71.65 HUAIAN CITY URBAN 7.15 12/21/16 CNY 70.58 INNER MONGOLIA NAI 7.48 05/05/18 CNY 72.19 KUNSHAN ENTREPRENE 4.70 03/30/16 CNY 40.18 LIAOYUAN STATE-OWN 7.80 01/26/17 CNY 71.51 NANJING NANGANG IR 6.13 02/27/16 CNY 50.74 NANJING NANGANG IR 6.13 02/27/16 CNY 50.15 NANTONG CITY TONGZ 6.80 05/28/19 CNY 82.95 NANTONG STATE-OWNE 6.72 11/13/16 CNY 71.05 OCEAN RIG UDW INC 7.25 04/01/19 USD 67.00 PANJIN CONSTRUCTIO 7.70 12/16/16 CNY 71.80 QINGZHOU HONGYUAN 6.50 05/22/19 CNY 40.39 TAIZHOU CITY CONST 6.90 01/25/17 CNY 70.61 WUXI COMMUNICATION 5.58 07/08/16 CNY 50.40 XIANGTAN JIUHUA EC 6.93 12/16/16 CNY 70.70 YANGZHOU URBAN CON 5.94 07/23/16 CNY 70.94 YANGZHOU URBAN CON 5.94 07/23/16 CNY 71.10 INDONESIA --------- BERAU COAL ENERGY 7.25 03/13/17 USD 60.00 BERAU COAL ENERGY 7.25 03/13/17 USD 58.01 BERLIAN LAJU TANKE 16.25 05/28/14 IDR 1.03 JAIPRAKASH ASSOCIA 5.75 09/08/17 USD 74.63 GTL INFRASTRUCTURE 3.53 11/09/17 USD 25.75 INDIA ----- 3I INFOTECH LTD 5.00 04/26/17 USD 16.50 BLUE DART EXPRESS 9.30 11/20/17 INR 10.18 BLUE DART EXPRESS 9.50 11/20/19 INR 10.29 BLUE DART EXPRESS 9.40 11/20/18 INR 10.23 COROMANDEL INTERNA 9.00 07/23/16 INR 16.45 INCLINE REALTY PVT 10.85 08/21/17 INR 11.44 INDIA GOVERNMENT B 7.64 01/25/35 INR 22.81 INCLINE REALTY PVT 10.85 04/21/17 INR 8.16 JCT LTD 2.50 04/08/11 USD 22.63 ORIENTAL HOTELS LT 2.00 11/21/19 INR 73.62 PYRAMID SAIMIRA TH 1.75 07/04/12 USD 1.00 REI AGRO LTD 5.50 11/13/14 USD 20.63 REI AGRO LTD 5.50 11/13/14 USD 20.63 SHIV-VANI OIL & GA 5.00 08/17/15 USD 25.00 JAPAN ----- AVANSTRATE INC 3.02 11/05/15 JPY 39.13 AVANSTRATE INC 5.00 11/05/17 JPY 30.50 ELPIDA MEMORY INC 0.70 08/01/16 JPY 9.63 ELPIDA MEMORY INC 0.50 10/26/15 JPY 8.88 ELPIDA MEMORY INC 2.03 03/22/12 JPY 9.63 ELPIDA MEMORY INC 2.10 11/29/12 JPY 9.63 ELPIDA MEMORY INC 2.29 12/07/12 JPY 9.63 KOREA ----- 2014 KODIT CREATIV 5.00 12/25/17 KRW 28.86 2014 KODIT CREATIV 5.00 12/25/17 KRW 28.86 DOOSAN CAPITAL SEC 20.00 04/22/19 KRW 36.25 EXPORT-IMPORT BANK 0.50 12/22/17 BRL 74.85 HYUNDAI MERCHANT M 7.05 12/27/42 KRW 37.21 HYUNDAI HEAVY INDU 4.80 12/15/44 KRW 57.22 HYUNDAI HEAVY INDU 4.90 12/15/44 KRW 56.16 KIBO GREEN HI-TECH 10.00 12/21/15 KRW 43.19 KIBO ABS SPECIALTY 5.00 03/29/18 KRW 27.85 KIBO ABS SPECIALTY 10.00 09/04/16 KRW 36.88 KIBO ABS SPECIALTY 10.00 02/19/17 KRW 34.50 KIBO ABS SPECIALTY 5.00 01/31/17 KRW 30.71 LSMTRON DONGBANGSE 4.53 11/22/17 KRW 28.54 POSCO ENERGY CORP 4.66 08/29/43 KRW 69.75 POSCO ENERGY CORP 4.72 08/29/43 KRW 69.17 POSCO ENERGY CORP 4.72 08/29/43 KRW 68.98 POSCO PLANTEC CO L 3.89 09/13/16 KRW 70.18 SINBO SECURITIZATI 5.00 08/29/18 KRW 26.72 SINBO SECURITIZATI 5.00 09/26/18 KRW 26.52 SINBO SECURITIZATI 5.00 09/26/18 KRW 26.52 SINBO SECURITIZATI 5.00 09/26/18 KRW 26.52 SINBO SECURITIZATI 5.00 12/13/16 KRW 31.97 SINBO SECURITIZATI 5.00 03/14/16 KRW 33.60 SINBO SECURITIZATI 5.00 02/02/16 KRW 34.88 SINBO SECURITIZATI 8.00 02/02/16 KRW 38.22 SINBO SECURITIZATI 5.00 01/19/16 KRW 35.56 SINBO SECURITIZATI 10.00 12/27/15 KRW 42.59 SINBO SECURITIZATI 5.00 07/26/16 KRW 33.49 SINBO SECURITIZATI 5.00 07/26/16 KRW 33.49 SINBO SECURITIZATI 5.00 03/12/18 KRW 27.99 SINBO SECURITIZATI 5.00 03/12/18 KRW 27.99 SINBO SECURITIZATI 5.00 09/28/15 KRW 47.42 SINBO SECURITIZATI 5.00 10/05/16 KRW 32.75 SINBO SECURITIZATI 5.00 10/05/16 KRW 31.17 SINBO SECURITIZATI 5.00 08/31/16 KRW 33.09 SINBO SECURITIZATI 5.00 08/31/16 KRW 33.10 SINBO SECURITIZATI 5.00 01/29/17 KRW 31.47 SINBO SECURITIZATI 5.00 07/08/17 KRW 30.31 SINBO SECURITIZATI 5.00 07/08/17 KRW 30.31 SINBO SECURITIZATI 5.00 06/07/17 KRW 22.71 SINBO SECURITIZATI 5.00 06/07/17 KRW 22.71 SINBO SECURITIZATI 5.00 08/24/15 KRW 56.96 SINBO SECURITIZATI 5.00 12/07/15 KRW 39.23 SINBO SECURITIZATI 5.00 09/13/15 KRW 53.16 SINBO SECURITIZATI 5.00 09/13/15 KRW 53.16 SINBO SECURITIZATI 5.00 05/27/16 KRW 34.17 SINBO SECURITIZATI 5.00 05/27/16 KRW 34.17 SINBO SECURITIZATI 5.00 02/21/17 KRW 31.20 SINBO SECURITIZATI 5.00 02/21/17 KRW 31.20 SINBO SECURITIZATI 5.00 06/29/16 KRW 33.81 SINBO SECURITIZATI 5.00 03/13/17 KRW 30.98 SINBO SECURITIZATI 5.00 03/13/17 KRW 30.98 SINBO SECURITIZATI 5.00 12/25/16 KRW 31.16 SINBO SECURITIZATI 5.00 01/15/18 KRW 28.67 SINBO SECURITIZATI 5.00 01/15/18 KRW 28.67 SINBO SECURITIZATI 5.00 02/11/18 KRW 28.21 SINBO SECURITIZATI 5.00 02/11/18 KRW 28.21 SINBO SECURITIZATI 5.00 06/27/18 KRW 27.35 SINBO SECURITIZATI 5.00 06/27/18 KRW 27.35 SINBO SECURITIZATI 5.00 07/24/17 KRW 29.28 SINBO SECURITIZATI 5.00 07/24/18 KRW 27.16 SINBO SECURITIZATI 5.00 07/24/18 KRW 27.16 SINBO SECURITIZATI 5.00 10/01/17 KRW 29.35 SINBO SECURITIZATI 5.00 10/01/17 KRW 29.35 SINBO SECURITIZATI 5.00 10/01/17 KRW 29.35 SINBO SECURITIZATI 5.00 08/16/16 KRW 32.34 SINBO SECURITIZATI 5.00 08/16/17 KRW 29.90 SINBO SECURITIZATI 5.00 08/16/17 KRW 29.90 SINBO SECURITIZATI 5.00 08/29/18 KRW 26.72 SK TELECOM CO LTD 4.21 06/07/73 KRW 67.19 TONGYANG CEMENT & 7.50 07/20/14 KRW 70.00 TONGYANG CEMENT & 7.50 09/10/14 KRW 70.00 TONGYANG CEMENT & 7.30 06/26/15 KRW 70.00 TONGYANG CEMENT & 7.30 04/12/15 KRW 70.00 TONGYANG CEMENT & 7.50 04/20/14 KRW 70.00 U-BEST SECURITIZAT 5.50 11/16/17 KRW 29.56 WISE MOBILE SECURI 20.00 05/19/18 KRW 72.51 SRI LANKA --------- SRI LANKA GOVERNME 5.35 03/01/26 LKR 72.84 MALAYSIA -------- BANDAR MALAYSIA SD 0.35 02/20/24 MYR 70.31 BANDAR MALAYSIA SD 0.35 12/29/23 MYR 70.79 BIMB HOLDINGS BHD 1.50 12/12/23 MYR 70.32 BRIGHT FOCUS BHD 2.50 01/22/31 MYR 65.37 BRIGHT FOCUS BHD 2.50 01/24/30 MYR 68.71 LAND & GENERAL BHD 1.00 09/24/18 MYR 0.29 SENAI-DESARU EXPRE 0.50 12/31/38 MYR 64.69 SENAI-DESARU EXPRE 0.50 12/29/45 MYR 73.08 SENAI-DESARU EXPRE 0.50 12/31/42 MYR 70.15 SENAI-DESARU EXPRE 0.50 12/31/40 MYR 67.69 SENAI-DESARU EXPRE 0.50 12/31/41 MYR 68.85 SENAI-DESARU EXPRE 0.50 12/30/44 MYR 72.19 SENAI-DESARU EXPRE 0.50 12/30/39 MYR 66.42 SENAI-DESARU EXPRE 0.50 12/31/43 MYR 71.28 SENAI-DESARU EXPRE 1.35 06/30/28 MYR 58.34 SENAI-DESARU EXPRE 1.35 12/29/28 MYR 57.04 SENAI-DESARU EXPRE 1.10 12/31/21 MYR 75.10 SENAI-DESARU EXPRE 1.10 06/30/22 MYR 73.56 SENAI-DESARU EXPRE 1.15 12/30/22 MYR 72.35 SENAI-DESARU EXPRE 1.15 06/30/23 MYR 70.89 SENAI-DESARU EXPRE 1.15 12/29/23 MYR 69.43 SENAI-DESARU EXPRE 1.15 06/28/24 MYR 67.99 SENAI-DESARU EXPRE 1.15 12/31/24 MYR 66.39 SENAI-DESARU EXPRE 1.15 06/30/25 MYR 64.84 SENAI-DESARU EXPRE 1.35 12/31/25 MYR 64.96 SENAI-DESARU EXPRE 1.35 06/30/26 MYR 63.60 SENAI-DESARU EXPRE 1.35 12/31/26 MYR 62.27 SENAI-DESARU EXPRE 1.35 06/30/27 MYR 60.93 SENAI-DESARU EXPRE 1.35 12/31/27 MYR 59.64 SENAI-DESARU EXPRE 1.35 06/29/29 MYR 55.79 SENAI-DESARU EXPRE 1.35 12/31/29 MYR 54.58 SENAI-DESARU EXPRE 1.35 06/28/30 MYR 53.42 SENAI-DESARU EXPRE 1.35 12/31/30 MYR 52.27 SENAI-DESARU EXPRE 1.35 06/30/31 MYR 51.14 UNIMECH GROUP BHD 5.00 09/18/18 MYR 1.26 PHILIPPINES ----------- BAYAN TELECOMMUNIC 13.50 07/15/06 USD 22.75 BAYAN TELECOMMUNIC 13.50 07/15/06 USD 22.75 SINGAPORE --------- AXIS OFFSHORE PTE 7.54 05/18/18 USD 69.41 BAKRIE TELECOM PTE 11.50 05/07/15 USD 3.44 BAKRIE TELECOM PTE 11.50 05/07/15 USD 3.44 BERAU CAPITAL RESO 12.50 07/08/49 USD 61.50 BERAU CAPITAL RESO 12.50 07/08/49 USD 74.78 BLD INVESTMENTS PT 8.63 03/23/15 USD 9.50 BUMI CAPITAL PTE L 12.00 11/10/16 USD 26.67 BUMI INVESTMENT PT 10.75 10/06/17 USD 27.13 BUMI INVESTMENT PT 10.75 10/06/17 USD 26.75 BUMI CAPITAL PTE L 12.00 11/10/16 USD 28.25 ENERCOAL RESOURCES 6.00 04/07/18 USD 14.50 INDO INFRASTRUCTUR 2.00 07/30/10 USD 1.88 GOLIATH OFFSHORE H 12.00 06/11/17 USD 45.00 OSA GOLIATH PTE LT 12.00 10/09/18 USD 68.00 ORO NEGRO DRILLING 7.50 01/24/19 USD 74.13 SWIBER HOLDINGS LT 7.13 04/18/17 SGD 74.38 THAILAND -------- G STEEL PCL 3.00 10/04/15 USD 4.05 MDX PCL 4.75 09/17/03 USD 37.38 VIETNAM ------- BANK FOR INVESTMEN 10.20 05/19/21 VND 1.00 DEBT AND ASSET TRA 1.00 10/10/25 USD 57.80 ********* Tuesday's edition of the TCR-AP delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-AP editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Tuesday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-AP constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-AP editor holds some position in the issuers' public debt and equity securities about which we report. A list of Meetings, Conferences and Seminars appears in each Wednesday's edition of the TCR-AP. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com Friday's edition of the TCR-AP features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Asia Pacific is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, and Peter A. Chapman, Editors. Copyright 2015. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. TCR-AP subscription rate is US$775 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000 or Nina Novak at 202-362-8552. *** End of Transmission ***