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        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

            Friday, April 13, 2018, Vol. 21, No. 073

                            Headlines


A U S T R A L I A

BABY BOUNCE: First Creditors' Meeting Set for April 19
CHAMBERS WELDING: Second Creditors' Meeting Set for April 19
FULLTILT LOGISTICS: First Creditors' Meeting Set for April 19
I & G MOUSSA: First Creditors' Meeting Set for April 20
J & US PTY: Second Creditors' Meeting Set for April 18

LIFT HOLDINGS: First Creditors' Meeting Set for April 20
STAY IN BED: Second Creditors' Meeting Set for April 19


C H I N A

CHINA SCE: Moody's Assigns B2 Rating to Sr. Unsecured USD Notes
LANDSEA GREEN: S&P Rates New USD-Denominated Sr. Unsec. Notes B-
POWERLONG REAL: Moody's Rates New Sr. Unsecured USD Notes B2
SAI GLOBAL: S&P Lowers ICR to 'B' on Weaker Financial Performance
SUNSHINE 100: Fitch Lowers LT Issuer Default Rating to CCC+


I N D I A

AJINKYA BIG: CRISIL Reaffirms D Rating on INR4.5MM Cash Loan
ATTAPPADI NURSERIES: CRISIL Withdraws D Rating on INR2.5MM Loan
BALAJI PACK: CRISIL Assigns 'B' Rating to INR5.45MM Term Loan
BHAVYA CONSTRUCTIONS: Ind-Ra Withdraws 'BB-' LT Issuer Rating
BR. SHESHRAO: CRISIL Withdraws B+ Rating on INR5MM Term Loan

EMCO PRESSMASTER: CRISIL Lowers Rating on INR5MM Cash Loan to B-
GAMA INFRAPROP: CRISIL Moves D Rating to Not Cooperating Category
GEMINI INNOVATIONS: NCLT Rejects Firm's Bankruptcy Petition
GIAN JYOTI: CRISIL Migrates B- Rating to Not Cooperating Category
JOHNS GOLD: CRISIL Migrates B+ Rating to Not Cooperating Category

K.T. MATHEW: CRISIL Withdraws B Rating on INR4MM Cash Loan
KANCHI KARPOORAM: Ind-Ra Migrates 'BB-' Rating to Non-Cooperating
KOTSONS PRIVATE: CRISIL Reaffirms B Rating on INR42.5MM Loan
MAHABIR AND SONS: CRISIL Assigns B+ Rating to INR10MM Cash Loan
NORTHERN ARC: Ind-Ra Gives Prov. BB+ Rating on INR12.18MM Loan

NORTHERN INDIA: CRISIL Moves B- Rating to Not Cooperating Cat.
PALANI COTTON: CRISIL Withdraws B+ Rating on INR6.3MM Cash Loan
PAWAN SHREE: Ind-Ra Maintains 'B-' LT Rating in Non-Cooperating
PEKON ELECTRONICS: Ind-Ra Withdraws 'BB-' LT Issuer Rating
PILOT 2 WHEELERS: Ind-Ra Migrates 'BB+' Rating to Non-Cooperating

PRAYAS STEELS: CRISIL Moves B Rating to Not Cooperating Category
PUNJAB NATIONAL: Fitch Lowers Viability Rating to 'bb-'
REGAL TRADING: Ind-Ra Migrates BB+ LT Rating to Non-Cooperating
REID & TAYLOR: NCLT Admits Firm for Insolvency Proceedings
RHEOPLAST TECHNOLOGY: CRISIL Moves B Rating to Not Cooperating

SAFE STAR: CRISIL Withdraws B Rating on INR2MM Overdraft
SHREE GANPATI: CRISIL Lowers Rating on INR7.7MM LT Loan to D
SKD RICE: CRISIL Raises Rating on INR3.5MM Term Loan to B+
SRAVINS INSTRUMENTS: Ind-Ra Migrates B+ Rating to Non-Cooperating
SUDARSHAN BEOPAR: Ind-Ra Migrates BB+ Rating to Non-Cooperating

SUDHIR FOOD: CRISIL Moves B+ Rating to Not Cooperating Category
SUNRISE INTEGRATED: CRISIL Withdraws B+ Rating on INR6MM Loan
SURANA METACAST: CRISIL Moves D Rating to Not Cooperating Cat.
ZURI HOTELS: CRISIL Withdraws B Rating on INR2MM Term Loan


I N D O N E S I A

AGUNG PODOMORO: Fitch Cuts Long-Term IDR to B+; Outlook Stable


J A P A N

TAKATA CORP: Key Safety Systems Completes Acquisition


M O N G O L I A

MONGOLYN ALT: Fitch Affirms 'CCC+(EXP)' LT Issuer Default Rating


                            - - - - -


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A U S T R A L I A
=================


BABY BOUNCE: First Creditors' Meeting Set for April 19
------------------------------------------------------
A first meeting of the creditors in the proceedings of Baby Bounce
Pty Ltd will be held at Hyatt Regency Hotel, 161 Sussex Street, in
Sydney, NSW, on April 19, 2018, at 10:00 a.m.

Alan Walker and Andre Lakomy of Cor Cordis were appointed as
administrators of Baby Bounce on April 10, 2018.


CHAMBERS WELDING: Second Creditors' Meeting Set for April 19
------------------------------------------------------------
A second meeting of creditors in the proceedings of Chambers
Welding & Fabrication Pty Ltd has been set for April 19, 2018, at
10:00 a.m. at the offices of HLB Mann Judd (Insolvency WA),
Level 3, 35 Outram Street, in West Perth, West Australia.

The purpose of the meeting are (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the
Company be wound up.

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by April 18, 2018, at 4:00 p.m.

Gary John Anderson of HLB Mann Judd was appointed as administrator
of Chambers Welding on March 16, 2018.


FULLTILT LOGISTICS: First Creditors' Meeting Set for April 19
-------------------------------------------------------------
A first meeting of the creditors in the proceedings of Welmacormic
Pty Ltd, formerly trading as Fulltilt Logistics, will be held at
Level 49, 108 St Georges Terrace, in Perth, WA, on April 19, 2018,
at 10:00 a.m.

Jimmy Trpcevski of WA Insolvency was appointed as administrators
of Welmacormic Pty on April 10, 2018.


I & G MOUSSA: First Creditors' Meeting Set for April 20
-------------------------------------------------------
A first meeting of the creditors in the proceedings of I & G
Moussa Investments Pty. Ltd will be held at Level 12, 460 Lonsdale
Street, in Melbourne, Victoria, on April 20, 2018, at
10:30 a.m.

Malcolm Kimbal Howell of Jirsch Sutherland was appointed as
administrator of I & G Moussa on April 10, 2018.


J & US PTY: Second Creditors' Meeting Set for April 18
------------------------------------------------------
A second meeting of creditors in the proceedings of J & Us Pty
Ltd, trading as Suryun Restaurant, has been set for April 18,
2018, at 9:30 a.m. at the offices of Greengate Advisory, Suite
4.05, Level 4, 130 Pitt St, in Sydney, NSW, on April 18, 2018, at
9:30 a.m.

The purpose of the meeting are (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the
Company be wound up.

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by April 17, 2018, at 4:00 p.m.

Patrick Loi of Greengate Advisory were appointed as administrators
of J & Us Pty on March 13, 2018.


LIFT HOLDINGS: First Creditors' Meeting Set for April 20
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Lift
Holdings Pty Ltd will be held at the offices of Hall Chadwick
Chartered Accountants, Level 14, 440 Collins Street, in Melbourne,
Victoria, on April 20, 2018, at 11:00 a.m.

David Allan Ingram of Hall Chadwick was appointed as administrator
of Lift Holdings on April 10, 2018.


STAY IN BED: Second Creditors' Meeting Set for April 19
-------------------------------------------------------
A second meeting of creditors in the proceedings of Stay in Bed
Milk & Bread Pty Ltd, trading as Aussie Farmers Direct, and The
General Store Pty Ltd, has been set for April 19, 2018, at
2:00 p.m. at Karstens, 123 Queen St, in Melbourne, Victoria, on
April 19, 2018, at 2:00 p.m.

The purpose of the meeting are (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the
Company be wound up.

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by April 17, 2018, at 4:00 p.m.

Craig Shepard and Leanne Chesser of KordaMentha were appointed as
administrators of Stay in Bed on March 5, 2018.



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C H I N A
=========


CHINA SCE: Moody's Assigns B2 Rating to Sr. Unsecured USD Notes
---------------------------------------------------------------
Moody's Investors Service has assigned a B2 senior unsecured
rating to the USD notes proposed by China SCE Property Holdings
Limited (B1 stable).

The rating outlook is stable.

The proceeds from the proposed issuance will be used mainly to
refinance existing debt and for general working capital purposes.

RATINGS RATIONALE

"The proposed notes will improve China SCE's liquidity profile,
lengthen its debt maturity profile and reduce its funding costs,"
says Danny Chan, a Moody's Analyst, and also the Lead Analyst for
China SCE.

Furthermore, the proposed notes will have a limited impact on the
company's leverage, because a significant amount of the proceeds
will be used to refinance existing debt.

Moody's expects that China SCE's interest coverage - as measured
by adjusted EBIT/interest - will remain stable at around 3.5x over
the next 12-18 months compared to 3.4x for 2017.

Its debt leverage - as measured by revenue/adjusted debt - will
likely improve to around 70%-75% from 66% at year-end 2017. This
is based on the company's strong 41% contracted sales year-on-year
growth in 2017 to RMB33.2 billion, which will provide support to
revenue growth over the next one to two years.

These credit metrics support its B1 corporate family rating.

Moody's expects China SCE will continue to exercise prudence in
its land acquisitions and debt management. Specifically, Moody's
assumes that the company will limit its land acquisitions to no
more than 50% of its total contracted sales, and maintain growth
in debt within 25%-35% year-on-year over the next 12-18 months.

Supported by a 23% year-over-year rise in average selling prices
(ASP) to around RMB17,365/square meter, the company announced a
29% year-over-year increase in revenue to around RMB16.1 billion
in 2017. At the same time, its gross profit margin increased
significantly to 34% in 2017 from about 25% in 2016 and 28% in
2015. These improvements were partly attributable to its increased
focus on Tier 1 and major Tier 2 cities in China, which accounted
for around 30% of its total land bank by GFA at year-end 2017.

China SCE's B1 corporate family rating reflects its track record
and strong market position in Quanzhou in Fujian Province, growing
operating scale, good liquidity position, and recovering strong
profit margins after its expansion in Tier 1 and 2 cities outside
Fujian.

On the other hand, the corporate family rating is constrained by
its moderate debt leverage and the execution risks associated with
its expansion.

The B2 senior unsecured debt rating is one notch lower than the
corporate family rating due to structural subordination risk.

This risk reflects the fact that the majority of claims are at the
operating subsidiaries. These claims have priority over China
SCE's senior unsecured claims in a bankruptcy scenario. In
addition, the holding company lacks significant mitigating factors
for structural subordination. As a result, the likely recovery
rate for claims at the holding company will be lower.

The stable outlook on China SCE's B1 corporate family rating
reflects Moody's expectation that the company will show a
sustained improvement in its credit metrics, supported by strong
revenue growth, high gross profit margins, as well as prudent land
acquisitions and debt management over the next 12-18 months.

China SCE's ratings could come under upward rating pressure if the
company: (1) demonstrates stable sales growth and grows its scale;
(2) maintains its prudent approach to land acquisitions; and (3)
maintains EBIT/interest coverage in excess of 3.0x and adjusted
revenue/gross debt in excess of 75%-80% on a sustained basis.

On the other hand, the company's ratings could come under downward
pressure if China SCE: (1) generates weak contracted sales; (2)
suffers from a material decline in its profit margins; (3)
experiences an impairment of its liquidity position, such that
cash/short-term debt falls below 1.0x; and/or (4) materially
increases its debt leverage.

Credit metrics indicative of a ratings downgrade include
EBIT/interest coverage below 2.0x, and/or adjusted revenue/debt
below 65% on a sustained basis.

The principal methodology used in this rating was Homebuilding And
Property Development Industry published in January 2018.

Founded in 1996, China SCE Property Holdings Limited was listed on
the Hong Kong Stock Exchange in February 2010. It was 52.3% owned
by its chairman, Mr. Wong Chiu Yeung as at 31 Dec 2017.

As at Dec. 31, 2017, the company had total land bank (excluding
investment properties) of 14.8 million square meters with
nationwide geographical coverage in different tiers of cities.


LANDSEA GREEN: S&P Rates New USD-Denominated Sr. Unsec. Notes B-
----------------------------------------------------------------
S&P Global Ratings assigned its 'B-' long-term issue rating to a
proposed issue of U.S.-dollar-denominated senior unsecured notes
by Landsea Green Group Co. Ltd. (B/Stable/--). The China-based
developer will use the proceeds to repay debt, develop property
projects, and for other general corporate purposes.

S&P said, "We rate the notes one notch lower than the issuer
credit rating on Landsea because of significant subordination risk
in the company's capital structure. In our view, Landsea's
subordinated debts have poorer recovery prospects than
structurally or legally senior debts. The issue ratings are
subject to our review of the final issuance documentation."

As of Dec. 31, 2017, Landsea's capital structure consists of
RMB1.4 billion secured debt and RMB1.7 billion unsecured debt
issued or guaranteed by the company, and RMB4.5 billion unsecured
debt issued or guaranteed by the company's operating subsidiaries.

S&P said, "Landsea's financial performance in 2017 was largely in
line with our expectation. The company's revenue has started to
ramp up and its leverage continues to improve. Landsea's debt-to-
EBITDA ratio fell to 7.2x in 2017, from 12.9x in 2016.

"The stable outlook on the issuer credit rating on Landsea
reflects our expectation that the company will continue its steady
sales growth over the next 12 months while expanding its service
income. We anticipate that the company's currently weak
profitability will also gradually improve over the period. We also
expect Landsea to remain a core subsidiary of Landsea Group."


POWERLONG REAL: Moody's Rates New Sr. Unsecured USD Notes B2
------------------------------------------------------------
Moody's Investors Service has assigned a B2 rating to Powerlong
Real Estate Holdings Limited's proposed senior unsecured USD
notes.

The rating outlook is stable.

Powerlong plans to use the proceeds from the proposed notes mainly
to refinance existing debt and for general corporate purposes.

RATINGS RATIONALE

"The proposed bond issuance will support Powerlong's liquidity
profile and not materially affect its credit metrics, as it will
use the proceeds mainly to refinance existing debt," says Cedric
Lai, a Moody's Assistant Vice President and Analyst.

Moody's expects Powerlong's rental income will grow by 15%-25% to
around RMB990 million in 2018 and RMB1.2 billion in 2019, from RMB
856 million in 2017, as it plans to open three retail malls in
2018.

As a result, Powerlong's adjusted rental income/interest coverage
will stay around 0.4x in the next 12-18 months, largely flat from
2017.

Moody's also expects that Powerlong's adjusted EBIT/interest will
improve to around 2.3x-2.8x over the next 12-18 months from 2.3x
in 2017, and for adjusted debt/adjusted capitalization to stay at
55% over the same period compared to 54% in 2017.

Powerlong's B1 corporate family rating reflects its: (1) track
record of developing and selling commercial and residential
properties, (2) ability to generate non-development revenue, which
improves the stability of its debt servicing, and (3) expansion
into higher-tier cities where demand for its properties is more
favorable.

However, its credit profile is constrained by execution risk, the
high level of capital required for its business strategy, and high
debt leverage, as measured by revenue/debt.

The B2 senior unsecured debt rating is one notch lower than the
corporate family rating due to structural subordination risk.

This risk reflects the fact that the majority of claims are at the
operating subsidiaries and have priority over Powerlong's senior
unsecured claims in a bankruptcy scenario. In addition, the
holding company lacks significant mitigating factors for
structural subordination. As a result, the likely recovery rate
for claims at the holding company will be lower.

The stable outlook reflects Moody's expectation that Powerlong
will (1) continue to grow its contracted sales, (2) ramp up its
malls to generate rental revenue streams that will improve rental
income/interest coverage to about 0.4x-0.5x over the next 12-18
months, and (3) maintain adequate liquidity and exercise prudence
in its land acquisitions.

Upward ratings pressure could emerge if Powerlong continues to
grow in scale while maintaining its adequate liquidity and sound
credit metrics, and improves its debt leverage to a level that
matches its business model of holding investment properties.

Credit metrics that could trigger an upgrade include: (1) adjusted
EBIT/interest above 3.5x, (2) rental income/interest coverage
above 0.6x, (3) adjusted debt/adjusted total capitalization below
50%, and/or (4) cash/ short-term debt above 1.5x on a sustained
basis.

The ratings could be downgraded if Powerlong shows a deterioration
in sales or undertakes more aggressive expansion that weakens its
credit metrics.

Credit metrics that could trigger a ratings downgrade include: (1)
adjusted EBIT/interest below 2.5x, (2) rental income/interest
below 0.4x, (3) adjusted debt/adjusted total capitalization above
55%; and/or (4) cash/short-term debt below 100%.

The principal methodology used in this rating was Homebuilding And
Property Development Industry published in January 2018.

Powerlong Real Estate Holdings Limited is a Chinese developer
focused on building large-scale integrated residential and
commercial properties in China. The company listed on the Hong
Kong Exchange in October 2009. The founding Hoi family held an
aggregate 65.46% stake in Powerlong at the end of 2017.

At the end of 2017, the company's land bank totaled around 14.1
million sqm in GFA under development and for future development,
and 2.7 million sqm of malls in operation.


SAI GLOBAL: S&P Lowers ICR to 'B' on Weaker Financial Performance
-----------------------------------------------------------------
S&P Global Ratings said that it had lowered its long-term issuer
credit rating to 'B' from 'B+' on SAI Global Holdings I
(Australia) Pty Ltd. The outlook on the long-term rating is
stable.

S&P said, "At the same time, we lowered our issue ratings on the
company's senior secured first-lien debt to 'B' from 'B+' and the
second-lien debt to 'CCC+' from 'B-'. We affirmed the recovery
ratings at '3' and '6' on the first- and second-lien debt,
respectively."

SAI Global is a provider of risk management services in large
global markets and property settlement services in Australia.

S&P said, "We lowered the ratings on SAI Global to reflect cost-
out delays, organizational changes, and softer trading conditions
that contributed to the company's financial performance being
weaker than our expectations. Although we expect SAI Global to
increase its cash flows, the company's deleveraging path has been
delayed and is likely to be more gradual than what we originally
factored into the rating. The company's debt-to-EBITDA remains at
about 7x."

SAI Global failed to achieve the cost savings set by its new
financial sponsor owner, Baring Asia Private Equity Fund VI
(Baring Asia). Baring Asia expected cost savings of about A$20
million within the first 12 months of ownership. SAI Global now
forecasts cost savings of similar magnitude to be implemented by
the year ending June 30, 2019.

S&P said, "In our opinion, management turnover and internal
restructuring have disrupted parts of the business. However, we
believe the new management team is taking a more disciplined
approach to the company's operating and financial performance. For
example, the business is moving toward business unit reporting,
which should promote greater transparency and accountability of
costs.

"Revenue growth materially underperformed against our initial
base-case projections. Our previous base case forecasted an
overall revenue growth of 4% for fiscal 2017 against actual
declines of 1%. In particular, risk management revenues, which
account for over two thirds of total revenues, fell short of our
expectations for fiscal 2017. Weak performance in assurance,
knowledge, and learning segments contributed to the 4.4% decline
in risk management revenues, much lower than our growth forecast
of 2.9%.

"The property segment performed slightly better than our base case
for fiscal 2017. We note, however, that the segment's current
performance is under pressure from lower transaction volumes."

SAI Global's key credit metrics are unlikely to materially improve
in fiscal 2018. Operating expenses have increased as the company
bolsters its commercial team to accelerate growth. In addition,
the realization of cost-out initiatives are not likely to gather
pace until fiscal 2019. That said, SAI Global's high cash
conversion rate should generate healthy levels of positive free
operating cash flow and support deleveraging over the next 12-24
months.

The stable rating outlook reflects SAI Global's reasonably
established market position across its suite of services, brand
recognition in Australia, and modest global footprint. S&P expects
the company would consolidate its market position, grow its
revenue in the low-single digit annually, and substantially
achieve its targeted cost savings over the period to fiscal 2019.

S&P said, "The stable outlook does not incorporate the divestment
of any business lines, or major acquisitions, nor do we do expect
any shareholder distributions. On this basis, we forecast the
company's debt-to-EBITDA to settle in the mid-to-high 5x range and
EBITDA interest coverage to be comfortably above 2x over the next
two years.

"While we don't expect SAI Global to increase its leverage
aggressively, any increase in its financial risk appetite such as
through a debt-funded acquisition or shareholder distributions
could lead to downward rating pressure. We could also lower the
rating if SAI Global's operating performance were to weaken either
through a deterioration in the company's market position or
failure to execute its previously identified cost-saving measures.
Debt-to-EBITDA persistently at or above 7x will likely lead to a
lower rating.

"We could also lower the rating if any divestment materially
diminishes SAI Global's scale, scope, or diversification.

"We believe rating upside is limited, based on our expectation
that the company's debt-to-EBITDA will remain above 5x over the
next couple of years. Nonetheless, the rating could move up by a
notch if the company's performance exceeds our expectations, and
the company reduces debt through excess cash, sustaining its debt-
to-EBITDA comfortably below 5x, supported by a robust set of
financial policies."


SUNSHINE 100: Fitch Lowers LT Issuer Default Rating to CCC+
-----------------------------------------------------------
Fitch Ratings has downgraded China-based homebuilder Sunshine 100
China Holdings Ltd's Long-Term Foreign-Currency Issuer Default
Rating (IDR) to 'CCC+' from 'B-', and the senior unsecured rating
to 'CCC-' from 'CCC' with a Recovery Rating of 'RR6'. All ratings
are removed from Rating Watch Negative (RWN).

The downgrade reflects uncertainties and weakness in Sunshine
100's contracted sales outlook. Its 2017 credit metrics had also
continued to soften, even if marginally. Sales by gross floor area
(GFA) dropped by 24%, though sales by value were up by 2% to
CNY10.6 billion. Sales efficiency, as measured by contracted
sales/gross debt of 0.4x, remains too weak to support the
investment needed for the higher development expenditure required
for the large-scale projects acquired in 2017. Failure to show
improved GFA sales could result in a rising leverage trend.

A wider EBITDA margin supports the rating - at 21%, up from 9.8%
in 2016. The average selling price (ASP) was also higher by 34%,
suggesting that reported profitability can be maintained at the
2017 level in the next 12 to 18 months. However, improved
profitability may not last if it cannot show improving volume
sales to support sustained demand for the company's products.
Around 25% of 2017 sales were derived from non-residential
properties, and demand for these products is more vulnerable, to
business cyclicality.

KEY RATING DRIVERS

Uncertain Sales Outlook: Fitch believes that the risk of sales
underperformance remains because of its high exposure to non-
residential property sales and to lower-tier cities at about 55%
of its 2017 sales. GFA sold in 2017 of 0.9 million sqm. was 24%
lower than the 1.1 million sqm it sold in 2016, and this weaker
sales volume contrasts with a sharp ASP increase to keep its
contracted sales value stable. Fitch believes volume sales is a
stronger indication of demand, especially when the company has a
substantial amount of completed properties held for sale of CNY7.3
billion at cost.

High Development Expenditure Pressures Leverage: Fitch expects
leverage to remain high at between 65% and 70% up to 2020, little
changed from 68% at end-2017 and 66.5% at end-2016, and after
rising from 53% at end-2014. Stronger sales would generate
sufficient operating cash flow to cover its rising development
expenditure and slow down the rise in leverage. Construction scale
was large, with 4.2 million sq m of total GFA under construction,
up from 3.3 million sq m at end-2016. Capital commitments - both
contracted and uncontracted - totalled CNY10.3 billion at end-
2017, up from CNY9.3 billion in 2016.

Improved Profitability Hinges on Sales: Fitch believes Sunshine
100's ability to sustain its profitability will have to be based
on healthy demand for its products. Non-residential properties
sales rose in 2017, but the ASP rise was muted, up 3% to CNY14,702
per sq m. Sales performance will therefore be reliant on
residential properties sales, which fell to 728,319 sq m from 1.1
million sq m. High exposure to Tier 3 and 4 housing markets may
face volatile sales swings affected both by changes in government
policy as well as mortgage lending practices that are likely to be
tighter in 2018.

Sustained improvement in sales performance with no decline in
same-project ASP could improve the financial profile, however. The
average ASP increase was 30% in 2017, based on same-project
comparison and weighted on GFA sold. This is likely to support the
EBITDA margin at above 20% in 2018 and possibly in 2019.

New Growth Opportunities: Sunshine 100 managed to secure a few
large projects in 2017 because its themed development projects
such as its commercial street complex development products are in
favour with local governments of small cities/counties that are
seeking development themes that can drive their local economies.
These new projects may bring future potential, but the financial
impact is more likely to be negative in the near term - given the
higher capex. More importantly, healthy demand for Sunshine 100's
existing commercial street complex products may support its
contracted sales growth.

Multiple Funding Channels: Sunshine 100 managed to tap another
USD165 million (approximately CNY1 billion) in early February 2018
as part of its September 2017 8.5% USD235 million issuance due
2020. In December last year, the company also issued HKD716
million (CNY595 million) in new shares to Huarong International.
Besides this capital markets funding, Sunshine 100 has also been
raising funds at the project level with secured borrowings. Heavy
reliance on project-based financing with non-bank, however, and
this may potentially constrain the credit profile.

DERIVATION SUMMARY

Sunshine 100's high leverage is significantly higher than most 'B'
rating category peers of similar size, where leverage is under
60%.

Sunshine 100's business profile is better than the trade centre
operators like Hydoo International Holding Limited (B-/Stable) and
Wuzhou International Holdings Limited (Wuzhou, CCC). Hydoo has
much lower leverage of less than 20%, giving it much more
financial flexibility to offset its weaker business profile - and
therefore supporting its higher rating. The one-notch difference
between the rating of Sunshine 100 and Wuzhou reflects the
latter's weaker business profile and liquidity position while
leverage is similar.

Sunshine 100's business profile faces greater cyclicality than
other traditional homebuilders rated at 'B' like Redco Properties
Group Ltd (B/Stable) and Xinyuan Real Estate Co., Ltd. (B/Stable),
and its leverage is also much higher than their leverage of
between 40%-45%, justifying the two-notch difference in their
ratings. Sunshine 100 has a much larger land bank, although this
advantage will only come into effect when it can make more
effective use of its land bank by showing much improved sales
efficiency.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Fitch Rating Case for the Issuer

- Sunshine 100's GFA sales to rise to around 1.2 million sq m
   with limited ASP growth

- Gross margin stays above 20%, supported by a higher, sustained
   2017 ASP

- Non-development revenue to grow by 10% in 2018 and in the
   high-single-digits thereafter

- Capex and acquisition of above CNY1 billion per year

- Land acquisition and construction expenditure to range between
   55% and 65% of contracted sales

Recovery Rating Assumptions:

- Sunshine 100 will be liquidated in a bankruptcy because it is
   an asset-trading company

- 10% administrative claims

- The liquidation estimate reflects Fitch's view of the value of
   inventory and other assets that can be realised and
   distributed to creditors

- Sunshine 100 has excess cash which is derived after deducting
   four months of contracted sales from available cash; a 60%
   advance rate is used for the excess cash as it is assumed to
   be invested for land banking

- Fitch applied a haircut of 30% on its receivables, 30% on
   adjusted inventory, and 50% on its investment properties

Fitch estimates the recovery rate of the offshore senior unsecured
debt at 0%, which corresponds to a Recovery Rating of 'RR6'. This
is based on Fitch calculation of the adjusted liquidation value
(after administrative claims) of 10%, and based on the order of
repayment waterfall.

RATING SENSITIVITIES

Developments That May, Individually or Collectively, Lead to
Positive Rating Action

- Net debt/adjusted inventory sustained below 65% (2017: 68.0%;
   2016: 66.5%)

- Contracted sales by GFA sustained above 2016 level of 1.1
   million sq m

Developments That May, Individually or Collectively, Lead to
Negative Rating Action

- Net debt/adjusted inventory sustained above 70% (2017: 68.0%;
   2016: 66.5%)

- Total contracted sales/total debt sustained below 0.5x (2017:
   0.4x; 2016: 0.4x)

- Deterioration in Sunshine 100's liquidity position, such as a
   material reduction in its available cash without a
   corresponding decline in its short-term debt

LIQUIDITY

Adequate Liquidity: Cash, including restricted cash and short-term
investment, amounted to CNY6 billion as of end-2017, covering 68%
of the company's short-term debt of CNY8.8 billion. Sunshine 100
had raised another USD165 million (about CNY1 billion) in
February; and together with undrawn bank facility of CNY8.2
billion as of end-2017, will be sufficient to meet its debt-
servicing needs. Fitch expects Sunshine 100's operational cash
flow to be neutral to slightly negative in 2018.



=========
I N D I A
=========


AJINKYA BIG: CRISIL Reaffirms D Rating on INR4.5MM Cash Loan
------------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL D' rating on the long-
term facilities of Ajinkya Big Bazar (Ajinkya).

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Cash Credit          4.5       CRISIL D (Reaffirmed)

   Proposed Bank
   Guarantee             .32      CRISIL D (Reaffirmed)

   Proposed Cash
   Credit Limit         1.00      CRISIL D (Reaffirmed)

   Rupee Term Loan      0.68      CRISIL D (Reaffirmed)

   Working Capital
   Demand Loan          2.50      CRISIL D (Reaffirmed)

The rating continues to reflect the recent delays in debt-
servicing due to weak liquidity on account of subdued operating
performance in fiscal 2017 and high working capital requirement to
fund new business lines.

The rating also reflects Ajinkya's small scale of operation, weak
financial risk profile, substantial working capital requirement
and exposure to intense competition in the retail trading
business. These weaknesses are partially offset by the extensive
experience of its partners.

CRISIL has downgraded its rating on the long-term bank facilities
of ABB to 'CRISIL D' from 'CRISIL B+/Stable' on November 23, 2017.

Key Rating Drivers & Detailed Description

Weaknesses

* Delays in debt-servicing: There have been recent delays in term
loan repayment.

* Modest scale of operation: Operating income was modest at
INR26.7 crore in fiscal 2017 (Rs 22.9 crore in fiscal 2016).
Revenue is constrained by competition from local and organised,
large players in the retail trading business.

* Weak financial risk profile: Gearing was high at 3.16 times and
networth low at INR2.37 crore in fiscal 2017. While debt
protection metrics stood moderate with interest coverage and net
cash accrual to total debt ratios of 1.77 times and 0.07 time,
respectively in fiscal 2017.

Strength

* Extensive experience of the partners: Benefits from the
partners' experience of two decades should support the operations.

Established in 1996, Baramati, Maharashtra-based Ajinkya is a
partnership firm of Mr Avinash Gandhi and family. It operates a
departmental store, an electronics and home furnishing store and
has recently ventured into edible oil distributorship for Cargill
India.


ATTAPPADI NURSERIES: CRISIL Withdraws D Rating on INR2.5MM Loan
---------------------------------------------------------------
CRISIL Ratings has been consistently following up with Attappadi
Nurseries Private Limited (ANPL) for obtaining information through
letters and emails dated July 17, 2017 and August 14, 2017, among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Long Term Loan       .75       CRISIL D (Issuer Not
                                  Cooperating; Rating Withdrawal)

   Overdraft           2.50       CRISIL D (Issuer Not
                                  Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of ANPL. This restricts CRISIL's
ability to take a forward ANPL is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL B rating category or lower. Based on the
last available information, the rating on bank facilities of ANPL
continues to be 'CRISIL D Issuer Not Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of ANPL on
the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

ANPL was originally set up as a proprietorship concern in 1979 and
was later reconstituted as a private company with the current name
in 2012 by Mr. Jose and his wife Mrs. Asha Sebastian as promoters.
The company undertakes horticulture of flowers such as rose,
orchids, poinsettia, and others. It is based in Kerala.


BALAJI PACK: CRISIL Assigns 'B' Rating to INR5.45MM Term Loan
-------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' rating to the
long-term bank facilities of Balaji Pack and Pack Private Limited.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Term Loan             5.45       CRISIL B/Stable (Assigned)

   Cash Credit           1.65       CRISIL B/Stable (Assigned)

   Proposed Long Term
   Bank Loan Facility    2.90       CRISIL B/Stable (Assigned)

The rating reflects the initial stage of operations and average
financial risk profile. These weaknesses are partially offset by
the experience of the promoter and his funding support.

Key Rating Drivers & Detailed Description

Weaknesses

* Initial stage of operations: Scale of operations is small in
fiscal 2018 (revenue is estimated at about INR9 crore) due to the
initial stage of operations in cooler business.

* Average financial risk profile: Financial risk profile is
average with networth being small estimated at around INR3.53
crores and capital structure moderately leveraged with gearing
estimated at 1.8 times as on March 31 2018 due to recent debt
funded capital expenditure (capex).

Strengths

* Promoters extensive business experience and their funding
support: Promoter's experience of above 10 years will continue to
support the business. Further, the promoter has infused funds as
and when required to support operations and capex.

Outlook: Stable

CRISIL believes BPPPL will continue to benefit over the medium
term from the extensive business experience of the promoter. The
outlook may be revised to 'Positive' if revenue and operating
margin increases substantially, leading to improvement in net cash
accrual and hence to a better financial risk profile. The outlook
may be revised to 'Negative' if revenue or profitability is lower
than expectations, the working capital cycle stretches, or there
is sizeable, debt-funded capital expenditure, weakening the
financial risk profile, particularly liquidity.

BPPPL, incorporated in 2001, was trading in paper and beverages
till October 2017; post which the company has started assembly of
coolers for which an injection moulding machine has been set up in
Uttar Pradesh. BPPPL has a tie up with Vishal Video & Appliances
Pvt Ltd, a distribution company for the sale of its coolers. Mr
Bimal Sultania is the promoter.


BHAVYA CONSTRUCTIONS: Ind-Ra Withdraws 'BB-' LT Issuer Rating
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn Bhavya
Constructions Private Limited's (Bhavya) Long-Term Issuer Rating
of 'IND BB-'. The Outlook was Stable.

The instrument-wise rating action is:

-- INR150 mil. Fund-based working capital facility withdrawn and
    the rating is withdrawn.

KEY RATING DRIVERS

Ind-Ra is no longer required to maintain the ratings, as the
agency has received closure letter and no objection certificate
from the lenders. This is consistent with the Securities and
Exchange Board of India's circular dated March 31, 2017 for credit
rating agencies. Ind-Ra will no longer provide analytical and
rating coverage for Bhavya.

COMPANY PROFILE

Bhavya, incorporated in 1991, is engaged in housing construction
and real estate development activity. Most of the projects are
middle income group-oriented housing and are concentrated in
Hyderabad.


BR. SHESHRAO: CRISIL Withdraws B+ Rating on INR5MM Term Loan
------------------------------------------------------------
CRISIL Ratings has been consistently following up with Br.
Sheshrao Wankhede Shetkari Sahakari Soot Girni Limited (SWSSSGL)
for obtaining information through letters and emails dated
October 23, 2017 and November 6, 2017, among others, apart from
telephonic communication. However, the issuer has remained
non-cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Rupee Term Loan       5       CRISIL B+/Stable (Issuer Not
                                 Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of SWSSSGL. This restricts
CRISIL's ability to take a forward SWSSSGL is consistent with
'Scenario 1' outlined in the 'Framework for Assessing Consistency
of Information with CRISIL BB rating category or lower. Based on
the last available information, the rating on bank facilities of
SWSSSGL continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of SWSSSGL
on the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

SWSSSGL is a co-operative society engaged in spinning of cotton
yarn. The society was registered in 1989 in Nagpur district of
Maharashtra, but started commercial operations in 2004. It was set
up under the guidance of Mr. Datta Meghe. The society manufactures
cotton yarn in counts of 20-50 and sells its produce to
wholesalers and hosiery garment manufacturers in India and abroad.


EMCO PRESSMASTER: CRISIL Lowers Rating on INR5MM Cash Loan to B-
----------------------------------------------------------------
CRISIL Ratings has downgraded its rating on the long-term
facilities of Emco Pressmaster Pvt Ltd (EPPL) to 'CRISIL B-
/Stable' from 'CRISIL B/Stable' and reaffirmed the short-term
facilities at 'CRISIL A4'.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Bank Guarantee       2        CRISIL A4 (Reaffirmed)

   Cash Credit          5        CRISIL B-/Stable (Downgraded
                                 from 'CRISIL B/Stable')

   Letter of Credit     1        CRISIL A4 (Reaffirmed)

The downgrade reflects the company's increasing working capital
intensity in operations which has led to weakened liquidity
reflected in instances of over-utilization of bank lines. Business
risk profile has declined with sales falling since fiscal 2015,
from INR20 crore to INR12.5 crore in fiscal 2017. CRISIL expects
working capital intensity to remain at similar large levels and
the management of the same will be a key monitorable.

Increase in working capital intensity has led to a stretch in
creditors and bank lines resulting in deterioration of total
outside liabilities to networth ratio from 4.3 times in fiscal
2016 to 5 times in fiscal 2017. Debt protection metrics were also
below-average reflected in an interest cover of 1.6 times and
NCAAD of 0.09 times as on March 31, 2017.

CRISIL believes that in case cash accruals continue to remain weak
and there is no support to the business in the form of equity
infusion, financial risk profile will remain weak over the medium
term.

The ratings reflect EPPL's tight liquidity as a result of large
working capital requirement, its modest scale of operation,
exposure to revenue concentration risks, and susceptibility to
slowdown in its end-user-automotive industry. These weaknesses are
partly offset by the extensive experience of its promoters and
established customer relationships.

Key Rating Drivers & Detailed Description

Weakness

* Modest scale of operation: With revenue of INR12.5 crore in
fiscal 2017, scale of operation remains small.

* Weak liquidity due to large working capital requirement: Gross
current assets were 503 days as on March 31, 2017 driven by large
inventory of 373 days mainly constituting work in progress.

* Revenue concentration risks: The generation of 50% of revenue
from the top 3-4 customers and the small client base leads to
concentration in revenue. Loss of any customer due to vendor
rationalisation efforts will result in significant loss of revenue
and sub-optimal capacity utilisation. Moreover, business risk
profile will remain susceptible to the fortunes of the automobile
industry, which is linked to the gross domestic product of the
economy and is highly cyclical in nature.

Strength

* Extensive experience of the promoters:  Benefits from the
promoters' three decades of experience, the company's track record
in manufacturing custom-made machinery and established relation
with customers should support the business.

Outlook: Stable

CRISIL believes EPPL will continue to benefit from the extensive
experience of its promoters. The outlook may be revised to
'Positive' if increase in scale of operation and profitability,
and improvement in working capital cycle strengthens financial
risk profile, especially liquidity. The outlook may be revised to
'Negative' if decline in revenue and profitability, or large debt-
funded capital expenditure, or increase in working capital
requirement weakens financial risk profile, especially liquidity.

EPPL, incorporated in 1990, manufactures sheet metal forming
machines, mainly power press machines used to manufacture
automotive components. The company's unit is in Faridabad,
Haryana. Mr Manoj Manga and his wife, Ms Rupa Manga manage the
operations.


GAMA INFRAPROP: CRISIL Moves D Rating to Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings has been consistently following up with Gama
Infraprop Private Limited (GIPL) for obtaining information through
letters and emails dated February 28, 2018 and March 5, 2018 among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Bank Guarantee       18        CRISIL D (Issuer Not
                                  Cooperating; Rating Migrated)

   Funded Interest
   Term Loan            19.35     CRISIL D (Issuer Not
                                  Cooperating; Rating Migrated)

   Term Loan           564.90     CRISIL D (Issuer Not
                                  Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Gama Infraprop Private Limited,
which restricts CRISIL's ability to take a forward looking view on
the entity's credit quality. CRISIL believes information available
on Gama Infraprop Private Limited is consistent with 'Scenario 2'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL BB' rating category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Gama Infraprop Private Limited to CRISIL D/CRISIL D
Issuer not cooperating'.

GIPL is a special purpose vehicle floated by the RL Goyal group
(RLG group) to develop a 225-megawatt power plant, using the
combine cycle gas technology, near Kashipur, Uttarakhand. The
company was incorporated in May 2010 with the purpose of
developing and running the proposed power plant.

Over the years, the RLG group has established itself in the
chemicals industry by setting up a number of manufacturing units
for producing chemicals, such as acetic anhydride, mono-
chloroacetic acid, acetanilide, power alcohol, aniline oil, and
nitro benzene. Luna Chemical Industries Pvt Ltd (rated 'CRISIL
BB/Stable/CRISIL A4+'), GD Dyestuff Industries Ltd ('CRISIL
BB/Stable/CRISIL A4+'), and Jay Jee Enterprises ('CRISIL
BB/Stable/CRISIL A4+') are also part of the RLG group. The group's
operations are managed by Mr R L Goyal and his sons, Mr Rahul
Goyal and Mr Raman Goyal.


GEMINI INNOVATIONS: NCLT Rejects Firm's Bankruptcy Petition
-----------------------------------------------------------
The Economic Times reports that the National Company Law Tribunal
has dismissed an insolvency application filed by Gemini
Innovations, raising doubts over the "unnatural" facts listed by
the company in its filing.

ET relates that the company's lender, State Bank of India, opposed
the application under the Insolvency and Bankruptcy Code, saying
that insolvency proceedings would hamper the process to recover
loans. The company had cited an apparent arbitration case in its
bankruptcy application.

"The cumulative effect of all these unnatural and make-believe
actions on the part of the corporate debtor renders the petition
fit for dismissal," the report quotes V Nallasenpathy and Bhaskara
Pantula Mohan of NCLT's Mumbai bench as saying. The company took
loans from SBI five years ago. Including interest, it now owes
about INR64 crore to the lender. The financial creditor argued
that the petition was filed with mala fide intentions to defeat
the claim of the secured creditor and delay the enforcement of the
security and recovery proceedings initiated under the SARFAESI Act
and RDDB Act (Recovery of Debts due to Banks and Financial
Institutions Act).

"The dismissal order will prevent future corporate borrowers to
misuse IBC for vested interest," said Nishit Dhruva, managing
partner, MDP & Partners, a law firm that represented SBI, ET
relays. "Earlier, there were some cases including that of Leo
Duct, Antara Diamond and Green Energy that triggered a debate over
using Sec 10 of IBC," he said. If a case is admitted for
insolvency, all other proceedings against the company will be
stalled till IBC process ends, the report states. This prompted
some companies to file insolvency pleas of their own under Sec 10
of IBC to halt other recovery processes by lenders, adds ET.


GIAN JYOTI: CRISIL Migrates B- Rating to Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings has been consistently following up with Gian Jyoti
Educational Society (GJES) for obtaining information through
letters and emails dated February 21, 2018 and February 26, 2018
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Term Loan            17.5      CRISIL B-/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Gian Jyoti Educational Society.
Which restricts CRISIL's ability to take a forward looking view on
the entity's credit quality. CRISIL believes information available
on Gian Jyoti Educational Society is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL BB' rating category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Gian Jyoti Educational Society to 'CRISIL B-/Stable
Issuer not cooperating'.

GJES was established in 1974 by Mr J S Bedi. The society manages
three institutes'Gian Jyoti Global School (GJGS), Gian Jyoti
Institute of Management and Technology (GJIMT), and Gian Jyoti
Group of Institutions (GJGOI)'in Mohali and Shambhu Kalan in
Punjab. It established GJGS in 1974 in Mohali GJIMT in 1998 in
Mohali; and GJGOI in 2012 in Shambhu Kalan. Mr Bedi oversees the
society's operations.


JOHNS GOLD: CRISIL Migrates B+ Rating to Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings has been consistently following up with Johns Gold
& Diamonds (JGD) for obtaining information through letters and
emails dated December 14, 2017 and January 17, 2018 among others,
apart from telephonic communication. However, the issuer has
remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Cash Credit           11       CRISIL B+/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Johns Gold & Diamonds. Which
restricts CRISIL's ability to take a forward looking view on the
entity's credit quality. CRISIL believes information available on
Johns Gold & Diamonds is consistent with 'Scenario 2' outlined in
the 'Framework for Assessing Consistency of Information with
CRISIL BBB' rating category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Johns Gold & Diamonds to 'CRISIL B+/Stable Issuer
not cooperating'.

JGD was established in 2015 as a partnership firm by Mr Sijo John
and his wife Mrs Jesmy Sijo. It manufactures and retails gold and
diamond-studded jewellery and is headquartered Thiruvananthapuram,
Kerala.


K.T. MATHEW: CRISIL Withdraws B Rating on INR4MM Cash Loan
----------------------------------------------------------
CRISIL Ratings has been consistently following up with K.T. Mathew
& Co. (KTMC) for obtaining information through letters and emails
dated February 7, 2017 and March 6, 2017, among others, apart from
telephonic communication. However, the issuer has remained non
cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Bank Guarantee        4       CRISIL A4/Issuer Not Cooperating
                                 (Issuer Not Cooperating; Rating
                                 Withdrawal)

   Cash Credit           4       CRISIL B/Stable (Issuer Not
                                 Cooperating; Rating Withdrawal)

   Proposed Working
   Capital Facility      1       CRISIL B/Stable (Issuer Not
                                 Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of KTMC. This restricts CRISIL's
ability to take a forward KTMC is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL B rating category or lower. Based on the
last available information, the rating on bank facilities of KTMC
continues to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of KTMC on
the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

KTMC, set up in 1962, is a partnership firm. It is engaged in
civil construction, primarily construction of roads, bridges, and
canals, for government entities. It is based in Ernakulam, Kerala
and is promoted by Mr. Paul T Mathew.


KANCHI KARPOORAM: Ind-Ra Migrates 'BB-' Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Kanchi Karpooram
Limited's (KKL) Long-Term Issuer Rating to the non-cooperating
category. The issuer did not participate in the rating exercise
despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings. The rating will now
appear as 'IND BB- (ISSUER NOT COOPERATING)' on the agency's
website.

The instrument-wise rating actions are:

-- INR70 mil. Fund-based facilities migrated to Non-Cooperating
    Category with IND BB-(ISSUER NOT COOPERATING)/IND A4+
    (ISSUER NOT COOPERATING) rating; and

-- INR100 mil. Non-fund-based facilities migrated to Non-
    Cooperating Category with IND A4+ (ISSUER NOT COOPERATING)
    rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 10, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in 1992, KKL was reconstituted as a public limited
company in 1995, with a capital of INR41.2 million. Based in
Kanchipuram, KKL manufactures camphor and by-products dipentene,
sodium acetate trihydrate and pine tar. The company has an
installed capacity of 3,000 metric tons per annum, with a 65%
capacity utilization.


KOTSONS PRIVATE: CRISIL Reaffirms B Rating on INR42.5MM Loan
------------------------------------------------------------
CRISIL Ratings has reaffirmed ratings on the bank facilities of
Kotsons Private Limited (KPL) at 'CRISIL B/Stable/CRISIL A4'.

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Bank Guarantee       20         CRISIL A4 (Reaffirmed)

   Cash Credit          42.5       CRISIL B/Stable (Reaffirmed)

   Letter of Credit     41         CRISIL A4 (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility   10         CRISIL B/Stable (Reaffirmed)

   Standby Line of
   Credit                5         CRISIL B/Stable (Reaffirmed)

The ratings continue to reflect the company's sizeable working
capital requirement and modest debt protection metrics. These
weaknesses are partially offset by extensive experience of
promoters in the transformer manufacturing industry and healthy
order book backed by diversified customer base.

Key Rating Drivers & Detailed Description

Weaknesses:

* Large working capital requirements: KPL's operations are working
capital intensive, with gross current assets of 248-324 days over
the 3 fiscals ended March 31, 2017; 324 days as on March 31, 2017.
The company's working capital requirements are driven by large
debtors and inventory requirements. The debtors and inventory were
197 days and 149 days, respectively, as on March 31, 2017.

* Modest debt protection metrics: Interest coverage and net cash
accrual to adjusted debt (NCAAD) ratio were 1.3 times and 0.04
time in fiscal 2017; in line with fiscal 2016 and are expected to
improve marginally over the medium term.

Strengths:

* Promoters' extensive experience in the industry: KPL was set up
in 1978 by Mr. Pawan Kumar Jain and his family members. The Jain
family has an experience of around four decades in the transformer
manufacturing industry; the company itself has a long-standing
presence of close to four decades.

* Healthy order book backed by a diversified customer base:
KPL had a healthy order book of around INR153 crores as of January
2018 to be executed in fiscal 2019. The order book is supported by
the company's diversified customer base, comprising private sector
companies, large multinational corporations, government entities,
and overseas customers.

Outlook: Stable

CRISIL believes that KPL will continue to benefit over the medium
term from the promoters' extensive experience. The outlook may be
revised to 'Positive' if the company's working capital cycle
improves, coupled with improvement in its scale of operations and
operating margin, leading to an improved financial risk profile,
particularly liquidity. Conversely, the outlook may be revised to
'Negative' if KPL's operating income or profitability declines
substantially or working capital cycle further stretches, leading
to deterioration in its financial risk profile.


Set up in 1978 by Mr Pawan Kumar Jain and family, KPL
manufactures, repairs, and services power and distribution
transformers. It manufactures oil-filled single/three-phase
electric transformers and dry type transformers. It has a
manufacturing unit each in Alwar (Rajasthan; set up in 1978), Agra
(Uttar Pradesh; 1990), and Bajpur (Uttarakhand; 2007).


MAHABIR AND SONS: CRISIL Assigns B+ Rating to INR10MM Cash Loan
---------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B+/Stable/CRISIL A4'
ratings on the bank loan facilities of Mahabir And Sons (MAS).

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Cash Credit           10        CRISIL B+/Stable (Assigned)

   Proposed Short Term
   Bank Loan Facility     5        CRISIL A4 (Assigned)

The ratings reflect the firm's below-average financial profile and
exposure to intense competition. These rating weaknesses are
partially offset by extensive experience of MAS' partners and the
growing brand image of Patanjali.

Key Rating Drivers & Detailed Description

Weakness

* Below-average financial risk profile: Financial risk profile
remains constrained by small networth and high total outside
liabilities to tangible networth (TOL/TNW) ratio of INR0.87 crore
and 13 times, respectively, as on March 31, 2017. Though fresh
capital infusion by promoters could help networth improve, it may
remain constrained by muted accretion to reserves. Debt protection
metrics were average, with interest coverage ratio of around 1.36
times for fiscal 2017.

* Exposure to intense competition: Intense competition from super-
distributors of other FMCG brands, reduces the bargaining power
with the principal, thus keeping profitability modest. Operating
profitability has ranged from 1.1-1.2% over the past 3 years
through fiscal 2017 and is likely to remain at similar levels over
the medium term.

Strength

* Extensive experience of the promoters, and improving brand name
of Patanjali: The promoters have been in the super distributorship
business of Patanjali products since 2011, and have built healthy
relationship with distributors as well as the principal, over the
years. They have improved market penetration by establishing a
network of over 120 distributors across 12 districts. This,
coupled with growing brand image of Patanjali, has led to a
healthy ramp up in scale to INR120 crore expected in fiscal 2018,
from INR25.49 crore in fiscal 2015.

Outlook: Stable

CRISIL expects MAS to benefit from the longstanding presence of
its promoters in the distribution industry, and established
relationship with the principal. The outlook may be revised to
'Positive' if the company reports significant and sustained growth
in revenue and cash accrual, along with improvement in capital
structure and prudent working capital management. The outlook may
be revised to 'Negative' if decline in revenue or cash accrual,
stretch in working capital cycle, or any significant capital
expenditure, weakens the financial risk profile, particularly
liquidity.

MAS, a partnership firm, is a super distributor for products of
Patanjali Ayurved Ltd (PAL) in 12 districts of Bihar. Mr Girdhari
Kejriwal and Mr Manoj Kumar Kejriwal are the partners of the firm.


NORTHERN ARC: Ind-Ra Gives Prov. BB+ Rating on INR12.18MM Loan
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Northern Arc 2018
MFI Bamani (an ABS transaction) the following provisional ratings:

-- INR206.98 mil. Series A1 pass-through certificates (PTCs) due
    on December 17, 2019 assigned with Provisional IND A-(SO)/
    Stable rating; and

-- INR12.18 mil. Series A2 PTCs due on December 17, 2019
    assigned with Provisional IND BB+(SO)/Stable rating.

The final ratings are contingent upon the receipt of final
documents conforming to the information already received.

The micro finance loan pool to be assigned to the trust is
originated by Village Financial Services Limited (VFS).

KEY RATING DRIVERS

Originator's Servicing, Underwriting & Collection Capabilities:
The provisional ratings are based on the origination, servicing,
collection and recovery expertise of VFS, the legal and financial
structure of the transaction and the credit enhancement (CE)
provided in the transaction. The agency is of the opinion that the
issuer's origination and servicing capabilities are of an
acceptable standard. The company follows the Joint Liability Group
(JLG) model of microfinance for its operations. VFS offers loans
for income-generating purposes and these loans are given based on
the repayment ability of the borrowers. VFS's strong origination
team of 159 branches and over 500 field officers has enabled it to
build strong customer relationships, especially in West Bengal and
Bihar, apart from presence in six other states. Since lending is
in the form of JLGs, the borrowers are grouped together with a
designated leader. VFS's sourcing field officer is mandated to
collect EMIs from the designated leader of the group on a
fortnightly basis, after an initial moratorium of 28 days since
the first disbursement date. All borrowers from the JLG hand over
their respective EMI amount to the designated leader of the group
either a day before or on the day of the collection.

Once the amount is collected, the field officer immediately
deposits the same in VFS's bank account and records the same in
the system. In case one of more borrowers in the pool are not able
to pay their EMIs on the due date, and other members of the JLG
are not able to compensate for the same, the branch manager
immediately steps in to ensure immediate recovery. Escalations to
area managers are also swift in case the branch managers are
unable to ensure timely collections.

Transaction Structure: The provisional rating of Series A1 PTCs
addresses the timely payment of interest on monthly payment dates
and the ultimate payment of principal by the final maturity date
of December 17, 2019, in accordance with transaction
documentation. The provisional rating of Series A2 PTCs addresses
the timely payment of interest on monthly payment dates after
complete redemption of Series A1 PTCs, and ultimate payment of
principal by the final maturity date on December 17, 2019, in
accordance with the transaction documentation.

Availability of Credit Enhancement: The transaction benefits from
the internal CE on account of excess interest spread,
subordination and over-collateralization. The levels of
overcollateralization available to Series A1 and A2 PTCs are
15.00% and 10.00%, respectively; of the initial pool principal
outstanding (POS). The total internal CE including
overcollateralization available to Series A1 and A2 PTCs is 23.01%
and 17.25% respectively, of the initial POS. The transaction also
benefits from the external CE of 6.00% of the initial POS in the
form of fixed deposits in the name of the originator with a lien
marked in favor of the trustee.

Key Pool Characteristics: The collateral pool to be assigned to
the trust at par had an aggregate outstanding principal balance of
INR243.50 million, as of the pool cut-off date of March 22, 2018.
The pool, comprising 11,642 loans, has a weighted average (WA)
seasoning of 15.42 weeks and a WA amortization of 21.92%, implying
a moderate repayment track record of underlying borrowers. Also,
the average original loan balance was INR27,127.9 and a WA rate of
interest was 24.12%. As of the pool cut-off date of March 22,
2018, there were no delinquent accounts in the pool.

Key Assumptions: Ind-Ra has derived a base case gross default rate
in the range of 4%-5%. The agency has analyzed the characteristics
of the pool and established its base case assumptions through the
key performance variables, viz. default rate, recovery rate and
prepayment rate, which collectively affect the credit risk in a
transaction.

RATING SENSITIVITIES

As part of its analysis, Ind-Ra built a pool cash flow model based
on the transaction's financial structure. The agency analyzed
historical data to determine the base values of key variables that
would influence the level of expected losses in this transaction.
The base values of the default rate, recovery rate, time to
recovery, collection efficiency, prepayment rate and pool yield
were stressed to assess whether the level of CE was sufficient for
the current rating levels.

Ind-Ra also conducted rating sensitivity tests. If the assumptions
for the base case default rate are worsened by 30%, the model-
implied rating sensitivity suggests that the ratings of Series A1
and A2 PTCs will not be downgraded.

COMPANY PROFILE

VFS, headquartered in Kolkata, West Bengal, is the first micro
finance company in eastern India. It has been registered with the
Reserve Bank of India as non-banking financial company status
(NBFC-MFI) since September 2013. The company started its
microfinance operations in the financial year 2005-2006. Mr. Ajit
Kumar Maity, the promoter of VFS, has been engaged in microfinance
activities for the last three decades through the Village Welfare
Society and Village Micro Credit Services. In January 2006,
Village Micro Credit Services acquired a Kolkata-based NBFC called
Spencer Vinimay Private Limited, which was later renamed as
Village Financial Services Limited. It was regulated by the
Reserve Bank of India and was focused towards engaging in
microfinance activities.

VFS's asset under management stood at INR5,057.46 million on 31
December 2017 compared to INR 3,862.1 million on March 31, 2017.
As of December 2017, the gross NPA of VFS's portfolio stood at
0.62%.


NORTHERN INDIA: CRISIL Moves B- Rating to Not Cooperating Cat.
--------------------------------------------------------------
CRISIL Ratings has been consistently following up with Northern
India Leather Cloth Manufacturing Company Private Limited (NILCO)
for obtaining information through letters and emails dated
February 28, 2018 and March 5, 2018 among others, apart from
telephonic communication. However, the issuer has remained non
cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Cash Credit           14       CRISIL B-/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

   Letter of Credit       4       CRISIL A4 (Issuer Not
                                  Cooperating; Rating Migrated)

   Overdraft              1       CRISIL B-/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

   Proposed Long Term
   Bank Loan Facility     5       CRISIL B-/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

   Term Loan             17.68    CRISIL B-/Stable (Issuer Not
                                  Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Northern India Leather Cloth
Manufacturing Company Private Limited, which restricts CRISIL's
ability to take a forward looking view on the entity's credit
quality. CRISIL believes information available on Northern India
Leather Cloth Manufacturing Company Private Limited is consistent
with 'Scenario 1' outlined in the 'Framework for Assessing
Consistency of Information with CRISIL B' rating category or
lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the ratings on bank
facilities of Northern India Leather Cloth Manufacturing Company
Private Limited to CRISIL B-/Stable/CRISIL A4 Issuer not
cooperating'.

Incorporated in 1980, NILCO manufactures polyvinyl chloride-coated
fabric, also known as synthetic leather, which is used in
footwear, furnishing, and sports goods. Plant is in Faridabad,
Haryana.


PALANI COTTON: CRISIL Withdraws B+ Rating on INR6.3MM Cash Loan
---------------------------------------------------------------
CRISIL Ratings has been consistently following up with Palani
Cotton Fabrics (PCF) for obtaining information through letters and
emails dated January 31, 2018 and February 12, 2018, among others,
apart from telephonic communication. However, the issuer has
remained non cooperative.


                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Cash Credit          6.3      CRISIL B+/Stable (Issuer Not
                                 Cooperating; Rating Withdrawal)

   Proposed Cash        3.7      CRISIL B+/Stable (Issuer Not
   Credit Limit                  Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of PCF. This restricts CRISIL's
ability to take a forward PCF is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL BB rating category or lower. Based on the
last available information, the rating on bank facilities of PCF
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of PCF on
the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

A partnership firm based out of Manaddy, Chennai, PCF manufactures
cotton lungis, which are sold in Tamil Nadu, Assamand Bihar. The
firm is currently managed by Mr.P Selvamani and Mr S Rajesh.


PAWAN SHREE: Ind-Ra Maintains 'B-' LT Rating in Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Pawan Shree
Food International Pvt Ltd.'s (PSFIPL) Long-Term Issuer Rating in
the non-cooperating category. The issuer did not participate in
the rating exercise despite continuous requests and follow-ups by
the agency. Therefore, investors and other users are advised to
take appropriate caution while using the rating. The rating will
continue to appear as 'IND B- (ISSUER NOT COOPERATING)' on the
agency's website.

The instrument-wise rating action is:

-- INR55 mil. Fund-based limits maintained at Non-Cooperating
    Category with IND B-(ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING:  The ratings were last reviewed on
January 19, 2016. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

PSFIPL was incorporated in Madhya Pradesh in February 2012 to
establish a unit for the production of skimmed milk powder and
clarified butter. The company is managed by Mr. Ritesh Jain. Its
registered office is in Indore.


PEKON ELECTRONICS: Ind-Ra Withdraws 'BB-' LT Issuer Rating
----------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn Pekon
Electronics Limited's (PETL) Long-Term Issuer Rating of
'IND BB-'. The Outlook was Stable.

The instrument-wise rating actions are:

-- INR40 mil. Fund-based limits withdrawn and the rating is
    withdrawn;

-- INR24.34 mil. Long-term loan due on September 2023 withdrawn
    and the rating is withdrawn; and

-- INR110 mil. Non-fund-based working capital limits withdrawn
    and the rating is withdrawn.

KEY RATING DRIVERS

Ind-Ra is no longer required to maintain the ratings as the agency
has received no-due certificates from the rated facilities
lenders.

COMPANY PROFILE

Incorporated in 1985, PELT is engaged in the trading of processed
plastic granules and duty entitlement pass book licenses. Its
registered office is located in Kolkata.


PILOT 2 WHEELERS: Ind-Ra Migrates 'BB+' Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Pilot 2 Wheelers
Private Limited's Long-Term Issuer Rating to the non-cooperating
category. The issuer did not participate in the rating exercise
despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will now
appear as 'IND BB+(ISSUER NOT COOPERATING)' on the agency's
website.

The instrument-wise rating actions are:

-- INR200 mil. Fund-based working capital migrated to Non-
    Cooperating Category with IND BB+ (ISSUER NOT COOPERATING)
    /IND A4+(ISSUER NOT COOPERATING) rating;

-- INR50 mil. Proposed fund-based working capital migrated to
    Non-Cooperating Category with Provisional IND BB+ (ISSUER NOT
    COOPERATING)/Provisional IND A4+(ISSUER NOT COOPERATING)
    rating;

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 28, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Established in 2001, Pilot 2 Wheelers is an authorized dealer of
vehicles manufactured by Honda Motorcycle and Scooter India Pvt.
Ltd. The company is engaged in the sale of new vehicles and spare
parts, as well as servicing of vehicles. It has three showrooms
and service centers in and around Mumbai.


PRAYAS STEELS: CRISIL Moves B Rating to Not Cooperating Category
----------------------------------------------------------------
CRISIL Ratings has been consistently following up with Prayas
Steels Private Limited (PSPL) for obtaining information through
letters and emails dated February 21, 2018 and February 26, 2018
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Cash Credit           9       CRISIL B/Stable (Issuer Not
                                 Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Prayas Steels Private Limited.
Which restricts CRISIL's ability to take a forward looking view on
the entity's credit quality. CRISIL believes information available
on Prayas Steels Private Limited is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL BB' rating category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Prayas Steels Private Limited to 'CRISIL B/Stable
Issuer not cooperating'.

Furthermore, the company has not paid the fee for conducting
rating surveillance as agreed to in the rating agreement.

Set up in 2005, PSPL is promoted by Mr. Dev Dutt and his family
members. The company trades in iron and steel products. It sells
its products mainly to clients manufacturing automotive
components.


PUNJAB NATIONAL: Fitch Lowers Viability Rating to 'bb-'
-------------------------------------------------------
Fitch Ratings has downgraded the Viability Rating of Punjab
National Bank (PNB, BBB-/Stable) to 'bb-' from 'bb' and has
maintained the rating on Rating Watch Negative (RWN). PNB's other
ratings are unaffected by this downgrade.

The downgrade follows Fitch's assessment of how losses resulting
from fraudulent transactions reported in February 2018 will affect
the bank's financials, including its earnings and core
capitalisation. The downgrade also reflects the bank's risk
controls, which Fitch think are weaker than what Fitch had
previously believed, since the fraud was undetected for several
years and acquired a large scale of USD2.2 billion. That said, the
bank plans to strengthen its risk controls.

The RWN reflects Fitch belief that potential losses will largely
consume the USD1.6 billion of capital injected in 2H18, pressuring
the bank's capital buffers over the medium term. PNB's ability to
sustain, if not improve, its buffers through sources such as
retained earnings, fresh equity raising and stake sales is
important for its Viability Rating. Fitch will resolve the RWN
once Fitch have greater clarity around the status of PNB's capital
buffers and earnings trend, but this may take six months or
longer.

PNB's Support Rating of '2' and Support Rating Floor of 'BBB-'
remain unchanged due to Fitch view of the bank's high systemic
importance as India's second-largest state-owned bank, which
underpins the state's high propensity to provide extraordinary
support to PNB.

KEY RATING DRIVERS

PNB's Viability Rating reflects its weakened capitalisation and
profitability due to larger-than-Fitch-expected deficiencies in
management oversight and risk controls. This is somewhat offset by
its robust funding and liquidity profile stemming from its
significant domestic franchise.

Fitch believes that losses related to the fraud will act as a drag
on PNB's overall credit profile over the next year or two and will
immediately increase the bank's non-performing loan (NPL) ratio
and credit costs. The regulatory requirement to provide for 100%
of fraud-related losses will increase provisioning requirements.
Fitch expects the bank to report losses in the financial year
ending March 2018 (FY18) and most of FY19, and for its gross NPL
ratio to rise by at least 3% of loans by FY19. However,
profitability may improve faster than Fitch expectations in FY19
if some large NPL accounts are resolved during the course of the
year. Loan-loss cover may not see large deterioration given the
provisioning requirements.

PNB's capitalisation was supported by an injection of USD1.6
billion of fresh capital in 2H18, but PNB requires additional
capital to meet the higher common equity Tier 1 and capital
conservation buffer regulatory minimum ratio of 8%, which applies
from FY19, given its weak earnings. Fitch is uncertain whether
PNB's management will be able to address the fraud quickly, due to
the involvement of various investigative agencies. A delay may
affect recoveries, creating more capital demand. PNB's ability to
withstand further shocks will be greatly diminished if adequate
capital replenishment does not occur by way of internal or
external sources.

RATING SENSITIVITIES

A sharper-than-Fitch-expects deterioration in earnings and core
capitalisation is likely to lead to a downgrade of PNB's Viability
Rating, as this would increase the amount of capital the bank
would need to raise externally to maintain current buffers.

Timely access to external capital remains essential to prevent the
bank's capital ratios from breaching the regulatory minimum by
FY19. To this end, the Viability Rating is likely to be affirmed
if PNB limits the deterioration in earnings, can generate
substantial capital through internal sources or accesses external
equity capital on a timely basis, such that its capital buffers
are maintained. No upgrade of the Viability Rating is envisaged
until the RWN is resolved.


REGAL TRADING: Ind-Ra Migrates BB+ LT Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Regal Trading
Private Limited's (RTPL) Long-Term Issuer Rating to the non-
cooperating category. The issuer did not participate in the rating
exercise despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will now
appear as 'IND BB+ (ISSUER NOT COOPERATING)' on the agency's
website. The instrument-wise rating actions are:

-- INR25 mil. Fund-based facilities migrated to Non-Cooperating
    Category with IND BB+(ISSUER NOT COOPERATING)/IND A4+
    (ISSUER NOT COOPERATING) rating;

-- INR275 mil. Non-fund -based facilities migrated to Non-
    Cooperating Category with IND A4+(ISSUER NOT COOPERATING)
    rating;

-- INR5 mil. Proposed fund-based facilities migrated to Non-
    Cooperating Category with Provisional IND BB+ (ISSUER NOT
    COOPERATING)/Provisional IND A4+ (ISSUER NOT COOPERATING)
    rating; and

-- INR45 mil. Proposed non fund-based facilities migrated
    to Non- Cooperating Category with Provisional IND A4+
    (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 31, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in 1989, RTPL is engaged in the trading of timber and
plywood, and provides furnished timber products through molding
and modeling services.


REID & TAYLOR: NCLT Admits Firm for Insolvency Proceedings
----------------------------------------------------------
Business Standard reports that Reid & Taylor India (RTIL) has been
admitted for insolvency and bankruptcy proceedings at the National
Company Law Tribunal (NCLT) bench. The Corporate Insolvency
Resolution Process has begun and the 180-day deadline for a
resolution plan set in.

According to the report, Edelweiss Asset Reconstruction Company
(ARC) and Finquest Financial Solutions had filed petitions in this
regard. Reid and Taylor India has defaulted on loans worth over Rs
50 billion, Business Standard relates.

The report says the bench of Bhaskara Mohan and V Nallasenapathy
had adjourned Edelweiss ARC's case last month. A source said the
latter's petition had to be amended as the respondent's (Reid and
Taylor India's) name was wrong or had been changed.

The company recently changed its name to RTIL. Business Standard
could not verify when exactly this was done.

RTIL's parent company, S Kumars Nationwide, has also been taken to
the NCLT by IDBI Bank, the report says.

The report notes that the bench dismissed Finquest's application,
as it was listed after Edelweiss ARC's. If the latter's petition
was admitted, the former's would become infructuous.

An executive of EY India, as proposed by Finquest, has been
appointed the Insolvency Resolution Professional (IRP) for the
case, according to the report.

In the next 180 days, RTIL's operational creditors and financial
creditors will have to send all their claims against the company,
with documentary evidence, to the IRP, who will send these to the
Committee of Creditors, once the lenders come together and draw up
a resolution plan, within the stipulated time, Business Standard
adds.

Reid & Taylor India Ltd. manufactures and markets premium range of
worsted and poly viscose suiting fabrics, and apparel in India.
The company's products include suits, jackets, blazers, trousers,
and shirts; formal clothing; casual and sportswear that includes
casual shirts, T-shirts, and chinos; and accessories, such as
ties, leather belts, socks, and cufflinks. It markets and sells
its products through its franchisees and distributors. The company
was founded in 1998 and is based in Mysore, India. Reid & Taylor
India Ltd. operates as a subsidiary of S. Kumars Nationwide Ltd.


RHEOPLAST TECHNOLOGY: CRISIL Moves B Rating to Not Cooperating
--------------------------------------------------------------
CRISIL Ratings has been consistently following up with Rheoplast
Technology Private Limited (RTPL) for obtaining information
through letters and emails dated February 21, 2018 and
February 26, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Cash Credit          7        CRISIL B/Stable (Issuer Not
                                 Cooperating; Rating Migrated)

   Foreign Letter
   of Credit            2        CRISIL B/Stable (Issuer Not
                                 Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Rheoplast Technology Private
Limited. Which restricts CRISIL's ability to take a forward
looking view on the entity's credit quality. CRISIL believes
information available on Rheoplast Technology Private Limited is
consistent with 'Scenario 2' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BBB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Rheoplast Technology Private Limited to 'CRISIL
B/Stable Issuer not cooperating'.


RTPL was incorporated in June 2009, promoted by Mr Parminder Kohli
and his brother Mr. Preetpal Singh Kohli to take over the business
of Rheoplast Technology, a partnership firm set up in 2006. The
company manufactures construction chemicals. Its registered office
is in Mumbai, and manufacturing units are in Karnal, Haryana;
Kolkata; and Navi Mumbai, Maharashtra.


SAFE STAR: CRISIL Withdraws B Rating on INR2MM Overdraft
--------------------------------------------------------
CRISIL Ratings has withdrawn its rating on overdraft facility of
Safe Star Souharda Sahakari Niyamita (Safe Star) at the society's
request.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Overdraft             2        CRISIL B/Stable (Withdrawal)

There is no amount outstanding against the facility and the
facility has been closed. The rating action is in line with
CRISIL's criteria on withdrawal of its rating on bank loan
facilities.

Safe Star is a co-operative credit society, registered with
registrar of co-operative societies, Karwar. The society was set
up under the leadership of Mr G G Shankar, an experienced
businessman and banker, in November 2011. It has five branches in
Uttar Kannada district of Karnataka. It accepts deposits from
members and provides them loans for undertaking economic activity
and meet their financial requirements. Most of its loans are to
self-help groups.


SHREE GANPATI: CRISIL Lowers Rating on INR7.7MM LT Loan to D
------------------------------------------------------------
Due to inadequate information, and in line with SEBI guidelines,
CRISIL had migrated the rating on the long-term bank facilities of
Shree Ganpati Ridhi Sidhi Agro Industries Pvt Ltd (SGRSAI) to
'CRISIL B/Stable Issuer Not Cooperating'. However, the management
has started sharing information necessary for a comprehensive
rating review. Consequently, CRISIL is downgrading the rating from
'CRISIL B/Stable Issuer Not Cooperating' to 'CRISIL D'.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Cash Credit          4.5       CRISIL D (Downgraded from
                                  'CRISIL B/Stable Issuer Not
                                  Cooperating')

   Long Term Loan       7.7       CRISIL D (Downgraded from
                                  'CRISIL B/Stable Issuer Not
                                  Cooperating')

   Proposed Cash
   Credit Limit         2.5       CRISIL D (Downgraded from
                                  'CRISIL B/Stable Issuer Not
                                  Cooperating')

The downgrade reflects delay in servicing of term debt obligations
by SGRSAI due to weak liquidity.

Key Rating Drivers & Detailed Description

Weakness

* Modest scale of operations: The modest scale is reflected in
expected operating income estimated at around of INR40 crore in
fiscal 2018. The operating income is expected to grow at a
moderate pace over the medium term.

* Delay in servicing debt because of weak liquidity: The company's
weak liquidity is reflected in overdrawn cash credit limit since
February 28, 2017. Furthermore, there was limited cushion between
net cash accrual of INR1.87 crore and debt obligation in fiscal
2017. As a result, the company has delayed servicing of its debt.

Strength

* Promoters' extensive experience: The promoters has been in the
rice trading business for more than two decades, and have
developed good insight into the industry, and healthy linkages for
procuring key raw materials, paddy and wheat, with farmers in
Uttar Pradesh, Bihar, Jharkhand, and West Bengal. Furthermore, the
promoters have access to a wide range of traders and wholesalers
in Uttar Pradesh, Bihar, and Delhi, which has helped market
products.

Incorporated in 2013, SGRSAI mills and processes non-basmati rice
and wheat at its unit at Mau in Uttar Pradesh. It commenced
commercial operations in April 2015. The company is promoted by Mr
Nirmal Gupta and his family members.


SKD RICE: CRISIL Raises Rating on INR3.5MM Term Loan to B+
----------------------------------------------------------
CRISIL Ratings has upgraded its rating on the long-term bank
facility of SKD Rice Industries Private Limited (SKD) to 'CRISIL
B+/Stable' from 'CRISIL B/Stable, and reaffirmed the short-term
rating at 'CRISIL A4'.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Bank Guarantee       1.5       CRISIL A4 (Reaffirmed)

   Cash Credit          1.5       CRISIL B+/Stable (Upgraded
                                  from 'CRISIL B/Stable')

    Term Loan           3.5       CRISIL B+/Stable (Upgraded
                                  from 'CRISIL B/Stable')

The upgrade reflects improvement in business risk profile and
liquidity, driven by substantial increase in operating margin and
cash accrual. Bank limit utilisation was moderate, averaging 80%
over the 12 months through January 2018, and going forward too,
net cash accrual should be sufficient to cover the term debt
Gearing is also expected to improve, due to repayment of term
debt.

CRISIL's ratings continue to reflect the small scale of operations
and exposure to intense competition in the rice milling business.
These rating weaknesses are partially offset by the extensive
experience of promoters in rice business.

Key Rating Drivers & Detailed Description

Weaknesses

* Small scale of operations: Operating income of INR5.34 crore in
fiscal 2017, being the first full year of operations, reflects the
small scale of operations. Operating income of INR3.06 crore
between April 2017 and January 2018, included revenue of INR1.4
crore from custom milling.

* Exposure to intense competition in the rice milling industry:
Intense competition in the rice processing industry, owing to low
entry barriers and limited value addition, constrains the
bargaining power with suppliers and customers.

Strengths

* Extensive experience of the promoters in diversified businesses:
The promoters were initially engaged in other businesses such as
civil construction, wholesaling of agricultural products, supply
of industrial furnace and boilers to steel plants. Their
experience in diverse fields should provide the company access to
strong technical and marketing support in the medium term.

Outlook: Stable

CRISIL believes SKD will benefit from the extensive experience of
its promoters in the rice business. The outlook may be revised to
'Positive' if the production capacity stabilises ahead of
schedule, and the company reports substantial growth in revenue
and profitability. The outlook may be revised to 'Negative' in
case of lower-than-expected capacity utilisation, or if a
considerable stretch in working capital cycle weakens the overall
financial risk profile.

SKD which was set up in 2014, is setting up a non-basmati rice
mill at Cuttack, Odisha. Daily operations are being managed by Mr
Sandeep Singh.


SRAVINS INSTRUMENTS: Ind-Ra Migrates B+ Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Sravins
Instruments and Systems' (SIS) Long-Term Issuer Rating to the non-
cooperating category. The issuer did not participate in the rating
exercise despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will now
appear as 'IND B+ (ISSUER NOT COOPERATING)' on the agency's
website. The instrument-wise rating actions are as follows:

-- INR6.78 mil. Term loan due on September 2020 migrated to Non-
    Cooperating Category with IND B+(ISSUER NOT COOPERATING)
    rating;

-- INR30 mil. Fund-based facilities migrated to Non-Cooperating
    Category with IND B+(ISSUER NOT COOPERATING)/IND A4(ISSUER
    NOT COOPERATING) rating; and

-- INR60 mil. Non-fund-based facilities migrated to Non-
    Cooperating Category with IND A4(ISSUER NOT COOPERATING)
    rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 14, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in 1987, SIS is a partnership firm engaged in the
manufacturing of electronics defense equipment at its facility in
Hyderabad. It manufactures custom-built products that are import
substitutes mainly meant for defense applications. It receives
orders only from the government of India (i.e. Ministry of Defense
establishments) through tenders/e-procurement.


SUDARSHAN BEOPAR: Ind-Ra Migrates BB+ Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Sudarshan Beopar
Company Limited's (SBCL) Long-Term Issuer Rating to the non-
cooperating category. The issuer did not participate in the rating
exercise despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using the ratings. The rating will now
appear as 'IND BB+(ISSUER NOT COOPERATING)' on the agency's
website. The instrument-wise rating action is as follows:

-- INR110 mil. Fund-based limits migrated to Non-Cooperating
    Category with IND BB+(ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING:  The ratings were last reviewed on
March 3, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in 1979, SBCL manufactures and sells wheat products.
The company's registered office is situated in Kolkata, West
Bengal.


SUDHIR FOOD: CRISIL Moves B+ Rating to Not Cooperating Category
---------------------------------------------------------------
CRISIL Ratings has been consistently following up with Sudhir Food
Products India Limited (SFPIL) for obtaining information through
letters and emails dated February 21, 2018 and
February 26, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Cash Credit           6       CRISIL B+/Stable (Issuer Not
                                 Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Sudhir Food Products India
Limited. Which restricts CRISIL's ability to take a forward
looking view on the entity's credit quality. CRISIL believes
information available on Sudhir Food Products India Limited is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Sudhir Food Products India Limited to 'CRISIL
B+/Stable Issuer not cooperating'.

Incorporated in 1996 and managed by Mr. Subodh Kumar Agarwal,
SFPIL processes wheat to manufacture maida (refined flour), suji
and atta (unrefined flour). The products are sold in packages
weighing 25 kilogrammes (kg), 50 kg, and 90 kg under the Bharat No
1 and Bharati Rani brands. The company is based in Etah.


SUNRISE INTEGRATED: CRISIL Withdraws B+ Rating on INR6MM Loan
-------------------------------------------------------------
CRISIL Ratings has been consistently following up with Sunrise
Integrated Facility Private Limited (SIFPL) for obtaining
information through letters and emails dated September 25, 2017
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Bank Guarantee       0.5       CRISIL A4 (Issuer Not
                                  Cooperating; Rating Withdrawal)

   Cash Credit          3.5       CRISIL B+/Stable (Issuer Not
                                  Cooperating; Rating Withdrawal)

   Proposed Long Term   6.0       CRISIL B+/Stable (Issuer Not
   Bank Loan Facility             Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of SIFPL. This restricts CRISIL's
ability to take a forward SIFPL is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL BB rating category or lower. Based on the
last available information, the rating on bank facilities of SIFPL
continues to be 'CRISIL B+/Stable/CRISIL A4 Issuer Not
Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of SIFPL
on the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

SIFPL was set up in 2008 as a proprietorship firm, Sunrise
Facility Sons, by Mr. Vishal Goel and his wife, Mrs Chahvi Goel
and was incorporated in 2012. The company provides complete
facility management services including housekeeping, cleaning,
pantry services, electromechanical services and pest control etc.
The company is based in Panchkula (Haryana) and provides services
across India.


SURANA METACAST: CRISIL Moves D Rating to Not Cooperating Cat.
--------------------------------------------------------------
CRISIL Ratings has been consistently following up with Surana
Metacast India Private Limited (SMPL) for obtaining information
through letters and emails dated February 28, 2018 and March 05,
2018 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.

                     Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Bank Guarantee       1        CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

   Cash Credit          2.5      CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

   Drop Line
   Overdraft
   Facility             8.48     CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

   Letter of Credit     1.50     CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

   Proposed Long Term
   Bank Loan Facility   2.38     CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

   Term Loan            4.09     CRISIL D (Issuer Not
                                 Cooperating; Rating Migrated)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as it is arrived at without any management
interaction and is based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Surana Metacast India Private
Limited. Which restricts CRISIL's ability to take a forward
looking view on the entity's credit quality. CRISIL believes
information available on Surana Metacast India Private Limited is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Surana Metacast India Private Limited to 'CRISIL
D/CRISIL D Issuer not cooperating'.

SMPL, a private limited company, was incorporated in 2011 and is
promoted by the Gujarat based Surana family. The directors of SMPL
are Mr. Sunil Surana and his brother, Mr. Basantilal Surana. The
company is into manufacturing of Stainless Steel (SS)
billets/ingots at Mandali near Mehsana (Gujarat). SMPL also gets
rounds and flats manufactured via jobwork.


ZURI HOTELS: CRISIL Withdraws B Rating on INR2MM Term Loan
----------------------------------------------------------
CRISIL Ratings has been consistently following up with Zuri Hotels
and Resorts Private Limited (ZHRPL) for obtaining information
through letters and emails dated January 19, 2017 and February 9,
2017, among others, apart from telephonic communication. However,
the issuer has remained non cooperative.

                   Amount
   Facilities     (INR Mln)     Ratings
   ----------     ---------     -------
   Overdraft           2        CRISIL A4 (Issuer Not
                                Cooperating; Rating Withdrawal)

   Term Loan           2        CRISIL B/Stable (Issuer Not
                                Cooperating; Rating Withdrawal)

The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed with
the suffix 'ISSUER NOT COOPERATING'. These ratings lack a forward
looking component as they are arrived at without any management
interaction and are based on best available or limited or dated
information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of ZHRPL. This restricts CRISIL's
ability to take a forward ZHRPL is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with CRISIL B rating category or lower. Based on the
last available information, the rating on bank facilities of ZHRPL
continues to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of ZHRPL
on the request of the company and receipt of a no objection / due
certificate from its bank. The rating action is in line with
CRISIL's policy on withdrawal of its ratings on bank loans.

Incorporated in 2006, ZHRPL is in the hospitality business. The
company operates a five-star deluxe hotel at Kumarakom, Kerala,
under the Zuri White Sands brand. Operations are managed by
directors Mr. Aditya Kamani and Mr. Abishek Kamani, supported by a
professional management team.



=================
I N D O N E S I A
=================


AGUNG PODOMORO: Fitch Cuts Long-Term IDR to B+; Outlook Stable
--------------------------------------------------------------
Fitch Ratings has downgraded Indonesia-based property developer PT
Agung Podomoro Land Tbk's (APLN) Long-Term Issuer Default Rating
(IDR) to 'B+' from 'BB-'. The Outlook is Stable.

At the same time, the agency has downgraded the USD300 million of
notes due 2024 to 'B+' from 'BB-' and assigned a Recovery Rating
of 'RR4'. The notes are issued by APLN's wholly owned subsidiary
APL Realty Holdings Pte. Ltd. and guaranteed by APLN and several
of its subsidiaries.

The downgrade follows APLN's recurring revenue and presales that
are lower than Fitch's expectation. Fitch also expect the mix of
recurring revenue to weaken with cash flows from its investment
portfolio mainly derived from its pipeline of new hotels or from
the company's joint-venture projects. Fitch expects APLN's
attributable presales to average around IDR3 trillion over the
medium term, and its non-development cash flow interest coverage
(measured by the sum of non-development gross profit and associate
dividends/net interest) to remain less than 2.0x; these are no
longer consistent with a 'BB-' Long-Term IDR. Furthermore, the
non-development cash flow is increasingly generated from the
group's hotel portfolio, and after adjusting for minority interest
in these projects, Fitch believes that the cash flow does not
provide the same buffer level during muted property cycles.

KEY RATING DRIVERS

Lower Presales, Elevated Leverage: Fitch expects leverage,
measured by net debt to adjusted inventory, to remain above 40% in
the next 24 months. Higher leverage is likely to be driven by
lower-than-expected presales and APLN's relatively high capex
commitments that necessitate additional borrowings. Fitch has
lowered its forecasts for APLN's attributable presales in the next
few years, driven by Fitch expectations of muted property demand
in the medium- to high-end market, which represents a significant
part of APLN's property development business. The risk of higher
leverage is more pronounced for APLN, compared with other
Indonesian homebuilders, because the company has limited
flexibility to defer capex to build its superblocks and high-rise
properties, which are critical if APLN is to meet its presales
target, compared with developers that have a greater mix of
properties.

APLN's attributable presales in 2017 were about 40% less than
Fitch's expectation, mainly due to lower sales from the Soho
Pancoran, Vimala Hills and Podomoro Golf View projects. Fitch
expects APLN's attributable presales, excluding bulk land sales,
to rise 36% yoy to IDR2.3 trillion in 2018, driven by sales from
the newly launched township development at Podomoro Park Bandung.
Fitch believes this project will help APLN to make up for the
weaker-than-expected presales at its other high-rise projects, and
sustain an acceptable presales level for the 'B+' rating.

Weaker Non-development Revenue Likely: Fitch expects APLN's non-
development cash flows to net interest cover ratio to continue to
be below 2.0x over the medium term because of the delay in opening
the Indigo hotel and the potential divestment of a mature asset.
The divestment plan comes on the heels of the sale of the Pullman
Jakarta Central Park hotel in December 2017. Meanwhile, APLN's
newer assets, such as the Indigo hotel and the Pullman Vimala
Hills, due to open in mid-2018, are unlikely to compensate for the
shortfall in non-development revenue over the next 12-18 months as
Fitch expects a gradual ramp-up before these assets start to
generate meaningful cash flows.

High Development Risks: Fitch believes APLN's development risk
profile is high because it is dependent on developments of
superblocks - large, high-rise projects that incorporate multiple
components such as residential, commercial and hotel. Many of
APLN's projects are also outside Jakarta, which raises execution
risk. Fitch views superblock development as riskier than township
development because developers have less flexibility to time the
construction to match cash collections from property sales,
especially when demand is weak. This puts more pressure on APLN's
cash flows as it is juggling several major projects, while
committing capex to build investment properties.

The risk is mitigated by APLN's ability to adjust product
offerings and supporting amenities to attract buyers. Management
has identified projects in which they are able to switch from
high-rise to landed products where demand is higher, and may offer
space to educational and commercial institutions to attract buyers
for the apartments in the superblocks.

Pluit City Postponed Until 2019: The Pluit City project remains
halted and significant capex will not be required until after
2019, following court appeals related to the reclamation of land.
APLN has spent around IDR2.6 trillion on reclaiming land and
received around IDR2 trillion in advances from customers.
Management believes that APLN's licence to develop the land is
still valid, and is confident it can resume operations after the
presidential election in 2019. Fitch excludes future presales from
Pluit City until the project resumes operations.

Strong Brand, Quality Investment Properties: APLN's 'B+' rating is
supported by its strong brand and long record in property
development in Indonesia. Its profile is also supported by its
high-quality assets that generate substantial non-development
property cash flows, which includes Central Park Mall, Emporium
Mall, and the Sofitel Bali hotel. However, Fitch expect cash flow
from the investment property portfolio to largely come from the
company's hotels, which Fitch believe is more sensitive to
macroeconomic conditions. Cash flow visibility from the portfolio,
which is skewed towards hotels, is also weaker, which has been
factored in the 'B+' rating.

Muted Property Market: Fitch believes the property market will
remain muted due to the abundant supply of housing targeting the
upper middle class. Demand in the segment, which Fitch classifies
as apartments or housing units priced at IDR500 million-IDR2
billion, was primarily driven by speculation, causing a surge in
average selling prices (ASP). Fitch believes demand for
speculative investments has since fallen, with investors trying to
realise profits, constraining ASP growth. Asset repatriations into
Indonesia under the government's tax amnesty have also not flowed
into property as anticipated by the market. However, some projects
continue to sell well due to strategic locations and niche buyers.

DERIVATION SUMMARY

APLN's overall credit profile is comparable with PT Kawasan
Industri Jababeka Tbk (KIJA, B+/Stable), and therefore both are
rated at the same level. APLN has a stronger business risk profile
than KIJA, with higher project diversity in its property
development and investment property businesses. KIJA's presales
are smaller and more volatile than APLN due to its focus on
industrial sales. However, KIJA has lower leverage and higher non-
development cash flow interest cover than APLN, which offsets its
risks.

Fitch believes APLN has a similar risk profile to PT Lippo
Karawaci TBK (Lippo, B+/Stable). APLN's property development
business is more diversified across projects and has a larger
scale than Lippo. However, Lippo owns and manages one of the
largest portfolios of commercial properties in Indonesia that
generates strong non-development cash flows, which offsets its
risks from a smaller property development business, resulting in
both companies being rated at the same level.

APLN is rated one notch lower than PT Bumi Serpong Damai Tbk (BSD,
BB-/Stable) due to APLN's smaller development property scale and
higher leverage. Furthermore, APLN's interest coverage has fallen
significantly and its asset mix has weakened towards hotels, which
reinforces APLN's small scale when compared with higher rated
peers.

KEY ASSUMPTIONS

Fitch's key assumptions within Fitch rating case for the issuer
include:

- Attributable presales of IDR3.7 trillion in 2018 (including
   bulk land sales) and IDR2.8 trillion in 2019, given the muted
   demand in the next 12 months

- Capex as estimated by management

- Gradual ramp-up for new assets generating non-development
   revenue, including the Indigo hotels

Key Recovery Rating Assumptions:

- The recovery analysis assumes APLN would be liquidated in a
   bankruptcy rather than continue as a going-concern because it
   is an asset-heavy company. The analysis is based on management
   accounts as of 31 December 2017.

- Fitch assumes 75% recovery from accounts receivable;

- 50% recovery from short-term inventory;

- 50% recovery from investment property and fixed assets;

- 100% recovery from land for future development. Fitch assumes
   full recovery because land is recognised at historical
   acquisition cost, and the current market value is considerably
   higher.

- Fitch estimates APLN's liquidation value to be able to cover
   100% of its secured debt and unsecured debt, corresponding to
   a 'RR1' Recovery Rating for the senior unsecured notes after
   adjusting for administrative claims. The Recovery Rating is,
   however, capped at 'RR4' because under Fitch's Country-
   Specific Treatment of Recovery Ratings criteria, Indonesia
   falls into 'Group D' of creditor friendliness. Instrument
   ratings of issuers with assets in this group are subject to a
   soft cap at the issuer's IDR.

RATING SENSITIVITIES

Developments that May, Individually or Collectively, Lead to
Positive Rating Action

- Fitch doesn't expect an upgrade in the next 24 months due to
   the slow ramp up of non-development cash flows and high
   leverage. However over the longer term, the following could
   result in an upgrade:

- Annual attributable presales of above IDR 5trn on a sustained
   basis (FY17: 3.2trn)

- Sum of non-development gross profit and associate dividends /
   net interest above 2.0x (2017: 1.6x)

- Net debt / adjusted inventory less than 40% (2017: 43%)

Developments that May, Individually or Collectively, Lead to
Negative Rating Action

- Sum of non-development gross profit and associate dividends /
   net interest below 1.3x and attributable presales sustained
   below IDR3 trillion

- Net debt / adjusted inventory above 50%

Fitch has changed interest cover calculation to gross profit from
non-development property assets, from revenue from non-development
assets. This is because gross profit is a closer proxy to
recurring cashflows than revenue, and is easier to track from
published financial statements than recurring EBITDA.

LIQUIDITY

Sufficient Liquidity: APLN has significant debt maturing in the
next 24 months, part of which it plans to refinance. It reported
unrestricted cash of IDR2.3 trillion and committed undrawn bank
lines of around IDR1.8 trillion at end-2017, which are sufficient
to address debt maturities in the next 12 months. However, the
company has said that it intends to use the cash balance to invest
in future development project. Fitch believes APLN has good access
to funding, which is evident from its relationships with local and
international banks, and its record of domestic and international
bond issuance, and should be able to refinance its debt.



=========
J A P A N
=========


TAKATA CORP: Key Safety Systems Completes Acquisition
-----------------------------------------------------
The Japan Times reports that Takata Corp., the Japanese air bag
maker embroiled in a massive global recall linked to at least 22
deaths, said its acquisition by Key Safety Systems has been
completed and its president has resigned.

According to the report, Takata President Shigehisa Takada said
April 12 he has resigned as president and chairman. He was
replaced by Yoichiro Nomura, chief financial officer, effective
Wednesday.

The Japan Times relates that Mr. Takada said he was stepping down
because the transfer to Key Safety Systems, based in Auburn Hills,
Michigan, was complete.

"We again express sincere apologies to our customers, creditors,
shareholders and many others for the great deal of inconvenience
related to our air bags," the report quotes Mr. Takada as saying.

Chinese-owned Key Safety Systems is a leading maker of seatbelts,
which Takata also makes. It paid US$1.6 billion (JPY175 billion)
in a deal under which Key gets all Takata assets aside from those
making replacement air bag inflators, the report notes. Takata
will continue to run those operations until they close, the Japan
Times says.

Mr. Takada is the grandson of the company's founder. The defect
scandal triggered calls for him to step down, the report
discloses.

The report relays that the Takata name will disappear after the
new company is rebranded as Joyson Safety Systems, according to
Key Safety Systems, whose parent company is Joyson Electronics,
headquartered in Ningbo in eastern China.

"We are excited about the opportunities created through this
combination," the report quotes Joyson Safety Systems Executive
Chairman Jeff Wang as saying. "And we are committed to providing
safety solutions of the highest quality and reliability to drive
the next generations of mobility."

The acquisition of Takata won antitrust clearance and bankruptcy
court approvals in various countries, Mr. Wang said, the report
relays.

                            About Takata

Japan-based Takata Corporation (TYO:7312) --
http://www.takata.com/en/-- develops, manufactures and sells
safety products for automobiles. The Company offers seatbelts,
airbags, steering wheels, child seats and trim parts.
Headquartered in Tokyo, Japan, Takata operates 56 plants in 20
countries with approximately 46,000 global employees worldwide.
The Company has subsidiaries located in Japan, the United States,
Brazil, Germany, Thailand, Philippines, Romania, Singapore,
Korea, China and other countries.

Takata Corp. filed for bankruptcy protection in Tokyo and the
U.S., amid recall costs and lawsuits over its defective airbags.
Takata and its Japanese subsidiaries commenced proceedings under
the Civil Rehabilitation Act in Japan in the Tokyo District Court
on June 25, 2017.

Takata's main U.S. subsidiary TK Holdings Inc. and 11 of its U.S.
and Mexican affiliates each filed voluntary petitions under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case
No. 17-11375) on June 25, 2017.  Together with the bankruptcy
filings, Takata announced it has reached a deal to sell all its
global assets and operations to Key Safety Systems (KSS) for
US$1.588 billion.

Nagashima Ohno & Tsunematsu is Takata's counsel in the Japanese
proceedings. Weil, Gotshal & Manges LLP and Richards, Layton &
Finger, P.A., are serving as counsel in the U.S. cases.

PricewaterhouseCooper54 is serving as financial advisor, and
Lazard is serving as investment banker to Takata.  Ernst & Young
LLP is tax advisor.  Prime Clerk is the claims and noticing
agent.

The Debtors Meunier Carlin & Curfman LLC, as special intellectual
property counsel.

Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal
counsel, KPMG is serving as financial advisor, Jefferies LLC is
acting as lead financial advisor.  UBS Investment Bank also
provides financial advice to KSS.

On June 28, 2017, TK Holdings, as the foreign representative of
the Chapter 11 Debtors, obtained an order of the Ontario Superior
Court of Justice (Commercial List) granting, among other things,
a stay of proceedings against the Chapter 11 Debtors pursuant to
Part IV of the Companies' Creditors Arrangement Act.  The
Canadian Court appointed FTI Consulting Canada Inc. as
information officer.

TK Holdings, as the foreign representative, is represented by
McCarthy Tetrault LLP.

The U.S. Trustee has appointed an Official Committee of Unsecured
Trade Creditors and a separate Official Committee of Tort
Claimants.

The Official Committee of Unsecured Creditors has selected
Christopher M. Samis, Esq., L. Katherine Good, Esq., and Kevin F.
Shaw, Esq., at Whiteford, Taylor & Preston LLC, in Wilmington,
Delaware; Dennis F. Dunne, Esq., Abhilash M. Raval, Esq., and
Tyson Lomazow, Esq., at Milbank Tweed Hadley & McCloy LLP, in New
York; and Andrew M. Leblanc, Esq., at Milbank, Tweed, Hadley &
McCloy LLP, in Washington, D.C., as its bankruptcy counsel.  The
Committee has also tapped Chuo Sogo Law Office PC as Japan
counsel.

The Official Committee of Tort Claimants selected Pachulski Stang
Ziehl & Jones LLP as counsel.  Gilbert LLP will evaluate of the
insurance policies.  Sakura Kyodo Law Offices will serve as
special counsel.

Roger Frankel, the legal representative for future personal
injury claimants of TK Holdings Inc., et al., tapped Frankel
Wyron LLP and Ashby & Geddes PA to serve as co-counsel.

Takata Corporation ("TKJP") and affiliates Takata Kyushu
Corporation and Takata Services Corporation commenced Chapter 15
cases (Bankr. D. Del. Case Nos. 17-11713 to 17-11715) on Aug. 9,
2017, to seek U.S. recognition of the civil rehabilitation
proceedings in Japan.  The Hon. Brendan Linehan Shannon oversees
the Chapter 15 cases.  Young, Conaway, Stargatt & Taylor, LLP,
serves as Takata's counsel in the Chapter 15 cases.

                         *     *     *

Takata Corporation on Feb. 21, 2018, disclosed that the U.S.
Bankruptcy Court for the District of Delaware has confirmed the
Fifth Amended Chapter 11 Plan of Reorganization filed by TK
Holdings, Inc. ("TKH"), Takata's main U.S. subsidiary, and
certain of TKH's subsidiaries and affiliates.



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M O N G O L I A
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MONGOLYN ALT: Fitch Affirms 'CCC+(EXP)' LT Issuer Default Rating
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Fitch Ratings has affirmed Mongolyn Alt (MAK) LLC's expected Long-
Term Issuer Default Rating (IDR) at 'CCC+(EXP)' and the expected
rating on the Mongolia-based coal mining company's proposed US
dollar notes at 'CCC+(EXP)' with a Recovery Rating of 'RR4'.

The ratings continue to be based on the capital structure and
liquidity of MAK, assuming it completes the proposed bond deal and
a debt restructuring. The company plans to repay some of its
existing loan facilities that are in default with proceeds from
the proposed bond. The terms of the proposed bonds have been
revised to include additional collateral. The restructuring terms
for the remaining loans, and consents and waivers signed by the
respective lenders will also be revised for most lenders to
benefit from the same collateral. Fitch has reviewed the revised
terms outlined in the signed consents and waivers from each lender
and Fitch believe the revised terms will have limited impact on
the pro-forma credit profile of the company and Fitch have
therefore affirmed the existing ratings.

The final ratings are contingent upon successful issuance of the
proposed bond and completion of the restructuring in line with the
terms already received, including the revised terms, and upon
receipt of final documents conforming to information already
received. Fitch thinks there is minimal risk that the terms of the
restructuring will be amended by both MAK and the lenders after
the bond issue.

The Long-Term IDR reflects Fitch's expectation that MAK's
liquidity and debt maturity profiles will be adequate after the
planned bond issue and restructuring of the remaining debt. The
rating also incorporates Fitch's expectation that the company will
be able to generate positive free cash flows over the medium term,
barring a significant deterioration in coal prices. This is based
on the assumption that MAK will be able to reduce production costs
and capex during moderate coal price weakness. These expectations
are counterbalanced by MAK's history of aggressive debt-funded
investments, and limited access to external funding, which may
heighten the company's liquidity risk if there is a sharp,
sustained coal price or demand downturn and unfavourable capital
market conditions.

KEY RATING DRIVERS

Refinancing, Restructuring Plan: MAK plans to use most of the
proposed bond's proceeds to refinance some of its existing loan
facilities. MAK has been behind principal and/or interest payments
on over 90% of its existing debt (all bank loans) since end-2017
due to large capex projects, including a cement plant, a concrete
block plant and a copper mine in the last commodity down cycle.
The lenders issued consents and waivers for the loans in default,
including a restructuring plan for the loans that will remain
outstanding after the proposed bond issuance.

Under the revised terms, the proposed bond will benefit from
additional collateral, which consists of a cash waterfall account
into which MAK will deposit its New Naryn Sukhai (NNS) mine's coal
sales proceeds and the NNS mine's mining license.

Change in Payment Plan: If MAK is successful in raising USD200
million in the proposed bond issuance, it now plans to repay
USD157.2 million of the outstanding loans (around 88%) from the
European Bank for Reconstruction and Development (EBRD) and
Deutsche Investitions-und Entwicklungsgesellschaft mbH (DEG).
Under the previous terms, it had planned to repay the loans in
full with the bond proceeds. Instead, it will now repay in full
loans from Golomt Bank and part of the loans from Development Bank
of Mongolia (DBM). It will also pay 50% of the overdue amount
(excluding principal) on loans from Eksport Kredit Fonden (EKF).

The remaining loans in default, including those from EBRD, DEG,
DBM, BHF-BANK Aktiengesellschaft (BHF) and EKF, will be
restructured based on terms in the lenders' consents and waivers.
The remaining EBRD and DEG loans will be restructured as 15-year
loans, with a 10-year grace period and 1% coupon. Fitch believe
the outstanding debt from 2018 will be slightly higher than Fitch
earlier assumptions as the company now plans to repay the higher
interest loans from the local banks with the bond proceeds instead
of repaying the EBRD & DEG loan in full, but the impact on credit
metrics will be minimal. The issuer has 270 days to perfect and
register the security from the additional collateral from the bond
issue date.

Liquidity Depends on Plan: Fitch expects MAK to have a better
spread-out debt maturity profile and adequate internal liquidity
over the next three years, if the company successfully issues the
bond and completes the restructuring before expiry of the consents
and waivers. These revised consents and waivers now have expiry
dates of May 31, 2018 (EKF), June 30, 2018 (DBM, EBRD and DEG) and
August 31, 2018 (BHF).

Credit Profile in 'CCC' Category: Fitch expect MAK to post
positive free cash flow and its credit metrics to improve based on
Fitch rating case assumptions of a moderate correction in coal
prices and a ramp-up in production. MAK's expected rating is
capped at 'CCC+(EXP)' due to unproven financial discipline and
limited access to external funding, which leaves it more
vulnerable if coal prices are weak for a prolonged period, demand
for coal from China declines, or capital market conditions are
unfavourable.

Small Scale, Reliance on Mine: MAK produced 4.7 million tonnes of
coal in 2017, with the company expecting to increase production to
close to 8 million tonnes over the next three to four years.
However, this will remain small relative to peers in the Asia
Pacific region. The company's coal mining operation is also almost
100% reliant on the NNS mine, which has a large reserve size, with
a mix of thermal and coking coal reserves and a mine life of 80
years based on the 2018 production target. As of January 2017, the
company had proved reserves of 446 million tonnes and gross
reserves of 479.9 million tonnes.

The NNS mine is one of the largest coal mines in Mongolia and has
relatively low cash costs driven by its proximity to the Chinese
border and low labour costs. Coal is sold at the mine gate and the
transportation costs are borne by the buyers. The company
maintained a low and flexible strip ratio and managed to reduce
unit cash cost in the previous commodity downturn.

Concentration Risk: The company is subject to customer
concentration risk with the top five customers accounting for 70%
of total revenue in January-October 2017. These top five customers
are end-users and/or traders of its thermal or coking coal
products. Fitch believe the risk is only partly mitigated by the
receipt of advance payments. MAK is the second-largest exporter of
coal in the country as measured by total volume of exports as of
end-2016.

Diversification Efforts: The company completed a concrete block
plant in 2015 and a cement plant in 2017, both of which have begun
production, to diversify from coal, which accounted for nearly
100% of revenue and profit in 2016. Nevertheless, Fitch believe
the non-coal business would account for less than 10% of EBITDA
over the next two to three years.

Investment in Copper Mine: Fitch has not factored in additional
investment or funding for the Tsagaan Suvarga copper mine that MAK
is developing. The mine is the third-largest copper deposit in
Mongolia. According to management, 46% of the development process
is completed and 35% of the required USD1.1 billion investment has
been spent so far. However, according to the company, the start of
construction would depend on securing the necessary funds of about
USD650 million. MAK has indicated that the additional investment
is discretionary and as of January 2018, there are no concrete
plans for the funding.

Management says that if the company decides to proceed with the
construction, MAK will likely seek project financing and aim to
obtain funding in 2019-2020. The entity owning the copper project
is outside the restricted group, thus the indenture of the
proposed US dollar bond restricts the company's investment in this
project through the restricted payments covenants. Fitch will
monitor MAK's strategy on this copper mine project to assess
management's financial discipline.

DERIVATION SUMMARY

MAK's credit profile is constrained by its small production scale,
concentration risk and weak liquidity. The company has a long
reserve life and relatively low cost position. Its credit metrics
after the bond issuance and restructuring would be stronger than
mining peers such as Foresight Energy LP (B-/Stable) and Yanzhou
Coal Mining Company Limited (B+/Stable). However, MAK's business
profile is considerably weaker than Yanzhou's in terms of scale
and diversification. In addition, MAK has a limited liquidity
buffer because it has yet to show it can maintain consistent
access to external funding and financial discipline, which places
its credit profile in a lower category.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Fitch Rating Case for the Issuer

- Coal production volume: 6 million tonnes/year in 2018, 6.8
   million in 2019 and 7.7 million in 2020
- Coal realised prices to fall by 5%-10% in 2018, 5% in 2019,
- Unit cash cost of around MNT27,000/tonne for 2018-2020
- Capex assumptions of MNT142 billion for 2018, MNT170 billion
   for 2019 and MNT106 billion for 2020
- Fitch have assumed no investment in the copper project
- Fitch have assumed no dividend payments
- Successful issue of USD200 million of new bonds
- Restructuring of the loans that remain after the bond issue in
   line with terms of the consents and waivers

Fitch's key assumptions for bespoke recovery analysis include:

- MAK would be considered a going-concern in bankruptcy and would
   be reorganised rather than liquidated. Fitch have assumed a
   10% administrative claim.

- Fitch have assumed that MAK's going-concern EBITDA is equal to
   estimated EBITDA for 2017 with a 20% discount.

- An enterprise value (EV)/EBITDA multiple of 4x is used to
   calculate the post-reorganisation valuation and Fitch believes
   this is closer to a distressed multiple, considering historical
   EV multiple for companies in the natural resources sector range
   from 5.8x-11x, with a median of 8.7x.

- Fitch used pro-forma secured and unsecured debt as of April
   2018, including the proposed bond issue

- Fitch have assumed that the remaining EKF, BHF, DBM loans would
   rank pari passu with the proposed bonds.

- The recovery waterfall results in a 100% recovery estimate
   corresponding to a 'RR1' Recovery Rating for the proposed
   USD200 million notes. Nevertheless, Fitch has rated the senior
   notes at 'CCC+(EXP)' with a Recovery Rating of 'RR4' because
   Mongolia's Resolving Insolvency Distance-to-Frontier score in
   the 2018 Doing Business report of the World Bank at 43.5 and
   the 46.6 percentile for Rule of Law in the World Bank's
   Governance Indicators is consistent with a 'Group D'
   classification as per Fitch's Country-Specific Treatment of
   Recovery Ratings criteria. Recovery Ratings are subject to a
   soft cap of 'RR4' for countries in 'Group D' of creditor
   friendliness under Fitch's criteria.

RATING SENSITIVITIES

Developments that May, Individually or Collectively, Lead to
Positive Rating Action

- Improvement in MAK's liquidity profile, including a build-up
   in cash to enable the company to weather volatility in coal
   prices

- Proven track record of financial discipline

Developments that May, Individually or Collectively, Lead to
Negative Rating Action

- Failure to issue proposed bonds and complete restructuring of
   the loans that will remain outstanding after the bond issue as
   per terms outlined in the consents and waivers

- Deterioration in coal prices or MAK's liquidity position,
   which could affect the company's ability to meet its financial
   obligations in a timely manner

LIQUIDITY

Contingent upon Refinancing, Restructuring: The company's
liquidity is extremely vulnerable as over 95% of the company's
outstanding debt was in default at 31 December 2017. Any
improvement in liquidity is contingent upon the successful issue
of the proposed bond and completion of the restructuring of
existing loans. The company would have a better spread-out debt
maturity profile after the bond issue and restructuring, with debt
coming due during 2018 reduced to MNT89 billion, which the company
should be able to cover with its December 2017 cash position of
MNT23 billion and Fitch's expected positive free cash flow of
MNT89 billion in 2018.



                             *********

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.
Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman,
Editors.

Copyright 2018.  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.



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