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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

           Wednesday, April 18, 2018, Vol. 21, No. 076

                            Headlines


A U S T R A L I A

AIRDATA PTY: Enters Into Voluntary Administration
EZYPAYROLL PTY: First Creditors' Meeting Set for April 26
FRESHZEST PTY: First Creditors' Meeting Set for April 26
NUFARM LTD: S&P Puts Prelim 'BB-' Rating on New US$450MM Notes
SUPERGLOSS PTY: Second Creditors' Meeting Set for April 26

ZP COMMS: First Creditors' Meeting Scheduled for April 27


C H I N A

HNA GROUP: Temasek Holdings Keen in Buying Hong Kong Airlines
JINGRUI HOLDINGS: S&P Rates New US Dollar Unsecured Notes 'B-'
PING AN: A-Shares Trade at Rare Discount as China Finance Hit
SUNAC CHINA: S&P Assigns B Rating to New USD Unsecured Notes
YANLORD LAND: S&P Assigns 'BB-' Rating to New US$ Unsecured Notes

* CHINA: May Be Set for Rare Property Defaults, Neuberger Says


I N D I A

3G TELECOM: Ind-Ra Maintains 'B+' Rating in Non-Cooperating Cat.
ADARSHA CONTROL: CRISIL Lowers Rating on INR5.5MM Loan to B+
CROSS TRADE: CRISIL Moves D Rating to Not Cooperating Category
DHRUV COTTONS: CRISIL Moves INR6MM Loan Rating to Not Cooperating
DIGITAL CERAMICS: CRISIL Raises Rating on INR4MM Cash Loan to B+

G.G. FASHIONS: CRISIL Assigns B+ Rating to INR13.4MM Cash Credit
GOLD MOHAR: Ind-Ra Maintains 'BB-' Rating in Non-Cooperating
KALYANPUR CEMENTS: Ind-Ra Keeps C Rating in Non-Cooperating Cat.
NARMADA SPUN: CRISIL Assigns B+ Rating to INR3.15MM Cash Loan
NIMBUS PIPES: CRISIL Assigns B Rating to INR18MM Cash Loan

RAILTRACK CONCRETE: CRISIL Reaffirms B- Rating on INR3.8MM Loan
SHALINI TELEVISION: CRISIL Assigns B- Rating to INR4.25MM Loan
SHREE BALA: CRISIL Withdraws B+ Rating on INR25MM Cash Loan
SHUBHANG OILS: Ind-Ra Keeps 'B' LT Rating in Non-Cooperating Cat.
SILVER ENTERPRISE: Ind-Ra Migrates BB Rating to Non-Cooperating

STAR REALCON: CRISIL Assigns B Rating to INR8.5MM Loan
STEELFUR SYSTEM: Ind-Ra Keeps 'BB-' Rating in Non-Cooperating Cat
TARAK CHEMICALS: CRISIL Assigns FB+ Fixed Deposit Rating
TEX INDUSTRIES: Ind-Ra Maintains 'D' Rating in Non-Cooperating
VAISHNAV CASHEWS: CRISIL Withdraws D Rating on INR5.5MM Cash Loan

VAISHNODEVI OIL: Ind-Ra Assigns BB Issuer Rating, Outlook Stable


I N D O N E S I A

ALAM SUTERA: S&P Rates New US$315MM Senior Unsecured Notes 'B'


J A P A N

SOFTBANK GROUP: S&P Rates New Senior Unsecured Global Notes 'BB+'


N E W  Z E A L A N D

INVERCARGILL BREWERY: To Stay Open Under New Owners


P A P U A  N E W  G U I N E A

PAPUA NEW GUINEA: S&P Cuts SCR to B on Deteriorating Debt Profile


                            - - - - -


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


AIRDATA PTY: Enters Into Voluntary Administration
-------------------------------------------------
Leon Spencer at ARN reports that mobility solutions developer and
consulting firm, Airdata Pty, has gone into administration after
more than a decade in operation.

According to the report, the company entered into voluntary
administration on April 9, with Worrells Solvency & Forensic
Accountants Western Sydney partner, Graeme Beattie, appointed as
the sole administrator.

The report relates that Worrells said Airdata has been providing
IT development and support services to large Australian
businesses for over 10 years, including the development of
licensed software and other various third-party support services.

At present, the administrator is continuing to trade the
company's business with a view to considering a proposal by the
business's director for a deed of company arrangement (DOCA) -
that is, coming to an agreement with creditors - or to allow for
the sale of the company's business as a going concern, ARN
relays.

According to the report, Worrells said that the continued trading
of the company will help to preserve the value of key contracts
currently in place with various customers, while also ensuring
the continued employment of current staff. ARN understands the
company claims more than 30 employees.

Any offers from interested parties for the company's business
will be considered, the administrator said, ARN relays.

Meanwhile, the administrator is undertaking a financial
assessment of the company's business to determine the best
outcome key stakeholders, including employees, creditors and key
customers of the company, adds ARN.

Sydney-based Airdata Pty makes a range of software solutions for
mobility and Internet of Things (IoT) applications, claims
Motorola, Microsoft, Apple and Datalogic among its vendor
partners.


EZYPAYROLL PTY: First Creditors' Meeting Set for April 26
---------------------------------------------------------
A first meeting of the creditors in the proceedings of Ezypayroll
Pty Ltd will be held at the offices of Quest King William South,
379 King William Street, in Adelaide, South Australia, on
April 26, 2018, at 9:15 a.m. (ACST).

David Anthony Ross of Hall Chadwick was appointed as
administrator of Ezypayroll Pty on April 13, 2018.


FRESHZEST PTY: First Creditors' Meeting Set for April 26
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Freshzest
Pty Ltd will be held at the offices of Institute of Chartered
Accountants Australia and New Zealand, Training Room 4, Level 18,
Bourke Place, 600 Bourke Street, in Melbourne, Victoria, on April
26, 2018, at 4:30 p.m.

Richard Albarran, David Ross and Kathleen Vouris of Hall Chadwick
were appointed as administrators of Freshzest Pty on April 13,
2018.


NUFARM LTD: S&P Puts Prelim 'BB-' Rating on New US$450MM Notes
--------------------------------------------------------------
S&P Global Ratings said that it had assigned its preliminary
long-term issue credit ratings of 'BB-' on Nufarm Ltd.'s proposed
US$450 million senior unsecured notes due 2026. The proposed
issuance will comprise tranche A for an amount of US$252 million
and tranche B for US$198 million. Nufarm will use the proceeds to
repay its existing US$325 million senior unsecured notes.
Nufarm Australia Ltd. is the issuer of the tranche A notes and
Nufarm Americas Inc. is the issuer of the tranche B notes. Nufarm
Australia Ltd. and Nufarm Americas Inc. are financing
subsidiaries of Nufarm Ltd., the guarantor of the senior
unsecured notes.

S&P said, "We will assign long-term issue credit ratings of 'BB-'
to the new senior unsecured notes upon settlement. At the same
time, we will withdraw the 'B+' rating on the US$325 million
senior unsecured notes upon repayment.

"The proposed issuance, in our view, forms part of Nufarm's
broader transformative event. Nufarm will implement a longer-term
capital structure to support a business of greater scale and
diversity, following completion of its acquisition of several
European product portfolios.

"In our view, unsecured creditors will benefit from the
incremental value derived from the enlarged business. We have,
therefore, assigned a preliminary issue rating of 'BB-' based on
a preliminary recovery rating of '5' to the proposed senior
unsecured notes, indicating modest recovery prospects under our
hypothetical default scenario. Given that Nufarm will redeem and
cancel the outstanding unsecured notes, we have not revised the
issue ratings on the outstanding US$325 million unsecured notes.

"The issuer credit rating on Nufarm is unaffected by the proposed
note issuance. The 'BB' rating continues to reflect Nufarm's
solid position in select global crop-protection markets and its
geographically-diverse operations. Tempering these strengths are
the company's small scale and narrow product focus of
predominantly crop-protection products compared with its major
global competitors. Nufarm's more-focused operating strategy and
management's restructuring initiatives in recent years have
strengthened its financial position and improved its earnings
profile."


SUPERGLOSS PTY: Second Creditors' Meeting Set for April 26
----------------------------------------------------------
A second meeting of creditors in the proceedings of Supergloss
Pty Ltd has been set for April 26, 2018, at 11:00 a.m. at the
offices of Australian Institute of Company Directors, Level 26,
367 Collins Street, in Melbourne, Victoria.

The purpose of the meeting is (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 24, 2018, at 4:00 p.m.

Domenico Alessandro Calabretta of Mackay Goodwin was appointed as
administrators of Supergloss Pty on April 3, 2018.


ZP COMMS: First Creditors' Meeting Scheduled for April 27
---------------------------------------------------------
A first meeting of the creditors in the proceedings of ZP Comms
Pty Ltd will be held at the offices of Hall Chadwick, Level 40, 2
Park Street, in Sydney, New South Wales, on April 27, 2014, at
10:00 a.m.

Blair Pleash and Kathleen Vouris of Hall Chadwick were appointed
as administrators of ZP Comms on April 16, 2018.



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


HNA GROUP: Temasek Holdings Keen in Buying Hong Kong Airlines
-------------------------------------------------------------
Reuters reports that Singapore state investor Temasek Holdings
has expressed interest in buying into Chinese conglomerate HNA's
Hong Kong-based carriers, Hong Kong Airlines and Hong Kong
Express Airways, according to a source familiar with the matter.

However, an investment in the unlisted Hong Kong carriers by
Temasek remains subject to a due diligence process that has yet
to begin, said the source on condition of anonymity, the report
says.

According to Reuters, the source said Temasek would likely emerge
as only a minority holder in the Hong Kong airlines, which
control valuable slots at Hong Kong's capacity-constrained
airport, if a deal is completed.

Temasek and the debt-laden HNA, an aviation-to-financial services
conglomerate, last week signed a memorandum of understanding to
explore business partnerships in aviation and logistics, the
report says.

Reuters relates that a second source familiar with the matter
said HNA is looking to raise funds for the Hong Kong airlines and
Temasek is a potential investor.

Buying into the Hong Kong airlines would help Temasek get an
aviation foothold closer to mainland China, in a market dominated
by Cathay Pacific Airways, Reuters says.

Reuters notes that Temasek is the majority shareholder in
Singapore Airlines, which sources said was not associated with
the potential investment in the Hong Kong airlines.

Hong Kong Airlines and HK Express representatives said their
respective airlines would not comment on "market rumours," adds
Reuters.

                            About HNA

China-based HNA Group Co. Ltd. offers airlines services. The
Company provides domestic and international aviation
transportation, air travel, aviation maintenance, and aviation
logistics services. HNA Group also operates holding, capital,
tourism, logistics, and other business.

Bloomberg News said HNA has been facing increasing pressure --
some banks are said to have frozen some unused credit lines to
HNA units after they missed payments -- after a debt-fueled
acquisition spree that left it with global assets ranging from
hotels and refrigerated trucks to aviation and car rentals.


JINGRUI HOLDINGS: S&P Rates New US Dollar Unsecured 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 Jingrui Holdings Ltd. (B/Stable/--). The China-based developer
will use the proceeds to refinance its debt as well as for
general working capital purposes. The issue rating is subject to
S&P's review of the final issuance documentation.

S&P said, "We rate the notes one notch lower than the issuer
credit rating on Jingrui to reflect subordination risk because
the notes will rank behind a significant amount of priority debt
in the company's capital structure. As of Dec. 31, 2017,
Jingrui's capital structure consists of Chinese renminbi (RMB)
8.7 billion secured debt, out of the total debt of RMB15.1
billion. The secured debt ratio is therefore over 50%.

"The issuer credit rating on Jingrui reflects the company's small
operating scale and market share, weak competitiveness in its
core markets, lower profitability than its peers', and our
expectation that Jingrui will increase its leverage to replenish
its small land reserves to expand and refocus on higher-tier
cities. However, the company has largely completed its strategic
transition and inventory clearance in the past few years, in our
view. We anticipate its profitability will gradually recover and
move toward the lower end of the market average. Jingrui also
demonstrates good control of its funding costs relative to
similar peers'.

"The stable outlook on the issuer credit rating on Jingrui
reflects our expectation that the company will moderately grow
its contracted sales while maintaining satisfactory project
execution in the next two years. We anticipate that the
contracted sales gross profit margin will remain at 23%-25% over
the period. We also expect the company's financial leverage to
remain high, despite a significant improvement in 2017."


PING AN: A-Shares Trade at Rare Discount as China Finance Hit
-------------------------------------------------------------
Bloomberg News reports that concern that China will further free
up bank deposit rates is prompting investors to dump financial
stocks across the mainland, with insurers including Ping An
Insurance (Group) Co. becoming collateral damage.

According to Bloomberg, Ping An's yuan-denominated shares are now
trading at a discount to those in Hong Kong, where price moves
are driven more by global sentiment than China policy. With less
than six weeks to go before A-shares are included in MSCI
indexes, investors are likely to focus on this discrepancy, which
makes the insurer the only dual-listed financial stock to seem
relatively cheap.

"The direction of that trend is likely to hinge on risk appetite
of Hong Kong and global stocks in the near term," said Bloomberg
Intelligence analyst Steven Lam. "Ping An's insurance operations
are still sound and have a market-leading position. The potential
spin-off of its technology-based units should continue to support
valuations."

Shares of Ping An fell 0.7 percent in Shanghai on April 17 and
were down 0.4 percent in Hong Kong, Bloomberg says. Analysts
forecast a potential 12-month return of 36 percent for Ping An's
A-shares, compared with a 13 percent upside for bigger rival
China Life Insurance Co. and 30 percent for China Pacific
Insurance Group Co. Ping An's A-shares are trading at 12 times
its forecast 2018 price-to-earnings, compared with 17 times at
China Life and 15 times at China Pacific, Bloomberg relates.

Ping An remains undervalued as its core insurance business is
still "cheap" relative to its rapid growth, President Alex Ren
said last month, Bloomberg recalls. Moreover, it's "not right" to
still apply a discount on its integrated financial business model
when valuing the conglomerate that spans insurance, banking, and
asset management, he said.

Bloomberg says Ping An has in recent years spent big on
technology to make its insurance, banking and asset management
businesses more competitive, and has started selling everything
from online banking platforms to facial recognition systems to
other financial firms in China and around the world. The company
is seeking to generate half of its earnings from technology
eventually, executives have said.

Ping An Insurance's H-shares have almost doubled over the past
year while its A-shares trailed with a 79 percent gain. Overall,
dual-listed shares on the mainland traded at an average 23
percent premium over Hong Kong shares, says Bloomberg.

Foreign investors have bought a net CNY2.7 billion ($430 million)
of A-shares on average this month, heading for the highest
purchase since the Hong Kong-Shenzhen stock connect started in
late 2016, data compiled by Bloomberg show. Ping An was among the
top net buying targets for four straight days, Bloomberg adds.

                       About Ping An Insurance

Ping An Insurance (Group) Co of China, Ltd. --
http://www.pingan.com/homepage/-- is a China-based company.  The
company is engaged in providing a range of financial products and
services with a focus on life and property and casualty insurance
products.  The company conducts its insurance business through
Ping An Life, Ping An Annuity and Ping An Health.  The property
and casualty insurance business of the company is conducted
through Ping An Property & Casualty and Ping An Hong Kong.  The
company provides asset management services to the customers
through Ping An Trust.  In addition, Ping An Trust also provides
infrastructure investment and property investment services to
other subsidiaries.  The company conducts securities business
through Ping An Securities, and provide securities services to
customers through the PA18 Internet financial portal.


SUNAC CHINA: S&P Assigns B Rating to New USD Unsecured Notes
------------------------------------------------------------
S&P Global Ratings assigned its 'B' long-term issue rating to the
U.S. dollar senior unsecured notes proposed by Sunac China
Holdings Ltd. (B+/Stable/--). Sunac will use the proceeds to
refinance existing indebtedness and for general corporate
purposes.

S&P said, "We rate the senior unsecured notes one notch below the
issuer credit rating on Sunac to reflect structural subordination
risk. The issue ratings are subject to our review of the final
issuance documentation.

"Sunac's financial performance in 2017 was better than our
expectation. We estimate that the company's see-through debt-to-
EBITDA ratio, which includes the attributable non-consolidated
financials of joint ventures and associates, improved to 15x in
2017, from about 19x in 2016.

"We expect Sunac's leverage to further improve in 2018 because of
revenues from strong contracted sales in the past two years,
stable margins, and reduced appetite for debt-funded
acquisitions. However, the company's leverage is likely to remain
high due to its rapid expansion. In addition, event risk on
acquisitions in core and non-core businesses also constrain
Sunac's credit profile."


YANLORD LAND: S&P Assigns 'BB-' Rating to New US$ Unsecured Notes
-----------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' long-term issue rating to a
proposed issue of U.S.-dollar-denominated senior unsecured notes
by Yanlord Land (HK) Co. Ltd. Yanlord Land Group Ltd. (Yanlord:
BB/Stable/--) unconditionally and irrevocably guarantees the
notes. The issue rating is subject to S&P's review of the final
issuance documentation.

S&P said, "We rate the notes one notch lower than the issuer
rating on Yanlord to reflect subordination risks because the
proposed notes will rank behind a material amount of secured
priority debt in the company's capital structure. We expect
Yanlord will use the notes proceeds for project development and
acquisition and general corporate purposes. We estimate the
company's debt leverage will increase following the issuance, but
stay within our expectation.

"The issuer credit rating on Yanlord reflects the company's high
project and geographic concentration and small land reserves. The
risks are tempered by Yanlord's strong profitability supported by
its premium brand position and historically low-cost projects. We
expect the company will sustain its strong financial position
over the next one to two years, underpinned by its above-average
profitability and good financial discipline in debt-funded
acquisitions. We also anticipate that Yanlord's contracted sales
will steadily grow over the next 12 months after declining in
2017.

"The stable outlook on Yanlord reflects our view that the company
will remain disciplined in its debt-funded expansion in the next
12-24 months. We also expect the company to maintain satisfactory
sales and an EBITDA margin above 30% during the period."


* CHINA: May Be Set for Rare Property Defaults, Neuberger Says
--------------------------------------------------------------
Bloomberg News reports that Chinese developers may be headed for
rare defaults on their debts as rising interest rates make it
harder to roll over record borrowings, according to one of the
few foreign money managers selling local financial products to
the nation's investors.

Smaller property firms might miss payments on bonds this year
after the government's leverage curbs pushed up borrowing costs,
Bloomberg relating citing Neuberger Berman, which started its
first onshore private fund this month for qualified investors,
with a focus on fixed income. There haven't yet been any defaults
on publicly issued bonds from developers in China's local market,
Bloomberg says.

"Smaller developers don't have sound cash flows and can't
tolerate any halt in refinancing because of their high leverage,"
the report quotes Peter Ru, chief investment officer of China
fixed income at Neuberger Berman Investment Management (Shanghai)
Ltd., a unit of the New York-based firm, as saying. "Weaker
developers may face even higher borrowing costs."

According to Bloomberg, some local real estate companies have
been forced to swallow record rates to raise money, and a
government crackdown on shadow banking has cut a major cash
lifeline for the weakest among them. Bloomberg says the timing is
bad as property firms face a record CNY110 billion ($17.52
billion) of onshore note maturities for the rest of this year. On
top of that, investors also have options to sell CNY205 billion
of bonds back.

Real estate companies with total assets under CNY40 billion and
debt-to-asset ratios higher than 70 percent face high default
risks this year as they don't have enough sources to tap for
refinancing, Mr. Ru, as cited by Bloomberg, said. The median
total debt-to-asset ratio for 127 China-listed property
developers was 31 percent as of Sept. 30, according to data
compiled by Bloomberg.

The average coupon rate for local property bonds rose to 6.41
percent in the first quarter from 5.32 percent a year earlier,
according to Bloomberg-compiled data. Tianjin Real Estate Trust
Group Co., a developer based in the northeastern port city of
Tianjin, issued five-year bonds with a yield of 9.5 percent in
March. That was the highest coupon for the company and for real
estate bonds with similar maturities, the data show.

In the offshore market, Guorui Properties Ltd. sold one-year
dollar notes at 10.2 percent in the first quarter, a record for
similar-maturity Chinese corporate bonds in the currency,
Bloomberg says.

Neuberger Berman only buys bonds from developers in China that
rank among the top 30 in terms of revenue, as such firms have a
higher ratio of cash to maturing debt this year, Mr. Ru said.

For onshore corporate bonds in general, Mr. Ru expects the
government's financial deleveraging will increase the number of
defaults and prefers higher-graded securities, with local ratings
AA+ or above. He said he's the most concerned about credit risks
of local government financing vehicle bonds.



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


3G TELECOM: Ind-Ra Maintains 'B+' Rating in Non-Cooperating Cat.
----------------------------------------------------------------7
India Ratings and Research (Ind-Ra) has maintained 3G Telecom
Infra India Private Limited's 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 ratings. The rating will
continue to appear as 'IND B+ (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating actions are:

-- INR30 mil. Fund-based working capital limits maintained in
    Non-Cooperating Category with IND B+ (ISSUER NOT COOPERATING)
     /IND A4 (ISSUER NOT COOPERATING) rating;

-- INR30.4 mil. Non-fund-based working capital limits maintained
    in Non-Cooperating Category with IND A4 (ISSUER NOT
    COOPERATING) rating;

-- INR10 mil. Proposed fund-based working capital limits
    maintained in Non-Cooperating Category with Provisional IND
    B+ (ISSUER NOT COOPERATING) /Provisional IND A4 (ISSUER NOT
    COOPERATING) rating; and

-- INR29.6 mil. Proposed non-fund-based working capital limits
    maintained in Non-Cooperating Category with Provisional IND
    A4 (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 31, 2016. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Established in 2009, 3G Telecom Infra India is an infrastructure
provider of fiber optic networks in Telangana and Andhra Pradesh.


ADARSHA CONTROL: CRISIL Lowers Rating on INR5.5MM Loan to B+
------------------------------------------------------------
CRISIL has downgrade its rating on the long-term bank facilities
of Adarsha Control Systems Pvt. Ltd. (ACS) to 'CRISIL B+/Stable'
from 'CRISIL BB-/Stable'.

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Bill Discounting      2         CRISIL B+/Stable (Downgraded
                                   from 'CRISIL BB-/Stable')

   Open Cash Credit      5.5       CRISIL B+/Stable (Downgraded
                                   from 'CRISIL BB-/Stable')

The downgrade reflects a stretched working capital cycle and
worsening liquidity. Inventory has increased to 104 days as on
March 31, 2017, from 52 days a year earlier, driven by higher
work-in-progress and raw material inventory. Debtors were at 100
days as on March 31, 2017. Part of the working capital
requirement is met by stretching creditors. In addition,
liquidity has weakened. The current ratio was 1.2 times as on
March 31, 2017, and the bank limit was highly utilised at an
average of around 98% during the 12 months through MONTH YEAR.

The ratings reflect a modest scale, and working capital-intensive
nature, of operations. These weaknesses are partially offset by
the extensive experience of the promoters in the electrical
components and equipment industry, an established relationship
with customers, and a healthy financial risk profile.

Key Rating Drivers & Detailed Description

Weaknesses:

* Modest scale of operations: Revenue was modest at INR28.98
crore in fiscal 2017. Furthermore, the industry is highly
fragmented with numerous players, leading to intense competition,
which, along with the modest scale, restricts bargaining power
with customers.

* Working capital-intensive operations: Gross current assets were
high at 229 days as on March 31, 2017. The working capital
requirement has increased due to higher debtors.

Strengths:

* Extensive industry experience of the promoters: The promoters
are electrical engineers with about three decades of experience
in the electrical equipment manufacturing industry. They have
thus developed good industry insights, which helps in
anticipating price trends and calibrating purchasing and stocking
decisions. Benefits from the experience and established customer
relationship should continue.

* Healthy financial risk profile: The gearing was moderate at
0.96 time as on March 31, 2017, and the debt protection metrics
healthy, with net cash accrual to total debt and interest
coverage ratios at 0.16 time and 2.27 times, respectively, in
fiscal 2017. However, the networth was modest at INR7.93 crore as
on March 31, 2017.

Outlook: Stable

CRISIL believes ACS will continue to benefit from the extensive
industry experience of its promoters. The outlook may be revised
to 'Positive' in case of a significant increase in the scale of
operations while healthy profitability is maintained, leading to
higher-than-expected cash accrual and hence sustainable
improvement in the capital structure. The outlook may be revised
to 'Negative' if profitability is lower than expected, or the
capital structure weakens because of more-than-expected debt
contracted to fund capital expenditure or incremental working
capital requirement.

Established in 1993 and based in Bengaluru, ACS is promoted and
managed by Mr Umashankar V, Mr Ramakrishna N, and Mr Nagesh H.
The company is engaged in electrical control panel building and
precision sheet metal fabrication.


CROSS TRADE: CRISIL Moves D Rating to Not Cooperating Category
--------------------------------------------------------------
CRISIL has been consistently following up with Cross Trade Links
(CTL) for obtaining information through letters and emails dated
December 6, 2017, March 8, 2018 and March 12, 2018 among others,
apart from telephonic communication. However, the issuer has
remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Bill Discounting     3.5       CRISIL D (Issuer Not
                                  Cooperating; Rating Migrated)

   Packing Credit       3.5       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 Cross Trade Links, which
restricts CRISIL's ability to take a forward looking view on the
entity's credit quality. CRISIL believes information available on
Cross Trade Links 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 Cross Trade Links to CRISIL D Issuer not
cooperating'.

Set up in 2000 as a proprietorship firm by Mr Ashok Sharma, CTL
manufactures ready-made garments such as T-shirts, ladies'
dresses, and office wear, and exports entire production to South
Africa, the United States of America and the United Arab
Emirates.


DHRUV COTTONS: CRISIL Moves INR6MM Loan Rating to Not Cooperating
-----------------------------------------------------------------
CRISIL has been consistently following up with Dhruv Cottons (DC)
for obtaining information through letters and emails dated
February 9, 2018, March 08, 2018 and March 12, 2018 among others,
apart from telephonic communication. However, the issuer has
remained non cooperative.

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Cash Credit           6         CRISIL D (Issuer Not
                                   Cooperating; Rating Migrated)

   Long Term Loan        2         CRISIL D (Issuer Not
                                   Cooperating; Rating Migrated)
   Proposed Cash
   Credit Limit          2         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 Dhruv Cottons, which restricts
CRISIL's ability to take a forward looking view on the entity's
credit quality. CRISIL believes information available on Dhruv
Cottonsis 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 Dhruv Cottons to CRISIL D Issuer not cooperating'.

Established in 2006, DC gins cotton at its unit in Bhainsa,
Telangana. Managing partner, Mr. C Maruti, has experience of more
than 30 years in the cotton segment.


DIGITAL CERAMICS: CRISIL Raises Rating on INR4MM Cash Loan to B+
----------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
Digital Ceramics Private Limited to 'CRISIL B+/Stable' from
'CRISIL B/Stable,' and reaffirmed the short-term rating at
'CRISIL A4'.

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

   Cash Credit           4          CRISIL B+/Stable (Upgraded
                                    from 'CRISIL B/Stable')

   Term Loan             2          CRISIL B+/Stable (Upgraded
                                    from 'CRISIL B/Stable')

The upgrade reflects the improvement in the company's business
risk profile leading to improvement in the liquidity profile. The
company is expected to book revenues of over Rs.25.0 crore in FY
18 with moderate profitability of over 8.0 percent for the same
period. Improvement in the scale of operations shall lead to
generation of healthy cash accruals of over INR1.5 crore against
which the company has no large repayment obligation. The accruals
generated shall support the large working capital requirements
and the overall liquidity profile.

The ratings also reflect the large working capital requirement,
modest financial risk profile and small scale of operations
amidst intense competition in the ceramic tiles industry. These
weaknesses are partially offset by extensive experience of the
promoters.

Analytical Approach

Unsecured loans extended by DCPL's promoters, have been treated
as neither debt nor equity as these loans are interest-free, and
expected to remain in business over the medium term.

Key Rating Drivers & Detailed Description

Weaknesses

* Weak financial profile: Financial profile is marked by a modest
networth and high gearing of over INR1.5 crore and 2.8 times,
respectively, expected as on March 31, 2018.

* Modest scale of operations: Intense competition in the ceramic
tiles business, has kept the scale of operations modest, with
revenue of over INR25 crore expected in fiscal 2018.

* Working capital-intensive operations: Operations remain working
capital-intensive with gross current assets of over 200 days
expected in the medium term, led by moderate receivables and
inventory. Working capital is managed by stretching payables and
the bank limit.

Strength

* Extensive experience of the promoters: Longstanding presence of
a decade-and-a-half, in the ceramic industry, has helped the
promoters, build healthy relationships with customers, suppliers
and 40-45 distributors across the country. The company has
further diversified into floor tiles, and has installed a digital
machine to boost revenue growth and widen the product range.

Outlook: Stable

CRISIL believes DCPL will continue to benefit from the extensive
experience of its promoters. The outlook may be revised to
'Positive' if significant growth in revenue and profitability,
leading to sizeable cash accrual, strengthens the financial risk
profile. The outlook may be revised to 'Negative' if a fall in
profitability, stretch in working capital cycle, or sizeable
debt-funded capital expenditure, weakens the financial risk
profile, especially liquidity.

DCPL was set up by the promoters, Mr Kalpesh Patel and his family
in 2003. The company manufactures ceramic wall and floor tiles at
its facility in Morbi, Gujarat.


G.G. FASHIONS: CRISIL Assigns B+ Rating to INR13.4MM Cash Credit
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-
term facility of G.G. Fashions (GGF).

                        Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Open Cash Credit      13.4       CRISIL B+/Stable (Assigned)

   Term Loan              1.34      CRISIL B+/Stable (Assigned)

The rating reflects the extensive experience of GGF's proprietor
in the textile industry. This strength is partially offset by the
modest scale of and working-capital intensive operations and
exposure to client concentration risks.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations: Intense competition in the
industry, due to the presence of many small, midsized, and large
players, keeps scale of operations small - revenue was INR40
crore for the three years through March 2017.

* Customer concentration risk: The firm generates ~80% of its
revenue from one customer - Shahi Exports Pvt Ltd (Shahi
Exports), exposing it to customer concentration risks. Although,
this risk is partly offset by the long association with Shahi
Exports - GGF has been associated with Shahi Exports ever since
it began operations in 1990 - revenue growth over the medium term
will depend on the order flow from Shahi Exports.

* Working capital intensive operations: Business remains working
capital intensive with gross current assets of 142 days as on
March 31, 2017 driven by large inventory and debtors of 83 and 58
days, respectively. Consequently, cash credit limit has been
utilised at over 100% during the past 12 months.

Strength

* Extensive experience of the proprietor: The proprietor, Mr. G.
Kannan has over two decades of experience in the textile-RMG
industry. This enabled the company to establish healthy
relationships with suppliers and customers. CRISIL believes GGF's
business risk profile should continue to benefit from the
promoter's extensive industry experience.

Outlook: Stable

CRISIL believes GGF will continue to benefit from the extensive
experience of its proprietor. The outlook may be revised to
'Positive' if increase in scale of operation and efficient
working capital management improves liquidity. The outlook may be
revised to 'Negative' if any large debt-funded capacity expansion
programme, or decline in revenue and profitability weaken
financial risk profile.

A proprietorship firm established in 1990 by Mr G Kannan, GGF
manufactures cotton fabric at Salem, Tamil Nadu.


GOLD MOHAR: Ind-Ra Maintains 'BB-' Rating in Non-Cooperating
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Gold Mohar
Gramudyog Sansthan's 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 BB- (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating actions are:

-- INR57.5 mil. Fund-based working capital limits maintained in
    Non-Cooperating Category with IND BB- (ISSUER NOT
    COOPERATING) /IND A4+ (ISSUER NOT COOPERATING) rating; and

-- INR10 mil. Non-fund-based working capital limits maintained
    in Non-Cooperating Category with IND BB- (ISSUER NOT
    COOPERATING/IND A4+ (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING:  The ratings were last reviewed on
August 19, 2015. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Gold Mohar Gramudyog Sansthan was founded as a society by Mr.
Dinesh Arora and other family members in February 2005 to
manufacture laundry soaps, detergents powder and cakes in Kanpur,
Uttar Pradesh.


KALYANPUR CEMENTS: Ind-Ra Keeps C Rating in Non-Cooperating Cat.
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Kalyanpur
Cements Limited's (KCL) non-convertible debentures (NCDs) 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 C (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating action is:

-- INR794.6 mil. due on June 30, 2019, Zero-coupon NCDs ISIN
    INE991E07037 issued on November 28, 2008 maintained in Non-
    Cooperating Category with IND C (ISSUER NOT COOPERATING)
    rating.

Note: ISSUER NOT COOPERATING: The rating was last reviewed on
December 24, 2015. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the rating.

COMPANY PROFILE

KCL commenced cement manufacturing in 1946. It has a total
installed capacity of 1mtpa in Banjari, Bihar.


NARMADA SPUN: CRISIL Assigns B+ Rating to INR3.15MM Cash Loan
-------------------------------------------------------------
CRISIL's ratings on the bank facilities of Narmada Spun Private
Limited's (NSPL) continue to reflect its modest scale of
operations amid intense competition and vulnerability of
profitability to volatile raw material prices. However, these
weaknesses are partially offset by the experience of the
promoters and a moderate financial risk profile.

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Bank Guarantee      1.29        CRISIL A4 (Reaffirmed)


   Cash Credit         3.15        CRISIL B+/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility   .42        CRISIL B+/Stable (Reaffirmed)

   Term Loan          25.14        CRISIL B+/Stable (Reaffirmed)

In 29 January 2018, CRISIL had upgraded the rating on the long-
term bank facilities to 'CRISIL B+/Stable' from 'CRISIL B/Stable'
and reaffirmed the 'CRISIL A4' rating on the short-term facility.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations amid intense competition: Scale of
operations remain moderate at INR55-60 Cr. Though scale remains
moderate, is expected to improve in the medium term as it is in
initial stages of operations. Intense competition may continue to
restrict the scalability of operations and limit the pricing
power with suppliers and customers, thereby constraining
profitability.

* Exposure to volatility in raw material prices: As cotton (raw
material) prices account for 75-80% of the operating income, even
a slight fluctuation in its price may drastically impact the
profitability. This trend is likely to continue over the medium
term.

Strengths

* Experience of promoters: Benefits derived from the promoters'
experience of over a decade and healthy relations with customers
and suppliers led to a well-established distribution network and
timely stabilisation of operations. Revenue growth has been
healthy at INR46 crore till December 2017; it is projected to
reach INR60 crore by end of fiscal 2018.

* Moderate financial risk profile: Financial risk profile of the
company remains moderate backed by moderate networth and adequate
debt protection metrics. Networth remains moderate at INR10.14 Cr
when compared to the scale of operations. Networth is expected to
remain at INR14-15 Cr in the medium term. Debt protection metrics
remain adequate marked by YTD interest cover of above 2 times and
is expected to be comfortable at above 2 times in the medium
term.

Outlook: Stable

CRISIL believes NSPL will continue to benefit over the medium
term from the experience of the promoters. The outlook may be
revised to 'Positive' if a substantial increase in scale of
operations, profitability, and cash accrual strengthens the
liquidity. Conversely, the outlook may be revised to 'Negative'
if a lower-than-expected profitability and cash accrual weakens
the liquidity.

Incorporated in 2016, NSPL is promoted by Rajkot based Pareshbhai
Dhamsaniya, Pankajbhai Dhamsaniya and Jerambhai Bhalodia. NSPL is
into spinning of cotton yarn of 6-20 counts.

Operations commenced from April 2017.


NIMBUS PIPES: CRISIL Assigns B Rating to INR18MM Cash Loan
----------------------------------------------------------
CRISIL has revoked the suspension of its rating on the bank
facilities Nimbus Pipes Limited (NPL) and has assigned its
'CRISIL B/Stable/CRISIL A4' rating to the bank facilities. CRISIL
had suspended the ratings on February 18 2013, as the company had
not provided the information required for a rating review. NPL
has now shared the requisite information enabling CRISIL to
assign its rating.

                     Amount
   Facilities       (INR Mln)       Ratings
   ----------       ---------       -------
   Cash Credit           18         CRISIL B/Stable (Assigned,
                                    Suspension Revoked)

   Letter of credit
    & Bank Guarantee      8         CRISIL A4 (Assigned,
                                    Suspension Revoked)

   Term Loan              9         CRISIL B/Stable (Assigned,
                                    Suspension Revoked)

The rating reflects on the extensive industry experience of its
promoters in the industry and its average financial risk profile.
These strengths are partially offset by the high working capital
intensive operations.

Key Rating Drivers & Detailed Description

Weaknesses:

* High working capital requirements: Operations of the company
are prudently managed as reflected by the moderate working
capital intensive nature, with gross current assets of 270 - 300
days as in the last four years. This has led to high reliance on
external funding by banks. CRISIL believes that the high working
capital requirements of the company will continue to constrain
its liquidity position.

* Susceptibility of its profitability margins to volatility in
raw material prices: Raw material purchases account for about
more than 70 - 80 per cent of NPL's cost of production. As the
prices of these raw materials have been highly volatile in past
and are expected to remain so, the company's margins are highly
susceptible to fluctuations in the prices of raw materials.

Strengths:

* Established market position and promoters' extensive
experience:
NPL's promoters have been engaged in the edible oil industry
business for more than three decades. This has given them an
understanding of the dynamics of the industry, and enabled them
to establish relationships with customers and suppliers. CRISIL
believes NPL will continue to benefit over the medium term from
its promoters' extensive industry experience and established
relationship with key customers.

* Average financial risk profile: The company's financial risk
profile is below average reflected by a gearing of 1.6 times and
a moderate net worth of INR20.8 cr as on March 31, 2017. The debt
protection metrics are average with interest coverage and net
cash accruals to total debt at 1.52 times and 11 percent as on
March 31 2017 respectively. Due to moderate accretion to reserves
and high reliance one external bank debt, CRISIL believes that
the financial risk profile of the company is expected to remain
average.

Outlook: Stable

CRISIL believes that NPL will maintain a stable business risk
profile over the medium term owing to the promoter's extensive
industry experience. The outlook may be revised to 'Positive' if
the firm generates more-than-expected revenues and profitability
resulting in higher cash accruals improving its financial risk
profile. Conversely the outlook may be revised to 'Negative' in
case of decline in revenues and profitability resulting in
insufficient cash accruals to timely service the term debt
prepayment obligations or more than expected debt funded capex
plan leading to deterioration in the financial and liquidity risk
profiles.

Set up in 2001, the entity was promoted by Mr. Pravin Kumar Lath
and family, as a partnership firm, Nimbus Industries. In January
2010, the firm was reconstituted as a public limited company,
under the current name. NPL's business can be divided into three
business divisions: manufacture of various types of PE pipes and
fittings used in irrigation projects, construction projects, and
sewerage lines; manufacture of sprinkler and drip irrigation
systems; and execution of customized turnkey projects for
installation of pipes and fittings. It operates from its
manufacturing facility at Jaipur in Rajasthan.


RAILTRACK CONCRETE: CRISIL Reaffirms B- Rating on INR3.8MM Loan
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of Railtrack Concrete
Products Private Limited (RCPPL) continue to reflect RCPPL's
small scale and working capital intensive operations and weak
financial risk profile marked by negative networth and weak debt
protection metrics. These rating weaknesses are partially offset
by the promoters' extensive experience and funding support.

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Bank Guarantee        1         CRISIL A4 (Reaffirmed)

   Cash Credit           3.8       CRISIL B-/Stable (Reaffirmed)

   Inland/Import
   Letter of Credit       2        CRISIL A4 (Reaffirmed)

   Proposed Short Term
   Bank Loan Facility     0.8      CRISIL A4 (Reaffirmed)

   Term Loan              0.4      CRISIL B-/Stable (Reaffirmed)

Analytical Approach

For arriving at the ratings CRISIL has treated unsecured loans of
INR1.9 crore extended to RCPPL by its promoters as neither debt
nor equity since the same is expected to remain in the business
over the medium term.

Key Rating Drivers & Detailed Description

Weaknesses

* Small scale and working capital intensive operations: The
business profile of RCPPL continues to remain constrained by
small scale with operating income of around INR0.43 crore for
fiscal 2017. The low scale has primarily been driven by no
lifting of the mono-block concrete sleepers by the Indian
Railways (IR). Further the operations remain highly working
capital intensive driven by the need to maintain significant
inventory. Improvement in scale along with efficiency in working
capital management shall continue to be a key rating driver over
the medium term.

* Weak financial risk profile: Financial profile for RCPPL
remains constrained by negative networth and consequently high
gearing. The networth has been negative on account of net losses
due to no booking of operating income as the products have not
been lifted by IR. However the liquidity was been adequately
supported by advances received from IR. Driven by operating
losses in fiscal 2017 and 2016, the interest coverage too has
been weak at below unity and is likely to remain so in fiscal
2018 as well.

Strength

* Promoters' extensive experience and funding support: The
promoters have extensive experience in the railway sleeper
industry by virtue of operations in other group companies. The
same has enabled them established healthy liaison with the
railway departments. Further the promoters are capable of
extending funding support as and when needed. The same has been
demonstrated historically to ensure timely repayment of debt
obligations.

Outlook: Stable

CRISIL believes RCPPL, will continue to benefit from the
extensive experience of its promoters. The outlook may be revised
to 'Positive' if a substantial and sustained increase in scale
and accrual along with improved working capital management leads
to a better financial and business profile. The outlook may be
revised to 'Negative' if low scale or accrual, a stretched
working capital cycle or significant capital expenditure (capex)
weakens the financial risk profile, especially liquidity.

Incorporated in July 2014, in Kolkata West Bengal, RCPPL is
engaged in manufacturing of railway sleepers. The day-to-day
operations of company are managed by Mr. Sabyasachi Munshi and Mr
Nishant Mittal, who are the promoters-directors of the company.


SHALINI TELEVISION: CRISIL Assigns B- Rating to INR4.25MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B-/Stable/CRISIL A4' ratings for
the bank loan facilities of Shalini Television Network Private
Limited.

                         Amount
   Facilities           (INR Mln)     Ratings
   ----------           ---------     -------
   Proposed Short Term
   Bank Loan Facility        .13      CRISIL A4 (Assigned)

   Proposed Long Term
   Bank Loan Facility       4.25      CRISIL B-/Stable (Assigned)

   Cash Credit               .70      CRISIL B-/Stable (Assigned)

   Long Term Loan           1.92      CRISIL B-/Stable (Assigned)

The ratings reflect Shalini's modest scale of operations and its
weak financial risk profile. The above mentioned weaknesses are
partially offset by the promoter's extensive experience in the
industry.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations in the intensely competitive
industry: The scale of operations is modest with revenue of
INR1.7 crores in fiscal 2017, in the intensely competitive
broadcasting industry.

* Weak financial risk profile: Company's networth was modest at
INR1.0 crore as on March 31, 2017 and the interest cover was weak
at 1 time for the year.

Strength

* Experience of promoters in the industry: The promoters have
been in the multi system operator industry for over 15 years and
have established relations with other operators in the industry
and customers.

Outlook: Stable

CRISIL believes Shalini would continue to benefit from the
extensive experience of its promoters over the medium term. The
outlook may be revised to positive if there is a significant
improvement in the scale of operations and profitability
resulting in better business risk profile. Conversely, the
outlook may be revised to Negative if the company records lower
than expected level of cash accruals or deterioration in the
working capital management resulting in weak liquidity.

Set up in 2012 by Mr. S. Saraswathi Sankar and Mr. S.Shanmuga
Prabhu, company runs a satellite channel under the name 'Shalini
TV' and also does cable operator service in Thanjavoor
(Tamilnadu).


SHREE BALA: CRISIL Withdraws B+ Rating on INR25MM Cash Loan
-----------------------------------------------------------
CRISIL has been consistently following up with Shree Bala Ji Rice
& General Mills (SBRGM) for obtaining information through letters
and emails dated August 4, 2017 and September 8, 2017 among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                     Amount
   Facilities       (INR Mln)     Ratings
   ----------       ---------     -------
   Cash Credit           25       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 SBRGM. This restricts CRISIL's
ability to take a forward SBRGM 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
SBRGM continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of SBRGM
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.

SBRGM was established in 2001 as a partnership firm by Mr.
Mahavir Parshad, Mr. Bharat Bushan, and Mr. Ashwani Kumar in
Fazilka, Punjab. It mills rice, both basmati (80 percent of
revenue) and non-basmati. The firm has milling capacity of 8
tonne per hour.


SHUBHANG OILS: Ind-Ra Keeps 'B' LT Rating in Non-Cooperating Cat.
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Shubhang Oils
Private Limited's (SOPL) 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
continue to appear as 'IND B (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating action is:

-- INR85 mil. Fund-based limit maintained in Non-Cooperating
     Category with IND B (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 16, 2016. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in July 2000, SOPL was over taken by the present
management in 2014. It has its registered office in Madhya
Pradesh. The company manufactures wheat flour and mustard oils,
palm oil, rice bran oil, etc.

SOPL sells its products under the brand name of Badshah for wheat
flour, Sharvati and Lal Badshah brands for mustard oil. The
company sells majorly in Bihar, West Bengal, Maharashtra, Uttar
Pradesh and Madhya Pradesh.


SILVER ENTERPRISE: Ind-Ra Migrates BB Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Silver
Enterprise'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 these ratings. The rating will
now appear as 'IND BB (ISSUER NOT COOPERATING)' on the agency's
website. The instrument-wise rating action is:

-- INR155.2 mil. Term loan due on December 2018 migrated to Non-
     Cooperating Category with IND BB (ISSUER NOT COOPERATING)
     rating.

Note: ISSUER NOT COOPERATING: The ratings were last assigned on
April 21, 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 2010, Silver Enterprise is a partnership firm
engaged in residential and commercial real estate development.


STAR REALCON: CRISIL Assigns B Rating to INR8.5MM Loan
------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long term
bank facilities of Star Realcon Private Limited (SRPL). The
rating reflects small scale of operations, concentrated order
book, large working capital requirements and subdued debt
protection metrics. These weaknesses are partly mitigated by the
extensive experience of the promoters in the construction
industry.

                         Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Proposed Long Term
   Bank Loan Facility       .5       CRISIL B/Stable (Assigned)


   Secured Overdraft
   Facility                8.5       CRISIL B/Stable (Assigned)

Key Rating Drivers & Detailed Description

Weakness:

* Small scale of operations and concentrated order book: SRPL has
small scale of operations as reflected in expected revenue of
Rs.5 crores in fiscal 2018, on account of single order in hand.
Revenue growth over the medium term will remain dependent on the
progress of the order in hand.

* Large working capital requirements: SRPL's working capital
requirements are high due to high debtors outstanding for more
than six months and large inventory of land, which leads to full
utilisation of bank lines. Realisation of debtors and improvement
in working capital will remain a key rating sensitivity factor.

* Subdued debt protection metrics: Debt protection metrics remain
subdued as reflected in the interest coverage of 1.2 times and
negative cash accruals in fiscal 2017. It is expected to remain
subdued due to small scale and moderately high debt.

Strengths:

* Extensive experience of promoters in construction industry:
Promoters' extensive experience of more than 30 years in the
construction and real estate industry has helped establish strong
relationship with customers and suppliers.

Outlook: Stable

CRISIL believes that SRPL will continue to benefit from the long-
standing experience of the promoters. The outlook may be revised
to 'Positive' if significant improvement in scale of operations
and profitability, improvement in working capital cycle leads to
better financial risk profile and liquidity. The outlook may be
revised to 'Negative' if decline in revenues or profitability, or
stretch in working capital cycle, weakens financial risk profile.

SRPL, setup in 2006 by Mr. Nitin Kumar Gupta and his son, Mr.
Goldy Gupta, is engaged into civil construction activities in
Delhi, Ghaziabad, Chennai, and Rajasthan. It also undertakes real
estate development.


STEELFUR SYSTEM: Ind-Ra Keeps 'BB-' Rating in Non-Cooperating Cat
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Steelfur
System Private Limited's (Steelfur) 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 BB- (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating actions are:

-- INR28.5 mil. Fund-based working capital limits maintained in
     Non-Cooperating Category with IND BB- (ISSUER NOT
     COOPERATING) /IND A4+ (ISSUER NOT COOPERATING) rating;

-- INR18.6 mil. Term loan limits maintained in Non-Cooperating
     Category with IND BB- (ISSUER NOT COOPERATING) rating;

-- INR5.0 mil. Non-fund-based working capital limit maintained
    in Non-Cooperating Category with IND A4+ (ISSUER NOT
    COOPERATING) rating;

-- INR1.5 mil. Proposed fund-based working capital limit
    maintained in  Non-Cooperating Category with Provisional IND
    BB- (ISSUER NOT COOPERATING) /Provisional IND A4+ (ISSUER NOT
    COOPERATING) rating; and

-- INR5.0 mil. Proposed non-fund-based working capital limit
    maintained in  Non-Cooperating Category with Provisional IND
    A4+ (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 14, 2016. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Established in 2007, Steelfur mainly provides storage solutions
such as racks and cabinets to supermarkets and various
industries. The company is ISO 9000-2000 and TQM certified, and
has two manufacturing units in Vadodara.


TARAK CHEMICALS: CRISIL Assigns FB+ Fixed Deposit Rating
--------------------------------------------------------
CRISIL has assigned its 'FB+/Stable' rating to the fixed deposit
of Tarak Chemicals Limited (TCL).

                     Amount
   Facilities       (INR Mln)      Ratings
   ----------       ---------      -------
   Fixed Deposits        2         FB+/Stable (Assigned)

The rating reflects the extensive experience of the promoter in
the specialty chemical industry and company's above-average
financial risk profile. These rating strengths are partially
offset by the modest scale of operations and customer
concentration in the revenue profile.

Key Rating Drivers & Detailed Description

Strengths:

* Extensive experience of the promoter: The promoter has
experience of over three decades in the speciality chemical
segment, and during this period has established a strong customer
base.

* Above-average financial risk profile: Gearing is comfortable
estimated at 0.10-0.15 time as on March 31, 2018. Debt protection
metrics are healthy, with net cash accrual to adjusted debt ratio
of 1.25-1.35 times and interest coverage of 10 times for fiscal
2018.

Weaknesses:

* Modest scale of operations: With turnover of INR25 crore in
fiscal 2018, scale remains modest due to fragmented nature and
intense competition in the specialty chemical industry.

* Customer concentration in revenue: TCL is exposed to customer
concentration risk. The top three customers nearly contributes
around 80-85 percent of the total revenues.

Outlook: Stable

CRISIL believes TCL will continue to benefit from the extensive
industry experience of its promoter. The outlook may be revised
to 'Positive' in case of a substantial increase in scale of
operations while maintaining operating profitability and working
capital requirements, leading to an improvement in the business
risk profile. The outlook may be revised to 'Negative' in case of
weakening of the financial risk profile on account of a decline
in cash accruals, or a stretch in working capital cycle.

Incorporated in 1984, TCL is promoted by Patel Family. The
company is engaged into manufacturing of oilfield chemicals. The
company also trades in specialty chemical.


TEX INDUSTRIES: Ind-Ra Maintains 'D' Rating in Non-Cooperating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained PVN Tex
Industries' (PVN Tex) 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 D (ISSUER NOT COOPERATING)' on the
agency's website. The instrument-wise rating actions are:

-- INR120 mil. Fund-based working capital limits (long-term)
    maintained in Non-Cooperating Category with IND D (ISSUER NOT
    COOPERATING) rating;

-- INR13.3 mil. Term loans (long-term) maintained in Non-
    Cooperating Category with IND D (ISSUER NOT COOPERATING)
    rating; and

-- INR60 mil. Non-fund-based working capital limits (short-term)
    maintained in Non-Cooperating Category with IND D (ISSUER NOT
    COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 21, 2016. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

PVN Tex is a partnership firm, owned and managed by Mr. Arvind
Agarwal and his family. It manufactures polypropylene and high-
density polyethylene woven sacks and fabrics.


VAISHNAV CASHEWS: CRISIL Withdraws D Rating on INR5.5MM Cash Loan
-----------------------------------------------------------------
CRISIL has been consistently following up with Vaishnav Cashews
(VC) 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
   ----------       ---------     -------
   Cash Credit          5.5       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 VC. This restricts CRISIL's
ability to take a forward VC 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 VC
continues to be ' CRISIL D Issuer Not Cooperating'.

CRISIL has withdrawn its ratings on the bank facilities of VC 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

Set up as a proprietorship firm in 2007, VC processes raw cashew
nuts and sells cashew kernels. The operations of the firm are
managed by the proprietor, Mr. Susheelan Pillai.


VAISHNODEVI OIL: Ind-Ra Assigns BB Issuer Rating, Outlook Stable
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Vaishnodevi Oil
Seeds Processing Industries (VOPI) a Long-Term Issuer Rating of
'IND BB'. The Outlook is Stable. The instrument-wise rating
actions are:

-- INR140 mil. Fund-based limits assigned with IND BB/Stable
     rating; and

-- INR6 mil. Term loan due on March 2021 assigned with IND
     BB/Stable rating.

KEY RATING DRIVERS

The ratings reflect VOPI's modest credit metrics due to thin and
volatile operating margins because of fluctuating raw material
procurement expenses. In FY17, interest coverage (operating
EBITDA/interest expense) was 1.7x (FY16: 2.3x) and net financial
leverage (net debt/operating EBITDA) was 4.3x (4.7x). The decline
in interest coverage was driven by an increase in interest
expense. The slight improvement in leverage is attributed to a
rise in operating margin to 3.2% in FY17 (FY16: 2.3%) owing to a
decline in raw material procurement and other direct expenses.

The ratings also reflect VOPI's moderate scale of operations,
despite revenue growing 28.5% yoy to INR955 million in FY17,
driven by an increase in sales volume backed by increased
capacity utilization. Moreover, the firm has a partnership nature
of the business.

The ratings are supported by VOPI's comfortable liquidity
position with its average utilization of the working capital
limits being about 84.26% for the 12 months ended March 2018.

The ratings are also supported by the firm's partners' experience
of over 10 years in the edible oil industry and VOPI's proximity
to raw material sources.

RATING SENSITIVITIES

Negative: Any decline in the profitability leading to any
deterioration in the credit metrics will be negative for the
ratings.

Positive: Any substantial improvement in revenue and
profitability leading to interest coverage sustaining above 1.5x
will be positive for the ratings.

COMPANY PROFILE

Formed in 2006, VOPI is a partnership firm engaged in the
extraction and trading of mustard oil and oil cake. It has
facilities in Banaskantha, Gujarat with total annual installed
capacity was 22,500 metric tons per annum.

Its partners are Mrs. Naynaben Prafulkumar Thakkar and Mrs.
Hetalben Dipakkumar Thakkar.



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


ALAM SUTERA: S&P Rates New US$315MM Senior Unsecured Notes 'B'
--------------------------------------------------------------
S&P Global Ratings assigned its 'B' long-term issue rating to a
proposed issuance of up to US$315 million senior unsecured notes
unconditionally and irrevocably guaranteed by Indonesia-based
property developer PT Alam Sutera Realty Tbk. (ASRI: B/Stable/--
). ASRI's special purpose vehicle, Alam Synergy Pte. Ltd., will
issue the notes.

S&P said, "In our view, the transaction extends ASRI's debt
maturity profile. The notes proceeds will go toward refinancing
up to 70% of existing US$235 million notes maturing in 2020. The
remaining amount will go toward land acquisition at North Serpong
and for general corporate purposes.

"Based on ASRI's net increase of up to US$150 million of debt, we
believe the company's leverage and EBITDA interest coverage
ratios are still commensurate with a 'B' issuer credit rating
level. ASRI has outstanding cash receipts from property sales in
the last two years as well as ongoing land sales agreement with
China Fortune Land Development (CFLD). Nevertheless, we expect
ASRI to have a limited buffer for further increases in debt after
the notes issuance without placing pressure on its credit
metrics. We forecast ASRI's EBITDA interest coverage after the
issuance to remain at 2.1x-2.3x over the next two years, compared
with about 2.5x we expected earlier.

"The 'B' issuer credit rating on ASRI reflects the company's
project concentration risk, dependency on land sales with CFLD,
and its cyclical earnings from property development. The
company's significant low-cost land bank and well-established
brand name in township development in western Jakarta temper
these weaknesses.

"The stable outlook reflects our expectation that ASRI will
maintain its property sales and disciplined capital expenditure
over the next 12-18 months. We expect the company's EBITDA
interest coverage to stay above the 2.0x downgrade trigger over
the period. In addition, we anticipate that ASRI will manage its
liquidity by selling land or assets, or reducing capital
expenditure if the market weakens."



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


SOFTBANK GROUP: S&P Rates New Senior Unsecured Global Notes 'BB+'
-----------------------------------------------------------------
S&P Global Ratings said it has assigned its 'BB+' issue credit
rating to Japan-based telecommunications and internet company
SoftBank Group Corp.'s (SoftBank; BB+/Negative/--) two proposed
senior unsecured U.S. dollar notes, each with different
maturities, and its two proposed senior unsecured Euro notes,
each with different maturities. The company plans to use proceeds
of the offering to redeem U.S. dollar and Euro notes issued in
April 2013.

The issue rating on the proposed notes is equal to the long-term
corporate credit rating on SoftBank. This is because the ratio of
the issuer's total secured debt plus its subsidiaries' debt to
the issuer's total debt (priority debt ratio) is below 50%, the
threshold for S&P to consider notching down the issue rating.

Although major subsidiary SoftBank Corp., a Japan-based
telecommunications operator, will guarantee the notes, the
guarantee could be released before the proposed notes mature
under certain circumstances, such as the guarantor no longer
guaranteeing any of SoftBank's indebtedness. However, these
guarantee conditions do not affect S&P's issue rating on the
proposed notes, because it bases the rating on the aforementioned
analysis and the rating does not rely on the upstream guarantee.

S&P said, "Our corporate credit rating on SoftBank reflects its
stable profitability, supported by its strong market position as
a diversified telecommunications operator in Japan, and its good
business and geographic diversity. The negative rating outlook
reflects our view that SoftBank has adopted an increasingly
aggressive financial policy, as demonstrated by tolerance of
accelerated investment in its fund business. As a result, we see
a greater likelihood of key financial ratios for the company
deteriorating more substantially than we had assumed."


====================
N E W  Z E A L A N D
====================


INVERCARGILL BREWERY: To Stay Open Under New Owners
---------------------------------------------------
Stuff.co.nz reports that the Invercargill Brewery will continue
to operate as a family-owned and operated business under new
management after owners agreed to buy the business.

The brewery was placed into receivership in March after it made a
default in payments to a secured creditor, the report says.

The business, which had both fulltime and part-time staff,
continued trading with a view to the business being sold.

Stuff.co.nz relates that a statement released on April 13 said
the staff, including Steve Nally, would be offered contracts with
the new company.

According to the report, Mr. Nally has agreed to remain in a
brewing role in a business that will trade as Invercargill
Brewery.

However, in a statement, they said: "Steve and Amanda and the
Invercargill Brewery team are hugely grateful for the support of
our families, fellow Southlanders and from within the wider New
Zealand Brewing Community," the report relays.

Stuff.co.nz notes that all events and bookings would be held as
planned and brewery tours would continue as usual.

In 2005 the brewery outgrew the old blue dairy shed and moved to
the former Kiwi Bacon factory at Wood St in Invercargill.

In 2013, Invercargill Brewery made the move to Leet St.

In August of 2017, the Nally couple told Stuff it was changing
the company's business model to adapt to the rapidly changing
landscape of New Zealand's brewing industry, Stuff.co.nz relays.

At that time the company was moving away from its focus on
contract brewing and working towards its own on-site
entertainment venue, adds Stuff.co.nz.



=============================
P A P U A  N E W  G U I N E A
=============================


PAPUA NEW GUINEA: S&P Cuts SCR to B on Deteriorating Debt Profile
-----------------------------------------------------------------
On April 16, 2018, S&P Global Ratings lowered its long-term
foreign and local currency sovereign credit ratings on Papua New
Guinea (PNG) to 'B' from 'B+'. The outlook on the ratings is
stable. S&P said, "At the same time, we affirmed our 'B' short-
term foreign and local currency ratings on PNG. We also lowered
the transfer and convertibility assessment to 'BB-' from 'BB'."

OUTLOOK

S&P said, "The stable outlook reflects our view that PNG will
remain a low-income economy with weak institutions and limited
monetary policy flexibility. The stable outlook also reflects our
expectation that economic growth will rebound, possibly beyond
our current forecast horizon.

"We could lower our ratings if PNG's fiscal deficits widen
further during the coming year, exacerbating growing debt levels
and reducing its external debt burden at a slower rate than we
expect. This could occur, for instance, in the event of export
revenues being lower than we expect or a rapid increase in
government spending.

"We could raise our ratings if we believe the government will
take appropriate steps during the coming year to bring spending
in line with revenues such that fiscal deficits will narrow and
the government's debt will decrease relative to GDP. We also
could raise our ratings if it remains likely that PNG's external
position will improve significantly during the next few years,
supported by solid economic growth and export receipts."

RATIONALE

S&P said, "We have downgraded our rating on PNG as result of much
slower economic growth than we previously expected and compared
with peers, and lower-than-we-expected government revenues
leading to fiscal deficits and rising government debt and debt
service costs. Lower-than-we-expected tax revenues from PNG's
largest liquefied natural gas (LNG) project's exports, along with
natural disasters such as drought and earthquakes, have hindered
revenues in recent years. While the government has made some
headway on the expenditure side by cutting some superfluory
expenditure, weak controls over payroll costs somewhat offset
these gains. These fiscal deficits, along with slower economic
growth, have pushed the government debt to GDP ratio over the
ceiling of 30%, and we forecast it to increase to about 40% by
2021.

"Our ratings on PNG reflect structural constraints inherent in a
lower-middle-income economy dependent on extractive industries
and served by weak institutions, restricted monetary policy
flexibility, and increased government debt. These are balanced by
longer-term economic growth prospects, underpinned by expected
new LNG projects.

Institutional and Economic Profile: PNGs economic growth is below
average compared to peers

-- S&P expects short-term to midterm economic growth to be
    subdued

-- S&P expects upside for PNG's economy due to new LNG projects
    in the medium to long term

Economic growth slowed sharply in 2016 and 2017 to about 2.5%.
Apart from the end of LNG-related stimulus, the slowdown
reflected lower energy prices and associated cost-cutting in the
resources sector; drought conditions hurting agricultural
production, leading to the temporary shutdown of Ok Tedi, a large
copper and gold mine; and sharp cuts in government spending. S&P
expects growth to remain subdued in 2018 as a result of a recent
eight-week closure announcement of the PNG LNG plant after an
earthquake on Feb. 25, 2018.

S&P expects some upside to economic growth in the medium to long
term. The economic outlook on further large foreign-financed
projects, the Papua LNG project, and expansion of the existing
ExxonMobil project still appear to have the support of their
proponents, though final investment decisions continue to be
delayed and final decisions are still sometime away. If these
projects proceed, they would boost growth sharply, probably from
2021.

PNG faces pressing development needs. S&P estimates per capita
GDP to be about US$2,700 in 2018, and the country is ranked 158
out of 188 countries on the United Nations Development Program's
Human Development Index. Moreover, the prevalence of crime in
major cities deters investment, in S&P's view, while governmental
institutions are a weakness. Economic data inconsistency is
another credit weakness. Despite some recent improvements, gaps
and lags in economic and external data remain, beside a lack of
transparency in public-sector fiscal affairs.

The People's National Congress coalition secured a majority in
the seated parliament after Peter O'Neill's victory in the July
2017 election. The government has made it clear that it is
willing to address the immediate fiscal imperatives and focus on
PNG's longer-term strategy of economic diversification.

Flexibility and Performance Profile: Stagnant government revenues
have led to fiscal deficits, increasing government debt and
higher interest burden.

-- General government revenues have underperformed compared with
    S&P's expectations in recent years, resulting in a rapid
    deterioration of PNG's interest-to-revenues ratio

-- Wider fiscal deficits have caused government debt to increase
    substantially

The government has attempted to respond to the revenue declines,
but it is reliant on a volatile revenue base. Improving commodity
prices have not translated to increased government revenues
through the concessional arrangements from the PNG LNG project.
Through budgets and supplementary budgets since late 2016, the
government has aimed to focus on expenditure, enacting spending
cuts and targeted declining fiscal deficits to keep debt within
its targets. PNG's fiscal deficits and general government debt
have widened due to flat revenues. On this basis, S&P projects
PNG's general government debt to continue to rise above 30% of
GDP to about 40% by 2021.

Financing fiscal deficits remains challenging. Domestic banks are
around their internal limits for lending to the government, and
the central bank is acting as lender of last resort when
government bond auctions are undersubscribed. Combining subdued
revenues with a raised interest burden has resulted in a
significant deterioration in S&P's debt servicing ratio from
previous forecasts.

Given the domestic financing challenges, the government obtained
a syndicated loan from Credit Suisse during 2016 for up to US$500
million, and has drawn down about US$300 million to date. The
government expects to draw down the remaining US$200 million
during 2018. The government is also expecting to issue its long-
awaited U.S. dollar sovereign bond, which it expects will raise
US$500 million.

The private sector holds most of PNG's external debt. External
debt ballooned during 2010 and 2013 during the LNG project's
construction phase, with large current account deficits--financed
by a combination of external debt and foreign direct investment--
that averaged about 30% of GDP. Narrow net external debt peaked
at about 390% of current account receipts in 2012, though we
believe this measure is heavily overstated because much of it is
related to foreign direct investment but is not reported as such.
PNG's net external liabilities surged to nearly 480% of current
account receipts in 2013 from 45% of current account receipts in
2008. S&P said, "We estimate that these ratios began to decline
in 2014 with the commencement of LNG production, and expect them
to steadily decline. Meanwhile, gross external financing needs
are likely to be broadly steady at 50%-70% of current account
receipts.
PNG's external vulnerability is improving, but it remains
exacerbated by high volatility in its terms of trade. We forecast
PNG's external debt position to continue to decline, with LNG
production since 2014 resulting in repayment of external
liabilities. However, we note that potential future LNG projects
could lead to further external imbalances arising during their
construction phases."

The ongoing shortage of U.S. dollars within PNG is affecting the
economy's external transactions, and is symptomatic of a currency
that is above the market-clearing exchange rate. (PNG's exchange
rate arrangements are crawl-like, according to the International
Monetary Fund.) Although the PNG kina has depreciated
substantially against the U.S. dollar during the past few years--
notwithstanding a sharp spike in early 2014, when the central
bank's trading band policy was put in place--dollar shortages
remain, and the currency also remains high against those of major
trading partners.

While PNG's currency depreciation has only been moderate, it is
contributing to the upward drift in inflation. S&P expects
inflation to remain elevated during the next few years, while
remaining below 10%. The central bank's purchases of government
debt nevertheless could add inflationary pressure if they are not
fully offset. More broadly, the Bank of PNG's weak monetary
policy flexibility is a rating constraint. This weakness mainly
reflects the limited transmission of monetary policy settings to
the interest rates faced by borrowers--largely because of the
high level of liquidity in the banking system.

PNG's banking system stability benefits from limited competition
and a strong reliance on deposit funding, which is supported by
high levels of liquidity. It also has an external net asset
position and limited linkages to global markets. That said, the
country's low income levels and credit risk concentrations that
weigh on credit risks hamper banking system stability. Legal
infrastructure and judicial system delays also pose challenges to
enforcing creditor rights. S&P's Banking Industry Credit Risk
Assessment for PNG is '9' (with '1' being the highest assessment
and '10' being the lowest).

In accordance with S&P's relevant policies and procedures, the
Rating Committee was composed of analysts that are qualified to
vote in the committee, with sufficient experience to convey the
appropriate level of knowledge and understanding of the
methodology applicable. At the onset of the committee, the chair
confirmed that the information provided to the Rating Committee
by the primary analyst had been distributed in a timely manner
and was sufficient for Committee members to make an informed
decision.
After the primary analyst gave opening remarks and explained the
recommendation, the Committee discussed key rating factors and
critical issues in accordance with the relevant criteria.
Qualitative and quantitative risk factors were considered and
discussed, looking at track-record and forecasts.

The committee's assessment of the key rating factors is reflected
in the Ratings Score Snapshot above.

The chair ensured every voting member was given the opportunity
to articulate his/her opinion. The chair or designee reviewed the
draft report to ensure consistency with the Committee decision.
The views and the decision of the rating committee are summarized
in the above rationale and outlook. The weighting of all rating
factors is described in the methodology used in this rating
action.

  RATINGS LIST
  Downgraded
                                          To           From
  Papua New Guinea
   Transfer & Convertibility Assessment
    Local Currency                        BB-          BB

  Downgraded; CreditWatch/Outlook Action; Ratings Affirmed
                                          To           From
  Papua New Guinea
   Sovereign Credit Rating            B/Stable/B   B+/Negative/B



                             *********

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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