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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, May 12, 2021, Vol. 24, No. 89

                           Headlines



A U S T R A L I A

FIRSTMAC MORTGAGE 2021-2: S&P Assigns BB Rating on Cl. E Notes


C H I N A

AGILE GROUP: S&P Assigns BB- Rating on New Sr. USD Unsecured Notes
CIFI HOLDINGS: S&P Assigns BB- Rating on New USD Unsecured Notes
GUANGXI LIUZHOU: S&P Affirms 'BB' ICR, Outlook Negative
KWG GROUP: Fitch Assigns BB- Rating on Proposed USD Green Sr. Notes
PKU FOUNDER: $11BB Restructuring to be Lead by Ping An Insurance

ZHONGLIANG HOLDINGS: Fitch Rates Proposed 364-day USD Notes 'B+'


I N D I A

AHLUWALIA CONTRACTS: NCLT Appoints IRP to Start Insolvency Process
ANANYA HOSPITAL: ICRA Keeps B+ Debt Ratings in Not Cooperating
CENTURY JOINT: ICRA Withdraws B+ Rating on INR420cr NCD
CLASSIC ENTERPRISES: ICRA Keeps B+ Ratings in Not Cooperating
COX & KINGS: Court Admits Firm for Insolvency Resolution

DUSMER TOOLS: ICRA Keeps C+ Debt Rating in Not Cooperating
DYNAMIC TRANSMISSION: ICRA Keeps B+ Ratings in Not Cooperating
HPCL-MITTAL ENERGY: Fitch Affirms 'BB' LT IDR, Outlook Negative
J MATADEE: ICRA Keeps B+ Debt Ratings in Not Cooperating
MEENA ADVERTISERS: ICRA Keeps B+ Debt Ratings in Not Cooperating

NICOMET INDUSTRIES: ICRA Keeps D Debt Ratings in Not Cooperating
RAM SWITCHGEARS: ICRA Moves D Debt Ratings to Not Cooperating
RMP FARMS: ICRA Keeps B+ Debt Ratings in Not Cooperating
SABARI TEXTILES: ICRA Keeps D Debt Ratings in Not Cooperating
SASPACK VENTURES: ICRA Keeps B Debt Ratings in Not Cooperating

SHAH TECHNICAL: ICRA Lowers Rating on INR20cr LT Loan to B+
SHREE COTEX: ICRA Keeps B+ Debt Ratings in Not Cooperating
SHRENIK MARBLE: ICRA Withdraws B+ Rating on INR4.60cr LT Loan
SHUBH MOTORS: ICRA Keeps B+ Debt Rating in Not Cooperating
SILVER FAB: ICRA Keeps B+ Debt Ratings in Not Cooperating

SION STEELS: ICRA Keeps B+ Debt Rating in Not Cooperating
SIVA SANKAR: ICRA Keeps B+ Debt Rating in Not Cooperating
SPECIALITY POLYMERS: ICRA Keeps D Debt Ratings in Not Cooperating
[*] INDIA: Airlines Under Renewed Pressure to Raise Cash


J A P A N

JAPAN AIRLINES: Logs $2.6 Billion Loss Over Pandemic


M A L A Y S I A

1MDB: Sues Banks to Recover Losses From Corruption Scandal


P H I L I P P I N E S

PHILIPPINE AIRLINES: 19 Lessors of 49 Aircraft Exposed to PAL
[*] PHILIPPINES: Factory Output Fell by More Than 73% in March


T H A I L A N D

THAI AIRWAYS: Finance Ministry Won't Recapitalize Airline
[*] THAILAND: TCC Mulls Scheme to Help Ease SMEs Liquidity Woes
[*] THAILAND: TCT Calls for Financial Support for Tourism Sector

                           - - - - -


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

FIRSTMAC MORTGAGE 2021-2: S&P Assigns BB Rating on Cl. E Notes
--------------------------------------------------------------
S&P Global Ratings assigned ratings to seven of the eight classes
of prime residential mortgage-backed securities (RMBS) issued by
Firstmac Fiduciary Services Pty Ltd. as trustee for Firstmac
Mortgage Funding Trust No. 4 Series 2021-2.

The ratings reflect:

-- S&P's view of the credit risk of the underlying collateral
portfolio, including the fact that this is a closed portfolio,
which means no further loans will be assigned to the trust after
the closing date.

-- S&P views of the credit support, which is sufficient to
withstand the stresses it applies. Credit support for the rated
notes comprises note subordination, excess spread, and lenders'
mortgage insurance on 12.0% of the portfolio.

-- S&P expectation that the various mechanisms to support
liquidity within the transaction, including a liquidity reserve
equal to 1.0% of the outstanding note balance, subject to a floor
of A$2,000,000, and the principal draw function are sufficient to
ensure timely payment of interest.

-- The extraordinary expense reserve of A$150,000, funded from day
one by Firstmac Ltd., available to meet extraordinary expenses. The
reserve will be topped up via excess spread where possible, if
drawn.

-- The fixed- to floating-rate interest-rate swap provided by
Australia and New Zealand Banking Group Ltd. to hedge the mismatch
between receipts from fixed-rate mortgage loans and the
variable-rate RMBS.

S&P Global Ratings believes there remains high, albeit moderating,
uncertainty about the evolution of the coronavirus pandemic and its
economic effects. Vaccine production is ramping up and rollouts are
gathering pace around the world. Widespread immunization, which
will help pave the way for a return to more normal levels of social
and economic activity, looks to be achievable by most developed
economies by the end of the third quarter. However, some emerging
markets may only be able to achieve widespread immunization by
year-end or later. S&P said, "We use these assumptions about
vaccine timing in assessing the economic and credit implications
associated with the pandemic. As the situation evolves, we will
update our assumptions and estimates accordingly."

  Ratings Assigned

  Firstmac Mortgage Funding Trust No. 4 Series 2021-2

  Class A-1, A$1,700.00 million: AAA (sf)
  Class A-2, A$140.00 million: AAA (sf)
  Class A-3, A$60.00 million: AAA (sf)
  Class B, A$45.00 million: AA (sf)
  Class C, A$24.00 million: A (sf)
  Class D, A$12.00 million: BBB (sf)
  Class E, A$9.00 million: BB (sf)
  Class F, A$10.00 million: Not rated

The issuer will not be publicly disclosing all relevant information
about the structured finance instruments that are subject to this
rating report or whether relevant information remains nonpublic.




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

AGILE GROUP: S&P Assigns BB- Rating on New Sr. USD Unsecured Notes
------------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' long-term issue rating to the
proposed U.S. dollar-denominated senior unsecured notes by Agile
Group Holdings Ltd. (BB/Stable/--). The China-based property
developer intends to use the proceeds mainly to refinance its
existing debt. The issue rating is subject to its review of the
final issuance documentation.

S&P said, "We rate the notes one notch below the issuer credit
rating on Agile to reflect structural subordination risk. As of
Dec. 31, 2020, Agile's capital structure consisted of Chinese
renminbi (RMB) 50 billion of secured debt and RMB12.5 billion of
unsecured debt (including financial guarantees for borrowings of
joint ventures and associates) issued by its subsidiaries. This
compares with RMB59.6 billion of unsecured debt issued at the
parent level. As such, the ratio of priority debt to total debt is
about 51.2%, above our 50% threshold for notching down an issue
rating.

"We expect the priority debt ratio to move further beyond our 50%
threshold. That's because incremental senior unsecured debt
issuance, mostly in the form of offshore U.S. dollar debt, is less
likely in the tightened regulatory environment, where quotas are
only approved for refinancing. Therefore, we expect secured debt or
debt at Agile's subsidiaries to grow faster.

"In March 2021, we revised the rating outlook on Agile to stable
from negative. The stable outlook reflects our expectation that
Agile will remain disciplined in land acquisitions and other
capital spending in its nonproperty development segments over the
next 12 months. We also anticipate that the company will steadily
increase revenue recognition with largely stable margins, such that
its debt-to-EBITDA ratio stays at its improved level of below 5x."


CIFI HOLDINGS: S&P Assigns BB- Rating on New USD Unsecured Notes
----------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' long-term issue rating to the
proposed U.S. dollar-denominated senior unsecured notes by CIFI
Holdings (Group) Co. Ltd. (BB/Stable/--). The notes will be issued
in two tranches with tenors ranging from five to seven years, and
the company will use the proceeds mainly for refinancing. The issue
rating is subject to its review of the final issuance
documentation.

S&P rates the proposed notes one notch below the issuer credit
rating on CIFI to reflect subordination risk. As of Dec. 31, 2021,
the company's capital structure consisted of about Chinese renminbi
(RMB) 45.6 billion in secured debt out of its total debt of
RMB122.0 billion, and RMB26.0 billion in subsidiary-level unsecured
debt and guarantees. As a result, the priority debt is about
RMB71.6 billion, and the ratio of priority debt to total debt is
59%, above its 50% threshold for notching down an issue rating.

Meanwhile, the China-based property developer has announced a
tender offer on its outstanding U.S. dollar bonds due in 2023 to
proactively manage its maturity profile.

S&P said, "Our stable outlook on the issuer credit rating on CIFI
reflects our expectation that the company will continue to expand
its sales at a moderate pace, with controlled debt growth. We
forecast CIFI's contracted sales will grow 10%-15% to RMB250
billion–RMB260 billion in 2021, supported by its RMB400 billion
of saleable resources. The company achieved RMB83.2 billion sales
in the first four months of 2021, up 135% year-on-year, from a low
base in 2020 due to the impact of the COVID-19 pandemic."


GUANGXI LIUZHOU: S&P Affirms 'BB' ICR, Outlook Negative
-------------------------------------------------------
S&P Global Ratings affirmed its 'BB' long-term issuer credit rating
on Guangxi Liuzhou Dongcheng Investment and Development Group Co.
Ltd. (LZDC).

The negative outlook on the rating on LZDC reflects S&P's view on
the credit profile of the Liuzhou municipal government over the
next 12 months.

S&P said, "The negative outlook reflects our expectation that
Liuzhou city's debt will keep rising as Liuzhou continues to
increase infrastructure and industrial sector investments. This
would lead to higher spending pressure through Liuzhou city's key
government-related entities (GREs) or through the city government.
This may also lead budgetary performance to be worse than our
base-case scenario.

"We affirmed the rating because, in our view, the Liuzhou city
government should maintain stable deficits by increasing tax
revenues, obtaining more transfer inflows, or cutting expenditures.
Despite Liuzhou's economic growth being below the national level in
2019 and 2020, we expect the city to follow the national rebound
trajectory starting this year and improve its tax revenue and
economic growth. The growth in the economy should be underpinned by
the city's pillar industries and new strategic industries. We
believe Liuzhou can maintain its exceptional liquidity to cover
debt service in the near term, mitigating its high debt burden.

"We see an extremely high likelihood of extraordinary government
support to LZDC."

S&P's view is based on the following factors:

-- Very important role to the government. LZDC is the
second-largest LGFV in the city by asset size, responsible for the
development and urban operation of the Dongcheng new zone. The zone
facilitates automotive manufacturing and high-tech industry
investment in the city. LZDC's role is to deliver the necessary
infrastructure to spur economic growth. Operating asset injection
from the government enhances the company's operating cash flow and
reinforces its strong role to its government owner. S&P believes
the unique role and strategic position of LZDC cannot be easily
replaced by the private sector or other state-owned enterprises
(SOEs).

-- Integral link with the government. LZDC is fully owned by the
city government, which exerts tight control to deliver the
government's policy objectives. The government provides ongoing
financial and policy support to LZDC. This support may come via
asset injections, coordination of major bank relationships to
refinance debt of existing projects, provision of funds to
gradually resolve the hidden debt over a 10-year time frame, and
channeling of land sale proceeds back to the company on a timely
basis. LZDC also joined the investor road show led by the Guangxi
government in September 2020, a further indication of this linkage
and government support.

LZDC will face higher refinancing risks.

S&P expects growing refinancing risks to stem from tightening
control over local government and LGFV debt in 2021, especially
given Liuzhou is considered a less-developed region with a
lower-tier government. Given its sluggish operating cash flow and
negative fund from operations (FFO), LZDC has a strong reliance on
government cash injections from land sale proceeds and favorable
capital markets access to meet its maturing debt obligations and
interest expenses.

While LZDC's 2021 first-quarter average new funding cost rose
slightly to about 7.4% from 2020's average cost of 6.8%, S&P
believes the increase is manageable and is in line with the recent
market conditions and trends. However, the use of finance leases
and other non-standard financing instruments introduces greater
risk to the company's capital structure. These funding channels
could disappear quickly in adverse financing conditions and are
more sensitive to regulatory change.

In S&P's assessment, LZDC's liquidity will remain less than
adequate over the next 12 months.

The company has continued to access the domestic capital markets
despite its funding cost being higher than most of the rated peers.
LZDC faces Chinese renminbi (RMB) 23.8 billion of debt maturity in
2021. Together with its operations and investment expenses, the
issuer's total funding needs could be over RMB32 billion this year.
In the first quarter, the issuer secured more than RMB10 billion of
largely long-term funding from various channels, indicating its
ability to access capital markets remains adequate.

S&P said, "We believe LZDC's liquidity needs are partially
sustained by ongoing government support in the form of unused SOE
banking facilities. As of Dec. 31, 2020, the company had RMB11.1
billion of such facilities. LZDC is in discussions to secure
additional financing from sources other than banks and the bond
market. We believe the company had an edge in those discussions as
a major LGFV of Liuzhou government.

"The negative outlook reflects our view that Liuzhou city's debt
level would keep rising as Liuzhou continues to increase
infrastructure and industrial sector investments, through Liuzhou's
key GREs or through the city government's direct debt. This may
also lead budgetary performance to be worse than our base-case
scenario.

"We continue to expect LZDC to have an extremely high likelihood of
receiving extraordinary support from the municipal government, if
needed, over the next 12 months."

S&P could lower the rating on LZDC if:

-- The credit profile of the Liuzhou government weakens. This
could happen if Liuzhou's debt burden continues to increase at a
fast pace, either through its own direct debt or its key SOEs.
Liuzhou's budgetary performance deteriorating compared with our
baseline scenario because of increased spending, less-than-expected
revenue, or larger contingent liabilities from underperforming GREs
would also indicate a weakening credit profile.

-- S&P said, "The likelihood of extraordinary government support
is lower than we currently assess. This could happen if: (1) the
government's credit profile significantly weakens, impeding its
ability to provide timely and sufficient support to its major GREs;
(2) we assess that there is no clear and robust effective
governance, monitoring, and control over the company; or (3) the
government's strategies and priorities change." Weakened management
control from the government, or LZDC engaging in more commercially
oriented businesses could indicate declining government support and
commitment. Another indicator could be subjecting the company's
core businesses to government procurement processes with other
state-owned or private companies, introducing a level of market
competition.

-- The company's liquidity weakens. This could happen if: (1) LZDC
faces difficulties in refinancing; or (2) its borrowing costs
increase significantly due to deterioration in its banking
relationships or capital market access. S&P may revise downward the
company's stand-alone credit profile and the level of support from
the Liuzhou government if any of these situations occur, reflecting
the government is not providing support in a timely manner.

S&P could revise the outlook to stable if Liuzhou city manages to
contain the pace of debt growth.


KWG GROUP: Fitch Assigns BB- Rating on Proposed USD Green Sr. Notes
-------------------------------------------------------------------
Fitch Ratings has assigned a 'BB-' rating to China-based
homebuilder KWG Group Holdings Limited's (KWG, BB-/Stable) proposed
US dollar green senior notes. The proposed notes are rated at the
same level as KWG's senior unsecured rating because they will
constitute its direct and senior unsecured obligations. KWG intends
to use the net proceeds to refinance debt in accordance with its
Green Finance Framework.

KWG's ratings are supported by its quality land bank,
well-controlled leverage, consistently robust profitability, strong
liquidity and healthy maturity profile. The ratings are constrained
by the small scale of the company's property-development business
in terms of attributable contracted sales and revenue.

KEY RATING DRIVERS

Leverage Under Control: Fitch expects leverage, measured by net
debt/adjusted inventory on a proportionately consolidated basis, to
stay below 45% based on the company's sales prospects and land-bank
replenishment strategy. KWG's leverage on an attributable basis was
around 35% at end-2020. The company increased its cash collection
rate and slowed its land acquisitions. Land replenishment, at 0.5x
contracted sales gross floor area (GFA) in 2020, was slower than
the 1.6x in 2018 and 0.8x in 2019.

Robust Profitability: Fitch expects KWG's EBITDA margin, excluding
capitalised interest, to remain above 30% for the next two years.
Profitability of its development properties has remained strong
through business cycles and is one of the highest among Chinese
homebuilders. Protecting the margin is one of KWG's key objectives
and is achieved by maintaining above-average selling prices (ASP)
through consistently high-quality products.

The company's experienced staff have strong execution capability
and apply strict cost control. Moreover, KWG has a low unit land
cost of no more than 35% of its ASP due to its strong foothold in
Guangzhou, where land prices have not risen as much as in other
Tier one cities.

Small Scale; Weak Churn: KWG's 2020 total pre-sales rose by 20% yoy
to CNY104 billion, but only 62% of total sales were attributable to
the company. KWG's sales target in 2021 of CNY124 billion,
equivalent to an attributable sales scale of around CNY77 billion,
is lower than the over CNY90 billion attributable contracted sales
of 'BB' peers in 2020. KWG's sales efficiency, measured by
attributable contracted sales/gross debt, of 0.8x has improved from
0.6x in 2019.

High Joint-Venture Exposure: KWG had more than 70 joint ventures in
2020, more than the average of 'BB-' peers, although only around
40% of KWG's reported CNY104 billion in total 2020 contracted sales
were consolidated. Joint ventures help reduce KWG's
project-financing costs, lower competition in land bidding and
improve operational efficiency. However, they also limit financial
transparency. KWG provided CNY33 billion in guarantees on its
joint-venture debt as of end-2020, which is high compared with its
consolidated net inventory of CNY65 billion.

Diverse Coverage: KWG's land bank is diversified across China's
Greater Bay Area and the country's east and north. The company had
around 10 million sq m of unsold attributable land in 2020, spread
across 40 cities in mainland China and Hong Kong, with an average
cost of around CNY6,000/sq m. KWG has strong brand recognition in
its core cities, including Guangzhou and Foshan, and 51% of its
sellable resources are located in the Greater Bay Area, where it
has extensive experience and established operations.

DERIVATION SUMMARY

KWG has a similar contracted sales and revenue scale to that of
Times China Holdings Limited (BB-/Stable). Times China's land bank
is less diversified than that of its peers as it is concentrated
mostly in the Greater Bay Area. However, it has a stronger pipeline
in urban-redevelopment projects and is less reliant on public
auctions in new land acquisitions. Therefore, they have similarly
high profit margins. Times China's leverage (defined by net
debt/adjusted inventory) of around 40% is slightly higher than that
of KWG. However, KWG has more joint-venture projects and a lower
consolidation ratio than its peers, which limits its financial
transparency.

KWG maintains one of the highest margins among Chinese homebuilders
throughout the cycle. Its EBITDA margin is comparable with that of
Logan Group Company Limited (BB/Stable) and is higher than that of
some 'BB' peers, including China Aoyuan Group Limited (BB/Stable)
and CIFI Holdings (Group) Co. Ltd. (BB/Stable). However, it has a
smaller attributable contracted sales scale and lower revenue than
these peers.

KEY ASSUMPTIONS

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

-- GFA sold to rise by 1%-5% a year in 2021-2023;

-- ASP to gradually rise each year, reaching more than
    CNY18,500/sq m in 2023 (2020: CNY17,000/sq m);

-- Land acquisition cost to rise 2% a year in 2021-2023;

-- Land acquired GFA is less than 1x of GFA sold in 2021-2023;

-- Cash collection kept at 90% in 2021-2023;

-- Selling, general and administrative expenses at 7%-9% of
    revenue (2020: 5%).

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Attributable contracted sales and revenue scale comparable
    with that of 'BB' rated peers;

-- Net debt/adjusted inventory sustained below 40% (2019: 40%).

Factor that could, individually or collectively, lead to negative
rating action/downgrade:

-- Net debt/adjusted inventory above 50% for a sustained period.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: KWG has established and diversified funding
channels and good relationships with most offshore and onshore
banks. It has strong access to domestic and offshore bond markets.
KWG had available cash of CNY40.6 billion at end-2020, enough to
cover the repayment of CNY25.2 billion in short-term borrowings and
outstanding land premiums. Fitch believes the group maintains
sufficient liquidity to fund development costs, land premium
payments and debt obligations due to its diversified funding
channels, healthy maturity profile and flexible land-acquisition
strategy.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


PKU FOUNDER: $11BB Restructuring to be Lead by Ping An Insurance
----------------------------------------------------------------
Kenji Kawase at Nikkei Asia reports that Ping An Insurance Group
and other investors have agreed to contribute to an $11.3 billion
bankruptcy restructuring package to secure and rejuvenate a
financially troubled corporate empire established by China's top
university.

Peking University Founder Group (PKU Founder), a state-owned
conglomerate founded by the university, has been in a Beijing
court-supervised bankruptcy proceeding since February 2020,
according to Nikkei Asia.

Court-appointed administrators reached an agreement with Ping An
and two municipal governments in the southern province of Guangdong
to lead the restructuring, the report notes.

According to the announcement from Ping An and the administrators,
the New Founder Group will be established based on assets held by
PKU Founder and its four other affiliated companies, the report
relays.  The new company will cover four major business segments:
health care, finance, information technology and education, the
report discloses.

The new company has yet to be formed, and few details are
available.

Ping An Life, a unit of Ping An Group, and Zhuhai Huafa Group, an
investment arm of the Zhuhai Municipal Government in Guangdong
Province, have agreed to acquire at least 73% of the new company,
the report relays.  The proceeds will be used to pay off
creditors.

The creditors will be given a choice of receiving cash, shares in
the new company or a mixture of the two, the report discloses.  If
all creditors demand repayment in cash, the investors will be
required to pay a total of 73.3 billion yuan ($11.3 billion) to the
administrators, in installment, the report relays.  In this
scenario, Ping An would hold 70% of the new company's shares and
Zhuhai Huafa 30%, the report adds.

Shenzhen Shenchao Technology Investment -- a state investment
company controlled by Shenzhen Municipal Government and the
remaining party among the three investors -- is set to acquire 100%
of Founder Microelectronics, an integrated circuit maker under PKU
Founder Group, the report relays.  Why this unit is to be treated
separately and other details regarding this part of the deal have
not been revealed, the report notes.

Ping An, which is investing a maximum of 50.75 billion yuan, said
in its statement that acquiring a majority stake in the new entity
would "further boost its strategic layout in the health care sector
and actively build a health care ecosystem," the report discloses.
It apparently expects synergies with its existing business
portfolio, centered on insurance and the medical business, the
report relays.

The Shenzhen-based company also stressed that taking part in a
high-profile bankruptcy restructuring of a state conglomerate run
by the country's top university, will "further enhance the
company's comprehensive strength and corporate reputation," the
report notes

The deal, however, still requires approval from the banking and
insurance regulator as well as the court, the report notes.  Also,
it is not all clear whether the cash injection from the investors
will meet creditors' needs, the report says.  According to the most
recent data, the aggregate claim by 730 creditors is 249.39 billion
yuan, the report 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.


ZHONGLIANG HOLDINGS: Fitch Rates Proposed 364-day USD Notes 'B+'
----------------------------------------------------------------
Fitch Ratings has assigned China-based homebuilder Zhongliang
Holdings Group Company Limited's (B+/Stable) proposed green 364-day
US-dollar senior notes a 'B+' rating with a Recovery Rating of
'RR4'.

The proposed notes are rated at the same level as Zhongliang's
senior unsecured rating because they will constitute its direct and
senior unsecured obligations. Zhongliang intends to use the net
proceeds to refinance debt, in accordance with its sustainable
finance framework.

Zhongliang's ratings are underpinned by its contracted sales scale,
which is comparable with that of 'BB' category homebuilders. The
group's projects spread across five core economic regions in China,
mitigating regional economic and policy risk. Zhongliang adopts an
ultra-fast-churn model and aims to begin sales soon after acquiring
land, leading to a low net inventory base. This, together with
guarantees to joint ventures (JV) and associates, could increase
the volatility of the company's financial profile and is a
constraint on Zhongliang's ratings.

KEY RATING DRIVERS

Geographically Diversified Homebuilder: Zhongliang's improved
diversification mitigates regional economic and policy shocks. The
company's property projects were located in more than 150 cities
across five core economic regions in China as of 2020. The majority
were in third- and fourth-tier cities, which have weaker demand
fundamentals than higher-tier cities. Zhongliang has responded to
changing market conditions by increasing its presence in
second-tier cities in the past 18 months; 47% of the land it
acquired in 2020 was in tier-two cities.

Strong Growth: Fitch expects a continued rise in attributable
contracted sales, after increasing to CNY102 billion in 2020, from
CNY16 billion in 2016. Zhongliang's standardised operational
procedures, which cover its entire property-development value chain
- including land acquisition, marketing, design and product lines -
have aided its rapid expansion. Its improving land bank quality is
evident from its average selling price of CNY12,500/square metre in
2020, up from CNY10,300/square metre in 2019.

Low Margin, Fast Churn: Fitch expects the EBITDA margin to stay
below 20% in the coming four years. The margin was flat yoy, at 18%
in 2020, which is near the lower-end of peers'. However, the
company has sound capital utilization, aided by the good execution
of its ultra-fast-churn model. Zhongliang enters the pre-sale phase
quickly after land is acquired.

Low Net Inventory: Zhongliang's projects are small and aimed at the
mass market, enabling it to de-stock and achieve positive cash flow
generation within a short period. Internally generated cash flow
supports capital needs for land acquisition and development,
reducing the need for large debt funding. Zhongliang's
higher-than-peer contracted liabilities as a proportion of
inventory results in a low net inventory base against peers,
although, slowing contracted sales could produce swings in
leverage. Still, Zhongliang's gross inventory is in line with that
of higher-rated peers.

Low Leverage, but With Guarantees: Zhongliang's leverage - measured
by net debt/adjusted inventory with proportional consolidation of
JVs and associates - was a low 26% at end-2020. Fitch estimates
that unsold attributable land bank at end-2020 was sufficient for
around three years of development. Zhongliang's leverage level is
managed by balancing fast-churn contracted sales and land
acquisitions.

JV Guarantees: Zhongliang provides guarantees to its JVs and
associates, at CNY12.2 billion in 2020, were large relative to
consolidated net debt of CNY19.7 billion. Fitch assesses Zhongliang
based on proportionate consolidation; however, if Fitch was to
measure leverage based on consolidated net debt and
guarantees/consolidated adjusted leverage, it would have been 59%
at end-2020, higher than that of most 'B+' rated peers. This
difference is due to low net leverage at JVs and associates. Fitch
expects the gap to narrow, as the company plans to slow the growth
of its guarantees.

Minority Shareholders: Zhongliang's total non-controlling interests
in its balance sheet accounted for 64% of total equity at end-2020,
which was higher than that of 'B+' peers. This reflects
Zhongliang's reliance on cash from contracted sales and capital
contributions from non-controlling shareholders, which are mainly
developers, as a source of financing to expand scale. This lowers
its need for debt funding, but creates potential cash leakage,
resulting in lower financial flexibility than homebuilders with
lower non-controlling interests.

DERIVATION SUMMARY

Zhongliang's attributable contracted sales are at the high-end of
the 'B+' peer range in terms of scale. Its land bank is also spread
more widely across China's core economic regions than that of
peers, such as Hong Kong JunFa Property Company Limited
(B+/Stable). However, around 70% of Zhongliang's gross floor area
is in tier three and four cities (55% in terms of saleable value),
which Fitch believes have less resilient demand than first- and
second-tier cities.

Fitch estimates that Zhongliang's unsold attributable land bank at
end-2020 was equivalent to around three years of gross floor area
sold - longer than that of fast-churn peers, such as Zhenro
Properties Group Limited (B+/Stable) - with a land bank life of
around two years. Zhongliang's attributable contracted sales are
20% below that of CIFI Holdings (Group) Co. Ltd. (BB/Stable), but
net inventory is only 49% of that of CIFI. This narrows its
headroom to weather the business cycle and explains its two-notch
lower rating.

Zhongliang's land bank penetration is comparable with that of
Guangzhou R&F Properties Co. Ltd. (B+/Stable), which has a much
longer operating history. Zhongliang has higher consolidated
leverage, including guarantees to JVs and associates, but a
stronger cash/short-term debt ratio. Zhongliang's churn rate is
higher, but its EBITDA margin is lower. Zhongliang has higher
non-controlling interests as a percentage of total equity,
reflecting its greater reliance on minority shareholders for
funding.

Zhongliang's fast-churn model resulted in a contracted sales/total
debt ratio of 1.9x in 2020, one of the highest among Fitch-rated
Chinese homebuilders. Its EBITDA margin is at the lower end of 'B+'
rated peers and it has minimal investment-property interest
coverage. The company's 2019 IPO on the Hong Kong stock exchange
enhanced its financial transparency, leading to better regulatory
oversight compared with unlisted 'B+' peers, such as Helenbergh
China Holdings Limited (B+/Stable) and JunFa.

Zhongliang's proportionately consolidated leverage is lower than
that of peers, but guarantees to JVs and associates are large
relative to consolidated net debt and constrain its ratings.

KEY ASSUMPTIONS

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

-- Land bank life of more than 2.5 years till 2024;

-- Gross floor area acquired is 0.7x-1.0x of gross floor area
    sold in 2021-2024;

-- Average selling price rising by 2% a year on average in 2021
    2024;

-- Attributable contracted sales rising by 3% a year on average
    in 2021-2024;

-- Construction costs kept at 40% of sales proceeds in 2021-2024
    (2020: 45%);

-- Selling, general and administrative expenses at 5% of
    contracted sales in 2021-2024 (2020: 4.4%).

Key Recovery Rating Assumptions

-- Zhongliang to be liquidated in a bankruptcy, as it is an
    asset-trading company;

-- 10% administration claim;

-- 70% advance rate to accounts receivable;

-- 60% advance rate to adjusted net inventory of Zhongliang and
    its JVs. Applied a 20% discount to customer deposits when
    calculating adjusted net inventory to reflect the around 20%
    gross profit margin. For JV-adjusted net inventory, we
    calculate investment in JVs + amount due from JVs - amount due
    to JVs;

-- 20% advance rate to investment properties;

-- 60% advance rate to net property, plant and equipment;

-- 100% advance rate to restricted cash;

-- 0% advance rate to cash.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Proportionate consolidated leverage sustained below 40%
    without a large increase in guarantees to debts of JVs and
    associates.

-- Available cash/short-term debt sustained above 0.8x.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Proportionate consolidated leverage above 40% for a sustained
    period.

-- Large increase in guarantees to debts of JVs and associates.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: Zhongliang's short-term debt amounted to
CNY23.8 billion, or 44% of total debt, at end-2020. Liquidity, as
measured by available cash/short-term debt, was 1.1x. Total cash of
CNY34 billion, after taking into account restricted cash, was
enough to cover short-term debt by a multiple of 1.4x at end-2020.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.




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

AHLUWALIA CONTRACTS: NCLT Appoints IRP to Start Insolvency Process
------------------------------------------------------------------
Rajesh Kurup at The Hindu Business Line reports that the National
Company Law Tribunal's (NCLT) Delhi bench has appointed an Interim
Resolution Professional (IRP) to start a Corporate Insolvency
Resolution Process (CIRP) against Ahluwalia Contracts (India) Ltd.

This follows a prayer moved by New Delhi-based A2 Interiors
Products Pvt Ltd, alleging pending payments of INR14.10 crore for
various civil and electrical works done for the Ahluwalia
Contracts, a civil contractor in the construction industry, The
Hindu Business Line notes.  

The operational creditor (A2 Interiors Products) had submitted
before the tribunal that the works were for performing interior,
furnishing and allied civil and electrical works at various project
sites, The Hindu Business Line relates.

A2 Interiors, as cited by The Hindu Business Line, said in filing
in 2019 the corporate debtor has failed and refused to clear the
pending dues, despite having admitted the same on several
occasions.

In its May 5 order, NCLT has appointed Satish Kumar Chugh as the
IRP and also directed A2 Interiors Products to deposit INR2 lakh
with the IRP, The Hindu Business Line discloses.

"The application was filed under section 9 of the Insolvency and
Bankruptcy Code, 2016, which stated that a firm can move bankruptcy
proceedings if the debtor owes more than INR1 lakh. Later in 2020,
this was increased to about INR1 crore," The Hindu Business Line
quotes Mohit Chaudhary, Managing Partner at law firm Kings and
Alliance LLP as saying, who is also the legal advisor to A2
Interiors Products.

On its part, Ahluwalia Contracts (the corporate debtor) raised many
objections stating that the petition was "not maintainable".  These
included grounds that the works were of different work orders --
different service in nature and each contract gives rise to
separate alleged debt -- and cannot be claimed under one single
application, according to The Hindu Business Line.

Further, clubbing different work orders under a single cause of
action is not permissible under the law, it said, adding that
certain facts and documents have been concealed by the "applicant",
The Hindu Business Line relates.  It also added that the applicant
did not disclose all work orders executed between the parties
thereby adopting pick and choose technique, and also mentioned
about pre-existing dispute between the parties, The Hindu Business
Line notes.


ANANYA HOSPITAL: ICRA Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Ananya
Hospital Private Limited (AHPL) in the 'Issuer Not Cooperating'
category. The ratings are denoted as "[ICRA]B+(Stable) ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term            0.50       [ICRA]B+ (Stable) ISSUER NOT
   Cash Credit                     COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Long Term            3.73       [ICRA]B+ (Stable) ISSUER NOT
   Unallocated                     COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Ananya Hospital Private Limited (AHPL) was set up in 2000 as a
partnership firm by Dr. M J Rajashekar and was reconstituted as a
private limited company in 2005. The company started with a
multi-specialty hospital in Bangalore under the name Ananya
Hospital which is a 53-bed facility including 3 operation theaters,
6 ICUs and offers services across specialties such as general
medicine, orthopedic, pediatric, urology, ear-nose-throat (ENT) and
gynecology, amongst others. In 2008, AHPL took over Shanbhag
Hospital which operates with a capacity of 52 beds including 2
operation theaters and 8 ICUs. Shanbhag hospital has been
operational since 1990 and is located in Basaveshwara Nagar,
Bangalore. This hospital generates majority of its revenue from
gynecology and pediatrics. Both the hospitals have inhouse
pharmacies.

CENTURY JOINT: ICRA Withdraws B+ Rating on INR420cr NCD
-------------------------------------------------------
ICRA has withdrawn the ratings assigned to the bank facilities of
Century Joint Developments Pvt Ltd at the request of the company
and based on the No Due Certificate received from its banker.
However, ICRA does not have information to suggest that the credit
risk has changed since the time the rating was last reviewed. The
Key Rating Drivers, Liquidity Position, Rating Sensitivities, Key
financial indicators have not been captured as the rated
instruments are being withdrawn.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Non-convertible      420        [ICRA]B+ (stable): ISSUER NOT
   Debentures                      COOPERATING; Withdrawn

Century Joint Developments Private Limited (CJDPL) is a part of the
Century Group that was founded in 1973 by the brothers, Dr.
Dayananda Pai and Mr. Satish Pai. The group was initially focused
on aggregation and selling of land, and subsequently moved on to
plotted developments and partnering in joint development projects,
before finally entering into construction and development of
residential projects. The group has a development portfolio of over
5.5 million sq. ft., apart from 15.0 million sq. ft. in the
pipeline, with a land bank in excess of 3,000 acres. CJDPL was
established in 2010 as a 100% subsidiary of Century Real Estate
Holdings Private Limited, the holding company of the group, to
undertake development of small scale residential projects.

CLASSIC ENTERPRISES: ICRA Keeps B+ Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Classic
Enterprises Limited in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]B+(Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term           5.00        [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Cash Credit                     to remain under 'Issuer Not
                                   Cooperating' category

   Long Term           8.50        [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Cash Credit                     to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

Classic Enterprises Ltd is a closely held public limited company
promoted by Daga Group. The company started its extrusion facility
at Bhiwadi, Rajasthan in the year 1998. Company manufactures
Polypropylene Corrugated Sheets and also its fabricated products
under one roof. Apart from sheets the company also carry out value
addition activity with these sheets such as returnable packaging
(Made of order Bins, boxes, handling system etc.). Company markets
its products in India as well as export to various countries such
as Australia, New Zealand, UAE, Saudi Arabia and Japan.

COX & KINGS: Court Admits Firm for Insolvency Resolution
--------------------------------------------------------
Economic Times reports that the dedicated bankruptcy court has
admitted the insolvency petition against Cox & Kings Financial
Services Limited (CKFSL) and appointed Pardeep Kumar Sethi as
interim resolution professional (IRP) for the company.

YES Bank had approached the Mumbai bench of the National Company
Law Tribunal (NCLT) after the company defaulted on its dues of over
Rs445 crore, according to Economic Times.

This is the second listed firm promoted by Ajay Kerkar to be
admitted under the Corporate Insolvency Resolution Process (CIRP)
since the flagship firm and travel company Cox & Kings Ltd is also
going through an insolvency resolution process, the report notes.

In this case, YES Bank had sanctioned a working capital loan of Rs
350 crore and an additional cash credit facility of Rs 50 crore in
October 2018 and March 2019 respectively, where the company's
promoters Ajay Kerkar and Urmila Kerkar, had given a personal
guarantee in favour of the lender, the report relays.

Economic Times discloses that Cox & Kings Financial Services
defaulted on August 1, 2019, for the payment of Rs 445.51 crore,
which included working capital demand loan, cash credit facility
and interest.

"On December 11, 2019, the petitioner (YES Bank) sent an invocation
of personal guarantee notice to Ajay Kerkar and Urmila Kerkar.
Despite the receipt of the guarantee invocation notice, no payment
was made to the petitioner," said the tribunal in its 13-page
order, the report notes.

The company argued in the tribunal that it shares a common office
with Cox & Kings Ltd, another group company, against whom the CIRP
process started in November 2020 and its resolution professional
has denied access to the company for other documents as well, the
report says.

Cox & Kings Financial Services was demerged from the parent company
Cox & Kings Ltd in 2018.  The company is primarily in the business
of foreign exchange.

"Having admitted the petition/application, the provisions of the
moratorium as prescribed under Section 14 of the code shall be
operative henceforth with effect from the date of order and shall
be applicable by prohibiting institution of any suit before a court
of law, transferring/encumbering any of the assets of the debtor. .
. . " said the tribunal presided over by a judicial member Janab
Mohammed Ajmal and a technical member Chandra Bhan Singh in its
13-page order of May 7, the report relays.

In October 2019, NCLT admitted a plea filed by Rattan India Finance
to initiate CIRP against the flagship company Cox & Kings Ltd, the
report recalls.   As per the company's website, the admitted
financial claims against the company is over Rs 5,838 crore, the
report adds.

As reported in the Troubled Company Reporter-Asia Pacific on Nov.
1, 2019, BloombergQuint said the Mumbai bench of the National
Company Law Tribunal (NCLT) admitted an insolvency application
against Cox & Kings Ltd. after the tour operator defaulted on its
debt obligations.  The travel firm's financial creditor -- Ratan
India Finance Pvt. Ltd. -- had dragged it to the tribunal after a
default on repayment of the loan extended to it under a credit
facility.  Noting that Cox & Kings had accepted the liability and
default, the tribunal allowed the insolvency application and
appointed Alok Kumar Agarwal as the interim resolution professional
for the insolvency resolution process of the company,
BloombergQuint added.


DUSMER TOOLS: ICRA Keeps C+ Debt Rating in Not Cooperating
----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Dusmer
Tools Pvt. Ltd. in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA] C+/[ICRA] A4 ISSUER NOT COOPERATING".

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Fund based         3.00       [ICRA]C+ ISSUER NOT COOPERATING;
   Limit                         Rating continues to remain under
                                 'Issuer Not Cooperating'
                                 Category

   Non-fund           3.00       [ICRA]A4 ISSUER NOT
   based Limit                   COOPERATING; Rating continues to
                                 remain under 'Issuer Not
                                 Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Incorporated in 1991, Dusmer Tools Private Limited (DTPL) is
promoted by the Kolkata-based Chakravarti family. It is involved in
assembling of tyre dismantling machines and trading of hydraulic
torque wrenches, laser proximity warning systems and portable oil
filtration machines. It started with a dealership of Hytorc, U.S.
for selling hydraulic torque wrench to mining
companies, oil companies, Indian Railways, etc. Over the years, the
company has diversified its product line and has started assembling
and trading of various products.

DYNAMIC TRANSMISSION: ICRA Keeps B+ Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Dynamic
Transmission Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA] B+(Stable); ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term            6.09       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Limits                          to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated          1.91       [ICRA] B+(Stable); ISSUER NOT
   Limits                          COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

DTL was incorporated in April 1988. It manufactures and supplies
high precision automotive and engineering components to OEMs. The
company's day-to-day operations are managed by Mr Anshul Kumar,
with the support from other directors. DTL manufactures engine and
transmission gears, precision machined auto parts, cold forged
studs and hot-machined components for the automobile industry,
covering four-wheelers, two-wheelers, commercial heavy vehicles,
industrial product  manufacturers and consumer durable
manufacturers. DTL currently has manufacturing facilities in
Manesar (Haryana), Rohtak (Haryana), Uddham Singh Nagar
(Uttarakhand) and Aurangabad (Maharashtra).

HPCL-MITTAL ENERGY: Fitch Affirms 'BB' LT IDR, Outlook Negative
---------------------------------------------------------------
Fitch Ratings has affirmed India-based HPCL-Mittal Energy Limited's
(HMEL) Long-Term Issuer Default Rating (IDR) at 'BB'. The Outlook
remains Negative. The agency has also affirmed the ratings on the
company's US dollar senior unsecured notes at 'BB-'.

The Negative Outlook reflects the risk of a potential weakening in
HMEL's Standalone Credit Profile (SCP) of 'b+', which could lead to
an IDR downgrade, if its deleveraging is slower than Fitch expects.
Deleveraging may be hampered by delays in stabilising operations at
the upcoming petrochemical (petchem) plant and the earnings
contribution from the project, or prolonged weakness in refining
margins.

HMEL's IDR benefits from a two-notch uplift from its SCP, based on
Fitch's assessment of moderate linkages with parent Hindustan
Petroleum Corporation Limited (HPCL, BBB-/Negative, SCP: bb) in
line with Fitch's Parent and Subsidiary Linkage Rating Criteria.
Fitch will cap HMEL's IDR at HPCL's SCP should the former's SCP
improve as Fitch does not believe HPCL's parent will extend support
to HMEL.

HMEL's SCP reflects the robust operations of its refinery, which
has a high Nelson complexity index (NCI) of 12.6, leading to higher
refining margins against regional benchmarks. The SCP also reflects
HMEL's presence in India, a strong growth market, and potential
diversification benefits from the new petchem plant. The benefits
are counterbalanced by its exposure to the cyclical industry
through a single inland location with high working capital
requirements, and Fitch's expectations of high leverage.

KEY RATING DRIVERS

Risks from Coronavirus Resurgence: Fitch expects HMEL's refinery
utilisation rate to fall a little below 100% in the first half of
the financial year ending March 2022 (1HFY22), due to decreased
demand following a recent surge in coronavirus cases and localised
lockdowns. Utilisation should return to normal levels of 110%
during 2HFY22 as mobility restrictions are eased. HMEL's sales are
supported by its off-taker HPCL, which generally markets 8
million-10 million tonnes of products above their combined output.
This minimises the risk of production cuts if demand falls.

HMEL's sales are also supported by its strong market position in
north India, where it is the sole refiner supplying HPCL. Fitch
expects the impact of the pandemic's second wave on fuel demand to
be less severe than in 2020 given the more localised and less
severe nature of current lockdowns. HMEL's refining utilisation
rates fell to 91% in 1HFY21 at the peak of the first wave.

Gradual Recovery in Refining Margins: Fitch expects HMEL's gross
refining margins (GRMs) to rise to USD10 per barrel in FY22 from
USD7.2 in FY21, bringing GRMs closer to the USD10.6 of FY20 and
USD11.8 in FY19. This is supported by the ongoing recovery in light
distillate spreads like naphtha and petrol. Strong polypropylene
spreads also help. Fitch also expects the spreads for middle
distillates like diesel to continue to widen as transportation and
industrial demand gradually improve in parts of Asia due to easing
movement restrictions as vaccines are rolled out.

Large Capex Near Completion: Fitch expects HMEL to commission its
petchem plant by 4QFY22, as 97% of the physical plant was completed
as of FYE21. The main cracker unit was hooked up with the refinery
during a 37-day planned shutdown in 4QFY21. Nearly 77% of the total
project cost of INR212 billion (including equity, debt and
suppliers' credit) has been spent as of FYE21. Fitch expect HMEL's
capex to fall to below INR25 billion in FY23 as this capex is
completed.

Petchem to Support Earnings: Fitch expects HMEL's new petchem plant
(annual capacity of 1.2 million tonnes) to contribute USD240
million in EBITDA (including GST benefit) in FY23 and USD400
million in FY24 as the plant gradually ramps up and demand stays
strong for polyethylene and polypropylene (PP) products. Fitch's
estimates reflect only a gradual stabilisation of the plant as
testing of its various units is still pending and its ability to
consistently deliver products of desired quality is still unproven.
HMEL expects a much faster stabilisation, and USD400 million of
EBITDA contribution in FY23.

High Leverage: Fitch expects HMEL's net leverage, defined by net
debt/EBITDA, to have risen sharply to 18x by FYE21 (FYE20: 9.3x) as
peak capex for the petchem project and a planned shutdown during
the year coincided with weak refining profits. Fitch expects
leverage to improve to a level commensurate with the SCP from FY23
(9.6x at FYE22 and 5.0x at FYE23) backed by a gradual recovery in
refining margins and petchem EBITDA contribution, although there
remain risks to the deleveraging pace. Fitch's net debt includes
INR33 billion of receivables factoring and long-term suppliers'
credit as of FYE21.

Strong Linkage with Parent: HMEL's rating benefits from its strong
strategic and moderate operational linkages with HPCL. HPCL's
agreement to buy all of HMEL's liquid products, except naphtha, is
valid until 2026 - with an option to extend it for two more terms
of five years each. This agreement accounted for about 90% of
HMEL's output by value. HMEL makes up 26% of HPCL's refining
capacity after its refinery expansion.

Bond Ratings Notched Down: Fitch has rated HMEL's USD300 million
5.45% senior unsecured bond due 2026 and USD375 million 5.25%
senior unsecured notes due 2027 one notch below its IDR due to a
high proportion of secured debt (around 80%) in its capital
structure. Fitch expects secured debt/EBITDA to stay well above 3x
over the medium term, as borrowing for its petrochemical expansion
is mostly on a secured basis.

DERIVATION SUMMARY

HMEL's IDR includes a two-notch uplift from its SCP for its overall
moderate linkages with HPCL. HMEL's output is sold entirely to HPCL
and it is strategically important to the parent as it makes up 26%
of HPCL's refining capacity after expansion, gives HPCL exposure to
the north Indian market and will add to HPCL's diversification in
petchem from FY22.

PT Saka Energi Indonesia's (Saka, B+/Negative) IDR also benefits
from a two-notch uplift from its SCP of 'b-' for its overall
moderate linkages with parent PT Perusahaan Gas Negara Tbk (PGN,
BBB-/Stable) due to the significant reputational risks for PGN
given the presence of a cross-default provision between PGN and
Saka, although Saka's position within PGN's structure remains
uncertain.

HMEL's SCP of 'b+' is two notches lower than HPCL, which is one of
India's largest fuel-marketing companies, with around 11% of
India's refining capacity and 24% market share in fuel retail
outlets, and a better financial profile than HMEL.

HMEL's SCP is two notches higher than KMG International NV's (KMGI,
B+/Stable) SCP of 'b-'. KMGI only has half the refining capacity of
HMEL, a lower NCI score and higher expected negative free cash
flows over the next few years.

KEY ASSUMPTIONS

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

-- Brent crude oil prices of USD57 a barrel in FY22 and USD53 a
    barrel from FY23;

-- GRMs to improve to USD10 per barrel in FY22 and USD12 in FY23,
    supported by a gradual demand recovery and improving product
    spreads;

-- Refinery throughput of 11.75 million metric tonnes per annum
    (mmtpa) in FY22 and 12.3 mmtpa from FY23;

-- Capex of INR52 billion in FY21, INR28 billion in FY22 and
    INR22 billion in FY23.

RATING SENSITIVITIES

Factor that could, individually or collectively, lead to positive
rating action/upgrade:

-- The Outlook is Negative and Fitch therefore does not expect
    positive rating action. However, a decrease in HMEL's net
    leverage to below 6.0x for a sustained period may lead to a
    revision in the Outlook to Stable, provided linkages with HPCL
    remain intact.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Weakening of linkages between HPCL and HMEL

-- Increase in HMEL's net leverage to over 6.0x for a prolonged
    period may lead to a downward revision of its SCP, and
    consequently a downgrade of its IDR because HMEL will not
    benefit from any additional rating uplift due to its ties with
    HPCL under Fitch's criteria.

-- Weakening of HPCL's SCP, provided the linkages remain intact.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Comfortable Liquidity: HMEL's liquidity is comfortable, with a cash
balance of around INR10 billion, petchem capex related undrawn
committed facilities of INR38 billion, and undrawn secured
working-capital facilities of INR74 billion at end-March 2021,
against INR3.5 billion of debt maturing in FY22. In addition, HMEL
has good access to the domestic debt market, where it has strong
relationships with Indian banks, and the offshore market, where it
raised US dollar bonds in 2017 and 2019.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


J MATADEE: ICRA Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------
ICRA has retained the ratings for the bank facilities of J Matadee
Free Trade Zone Private Limited in the 'Issuer Not Cooperating'
category. The ratings are denoted as "[ICRA]B+(Stable) ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term           16.00       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

J Matadee Free Trade Zone Private Limited (JMFTZL), incorporated in
2005 by Mr. Sunil Rallan, is primarily engaged in developing a Free
Trade Warehouse Zone (FTWZ) near Chennai. Mr. Sunil Rallan has been
primarily dealing in leather exports over the last 25 years and has
carried out trading in leather goods from an FTWZ in China. After
experiencing the free trade zone as an occupant, the promoter
decided to develop a similar FTWZ in Chennai (Tamil Nadu).

MEENA ADVERTISERS: ICRA Keeps B+ Debt Ratings in Not Cooperating
----------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Meena
Advertisers in the 'Issuer Not Cooperating' category. The ratings
are denoted as "[ICRA]B+(Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term            8.00       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Long Term            2.00       [ICRA]B+ (Stable) ISSUER NOT
   Unallocated                     COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Incorporated in 1980, Meena Advertisers is engaged in providing
advertisement spaces in airports and railway stations. Based in
Chennai, the entity has its marketing offices in Mumbai, Jaipur,
Mangalore and New Delhi. Meena Advertisers is a proprietorship
firm, promoted by Mr. V Krishnamurthy.

NICOMET INDUSTRIES: ICRA Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Nicomet
Industries Limited in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING".

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long-Term         144.76      [ICRA]D ISSUER NOT COOPERATING;
   Fund Based                    Rating continues to remain
                                 under 'Issuer Not Cooperating'
                                 category

   Long-Term &         5.24      [ICRA]D ISSUER NOT COOPERATING;
   Short Term                    Rating continues to remain
   Unallocated                   under 'Issuer Not Cooperating'
   Amount                        category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

Nicomet Industries Limited is a closely held limited company,
originally incorporated in 1993 as a private limited company under
the name 'Metec International Pvt. Ltd.  The company commenced its
operations in 1997. Currently, it is being managed  by Rajendra
Agrawal, Mr. Ankit Agrawal & Mr. Atul Agrawal. The company is
engaged in manufacturing of Nickel, Cobalt metals and other related
products like Nickel Sulphate, Nickel Nitrate and Cobalt Sulphate.
The company has its registered office in Mumbai and a manufacturing
facility at Goa.

RAM SWITCHGEARS: ICRA Moves D Debt Ratings to Not Cooperating
-------------------------------------------------------------
ICRA has moved the ratings for the bank facilities of Shri Ram
Switchgears Limited to 'Issuer Not Cooperating' category. The
ratings are denoted as "[ICRA]D ISSUER NOT COOPERATING".

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Fund-based–       17.00       [ICRA]D ISSUER NOT COOPERATING;
   Cash Credit                   Rating moved to 'Issuer Not
                                 Cooperating' category

   Non-Fund-based-   32.00       [ICRA]D ISSUER NOT COOPERATING;
   Bank Guarantee                Rating moved to 'Issuer Not
                                 Cooperating' category

The rating is based on limited cooperation from the entity since
the time it was last rated in January 2021. As part of its process
and in accordance with its rating agreement with Shri Ram
Switchgears Limited, ICRA has been sending repeated reminders to
the entity for payment of surveillance fee that became due.
However, despite multiple requests by ICRA, the entity's management
has remained non-cooperative. In the absence of requisite
cooperation and in line with SEBI's Circular No.
SEBI/HO/MIRSD4/CIR/2016/119, dated November 1, 2016, the company's
rating has been moved to the "Issuer Not Cooperating" category. The
rating action has been taken in accordance with ICRA's policy in
respect of non-cooperation by a rated entity available at
www.icra.in.

Shri Ram Switchgears Limited (SRSL), promoted by the Jhalani family
of Ratlam (Madhya Pradesh) since 1985, manufactures electrical
items such as distribution transformers, switchgear, meter boxes,
feeder pillars, distribution boxes, and junction boxes used in the
distribution of power and also undertake erection, installation,
and operation and maintenance of these items for its customers. Its
manufacturing units are located in Ratlam. Customer profile mainly
consists of power discoms in Madhya Pradesh and Mumbai. The
contracts are primarily secured through biding for tenders floated
by the discoms.

RMP FARMS: ICRA Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Rmp Farms
in the 'Issuer Not Cooperating' category. The ratings are denoted
as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term           16.40       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Cash Credit                     to remain under 'Issuer Not
                                   Cooperating' category

   Long Term            3.60       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Cash Credit                     to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

RMP Farms is a mid-size poultry integrator with the presence of
feed mill, parent breeding farm, hatcheries and commercial rearing.
The firm has its feed mill, parent breeding facilities and
hatcheries located in Palladam, Tamil Nadu. In 2014, the firm had
additionally commenced a pellet feed mill in Bihar. The firm
primarily utilizes maize, soya meal, fish oil, fish meal. Maize
is obtained from Karnataka, while soya meal is obtained from
Maharashtra and Fish meal from Tuticorin. Apart from the poultry
operations, the Firm had installed two windmills of 250 kW each to
reduce power costs.

SABARI TEXTILES: ICRA Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Sabari
Textiles Private Limited in the 'Issuer Not Cooperating' category.
The ratings are denoted as "[ICRA]D/[ICRA]D ISSUER NOT
COOPERATING.

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long-term–         12.47      [ICRA]D ISSUER NOT COOPERATING;
   Fund Based                    Rating continues to remain under
   Term Loans                    the 'Issuer Not Cooperating'
                                 category

   Long Term–          3.83      [ICRA]D ISSUER NOT COOPERATING;
   Fund Based                    Rating continues to remain under
   Limits                        the 'Issuer Not Cooperating'
                                 category

   Short Term–         0.70      [ICRA]D ISSUER NOT COOPERATING;
   Non Fund                      Rating continues to remain under
   Based Limits                  the 'Issuer Not Cooperating'
                                 category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

Sabari Textiles Private Limited, incorporated in November 2006, has
its manufacturing facilities located in Coimbatore (Tamil Nadu).
The Company is engaged in manufacturing of blended yarn in its unit
located in the Coimbatore district.

SASPACK VENTURES: ICRA Keeps B Debt Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Saspack
Ventures Pvt Ltd. in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term           5.00        [ICRA]B (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   CC                              to remain under 'Issuer Not
                                   Cooperating' category

   Long Term           8.40        [ICRA]B (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   TL                              to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Incorporated in 2017, the Pune based Saspack Ventures Private
Limited is involved in manufacture of rigid paper board which has
applications across multiple industries. The 15,000 MTPA (to be
increased to 25,000 MTPA till September 2019) manufacturing unit is
located in Kolhapur district of Maharashtra. The company has
recently acquired the 25,000 MTPA paper unit of Kolhapur based Shri
Tatyasaheb Kore Warana Sahakari Sakhar Kakhana Limited on lease for
manufacture of base paper, the key input to the paper board
manufacture. The company markets the paper board under the brand
'Lotus Board'.

SHAH TECHNICAL: ICRA Lowers Rating on INR20cr LT Loan to B+
-----------------------------------------------------------
ICRA has revised the ratings on certain bank facilities of Shah
Technical Consultants (P) Ltd., as:

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term fund       5.50       [ICRA]B+ (Stable) ISSUER NOT
   based bank                      COOPERATING; Rating downgraded
   facilities                      from [ICRA]BB+(Stable) and
                                   Rating Continues to remain
                                   under Issuer not cooperating
                                   category

   Long-term non-       20.00      [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating downgraded
   bank facilities                 from [ICRA]BB+(Stable) and
                                   Rating Continues to remain
                                   under Issuer not cooperating
                                   category

Rationale

The rating downgrade is because of lack of adequate information
regarding Shah Technical Consultants Private Limited's performance
and hence the uncertainty around its credit risk. ICRA assesses
whether the information available about the entity is commensurate
with its rating and reviews the same as per its "Policy in respect
of non-cooperation by a rated entity" available at www.icra.in.

The lenders, investors and other market participants are thus
advised to exercise appropriate caution while using this rating as
the rating may not adequately reflect the credit risk profile of
the entity, despite the downgrade. As part of its process and in
accordance with its rating agreement with Shah Technical
Consultants Private Limited, ICRA has been trying to seek
information from the entity so as to monitor its performance, but
despite repeated requests by ICRA, the entity's management has
remained non-cooperative. In the absence of requisite information
and in line with the aforesaid policy of ICRA, a rating view has
been taken on the entity based on the best available information.

Shah Technical Consultants (P) Ltd. was established in the year
1976 by Mr. Mahavir Shivlal Shah (1933-1988) with the objective of
providing professional services in the field of urban
Infrastructure. Mr. Shah had previous experience of) working with
major American consulting firms in the USA before returning to
India to set up STC. Mr. Shah was also one of the founder members
of the Indian Water Works Association. Currently the company is
managed by the Shah family. STC is an ISO 9001 certified company
and in addition to its head office in Mumbai has offices in 6 other
Indian cities. The company's main area of expertise in design and
project management consulting for water works and sewerage
relatedwork. The typical project duration ranges from 4-5 years.

SHREE COTEX: ICRA Keeps B+ Debt Ratings in Not Cooperating
----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Shree
Cotex in the 'Issuer Not Cooperating' category. The rating is
denoted as "[ICRA] B+(Stable); ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Term Loan            0.41       [ICRA] B+(Stable); ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Cash Credit          7.00       [ICRA] B+(Stable); ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated          1.69       [ICRA] B+(Stable); ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Established in 2013 as a partnership firm, Shree Cotex (SC) is
involved in the business of ginning and pressing of raw cotton
toproduce cotton bales and cottonseeds. SC's manufacturing
facility, located at Rajkot in Gujarat, is equipped with 36 ginning
machines, 1 pressing machine with an installed capacity of 13,759
MT per annum. The firm commenced operations on July 2014. The
partners of the firm have extensive experience in the cotton
industry.

SHRENIK MARBLE: ICRA Withdraws B+ Rating on INR4.60cr LT Loan
-------------------------------------------------------------
ICRA has withdrawn the ratings on certain bank facilities of
Shrenik Marble Private Limited (SMPL), as:

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term
   Fund-based            4.60      [ICRA]B+(Stable); ISSUER NOT
                                   COOPERATING; Withdrawn

   Short-term
   Non-fund based        5.00      [ICRA]A4; ISSUER NOT
                                   COOPERATING; Withdrawn

Rationale

The Issuer rating assigned to SMPL have been withdrawn at the
request of the company, and in accordance with ICRA's policy on
withdrawal and suspension. ICRA is withdrawing the rating and it
does not have information to suggest that the credit risk has
changed since the time the ratings were last reviewed.

The key rating drivers, liquidity position, rating sensitivities
and key financial indicators have not been captured as the rated
instruments are being withdrawn.

Incorporated in 1990, SMPL is primarily involved in the mining and
processing of marble with a processing capacity of 2.5-3.0 million
sq. ft. for imported marble blocks and around 10-12 million sq. ft.
for indigenous varieties. The company processes about 1.5 million
sq. ft. of imported marble blocks. The marble slab-processing unit
is situated at Kishangarh, Rajasthan and has three gang saws.

SHUBH MOTORS: ICRA Keeps B+ Debt Rating in Not Cooperating
----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Shubh
Motors Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA] B+(Stable); ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term           30.00       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Cash Credit                     to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

SMPL was incorporated in 2003 and is an authorized dealer of MSIL
for passenger cars. SMPL is engaged in the sale of new vehicles,
old vehicles, sale of spares, servicing, running a driving school,
etc. It currently runs eight showrooms and seven workshops in
Madhya Pradesh. The showrooms have the facility of workshop, true
value (for old cars), sale of spares and servicing. The company
sells entirely to the retail customers however in rare cases also
sells to sub-dealers. Earlier, the Khatwani family and Kemtani
family had equal share in SMPL. However, the Khatwani family sold
their entire stake in SMPL during March 2013 to the Kemtani family,
and at present, SMPL is managed by the Kemtani family.

SILVER FAB: ICRA Keeps B+ Debt Ratings in Not Cooperating
---------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Silver Fab
Suiting Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA] B+(Stable); ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Fund Based           0.56       [ICRA]B+ (Stable) ISSUER NOT
   Limits/Term                     COOPERATING; Rating continues
   Loan                            to remain under 'Issuer Not
                                   Cooperating' category

   Fund Based           8.50       [ICRA]B+ (Stable) ISSUER NOT
   Limits/Cash                     COOPERATING; Rating continues
   Credit                          to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated          0.42       [ICRA]B+ (Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Silver Fab Suitings Private Limited (SFSPL) was incorporated in
2003 and is promoted by Mr. Sampat Lal Chordia along with his
friends and relatives. Earlier the promoters were running a
partnership concern by the name of Silver Fab and Sunshine. Based
in Bhilwara, Rajasthan SFSPL is engaged in manufacturing of cotton
and synthetic fabrics for suiting and shirting. The two
manufacturing units of the company are located in the RIICO
(Rajasthan state Industrial development & Investment Corporation)
Industrial area (about 10km from Bhilwara City). RIICO is a
Rajasthan Government agency involved in development of land for
industrial enterprises and also provides support and access to
supportive infrastructure facilities in the industrial areas
developed and managed by it. The location facilitates the company
in having easy access to power supply, water supply and other
related infrastructure facilities required for the operation of the
plant. Further, as Bhilwara is a regional textile hub, the skilled
labor is readily available and the company's product (yarn) gets
steady market.

SION STEELS: ICRA Keeps B+ Debt Rating in Not Cooperating
---------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Sion
Steels in the 'Issuer Not Cooperating' category. The rating is
denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Fund Based–          10.00      [ICRA]B+ (Stable) ISSUER NOT
   Cash Credit                     COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Established in 1992, Sion Steels is a trader of various Mild steel
structural and metal scraps. Corporate office and godown of the
firm is located in Sion, Mumbai. The firm has its presence in
domestic market only, particularly within Mumbai only. Customer
profile of the firm includes infrastructure and real estate
companies, traders, casting and foundry units. The firm is
not an authorized distributor of any company; it procures all
materials for trading purposes from brokers and commissioning
agents. Many a times, procurement of scraps is through bidding
process.

SIVA SANKAR: ICRA Keeps B+ Debt Rating in Not Cooperating
---------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Sree Siva
Sankar Automobiles in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA] B+(Stable); ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term            7.50       [ICRA]B+ (Stable) ISSUER NOT
   Fund based                      COOPERATING; Rating continues
   Limits                          to remain under 'Issuer Not
                                   Cooperating' category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.

Sree Siva Sankar Automobiles (SSSA) was founded in the year 1992 as
a partnership firm. The firm is an authorised dealer of two-wheeler
vehicles of Hero Moto Corp Limited (HMCL) in the Visakhapatnam
region. It operates three showrooms with 3S facilities in
Visakhapatnam city and 10 sub-dealers in the Visakhapatnam
district.

SPECIALITY POLYMERS: ICRA Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Speciality
Polymers Private limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING".

                      Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Fund based         55.50       [ICRA]D ISSUER NOT COOPERATING;
   Limits–Cash                    Rating continues to remain
   Credit &                       under 'Issuer Not Cooperating'
   Term loan                      Category

   Fund based        (8.50)       [ICRA]D ISSUER NOT COOPERATING;

   Sub-limits                     Rating continues to remain
   Of Cash Credit-                under 'Issuer Not Cooperating'  
   FDPN/FDBP/FDBD                 Category

   Non Fund           16.10       [ICRA]D ISSUER NOT COOPERATING;
   based Limits–                  Rating continues to remain
   Letter of Credit               under 'Issuer Not Cooperating'
   & Bank Guarantee               Category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available/dated/
limited information on the issuers' performance. Accordingly, the
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as the rating
may not adequately reflect the credit risk profile of the entity.
The rating action has been taken in accordance with ICRA's policy
in respect of non-cooperation by a rated entity available at
www.icra.in.

Incorporated in October, 1988, Speciality Polymers Private Limited
(SPPL) is engaged in the business of manufacture of various types
of emulsions, adhesives, binders, construction chemicals etc. The
company has its manufacturing unit located at Badlapur, Thane with
an installed capacity of 12,000 metric ton per annum (MTPA) and a
new manufacturing set up with an installed capacity of 63000 MTPA
in Ambernath MIDC, Thane.


[*] INDIA: Airlines Under Renewed Pressure to Raise Cash
--------------------------------------------------------
Aditi Shah and Jamie Freed at Reuters report that India's airlines
are under renewed pressure to raise cash or face the risk of having
to downsize, consolidate or have their planes repossessed by
lessors as a surge of COVID-19 infections roils travel.

Passenger traffic fell by nearly 30% in April from a month before
and has halved again so far in May, forcing even the country's
biggest and most cashed-up carrier, IndiGo, to act, Reuters
discloses.

IndiGo's parent, Interglobe Aviation, met on May 7 to consider an
equity raising, just months after it abandoned plans to raise up to
INR40 billion (US$543 million) in January in response to a speedy
recovery in travel, Reuters relates.

According to Reuters, InterGlobe's board has decided to continue
exploring all options to increase liquidity, including by way of a
share sale to institutional investors, the company told the stock
exchange.

With traffic plummeting, according to aviation ministry data,
IndiGo's cash burn is expected to rise to US$3.4 million a day -- a
level last seen in September -- from US$2 million a day at the end
of 2020, an analyst who tracks the company said, Reuters notes.

This means IndiGo, which has more than a 50% share of the market,
may look to raise US$543 million to US$679 million amounting to at
least two quarters of cash burn, said the analyst, who declined to
be named as he was not authorised to speak publicly, Reuters
relays.

According to Reuters, analysts say while IndiGo is seen as a
survivor, the situation is worse for smaller carriers, particularly
those without large backers, some of which were struggling before
the novel coronavirus hit.

"India hasn't provided much government assistance or support so the
private airlines will need to turn to the private sector," Reuters
quotes independent aviation analyst Brendan Sobie as saying.

Aviation consultancy CAPA India said in a note this week the cash
call comes as Indian carriers are expected to report total losses
of US$4-US$4.5 billion in the fiscal year that ended on March 31
and will lose a similar amount this year, Reuters recounts.

With more people losing loved ones and the outlook on the economy,
jobs and incomes turning down, a recovery in domestic travel, which
had been expected by the end of 2021, may not come until at least
the first quarter of 2022, analysts estimate.

To make matters worse, several countries, including Britain and the
United States, with which India has had bilateral arrangements to
operate charter flights have restricted arrivals because of high
infection rates, Reuters states.

Smaller carriers, such as SpiceJet Ltd and privately owned GoAir,
could come under pressure to reduce capacity, find partners or
consolidate, analysts say, particularly as aircraft lessors take a
harder line, Reuters notes.

According to Reuters, SpiceJet said its passenger and cargo
businesses have generated adequate cash flows to cover the cost of
operations.

The airline is in talks with lenders for debt and private investors
for further capitalization, the airline's spokesman said, adding
that it also expects the compensation due from Boeing for the
737-MAX aircraft to bolster its finances, Reuters discloses.

GoAir, Reuters says, plans to raise up to INR25 billion through an
initial public offering, local media reported in March, though as
the COVID-19 situation worsens the attraction for investors becomes
less clear.

While IndiGo, which took delivery of 44 new planes from Airbus last
year, has not delayed lease payments, SpiceJet had missed payments
even before COVID-19 hit, according to leasing industry sources,
and its financial accounts state it has delayed payments during the
crisis, Reuters notes.




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

JAPAN AIRLINES: Logs $2.6 Billion Loss Over Pandemic
----------------------------------------------------
The Jakarta Post reports that Japan Airlines posted an annual net
loss of $2.6 billion but did not release a forecast for the current
financial year, citing uncertainty around the coronavirus pandemic.


The carrier, Japan's second-largest by market share, suffered a net
loss of 286.7 billion yen for the year through March -- its first
full-year result in the red since it relisted on the Tokyo Stock
Exchange in 2012, according to The Jakarta Post.

"There has been no indication of passenger demand recovery yet" due
to restrictions on international travel and tougher immigration
measures, JAL said.  "Our situation has been severe throughout this
fiscal year," the report relays.

The company revised its projection for 2020-21 net loss to 287
billion yen from a 300 billion yen forecast in February, the report
notes.

JAL said it had decided not to release an outlook for the year
ending March 2022, warning "it is difficult to foresee the recovery
of demand while the global spread of Covid-19 shows no sign of
slowdown," the report discloses.

Sales plunged 65.3 percent compared to the previous year to 481.2
billion yen.

Last month, Japan's top airline ANA reported its worst ever annual
loss of 404.6 billion yen, which was smaller than the firm's
earlier projection, the report relays.

But ANA Holdings said it expects to see a rebound to 3.5 billion
yen net profit in 2021-22, as the coronavirus disruption that has
battered the aviation industry worldwide begins to ease, the report
notes.

Japan's airlines had expected a bumper year in 2020, when the Tokyo
Olympics were originally due to be held and tourist numbers were
expected to break records, the report discloses.

The postponed Games are now set to open in July, but overseas
spectators have already been barred from the event, with a decision
on domestic fans delayed until June, the report adds.

                      About Japan Airlines

Japan Airlines Co., Ltd. engages in scheduled and non-scheduled air
transport, aerial work, and aircraft maintenance services. It
operates through the Air Transport and Others segments. The Air
Transport segment engages in air transport business, airport
passenger service, ground handling service, maintenance service,
cargo service, passenger transport service and airport area
business. The Others segment includes travel planning and sales.

As reported in the Troubled Company Reporter-Asia Pacific,
Egan-Jones Ratings Company, on February 16, 2021 downgraded the
foreign currency and local currency senior unsecured ratings on
debt issued by Japan Airlines Co Ltd. to BB from BB+.




===============
M A L A Y S I A
===============

1MDB: Sues Banks to Recover Losses From Corruption Scandal
----------------------------------------------------------
Joseph Sipalan and Rozanna Latiff at Reuters report that Malaysia's
now-defunct 1MDB state fund is suing units of Deutsche Bank, J.P.
Morgan and Coutts & Co to recover billions in alleged losses from a
corruption scandal at the fund, court documents seen by Reuters
showed.

1MDB is claiming US$1.11 billion from Deutsche Bank (Malaysia) Bhd,
US$800 million from J.P. Morgan (Switzerland) Ltd and US$1.03
billion from a Swiss-based Coutts unit, and interest payments from
all of them, Reuters relays, citing the lawsuit.

The claims are premised on "negligence, breach of contract,
conspiracy to defraud/injure, and/or dishonest assistance", 1MDB
said in the documents, filed at a Kuala Lumpur court on May 7,
Reuters relates.

According to Reuters, Malaysia's finance ministry said on May 10
that 1MDB and a former unit had filed 22 civil suits seeking to
recover more than US$23 billion in assets from entities and people
allegedly involved in defrauding the fund and its ex-subsidiary.
It did not identify any of the individuals or entities being sued,
Reuters notes.

The lawsuit seen by Reuters did not detail the banks' role in
1MDB's affairs.

Malaysian and U.S. investigators say at least US$4.5 billion was
stolen from 1MDB between 2009 and 2014, in a wide-ranging scandal
that has implicated high-level officials, banks and financial
institutions around the world, Reuters discloses.

                          About 1MDB

Kuala Lumpur-based 1Malaysia Development Bhd (1MDB) operated as a
government agency. The Company offered financial assistance,
analysis, and advice through investors, corporations, and
consultants to startups and growth companies. 1MDB focused on
investments with strategic value and high multiplier effects on the
economy, particularly in energy, real estate, tourism, and
agribusiness.

As reported in the Troubled Company Reporter-Asia Pacific in June
2015, Reuters relayed that Singapore Police Force has frozen two
bank accounts to help with an investigation in to Malaysia's
troubled state-owned investment fund 1Malaysia Development Bhd
(1MDB), which is being probed by authorities in Malaysia for
financial mismanagement and graft.  Reuters said the freezing of
the Singapore bank accounts follows a similar move in Malaysia
where a task force investigating 1MDB said earlier in July that it
had frozen half a dozen bank accounts following a media report that
nearly $700 million had been transferred to an account of
Malaysia's Prime Minister Najib Razak.

The Wall Street Journal reported in July 2015 that investigators
looking into 1MDB had traced close to US$700 million of deposits
moving through Falcon Bank in Singapore into personal bank accounts
in Malaysia belonging to Najib.

The TCR-AP, citing Bloomberg News, reported in November 2015, that
1MDB agreed to sell its power assets to China General Nuclear Power
Corp. for MYR9.83 billion (US$2.3 billion) as the state investment
company moved one step closer to winding down operations after its
mounting debt raised investor concern.

Bloomberg, citing President Arul Kanda in October 2015, related
that the company faced cash-flow problems after a planned initial
public offering of Edra faced delays amid unfavorable market
conditions.  The listing plan was later canceled as the company
opted for a sale of the assets, Bloomberg noted.

The TCR-AP, citing The Wall Street Journal, reported in April 2016,
that the company defaulted on a $1.75 billion bond issue,
triggering cross defaults on two other Islamic notes totaling
MYR7.4 billion ($1.9 billion).

Asian Nikkei Review reported in June 2016 that Malaysia has
replaced the board of 1Malaysia Development Berhad with treasury
officials, paving the way for the dissolution of the troubled state
investment fund.




=====================
P H I L I P P I N E S
=====================

PHILIPPINE AIRLINES: 19 Lessors of 49 Aircraft Exposed to PAL
-------------------------------------------------------------
As widely reported, Philippine Airlines is planning to seek Chapter
11 protection in the United States.

Citing data from Cirium, online aviation news and information
website FlightGlobal reported that PAL was seeking a restructuring
agreement with creditors ahead of filing Chapter 11 proceedings
potentially by the end of May.

Nineteen lessors are exposed to PAL to the tune of 49 aircraft,
Cirium fleets data shows:

     Lessor        Number      Aircraft Breakdown
     ------        ------      ------------------

Aircastle             1         A321(1)     

AMCK Aviation         2         A320(2)

Avation               1         777-300ER(1)

Avolon                9  A320(1)+A321(3)+A330-300(3)+A350-900(2)

BBAM                  6         A321(3)+A330-300(3)

Castlelake            1         777-300ER(1)

Chorus Aviation       3         Q400(3)

DAE Capital           3         A320(1)+A321(1)+A330-300(1)

Deucalion Aviation    2         A321(1)+A330-300(1)

GECAS                 2         777-300ER(1)+A330-300(1)

Goshawk               4         A321neo(2)+A350-900(2)

Haitong UniTrust      2         A321(2)

Macquarie AirFinance  1         A320(1)

Nordic Aviation       2         Q400(2)

ORIX Aviation         1         A321(1)

SMBC Aviation         2         A350-900(2)

Stratos               2         A320(1)+A330-300(1)

TrueNoord             2         Q400(2)

Voyager               3         777-300ER(3)

Philippine Airlines has informed its lessors of a plan to file for
Chapter 11 bankruptcy protection in the USA by the end of May 2021,
three people with knowledge of the matter tell Cirium.

"We're not able to provide any details or confirmation on the type
or scope of any planned restructuring at this point. Our management
and stakeholders continue to work on the comprehensive
restructuring and we will make the needed disclosures at the proper
time once details are finalized," said PAL in reply to Cirium.

According to the Philippine Daily Inquirer, earlier reports
indicated that PAL had some $5 billion in total liabilities -
including its outstanding obligations to foreign aircraft
suppliers.

The Inquirer reports that the flag carrier owned by taipan Lucio
Tan has been eyeing a Chapter 11 filing in New York since late
2020.

A chapter 11 filing will give the airline breathing space from
creditors while it restructures its finances and allows debtors to
reject burdensome contracts and leases.

According to reports, Norton Rose Fulbright is the airline's
counsel on the restructuring, and Seabury Capital has been hired as
a restructuring adviser.

Pasay City, Philippines-based PAL Holdings, Inc., the parent
company of Philippine Airlines, has not issued a statement
regarding the reported bankruptcy filing.

Philippine Airlines won't be the first foreign airline to seek
bankruptcy protection in U.S. shores during the pandemic.  Included
among the latest group of airline casualties are Mexico's Grupo
Aeromexico (Bankr. S.D.N.Y. Case No. 20-11563), Bogota,
Colombia-based Avianca Holdings (Bankr. S.D.N.Y. Lead Case No.
20-11133) and Chile's LATAM Airlines.  LATAM is the largest
passenger airline in South America.

                    About Philippine Airlines

Philippine Airlines -- http://www.philippineairlines.com/-- is the
Philippines' national airline. It was the first airline in Asia and
the oldest of those currently in operation. With its corporate
headquarters in Makati City, Philippine Airlines flies both
domestic and international flights.  First taking off in 1941, the
carrier has grown into a fleet of about 40 aircraft (including five
Boeing 747-400s) flying to more than 20 domestic points and about
30 foreign destinations.


[*] PHILIPPINES: Factory Output Fell by More Than 73% in March
--------------------------------------------------------------
inquirer.net reports that Philippine's total manufacturing output
slid by 73.4 percent year-on-year in March, the fastest drop in
seven months, mainly due to the temporary closure of the only
remaining oil refinery in the Philippines.

The Philippine Statistics Authority's (PSA) monthly integrated
survey of selected industries for March, which was released, showed
the volume of production index (VoPI)-proxy for factory
output-posted the steepest decline since the 82.2 percent in August
2020, according to inquirer.net.

National Statistician Dennis Mapa said the main contributor to
March's VoPI contraction was the 97.4-percent fall in the
production of petroleum coke and refined oil products, the report
notes.

                             Weak Margins

Petron Corp.'s crude oil refinery in Bataan temporarily stopped
operations in February due to weak margins. Earlier reports showed
Petron intended to restart the refinery in the second half of the
year, the report notes.

Asked if the Philippines still needed domestic oil refiners,
Socioeconomic Planning Secretary Karl Kendrick Chua said: "If we
are competitive to give the people value for money," the report
relates.

Finance Secretary Carlos Dominguez III earlier said the oil
refiners' woes were being felt worldwide as they were not
competitive against integrated end-to-end refineries, the report
notes.

                          Value Also Down by 74%

Out of 22 industries, only five sectors posted drop in production
volume, but they pulled the overall VoPI down, PSA data showed.

The PSA said fabricated metal products, except machinery and
equipment, recorded the biggest VoPI growth in March, at 85.5
percent, the report relays.

The value of coke and refined petroleum production dropped by 97.3
percent in March, the report notes.

The total value of production index fell faster by 74.2 percent,
also the steepest since August last year's 83.1 percent.

Ahead of the more stringent quarantine restrictions imposed in
National Capital Region Plus-Metro Manila andthe provinces of
Bulacan, Cavite, Laguna and Rizal-which hosted many industrial and
export zones, the factories' average capacity utilization rate
inched up to 61 percent in March from February's 60.4 percent, with
18.8 percent of establishments operating at full (90 to 100
percent) capacity, the PSA said, the report adds.




===============
T H A I L A N D
===============

THAI AIRWAYS: Finance Ministry Won't Recapitalize Airline
---------------------------------------------------------
Wichit Chantanusornsiri at Bangkok Post reports that the State
Enterprise Policy Office (SEPO) chief said the Finance Ministry
will not recapitalize financially troubled Thai Airways (THAI), of
which it is the biggest shareholder.

The remark by SEPO director-general Pantip Sripimol comes amid
concerns the carrier will regain the status of a state enterprise
through the re-acquisition of the ministry's majority stake in
THAI, Bangkok Post notes.

The airline lost its state-owned status last year when the ministry
decided to reduce its stake to under 50%, to help ease the
debt-rehabilitation process, Bangkok Post recounts.

According to Bangkok Post, several cabinet ministers, however, were
concerned the government would need to guarantee a loan worth
billions of baht to prop up THAI if it were to come under the state
enterprise umbrella again.

Reportedly supporting THAI's reinstatement as a state enterprise
were Finance Minister Arkhom Termpittayapaisith and Deputy Prime
Minister Supattanapong Punmeechaow, who is also chief of the
government's economic team, Bangkok Post relays.

They argued the reinstatement, which would require the Finance
Ministry returning as a majority shareholder, would boost the
airline's financial strength and its bargaining power with
creditors, Bangkok Post notes.

Creditors are meeting on Wednesday, May 12, to decide whether to
accept the airline's debt restructuring plan, Bangkok Post
discloses.

Meanwhile, Ms. Pantip insisted the ministry would not seek to
recapitalize the airline and was prepared to see its stake diluted
if other shareholders bought more shares, Bangkok Post states.

The ministry holds a 49.9% stake in THAI.  She said if the ministry
injected more funds into the company, it would be akin to
attempting to divert money to "fill up the sea", a move which be
hard to justify to taxpayers, according to Bangkok Post.

Now that THAI is operating as a private company, it is no longer
entitled to state assistance and the Finance Ministry is under no
legal obligation to offer help to a private firm despite the vast
shares it owns in the airline, Bangkok Post says.

                       About Thai Airways

Thai Airways International PCL (BAK:THAI) --
http://www.thaiairways.co.th/-- is the national carrier of
Thailand.  The company provides air transportation, freight and
mail services on domestic and international routes including Asia,
Europe, North America, Africa and South West Pacific. The Company
is a state enterprise which is controlled by the government and
partly owned by the public.

As reported in Troubled Company Reporter-Asia Pacific on May 21,
2020, Thailand's cabinet approved a plan to restructure troubled
Thai Airways International Pcl's finances through a bankruptcy
court, the Southeast Asian country's prime minister said on May 19,
2020.

The plan for a court-led restructuring of the national carrier
replaces a previous proposal of a government-backed rescue package
that was heavily criticised in the country.

Thai Airways on May 27, 2020 said it appointed board members as
rehabilitation planners in a bankruptcy court submission.

On Sept. 14, 2020, Thailand's Central Bankruptcy Court approved
Thai Airways debt restructuring.

Thai Airways posted losses every year after 2012, except in 2016.
In 2019, it reported losses of THB12.04 billion.

The company's shareholders' equity turned negative at minus THB18.1
billion ($580 million) as of June. While its total liabilities
ballooned to THB332.1 billion, a 36.7% increase from the end of
2019, its cash and cash equivalents fell by 35.5% to THB13.9
billion, according to the Nikkei Asia.


[*] THAILAND: TCC Mulls Scheme to Help Ease SMEs Liquidity Woes
---------------------------------------------------------------
Phusadee Arunmas at Bangkok Post reports that the Thai Chamber of
Commerce (TCC) on May 10 talked with the Bank of Thailand on the
possibility to allow small and medium-sized enterprises to place
purchase orders or invoices as loan collateral, a move that will
enable SMEs to gain easier access to funds that will help alleviate
their tight liquidity.

According to Bangkok Post, TCC chairman Sanan Angubolkul said a
great number of entrepreneurs especially small-scale ones now
seriously suffer tight liquidity, with certain operators having to
rely on unorganized loans to lubricate their business operations
for failure to access state soft loan programs.

"Despite the current virus crisis, many entrepreneurs still boast
of growth potential," Bangkok Post quotes Mr. Sanan as saying.

"The chamber of commerce itself has realized ongoing efforts of
those entrepreneurs to stay alive and want them to survive, reduce
operation costs and have choices in securing loans via alternative
collateral.

Under the scheme, the retailer will apply technology to help screen
out and provide information to SMEs who are tenants as well as
suppliers for the banks who will allow SMEs to place purchase
orders to invoices as the collateral to secure new loans, Bangkok
Post discloses.

Mr. Sanan, as cited by Bangkok Post, said this will help to
expedite the banks' loan consideration process while increasing the
opportunity of SMEs to gain access to the loans.


[*] THAILAND: TCT Calls for Financial Support for Tourism Sector
----------------------------------------------------------------
Dusida Worrachaddejchai at Bangkok Post reports that the Tourism
Council of Thailand (TCT) is calling for a direct financial support
package geared towards the tourism sector to save 2-2.5 million
jobs as the third wave shows no signs of abating.

According to Bangkok Post, Chamnan Srisawat, president of the TCT,
said council members want more relaxation on soft loans and is
asking the Thai Credit Guarantee Corporation to help because most
operators do not have land or assets to use as collateral.

The monthly salary co-payment scheme is another urgent financial
aid that could prevent mass layoffs, Bangkok Post states.

If the government fails to take this proposal into consideration,
the hospitality sector will risk losing skilled workers and
competitiveness in the global arena when international tourism
resumes, Bangkok Post notes.

He said these two measures will help operators maintain their
businesses until borders are reopened, Bangkok Post relates.

However, the TCT has requested financial aid since last year, but
there has been no response from the government, according to
Bangkok Post.

"The situation we're facing is no different from lockdown last
year, but we don't receive concrete support to stay afloat,"
Bangkok Post quotes Mr. Chamnan as saying.  "Many operators won't
be able to make it through the next three months."



                           *********


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 2021.  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.



                *** End of Transmission ***