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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, January 8, 2014, Vol. 17, No. 5


                            Headlines


A U S T R A L I A

COALPAC PTY: Energy Australia in Talks w/ Creditors Over Bail Out
GM HOLDEN: Suffers Worst Sales Year Ahead of Exit in Australia
ROYAL TAXIS: In Administration; Officials Blame Fare Prices


C H I N A

EVERGRANDE: Moody's Says Consent Solicitation No Ratings Impact
KAISA GROUP: Moody's Says Tap Bond Issuance No Ratings Impact
KAISA GROUP: S&P Affirms 'B+' Rating on US$-Denominated Notes
TRILLION CHANCE: S&P Puts 'BB-' Rating on US$-Denominated Notes
TRILLION CHANCE: Moody's Assigns Ba3 Rating to Sr. Unsec. Notes

* CHINA: Moody's Says Local Gov't Debt Has Risk for Central Gov't


I N D I A

ADILAXMI INDUSTRIES: CARE Reaffirms B+ Rating on INR13.64cr Loans
ALOK INGOTS: CRISIL Lowers Ratings on INR245.7MM Loans to 'B+'
ASHOK MOTORS: CARE Rates INR16cr LT Bank Loans at 'B+'
BANK OF BARODA: Moody's Assigns Baa3 Rating to Sr. Unsec. Notes
BRAND CONCEPTS: CRISIL Reaffirms 'B-' Ratings on INR95MM Loans

EMPIRE PHOTOVOLTAIC: CRISIL Cuts Ratings on INR170MM Loans to D
HARIHAR ALLOYS: CARE Ups Rating on INR29.69cr Loans to 'B'
HEXA CERAMIC: ICRA Reaffirms 'B+' Ratings on INR7.95cr Loans
KIRTILAL M SHAH: ICRA Cuts Rating on INR110cr Loans to 'B+'
MITTER FASTENERS: ICRA Revises Rating on INR17.51cr Loan to B+

OZON VITRIFIED: CARE Reaffirms 'B+' Rating on INR16.03cr LT Loans
RATHORE FREIGHT: CARE Reaffirms 'D' Ratings on INR6.84cr Loans
RSK INDUSTRIES: CARE Cuts Ratings on INR5.36cr Loans to 'D'
S. A. PLYWOOD: CRISIL Rates INR22.5MM LT Bank Loan at 'B+'
SHANTHI HOSPITAL: ICRA Cuts Rating on INR9.48cr Loan to 'B+'

SHEEL FOODS: CRISIL Assigns 'B-' Rating to INR200MM Bank Loan
SHREE GANESH: CARE Reaffirms 'B' Rating on INR10.62cr Loans
SHREE SHIVAM: ICRA Reaffirms 'B' Ratings on INR5.23cr Loans
SKYMAX CERAMIC: ICRA Revises Ratings on INR7.04cr Loans to 'B'
SLS MERCANTILE: CRISIL Reaffirms 'B' Ratings on INR100MM Loans

SRI KRISHNA: CRISIL Assigns 'B+' Ratings to INR120MM Loans
SRI LAXMI: ICRA Revises Ratings on INR6.35cr Loans to 'B-'
UPAL DEVELOPERS: CRISIL Cuts Rating on INR1.08MM Loan to 'B-'
VAISHNAVI COTTON: ICRA Reaffirms 'B+' Rating on INR7cr Loan
WINMAX CERAMIC: ICRA Assigns 'B' Ratings to INR9.74cr Loans


J A P A N

TOKYO ELECTRIC: Government To Appoint Fumio Sudo as New Chairman


M A L A Y S I A

PRIME GLOBAL: B F Borgers Raises Going Concern Doubt


N E W  Z E A L A N D

CIVIC VIDEO: Store to Close Doors; Owner Blames Online Piracy


S O U T H  K O R E A

HYUNDAI GROUP: Analysts Raise Doubt on Self-Rescue Plan


S R I  L A N K A

SRI LANKA: Moody's Assigns (P)B1 Rating to Global Bond Offering
SRI LANKA: S&P Assigns 'B+' Rating to US$-Denominated Global Bond


V I E T N A M

* VIETNAM: More Enterprises Shut Down Business, Hepza Says


                            - - - - -


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


COALPAC PTY: Energy Australia in Talks w/ Creditors Over Bail Out
-----------------------------------------------------------------
ABC News reports that Energy Australia is in negotiations with the
creditors of a failed coal operation in the state's Central West
about a possible bail out.

A number of companies, including Coalpac Pty Ltd, involved in
mining in the Lithgow region, went in administration in
October 2013, ABC says.

It came less than a month after a plan to expand open cut
operations near the Blue Mountains World Heritage Area was
recommended to be rejected, the report relates.

ABC News says that the administrators have told creditors that
Energy Australia is the process of developing a potential deed of
company arrangement proposal.

According to the report, the proposal is likely to involve the
companies applying for a modification of the current approvals for
the Cullen Valley and Invincible Colliery mines.  If the approvals
are granted, Energy Australia would acquire shares in some or all
of the companies, the report notes.

Following the closure of Coalpac's operations, Energy Australia
has been left with only one supplier for its nearby Wallerawang
and Mount Piper power stations, says ABC News.

Energy Australia is currently in negotiations with ANZ, which is
first rank secured creditor, about the proposal, the report adds.

As reported in the Troubled Company Reporter-Asia Pacific on
Oct. 28, 2013, ABC News said Coalpac Limited along with CET
Resources, Portland Road Pastoral Company and the Lithgow Coal
Company have gone into administration.  The Australian Securities
and Investments Commission said administrators, McGrath Nicol were
appointed on Oct. 18, 2013.

Coalpac Pty Limited mines, processes and markets thermal coal. It
operates two thermal coal mines in Lithgow, New South Wales.


GM HOLDEN: Suffers Worst Sales Year Ahead of Exit in Australia
--------------------------------------------------------------
Philip King at The Australian reports GM Holden's decision to quit
Australia has coincided with its worst-ever year for its locally
built models, with sales of the flagship Commodore down 9 per cent
from 2012.

While the overall car sales market soared to a record, the
Commodore found fewer than 28,000 buyers in 2013 despite an
extensive mid-year upgrade, figures obtained by The Australian
show.

The Australian says the VF model rolled out in June failed to halt
the Commodore's slide and it finished 9 per cent down on 2012,
putting it fifth in the sales charts behind an imported Korean
small car.

The figure is "half what Commodore sold just three years ago, the
last time it was our favourite car, and less than a third of its
demand at its peak," The Australian relays.

The Australian recalls that Holden announced on December 11 it
would quit manufacturing in Australia in 2017, putting an end to
increasing speculation about its future. The move came as part of
a global restructuring by parent General Motors, with job losses
also planned for other subsidiaries, including in Korea and
Brazil.

According to the report, Ford announced in May that in 2016 it
would shutter its plants in Victoria, which make the Falcon large
sedan and Territory SUV, increasing doubts about the viability of
the last-standing local maker, Toyota.

The demise of the local industry resulted in its share of the
sales dropping to just 10.4 per cent last year, adds The
Australian.

As reported in the Troubled Company Reporter on Dec. 12, 2013,
Rob Taylor and Jeff Bennett, writing for The Wall Street Journal,
said that General Motors Co., ending months of speculation,
said on Dec. 10 it would cease all production in Australia,
reflecting an accelerating shift by auto makers to leave what has
become a high-cost country for foreign manufacturers.  According
to the Journal, the U.S. auto maker said it would take a
US$400 million to US$600 million charge to earnings in its fourth
quarter to discontinue vehicle and engine manufacturing in
Australia.  The decision will result in more than 2,900 job
losses.  The decision is the latest in a series of moves by
departing Chief Executive Dan Akerson to clean up trouble spots in
GM's operations before he steps down in January and hands the CEO
job to product-development chief Mary Barra, the Journal related.

GM Holden is Australia's oldest automotive company, having grown
from a saddlery business established in Adelaide in 1856.  GM
Hoden is the Australian arm of U.S.-based automaker General
Motors Corporation.


ROYAL TAXIS: In Administration; Officials Blame Fare Prices
-----------------------------------------------------------
Yolanda Redrup at SmartCompany reports that Royal Taxis has been
placed in administration, with industry officials blaming fare
prices and high LPG costs.

SmartCompany relates that Royal Taxis, based in the Melbourne
suburb of Springvale, collapsed on Jan. 6, putting more than 70
taxis out of service, according to industry officials.

According to the report, Victorian Taxi Association chief
executive David Samuel warned if industry conditions don't change,
more companies will be put out of business.

"If something isn't done in the next six months or sooner than,
yes, more businesses will be placed under financial pressures,"
Mr. Samuel told SmartCompany.

"The issue here is about the level of fares and the fact they
haven't been changed for a long time . . . since 2008. This puts
you under pressure, as does the hike in LPG prices which occurs at
the end of every year," the report quotes Mr. Samuel as saying.

According to SmartCompany, Royal Taxis is just one of numerous
Australian taxi businesses to face financial pressures in the past
12 months.

In Victoria alone it is the second largest Victorian taxi operator
to collapse in the past year and the third in the past two years.

In November last year, Sydney Metro Taxis Fleet was issued with a
winding up order, Paradise Coaches and Paradise Taxis was placed
in liquidation and, in July, Arnhem Bush Taxi Services was ordered
to wind up, SmartCompany discloses.



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


EVERGRANDE: Moody's Says Consent Solicitation No Ratings Impact
---------------------------------------------------------------
Moody's Investors Service says that Evergrande Real Estate Group
Ltd's proposed consent solicitation will have no immediate impact
on its B1 corporate family rating and B2 senior unsecured debt
rating.

Evergrande is seeking consents from both 2015 and 2016 senior
notes holders to amend the terms to align with those of its 2018
senior notes.

The changes sought by the consent solicitation statement include
amendments in relation to restricted payments, investments and
liens, among others.

"The proposed amendments will allow Evergrande more flexibility to
incur debt, make investments, and pay dividends to shareholders,
and which will weaken protection for bond investors, but do not
have an immediate rating impact," says Franco Leung, a Moody's
Assistant Vice President and Analyst.

"While the amended terms are looser, especially with respect to
investments and restricted payments, we do not expect Evergrande's
financial profile will be very different to the extent that it
will pressure its ratings," says Mr. Leung.

Evergrande has historically adopted a debt-funded expansion
approach. Its interest coverage declined in recent years because
of rising interest expenses and relatively low profit margins,
given its focus on lower-tier cities when compare with its
domestic peers.

The B1 corporate family rating reflects Evergrande's strong market
position as one of the top five property developers in China in
terms of contracted sales and the size of its land bank. Moreover,
the rating reflects the company's significant scale of coverage
across 140 cities in China.

The rating further takes into account Evergrande's ability to
manage its development operations through business cycles with low
land costs, economies of scale, and its adequate liquidity
position.

On the other hand, the rating is constrained by the high business
and financial risks associated with Evergrande's strategy to
pursue rapid debt-funded growth and its lower profit margins, when
compared with its domestic peers, a result in turn of its focus on
lower-tier cities.

The principal methodology used in this rating was the Global
Homebuilding Industry published in March 2009.

Evergrande Real Estate Group Limited is one of the major
residential developers in China, with a standardized operating
model. Founded in 1996 in Guangzhou, the company has rapidly
expanded its business across the country over the past few years.
At end-June 2013, it had a land bank of 145 million square meters
in gross floor area across 140 cities in China.


KAISA GROUP: Moody's Says Tap Bond Issuance No Ratings Impact
-------------------------------------------------------------
Moody's Investors Service says Kaisa Group Holdings Ltd's
announcement of a tap bond offering on its existing USD bonds
issued on March 19, 2013, will have no immediate rating impact on
its B1 corporate family rating and senior unsecured debt ratings.

The tap bond offering has the same terms and conditions as the
existing 8.875% senior notes due 2018. The proceeds from the
proposed USD bonds will be used to finance existing and new
projects, and for general working capital requirements.

"The proposed bond issuance will strengthen the company's
liquidity and fund the company's business expansion," says
Franco Leung, a Moody's Assistant Vice President and Analyst.

Moody's notes that Kaisa will use the bond proceeds to fund its
operating and financing activities, such as land acquisitions and
dividend payments.

Kaisa has been proactive in managing its capital structure and
debt maturity profile. Its series of bond issuance in 2013 have
reduced its refinancing risk because of the consequent lengthening
in its debt maturity profile.

"Furthermore, the new issuance will have a limited impact on
Kaisa's key credit metrics," adds Mr. Leung, also Moody's Lead
Analyst for the company.

Moody's expects that Kaisa's adjusted debt/capitalization will be
around 55-60% over the next 12-18 months, while interest coverage
will be maintained above 3x. Such debt leverage and interest
coverage levels will strongly position Kaisa at its current
corporate family rating.

Moody's notes that Kaisa has continued to build up its operating
scale by delivering good sales growth. For the full year of 2013,
its contracted sales amounted to RMB23.9 billion, a 38% increase
year-on-year.

It has also strengthen its market positions in its key cities,
such as Shenzhen, where it has emerged as one of the largest
developers as measured by contracted sales.

At the same time, Moody's notes that Kaisa became more active in
land acquisitions in FY2013, particularly in Guangzhou. Such a
strategy is consistent with the company's approach to refocus its
operations in first-tier cities.

Despite its higher land payments and construction spending
requirements, Moody's expects Kaisa will keep debt leverage under
control and maintain adequate liquidity by continuing the momentum
in sales growth.

Moody's also expects its profit margin will improve slightly in
FY2013 and FY2014 as more housing units in first-tier cities are
sold. But Moody's will monitor the company's long-term
profitability trend as its average land cost rose following the
recent land acquisitions.

Kaisa's B1 corporate family rating continues to reflect its track
record in developing property projects in major Chinese cities,
such as Shenzhen. The rating also takes into account Kaisa's
ability to purchase land at a competitive cost for redevelopment
projects in Guangdong province, which is its home base. In
addition, its presence in cities beyond its home market is
developing.

On the other hand, the rating is constrained by the company's
rapid expansion, which has increased its execution risk and debt
in the past few years.

Downward rating pressure could emerge if: (1) the company's
contracted sales fall substantially below its business plan; (2)
its debt rises further as a result of aggressive land
acquisitions; (3) there is a material decline in profitability to
the extent that EBITDA margin falls below 20%-25%; (4) its credit
metrics weaken, such that EBITDA/interest falls below 2.5x-3.0x;
or (5) its liquidity weakens, with its cash holdings slipping
below 5% of total assets.

Kaisa's ratings could be upgraded if it: (1) demonstrates
discipline in acquiring land; (2) generates stable growth in its
sales; (3) improves its interest coverage position to above 3.5x,
and (4) maintains adequate liquidity, with unrestricted cash of
more than 10% of total assets.

The principal methodology used in this rating was the Global
Homebuilding Industry published in March 2009.

Kaisa Group Holdings Ltd is a Shenzhen-based property developer
established in 1999 and listed on the Hong Kong Stock Exchange in
December 2009. At end-June 2013, the company was 62.4% owned by
Mr. Kwok Ying Shing and his family members. Kaisa had a land bank
of around 24.8 million square meters in gross floor area located
in the Pearl River and Yangtze River deltas, Bohai Rim, and
central and western China at end-June 2013.


KAISA GROUP: S&P Affirms 'B+' Rating on US$-Denominated Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' issue rating
on its U.S. dollar-denominated senior unsecured 8.875% notes due
March 2018 issued by Kaisa Group Holdings Ltd. (B+/Stable/--;
cnBB/--).  At the same time, Standard & Poor's also affirmed its
'cnBB' long-term Greater China regional scale rating on the notes.

Kaisa intends to add to the notes under the same terms and
conditions.  S&P expects the company to use the proceeds to
finance existing and new property projects and for general
corporate purposes.

S&P do not notch down the issue rating from the issuer rating on
Kaisa because the company has improved its debt structure by
reducing the ratio of priority debt to total assets.  S&P expects
the company to maintain its priority debt at less than 15% of
total assets over the next 12 months.  The ratio was below this
threshold in 2011 and 2012.

The rating on Kaisa reflects the company's high leverage due to
aggressive expansion and its short record of consistent financial
management.  The company's large and low-cost land bank and its
established market position in Shenzhen and Guangdong temper these
weaknesses.  S&P views Kaisa's business risk profile as "weak" and
its financial risk profile as "aggressive."

The stable outlook on the issuer rating reflects S&P's expectation
that Kaisa can maintain its good sales execution and sufficient
liquidity, and continue to control its debt-funded expansion over
the next 12 months.  S&P also expects Kaisa's cash flow adequacy
to improve.


TRILLION CHANCE: S&P Puts 'BB-' Rating on US$-Denominated Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' issue rating
and its 'cnBB+' Greater China regional scale rating to a proposed
issue of U.S. dollar-denominated senior unsecured notes by
Trillion Chance Ltd., a special purpose vehicle that R&F
Properties (HK) Co. Ltd. (R&F (HK); BB/Stable/--; cnBBB-/--)
wholly owns.

R&F (HK) will guarantee the notes.  The ratings are subject to
S&P's review of the final issuance documentation.  The company
will use the proceeds from the proposed issuance to refinance
existing debt and for general corporate purposes.

S&P views R&F (HK) as a "core" subsidiary of Guangzhou R&F
Properties Co. Ltd. (BB/Stable/--; cnBBB-/--) because S&P believes
the two entities are strategically and financially integrated.
S&P therefore equalizes the ratings on the two companies.

The issue rating is one notch below the long-term credit rating on
R&F (HK) because of uncertainties over regulatory approval and the
timeliness of financial support from Guangzhou R&F to R&F (HK),
which could be affected by China's controls over foreign exchange
and capital.

In S&P's view, a keepwell agreement and equity interest purchase
undertaking between Guangzhou R&F and R&F (HK) demonstrate the
parent's strong commitment to the subsidiary.  A keepwell
agreement is a contract between a parent and its subsidiary to
maintain solvency and financial backing through a set term.  But
S&P don't view these agreements the same as a guarantee.


TRILLION CHANCE: Moody's Assigns Ba3 Rating to Sr. Unsec. Notes
---------------------------------------------------------------
Moody's Investors Service has assigned a Ba3 bond rating to the
proposed senior unsecured notes issued by Trillion Chance Limited
and unconditionally and irrevocably guaranteed by R&F Properties
(HK) Company Limited.

At the same time, Moody's has affirmed Guangzhou R&F Properties Co
Ltd's Ba2 corporate family rating and R&F Properties (HK) Company
Limited's (R&F HK) Ba3 corporate family rating.

R&F HK is a wholly-owned subsidiary of Guangzhou R&F (collectively
the R&F group).

All the ratings have a stable outlook.

The proposed notes will be supported by a Deed of Equity Interest
Purchase Undertaking and a Keepwell Deed between Guangzhou R&F,
R&F HK and the bond trustee.

The proceeds from the proposed issuance will be used to refinance
existing indebtedness and for general corporate purposes.

RATINGS RATIONALE

"The proceeds from the proposed issuance will improve the R&F
group's financial flexibility in terms of its ability to fund its
projects. The issuance will also lengthen its debt maturity
profile," says Kaven Tsang, a Moody's Vice President and Senior
Analyst.

"At the same time, the issuance will have a limited impact on the
key credit metrics of both Guangzhou R&F and R&F HK because much
of the proceeds will be used to repay short-term debt," adds
Mr. Tsang, also the Lead Analyst for R&F group.

Moody's expects Guangzhou R&F's EBITDA/interest cover ratio to
remain at around 3.0x-3.5x in the next 12-18 months.

Meanwhile, this interest cover ratio for R&F HK will improve to
1.5x in the next 12-18 months as its grows its property
development business as planned.

Guangzhou R&F's Ba2 rating continues to reflect its track record
of operating through the cycle, balanced geographic diversity, and
high profitability due to its business model, which focuses on
selling mid- to high-end residential and commercial properties.

On the other hand, Guangzhou R&F's Ba2 rating is constrained by
its high debt leverage which limits the company's funding
flexibility. Owing to its thin equity base, high dividend payout
ratio and expansion strategy, debt leverage -- measured as
adjusted debt/capitalization -- was high at 64% in 1H 2013.

The stable outlook reflects Moody's expectation that Guangzhou R&F
will continue to generate strong contracted sales, as well as
maintain its current gross profit margin and good liquidity
position.

Upward rating pressure could emerge over the medium term if the
company can demonstrate a track record of improving its financial
profile, especially debt leverage, through further geographical
diversification and successful sales execution.

At the same time, it needs to maintain good profitability and a
disciplined approach in land acquisitions.

In terms of credit metrics, EBITDA/interest coverage above 4x-4.5x
could be an indicator for a rating upgrade.

On the other hand, downward rating pressure could emerge if: (1)
the company significantly falls short of its property sales
target; (2) it materially accelerates development, and/or executes
an aggressive land acquisition plan, such that its liquidity
weakens with cash falling substantially below the level of its
short-term debt; or (3) its EBITDA interest coverage falls below
3.0x on a sustained basis.

R&F HK's Ba3 rating reflects its standalone credit strength and a
two-notch ratings uplift.

The two-notch rating uplift reflects Moody's expectation that
Guangzhou R&F will extend strong support to R&F HK for the
following reasons:

(1) Guangzhou R&F's full ownership of R&F HK; a situation that
Guangzhou R&F's management intends to maintain;

(2) R&F HK's role as the primary platform for the group, raising
funds from the offshore bank and capital markets for investment in
property projects in China;

(3) Guangzhou R&F's track record of financial support to R&F HK,
including the guarantee provided by Guangzhou R&F to support R&F
HK's offshore bond issuance of $800 million in 2011 and 2012; and

(4) the reputational risks that Guangzhou R&F could face if R&F HK
defaults.

R&F HK's standalone credit strength reflects the recurring cash
flow derived from its high quality investment property portfolio,
as well as its adequate liquidity. But these strengths are
constrained by its current small scale of operations.

The stable outlook of R&F HK's Ba3 rating reflects Moody's
expectation that R&F HK will obtain full operating and financial
support from Guangzhou R&F, and that it will continue to act as
its sole offshore financing and investment platform.

The Ba3 bond rating has further considered (1) the subordination
risk arising from the onshore debt of R&F HK, which exceeds 15% of
its total assets; and (2) the financial support from Guangzhou R&F
through a Deed of Equity Interest Purchase Undertaking and a
Keepwell Deed.

Moody's would consider a rating upgrade of R&F HK if (1) it
improves its scale and diversity; and (2) it improves its credit
profile, such as through a reduction in debt leverage on a
sustained basis.

On the other hand, downward pressure on the rating could arise if
(1) there is evidence of a reduction in ownership, or weakening in
support from Guangzhou R&F, or a deterioration in Guangzhou R&F's
credit profile; (2) R&F HK fails to maintain its good liquidity
buffer; or (3) R&F HK materially accelerates development, and
rolls out an aggressive land acquisition plan, such that debt
leverage increases on a sustained basis.

The principal methodology used in these ratings was the Global
Homebuilding Industry published in March 2009.

Established in 1994 and listed on the Hong Kong Exchange in 2005,
Guangzhou R&F Properties Co Ltd is a mid-sized developer in
China's residential and commercial properties sector. As of 30
June 2013, the company had an attributable land bank of 34.1
million square meters in attributable saleable area covering 19
cities in China. Mr Li Sze Lim and Mr Zhang Li are the co-founders
of the company and own 33.36% and 32.02% in equity interests,
respectively.

R&F Properties (HK) Company Limited and its subsidiaries are
principally engaged in the development and sale of properties,
property investment and hotel operations in China. It was
established in Hong Kong on August 25, 2005, as a company with
limited liability.


* CHINA: Moody's Says Local Gov't Debt Has Risk for Central Gov't
-----------------------------------------------------------------
Moody's Investors Service says that a new report by China's
National Audit Office shows that local government debt and
contingent liabilities are now much higher than what NAO had
reported in its first audit on such debt in June 2011, a credit
negative development.

Whether the new figures -- as outlined in the report released on
30 December 2013 -- reflect more thorough accounting procedures or
an actual sharp rise in debt, or both, this sizable accumulation
in local government debt will be a burden on and carry risks to
central government finances.

Moody's conclusions were contained in a just-released special
comment titled "New Report Shows Sizable Debt Accumulation by
China's Local Governments, a Credit Negative".

The Moody's report concludes that direct debt has grown beyond the
capacity of many local governments to service it, and the central
government may need to provide additional fiscal resources to
local governments to bolster their finances and debt-repayment
capacity.

The NAO's report also shows that the maturity structure of local
government debt is relatively near term, thereby suggesting that
general government gross financing needs will further increase.

However, the accumulation of combined local and central government
direct debt has been offset to a considerable degree by the rapid
rise in nominal GDP growth. As a result, local and central
government debt rose relatively moderately as a share of GDP, to
37.1% of GDP in June 2013 from 34.1% in 2010. Nonetheless, Moody's
estimates that the large accumulation of local government
contingent debt pushed the total direct and indirect debt level to
a much higher around 50% of GDP in June 2013.

But such a level is still manageable and future payment
capabilities will be enhanced if China's GDP growth remains, in
accordance with our central scenario, relatively strong at around
7% per year over the next five years.

Ultimately, the sustainability of the debt build-up will also
depend largely on progress in implementing growth-enhancing
supply-side reforms to offset the downside pressures on economic
growth, which will ensue from efforts by the authorities to rein
in local government debt-financed investment showing low economic
or social returns.

Another important aspect of the new audit, despite the 2.5-year
delay since the initial 2010 audit, is that its greater
transparency reduces uncertainty over the actual level of
indebtedness for local governments. Even the central government
appears to have had been unsure about the level of local
government debt prior to the new audit.



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ADILAXMI INDUSTRIES: CARE Reaffirms B+ Rating on INR13.64cr Loans
-----------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Adilaxmi Industries.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank        13.64      CARE B+ Reaffirmed
   Facilities

The rating assigned by CARE is based on capital deployed by the
partners and the financial strength of the firm at present. The
rating may undergo change in case of withdrawal of capital or
unsecured loans brought in by the partners in addition to the
financial performance and other relevant factors.

Rating Rationale

The rating continues to be constrained by its small size with
partnership nature of the firm, decline in operating income with
low profitability margins and highly leveraged capital structure
with working capital intensive nature of operations. The rating is
further constrained by highly fragmented and competitive nature of
the industry with low entry barriers and seasonal nature of
availability of paddy with government regulations. However, the
rating continues to derive strength from the experience of the
partners in the industry, increasing demand for rice and
availability of raw material (paddy) in the vicinity.

The ability of the firm to improve the margins in the midst of the
competition and improvement in its overall financial risk profile
are the key rating sensitivities.

Adilaxmi Industries, a partnership firm, was started in January
2000. The firm is engaged in milling and processing of rice and
also participates in trading of related products such as paddy,
sago, starch powder etc. from time to time. The managing partner,
Mr Goli Dharma Raju has around 26 years of experience in rice
milling and related activities. The mill is situated in Vetlapalem
village in East Godavari District, Andhra Pradesh, where more than
600 rice mills are operating. ALI currently has paddy de-husking
capacity of 60,000 MTPA. The firm is mainly supplying levy rice to
Food Corporation of India, apart from which, it supplies non-levy
rice to Kerala, West Bengal and bran to oil companies in
Mandapeta, East Godavari District, A.P. The firm had started a
project for installation of wind turbines to increase power from
2000 KW per day to 5000 KW per day in December 2012 which was
scheduled to be completed by September 2013. However, the said
project was completed in July 2013. The total project cost was
around at INR1.00 crore, which was funded through a term debt of
INR0.75 crore and remaining through promoters contribution.

During FY13 (refers to the period April 1 to March 31), ALI
reported a total operating income of INR57.73 crore and a net
profit of INR0.28 crore as against a total operating income and
PAT of INR62.33 crore and INR0.31 crore respectively in FY12
(audited). As per the 8MFY14 (unaudited), the firm has achieved a
turnover of INR41.84 crore.


ALOK INGOTS: CRISIL Lowers Ratings on INR245.7MM Loans to 'B+'
--------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Alok
Ingots (Mumbai) Pvt Ltd to 'CRISIL B+/Stable/CRISIL A4' from
'CRISIL BB-/Stable/CRISIL A4+'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee            10      CRISIL A4 (Downgraded from
                                     'CRISIL A4+')

   Cash Credit               90      CRISIL B+/Stable (Downgraded
                                     from 'CRISIL BB-/Stable')

   Letter of Credit          50      CRISIL A4 (Downgraded from
                                     'CRISIL A4+')

   Proposed Long-Term       114.6    CRISIL B+/Stable (Downgraded
   Bank Loan Facility                from 'CRISIL BB-/Stable')

   Rupee Term Loan           41.1    CRISIL B+/Stable (Downgraded
                                     from 'CRISIL BB-/Stable')

The downgrade reflects continued weakening in AIMPL's business and
financial risk profiles, resulting from its weak demand and modest
operating profitability. The company's operating income declined
by 13 per cent year-on-year to around INR761 million in 2012-13
(refers to financial year, April 1 to March 31). AIMPL recorded
net and cash losses of INR30.8 million and INR21 million
respectively, during 2012-13, with operating profitability
remaining modest, at around 2.8 per cent. Consequently, the
company's financial risk profile weakened, with its gearing
increasing to 3.5 times as on March 31, 2013, from 2.38 times a
year ago. The company's debt protection metrics were also weak
during 2012-13.

With constrained capacity utilisation, AIMPL's turnover is likely
to remain stagnant during 2013-14. Although the company's
operating profitability is expected to marginally improve with the
management's initiatives to reduce costs, AIMPL's financial risk
profile is expected to remain weak over the medium term.

However, AIMPL's liquidity is supported by need-based fund support
from its promoters and prudent working capital management. The
company received preference capital of INR20.0 million from the
promoters during 2012-13, along with unsecured loans of INR58.8
million from the promoters and related parties as on March 2013.
AIMPL's bank limit utilisation was moderate between 80 and 85 per
cent on average over the 13 months ended October 2013, on the back
of its prudent working capital management.

CRISIL's ratings on the bank facilities of AIMPL continue to
reflect its weak financial risk profile, along with its
susceptibility to cyclicality in the economy and volatile raw
material prices. These rating weaknesses are partially offset by
the company's diversified product portfolio and its efficient
working capital management.

Outlook: Stable

CRISIL believes that AIMPL will maintain a stable credit risk
profile over the medium term, backed by prudent working capital
management and need-based fund support from the promoters. The
outlook may be revised to 'Positive' if the company achieves a
sustainable improvement in its revenues and profitability, thereby
improving its capital structure and debt protection metrics.
Conversely, the outlook may be revised to 'Negative' if AIMPL
records greater-than-expected net or cash losses; or its working
capital cycle increases, thus weakening its liquidity.

AIMPL was set up by Mr. Ashok Garodia, along with his brother Mr.
Deen Dayal Garodia, and son Mr. Alok Garodia in 2004. The company
manufactures steel billets, with a capacity of 42,000 tonnes per
annum. AIMPL has also diversified into manufacturing specialty
steel used in various engineering applications.

AIMPL incurred a net loss of INR31 million on net sales of INR759
million for 2012-13, vis-…-vis a net loss of INR13 million on net
sales of INR872 million for 2011-12.


ASHOK MOTORS: CARE Rates INR16cr LT Bank Loans at 'B+'
------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Ashok
Motors.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank         16        CARE B+ Assigned
   Facilities

The rating assigned by CARE is based on the capital deployed by
the proprietor and the financial strength of the entity at
present. The rating may undergo change in case of the withdrawal
of the capital or the unsecured loans brought in by the proprietor
in addition to the financial performance and other relevant
factors.

Rating Rationale

The rating assigned to the bank facilities of Ashok Motors is
primarily constrained by its weak financial risk profile marked by
low profitability margins, highly leveraged capital structure,
stretched liquidity position and weak debt coverage indicators.
The rating is further constrained by the high working capital
intensity of its operations, limited bargaining power of the
company with the principal manufacturer, increasing competition in
the automobile dealership space and the dependence on volume
momentum.

The aforesaid constraints are partially offset by the longstanding
experience of the proprietor in the automobile dealership space,
its long track record of operations and the advantage of being an
authorised dealer of M&M for four districts of Assam.

The ability of the entity to improve the profitability margins,
liquidity position and capital structure through effective
management of working capital would remain the key rating
sensitivities.

Ashok Motors was set up as a proprietorship entity in the year
1945 by the late Mr Biswanath Tibrewal of Tezpur, Assam, initially
commenced as dealer of British company's passenger vehicles. Later
in 1950, it switched to the dealership of Hindustan Motors.
Subsequently in 1996, the entity discontinued the dealership of
HM's vehicles owing to a fall in demand and became the authorized
dealer of Mahindra & Mahindra Limited (M&M). After the demise of
Mr Biswanath Tibrewal in 1998, the entity has been spearheaded by
his son Mr Pradip Kumar Tibrewal.

The entity offers utility vehicles, commercial vehicles and three
wheelers of M&M through its showrooms (self-owned) equipped with
3-S facilities (Sales, Service and Spare-parts) at Tezpur,
Assam along with five selling outlets (one each in Mangaldoi,
Biswanath Chariali, North Lakhimpur, Gohpur and Odalguri town of
Assam). Apart from this, the entity also purchases and
sells pre-owned cars. It has a stock-yard (self-owned) in close
proximity to the showroom, having a capacity to store around 200
vehicles.

In FY13 (refers to the period April 1 to March 31), ASHOK reported
a PBILDT of INR1.59 crore and a PAT of INR0.07 crore on a total
operating income of INR104.10 crore.


BANK OF BARODA: Moody's Assigns Baa3 Rating to Sr. Unsec. Notes
-----------------------------------------------------------------
Moody's Investors Service has assigned a Baa3 rating to the
proposed USD benchmark senior unsecured notes by Bank of Baroda
(BOB, deposits Baa3 stable, BFSR D/BCA ba2 negative), acting
through its London branch.

The proposed notes are expected to mature in 2019. The notes will
be listed on the Singapore Stock Exchange.

The rating outlook is stable.

RATINGS RATIONALE

The Baa3 senior unsecured debt rating is based on BOB's ba2
baseline credit assessment (BCA) and the very high likelihood of
systemic support in the event of a crisis.

BOB's standalone bank financial strength rating (BFSR) of D is
equivalent to a BCA of ba2, reflecting the bank's: (1) sound
deposits franchise, as the second-largest commercial bank in India
by assets; and (2) moderate financial metrics relative to other
rated Indian banks and regional peers.

The key financial factors underpinning BOB's standalone rating are
its weak asset quality metrics in challenging macroeconomic
conditions, including a continued rise in gross NPLs and high
levels of restructured loans. On balance, its rating also accounts
for its adequate earnings power relative to its domestic peers and
its comfortable liquidity position.

Nonetheless, Moody's believes that the probability of systemic
support for BOB, if needed, is very high, given the bank's
importance to the domestic banking system. BOB held a 6% share of
total system deposits at 31 March 2013, giving it the second
largest market share among commercial banks in India. The bank
also has a close relationship with the government of India (Baa3
stable) -- which owns a 55.4% stake in the bank -- as evidenced by
the government's track record of capital infusions to the bank.

Moody's assessment of systemic support results in a two notch
uplift of the bank's senior unsecured debt rating and local
currency deposit ratings to Baa3 from BOB's BCA of ba2.

The full list of Moody's ratings and outlooks assigned to Bank of
Baroda and its London branch are as follows:

Bank of Baroda

Bank financial strength rating -- D, negative

Baseline credit assessment -- ba2

Local and foreign currency bank deposits -- Baa3/P-3, stable

Bank of Baroda (London)

Senior Unsecured foreign currency debt -- Baa3, stable

Senior unsecured MTN program (foreign currency) -- (P)Baa3

Subordinate foreign currency debt -- Ba2, negative

Subordinate MTN program (foreign currency) -- (P)Ba2

Junior subordinate MTN program (foreign currency) -- (P)Ba3

The principal methodology used in this rating was Global Banks
published in May 2013.

Bank of Baroda, headquartered in Mumbai, had assets of INR5.63
trillion as of September 30, 2013.


BRAND CONCEPTS: CRISIL Reaffirms 'B-' Ratings on INR95MM Loans
--------------------------------------------------------------
CRISIL's ratings on the bank facilities of Brand Concepts Pvt Ltd
continue to reflect the company's weak financial risk profile,
marked by a high gearing, and a small net worth.

                          Amount
   Facilities           (INR Mln)   Ratings
   ----------           ---------   -------
   Bank Guarantee           5       CRISIL A4 (Reaffirmed)

   Cash Credit             77       CRISIL B-/Stable (Reaffirmed)

   Letter of Credit        30       CRISIL A4 (Reaffirmed)

   Proposed Long-Term
   Bank Loan Facility       1.1     CRISIL B-/Stable (Reaffirmed)

   Term Loan               16.9     CRISIL B-/Stable (Reaffirmed)

The ratings also factor in BCPL's weak debt protection metrics and
large working capital requirements. These rating weaknesses are
partially offset by the benefits that BCPL derives from its all-
India exclusive licensing arrangement with established brands, low
dependence on a single channel of distribution, low product
concentration, and an experienced management team.

Outlook: Stable

CRISIL believes that BCPL will continue to benefit from its
established position in the branded goods segment and the
experience of its management team over the medium term. The
outlook may be revised to 'Positive' if the company scales up its
operations and enhances its operating margin without a significant
increase in its working capital requirements, coupled with an
improvement in its gearing and infusion of equity capital by the
promoters, thereby improving its capital structure and debt
protection metrics. Conversely, the outlook may be revised to
'Negative' if BCPL is unable to ramp up its operations, leading to
continued pressure on its capital structure and weak debt
protection metrics.

Update

BCPL's revenues registered a 51 per cent year-on-year growth to
around INR328 million in 2012-13 (refers to financial year,
April 1 to March 31); the company's revenue growth has been
primarily driven by increased sales through BCPL's own stores and
sales through dealers. An improvement in sales in 2012-13 led to a
reduction in fixed costs per unit, thus improving BCPL's operating
margin to 4.63 per cent vis-…-vis a negative operating margin
registered in 2011-12 due to operating losses.

BCPL has working-capital-intensive operations with its estimated
gross current assets (GCAs) of around 237 days as on March 31,
2013 driven by inventory of around 72 days and receivables cycle
of 157 days, leading to high bank limit utilization of 98 per cent
over the past 12 months ended through September 2013. The
company's GCAs have ranged between 235 and 320 days from 2008-09
to 2012-13.

BCPL's net worth was negative INR18 million, as on March 31, 2013,
due to losses incurred over the past two years. The company's
total indebtedness to fund its working capital requirements was
high; additionally, negative net worth resulted in a high total
outside liabilities to tangible net worth ratio at negative 15.13
times as on March 31, 2013.

BCPL was incorporated in 2007 and has countrywide exclusive
licenses to sell branded goods, such as small leather goods. These
include wallets of brands such as Tommy Hilfiger and Arrow, and
women's handbags of brands such as Rocky S and Paris Hilton.


EMPIRE PHOTOVOLTAIC: CRISIL Cuts Ratings on INR170MM Loans to D
---------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Empire Photovoltaic Systems Pvt Ltd to 'CRISIL D' from 'CRISIL
B-/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit              40.00    CRISIL D (Downgraded from
                                     'CRISIL B-/Stable')

   Proposed Long-Term        2.50    CRISIL D (Downgraded from
   Bank Loan Facility                'CRISIL B-/Stable')

   Term Loan               127.50    CRISIL D (Downgraded from
                                     'CRISIL B-/Stable')

The rating downgrade reflects instances of delay by EPSPL in
servicing its debt; the delays have been caused by EPSPL's weak
liquidity.

EPSPL has a below-average financial risk profile marked by its
small net worth, high gearing and below-average debt protection
metrics. The company is also susceptible to volatility in raw
material prices, and is exposed to intense competition in the
solar photovoltaic module manufacturing industry. However, the
company benefits from the healthy growth prospects for the solar
power industry.

Incorporated in 2010, EPSPL set up a 35-megawatt fully automated
solar photovoltaic module manufacturing unit in Hyderabad, Andhra
Pradesh. Promoted by technocrat Mr. L Anil Kumar and his friends,
the company began commercial operations in June 2012.


HARIHAR ALLOYS: CARE Ups Rating on INR29.69cr Loans to 'B'
----------------------------------------------------------
CARE revises the ratings assigned to the bank facilities of
Harihar Alloys Private Limited.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank        29.69      CARE B Revised from
   Facilities                       CARE D

   Short-term Bank        1.00      CARE A4 Revised from
   Facilities                       CARE D

Rating Rationale

The revision in the rating factors in the timely servicing of debt
obligations by Harihar Alloys Private Limited. The ratings
continue to factor in the susceptibility of margins to volatile
raw material price and forex risk, client concentration risk,
notwithstanding its long standing association with its customers,
relatively low capacity utilization on account of power
constraints and relatively high leverage. The ratings are further
constrained by the working capital intensive nature of the
business as well as the vulnerability of revenues to the
cyclicality of demand and to the changes in global economic
scenario owing to the higher dependence on exports. The ratings,
however, do factor in the promoter's experience in the engineering
industry and proximity to raw material source.

Going forward, the ability of the company to improve the capacity
utilization, diversify its clientele & geographical base and any
significant increase in leverage will be the key rating
sensitivities.

Harihar Alloys Pvt Ltd is primarily engaged in the manufacturing
of carbon steel castings, low alloy steel castings and forged
components. HAPL was originally incorporated as Harihar Castings
Pvt Ltd in 1995 to manufacture castings. In April 2009, another
group company, M/s Harihar Forgings Pvt Ltd engaged in the
manufacturing of forged components was amalgamated with HCPL and
subsequently in July 2010, the company's name was changed to HAPL.

The castings and forging components manufactured by HAPL include
valve components, oil field equipment components, etc. HAPL mainly
caters to oil & gas, earth moving and engineering industries in
the domestic and international markets. During FY13 (refers to the
period April 1 to March 31), castings accounted for 78% of total
income. Exports accounted for 57% of total income.

As on March 31, 2013, HAPL had an aggregate installed capacity of
8,000 MTPA (Metric Tonnes Per Annum) of castings and 9,000 MTPA of
forgings spread across three units in Tamil Nadu.

HAPL has achieved a PAT of INR2.54 crore on a total operating
income of INR102.58 crore in FY13 as compared with a PAT of
INR5.90 crore on a total operating income of INR100.98 crore in
FY12.


HEXA CERAMIC: ICRA Reaffirms 'B+' Ratings on INR7.95cr Loans
------------------------------------------------------------
ICRA has reaffirmed the rating of '[ICRA]B+' to the INR3.75 Cr.
cash credit facility and INR2.45 Cr. term loan facility (reduced
from INR4.20 Cr.) of Hexa Ceramic Private Limited. ICRA has
reaffirmed the rating of '[ICRA]A4' to the INR0.60 crore short-
term non-fund based facility of HCPL.

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Cash Credit           3.75       [ICRA]B+ reaffirmed
   Term Loan             2.45       [ICRA]B+ reaffirmed
   Unallocated           1.75       [ICRA]B+ reaffirmed
   Bank Guarantee        0.60       [ICRA]A4 reaffirmed

The ratings continue to be constrained by the small scale of
operations of the entity and modest financial profile of the
company with average profitability margins, leveraged capital
structure and high working capital intensity. Further the ratings
are constrained by its limited portfolio comprising only ceramic
floor tiles which restricts its sales prospects and dealings with
large institutional buyers and the highly fragmented nature of the
tiles industry which results in intense competitive pressures. The
ratings also take into account the cyclical nature of the real
estate industry which is the main consuming sector and exposure of
profitability of the company to increasing prices of gas which is
the major fuel.

The ratings however take comfort from the reasonable experience of
the founder promoter in the ceramic industry and the company's
competitive advantage in raw material procurement on account of
its favorable location in Morbi.

Incorporated in 2009, Hexa Ceramic Private Limited commenced
commercial production of ceramic wall tiles in March 2009 with a
production capacity of 18,000 MTPA. Its plant is located at Morbi
in Rajkot district of Gujarat. HCPL is a private limited company
and has been incorporated by Mr Dinesh Rupala and Mr. Mansukh
Kotadiya. Both the promoters have reasonable experience in the
construction and building materials industry. The company
currently manufactures wall tiles of various sizes and sells under
'Hexa' brand.

Recent Results

For the year ended March 31, 2013, HCPL reported an operating
income of INR18.05 Cr. and profit after tax of INR0.36 Cr. as
against an operating income of INR17.58 Cr. and a profit after tax
of INR0.39 Cr. during FY12.


KIRTILAL M SHAH: ICRA Cuts Rating on INR110cr Loans to 'B+'
-----------------------------------------------------------
ICRA has revised downwards the long term rating from '[ICRA]BB-'
to '[ICRA]B+' and reaffirmed the short term rating at '[ICRA]A4'
for the INR110.00 crore fund based limits of Kirtilal M Shah. The
utilization of fund based limits should not exceed the sanctioned
limit of INR108.66 crore at any point of usage.

                          Amount
   Facilities          (INR crore)     Ratings
   ----------          -----------     -------
   Fund Based Limits       110.00      [ICRA]B+ Revised/[ICRA]A4
                                       Re-affirmed

The revision in ratings reflects the deteriorating liquidity of
Kirtilal M Shah given the delays in realization of export bills
discounted with banks resulting in overutilization of working
capital limits entailing a leveraged capital structure. The
ratings also factor in the weakening of profitability given the
increase in the cost of rough diamonds along with the depreciating
Indian Rupee and the weakening of Cut and Polished Diamonds (CPDs)
sector, together with the high competitive intensity in the
business. The ratings, nevertheless, positively take into account
the long standing experience of the promoters in the CPD business
and the advantages derived from its long and established relations
with customers.

M/s Kirtilal M Shah is a partnership firm established in 1968. The
firm is managed by six partners namely, Mrs. Sonal V. Shah, Mr.
Nalin J. Shah, Mr. Dipak G. Shah, Mr. Dilip G. Shah, Mr. Pankaj G.
Shah and Mr. Sunil Gagaldas Shah. KMS is engaged in the import of
rough diamonds and the manufacture and export of Cut and Polished
Diamonds. The firm has a marketing office at Mumbai and two
production facilities at Surat and Navsari. The firm is a Star
Trading House and an Export House. KMS is also a member of Gems
and Jewellery Export Promotion Council.

Recent Results

KMS recorded a net profit of INR1.54 crore on an operating income
of INR221.81 crore for the year ending March 31, 2013.


MITTER FASTENERS: ICRA Revises Rating on INR17.51cr Loan to B+
--------------------------------------------------------------
ICRA has revised the long term rating from '[ICRA]BB-' to
'[ICRA]B+' assigned to INR17.51 crore fund based bank limits of
Mitter Fasteners.  ICRA has also reaffirmed [ICRA]A4 rating
assigned to INR1.70 crore non-fund based bank facilities of MF.

                            Amount
   Facilities             (INR crore)   Ratings
   ----------             -----------   -------
   Fund Based Limits         17.51      Revised to [ICRA]B+
   Non-Fund-based Limits      1.70      Reaffirmed at [ICRA]A4

The rating revision factors in the decline in the operating income
and the profitability of the firm on account of subdued order
inflow from the automobile industry and continuing high
competitive intensity. This coupled with the debt funded capex
undertaken by the firm in the last year and continuing high
working capital intensity of operations has led to the
deterioration in the debt protection metrics. Further, the ratings
are constrained by the sizeable repayment obligations in relation
to the cash accruals for the firm. In addition, the ratings
continue to factor in the relatively high operating risks in MF's
core business of manufacturing fasteners arising out of low value
additive nature of its operations, high competitive pressures
arising out of low entry barriers and vulnerability of operations
to steel price movements. ICRA also take note of the risks
inherent in a proprietorship firm such as limited ability to raise
equity capital, risk of dissolution due to
death/retirement/insolvency of proprietor etc.

The ratings, however, continue derive comfort from the experienced
management of MF with more than two decades of experience in the
business and its diversified client portfolio which mitigates the
client concentration risk to an extent.

Established in 1982, Mitter Fasteners, a proprietorship firm,
promoted by Mr. Mukesh Sahani and his family members, is involved
in the business of manufacturing of fasteners and other fabricated
items. The firm manufactures cold forged products, sheet metal
components, and machined products. It supplies its products
directly to reputed and established Original Equipment
Manufacturer (OEM) and ancillary units. The firm operates from its
manufacturing facilities located in Ludhiana, Rudrapur and
Lucknow.

Recent Results:

MF reported a net profit of INR1.64 crore on an operating income
of INR68.03 crore for the year ended March 31, 2013 and a net
profit of INR3.79 crore on an operating income of INR72.33 crore
for the year ended March 31, 2012.


OZON VITRIFIED: CARE Reaffirms 'B+' Rating on INR16.03cr LT Loans
-----------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Ozon Vitrified Private Limited.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank
   Facilities            16.03      CARE B+ Reaffirmed

   Short-term Bank
   Facilities             1.80      CARE A4 Reaffirmed

Rating Rationale

The ratings assigned to the bank facilities of Ozon Vitrified
Private Limited continue to remain constrained on account of its
modest scale of operations and its weak financial risk profile
marked by thin profitability, leveraged capital structure and
moderate liquidity position. The ratings further continue to be
constrained on account of susceptibility of its profitability to
volatile raw material price and natural gas price coupled with its
presence in the highly competitive market for tiles with fortunes
linked to demand from the cyclical real estate sector.

The ratings, however, favorably take into account stabilization of
operations and growth in the total operating income coupled with
modest improvement in net profit margin and cash accruals during
FY13 (refers to the period April 1 to March 31). Furthermore, the
ratings continue to take into account the experience of the
promoters in the ceramic tile industry and its location in the
ceramic tiles hub with easy access to raw material, fuel and
labour.

The ability of OVPL to increase its scale of operations along with
the improvement in its profitability and capital structure while
managing raw material and fuel price volatility are the key
rating sensitivities.

OVPL is a closely held private limited company, incorporated in
July 2010 by six promoters having vast experience in vitrified
tiles manufacturing business. OVPL set up a vitrified tiles
manufacturing plant with an installed capacity of 43,000 Metric
Tonnes per Annum (MTPA) as on March 31, 2012. The commercial
production commenced from August 2011.

During FY13, OVPL achieved Profit after Tax (PAT) of INR0.21 crore
on a Total Operating Income(TOI) of INR39.00 crore as against a
net loss of INR0.87 crore on a TOI of 20.56 crore in FY12. OVPL
registered TOI of INR25.10 crore during H1FY14 (provisional).


RATHORE FREIGHT: CARE Reaffirms 'D' Ratings on INR6.84cr Loans
--------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Rathore Freight Carriers Private Limited.

                          Amount
   Facilities           (INR crore)    Ratings
   ----------           -----------    -------
   Long-term Bank           6.80       CARE D Reaffirmed
   Facilities

   Long-term/Short-         0.04       CARE D/CARE D Reaffirmed
   term Bank Facilities

Rating Rationale

The rating assigned to the bank facilities of Rathore Freight
Carriers Private Limited continues to remain constrained on
account of the delay in the servicing of debt obligations by the
company due to its stressed liquidity position as reflected by
elongated collection period resulting from delay in the
realisation of debtors.

The ability of the company to service its debt obligations in
timely manner would be the key rating sensitivity.

RFCPL was formed in the year 1993 by the late Mr Girdhari Singh
Rathore and is engaged in the transportation business. RFCPL
discontinued its operations in 2002 after earthquake in Gujarat
and resumed again in November 2009. Currently it is managed by Mr
Hanwant Singh Rathore, Managing Director, who manages the overall
administration of the company. The company has a fleet of 45
trailers engaged in transport of steel coils, marbles and
containers.  All the trailers are purchased from Ashok Leyland
having load carrying capacity of 40-49 tonnes each. The average
age of the trailers is 2.5 years.

As per the audited results for FY13 (refers to the period April 1
to March 31), RFCPL reported a PAT of INR0.21 crore (INR0.22 crore
in FY12) on a total operating income of INR19.49 crore (INR20.85
crore in FY12). During 9MFY14 (provisional), RFCPL registered TOI
of INR17.00 crore.


RSK INDUSTRIES: CARE Cuts Ratings on INR5.36cr Loans to 'D'
-----------------------------------------------------------
CARE revises the ratings assigned to the bank facilities of
RSK Industries Private Limited.

                         Amount
   Facilities         (INR crore)    Ratings
   ----------         -----------    -------
   Long-term Bank          1.36      CARE D Revised from
   Facilities                        CARE BB-

   Long-term/Short-        4.00      CARE D/CARE D Revised
   Term Bank Facilities              from CARE BB-/CARE A4

Rating Rationale

The revision in the ratings assigned to the bank facilities of RSK
Industries Private Limited are driven by the irregularity in debt
servicing owing to the weak liquidity position.  Improvement in
the debt servicing track record with better capacity utilization
of its existing facilities thereby improving its liquidity
position is the key rating sensitivity.

Bhavnagar-based, RSK was incorporated as a private limited company
by Mr Anil Jain and Mr Rakesh Bansal in April 2010. Later in July
2013, Mr Anil Jain has been retired and currently it is
managed by Mr Rakesh Bansal. Initially, RSK started its operations
of manufacturing Mild Steel Ingots (M S Ingots) with an installed
capacity of 18,000 metric tonnes per annum (MTPA) at their plant
located at Bhavnagar. Subsequently in FY12 (refers to the period
April 1 to March 31), RSK undertook a forward integration project
and started manufacturing of Steel Billets with an installed
capacity of 16,000 MTPA which finds application in the
manufacturing of TMT Bars and MS Angles. RSK procures key raw
material from the domestic market and sells the entire finished
goods domestically. Furthermore, RSK undertook forward integration
project of manufacturing of TMT bars and MS Angle by installing a
rolling machine in FY13.

Promoters are also engaged in the ship breaking business through
other entities namely K.P.G. Enterprise (promoted by Mr Rakesh
Bansal, rated CARE BB-; CARE A4+).

As per the audited results for FY13, RSK reported a total
operating income of INR57.92 crore (FY12: INR52.19 crore) with a
net profit of INR0.37 crore (FY12: INR0.31 crore).


S. A. PLYWOOD: CRISIL Rates INR22.5MM LT Bank Loan at 'B+'
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of S. A. Plywood Industry Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Short-Term
   Bank Loan Facility        50      CRISIL A4 (Assigned)

   Proposed Long-Term
   Bank Loan Facility        22.5    CRISIL B+/Stable (Assigned)

   Bank Guarantee             2.5    CRISIL A4 (Assigned)

The ratings reflect SAPIPL's below-average financial risk profile,
marked by a small net worth and weak debt protection metrics, and
its working-capital-intensive operations. These rating weaknesses
are partially offset by the extensive experience of SAPIPL's
promoters in the plywood industry.

For arriving at the ratings, CRISIL has treated the unsecured
loans of INR13.8 million extended by promoters and their
associates as neither debt nor equity, as the management has given
an undertaking that such loans will be retained in the business
over the next 5 financial years.

Outlook: Stable

CRISIL believes that SAPIPL will continue to benefit from its
promoters' extensive experience in the plywood business. The
outlook may be revised to 'Positive' if the company improves its
financial risk profile through sustained increase in scale of
operations, resulting in better accruals and improves its working
capital management. Conversely, the outlook may be revised to
'Negative' if SAPIPL undertakes any large, debt-funded capital
expenditure programme leading to deterioration in its financial
risk profile or there is a stretch in its working capital cycle.

SAPIPL, formed in 1979 as a partnership concern by Mr. Arun Saha
and Mr. Salil Shah, was reconstituted as a private limited company
in 2009. The company manufactures plywood, block board and flush
door at its facility in Mathabhanga in Coochbehar (West Bengal).
The company sells its products under the brand name Globe and
Glider.


SHANTHI HOSPITAL: ICRA Cuts Rating on INR9.48cr Loan to 'B+'
------------------------------------------------------------
ICRA has revised the long term rating assigned to the INR9.48
crore term loan (reduced from INR10.18 crore) of Shanthi Hospital
and Research Center Private Limited to '[ICRA]B+' from
'[ICRA] BB-'.

                       Amount
   Facilities        (INR crore)      Ratings
   ----------        -----------      -------
   Fund Based Limit      9.48         [ICRA]B+/revised from
                                      [ICRA]BB-(stable)

The rating revision factors in SHRC's continued weak financial
performance as reflected by operating losses and weak capital
structure marked by erosion of the net worth; ICRA notes that
though the occupancy levels have improved to 34% in FY13 (40% in 6
months in FY14) from 18% in the preceding fiscal, the occupancy
still remains at sub-par level in comparison to peers resulting in
inadequate cash flows to cover the debt repayment obligations.
The rating, however, draws comfort from the fact that all the
facilities are fully operational with no major capital expenditure
expected to be incurred in the near term. Besides, the rating is
also supported by the fact that SHRC is a multispecialty hospital
and its revenue is diversified across various specialties like
Orthopedics (41%), OBG (25%), and General Surgery (16%). Further,
the presence of experienced consultants in the company's panel of
doctors is likely to have a positive impact on the occupancy
levels of the hospital as well as improve its brand visibility.

Going forward, SHRC's ability to attain optimum occupancy levels
and generate sufficient cash flows to service the debt repayment
obligations would be the key rating sensitive factors. Besides,
the timely servicing of debt through group support in case of any
shortfall will be the key monitorable going forward.

Incorporated in the year 2003 by the Nadathur Group in association
with Dr. Sanjay Gururaj, SHRC set up a multi specialty hospital in
South Bangalore at 8th Block, Jayanagar and commissioned the
operations in June 2010. SHRC is a multi-specialty hospital
providing medical services in the field of General Surgery,
Obstetrics Gynaecology (OBG), Orthopedics, Urology, and
Pediatrics. The hospital is a comprehensive primary and secondary
healthcare unit with a built-up area of 37,000 sft and has a total
of 40 beds, which includes 6 ICU beds and 3 operation theatres.

The Nadathur group was founded in the year 2000 by Mr. N. S.
Raghavan - cofounder Infosys Technologies. Nadathur group is a
family backed private investment fund with an investment portfolio
of over USD 600 million across several asset classes - more than
$50 million has been invested in the Life-sciences and Healthcare
platform.

Recent Results

For the six months ended September 2013 (provisional), the company
had a net loss of INR1.79 crore and operating income of INR6.32
crore. For the financial year 2012-13, the Company's net loss
stood at INR5.39 crore on an operating income of INR10.20 crore,
against net losses of INR6.82 crore on operating income of INR5.73
crore for the financial year 2011-12.


SHEEL FOODS: CRISIL Assigns 'B-' Rating to INR200MM Bank Loan
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL B-/Stable' rating to the bank
facilities of Sheel Foods Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Long-Term       200      CRISIL B-/Stable (Assigned)
   Bank Loan Facility

The rating reflects SFL's weak financial risk profile marked by
weak debt protection indicators and high geographic concentration
in its revenue profile. These rating weaknesses are partially
offset by location advantage of hotels and funding support from
promoters.

Outlook: Stable

CRISIL believes that SFL will maintain its credit risk profile on
the back of its promoter's financial support. The outlook may be
revised to 'Positive' in case SFL generates higher-than-expected
cash accruals leading to improved financial risk profile.
Conversely, the outlook may be revised to 'Negative' in case of
any deterioration in the company's financial profile driven by
lower-than-expected cash accruals on account of low occupancy rate
or it undertakes any debt-funded capital expenditure programme.

SFL is in the hospitality business. The company owns three hotels
(three-star categories), namely Vista Park, Vista Woods and Vista
Signature in Gurgaon (Haryana). All the hotels are managed
professionally and key decisions are taken by its promoter
directors, Mr. Anil Thakran, Mr. Sushil Sharma and Mr. Raj Kumar
Sharma.

SFL reported a net loss of INR26.5 million on net sales of INR50.8
million for 2012-13 (refers to financial year, April 1 to March
31), as against a net loss of INR32.8 million on net sales of
INR68.9 million for 2011-12.


SHREE GANESH: CARE Reaffirms 'B' Rating on INR10.62cr Loans
-----------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Shree Ganesh Cotex.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank       10.62       CARE B Reaffirmed
   Facilities

The rating assigned by CARE is based on the capital deployed by
the partners and the financial strength of the firm at present.
The ratings may undergo change in case of the withdrawal of the
capital or the unsecured loans brought in by the partners in
addition to the financial performance and other relevant factors.

Rating Rationale

The rating assigned to the bank facilities of Shree Ganesh Cotex
continues to be constrained on account of the weak financial risk
profile marked by thin profit margins, leveraged capital structure
and weak debt coverage indicators. The rating is further
constrained by the volatility associated with raw material
(cotton) prices, impact of regulatory changes in the government
policy for cotton and its presence in the highly competitive and
fragmented cotton ginning business with limited value addition.
The ratings also remained constrained due to the declining
operating income, cash accruals and elongation in working capital
cycle during the last three years ending FY13 (refers to the
period April 1 to March 31).

The rating, however, continues to draw strength from the long
track record of the partners in the cotton ginning industry and
proximity to the cotton producing region of Gujarat.  SGC's
ability to improve its overall financial risk profile by moving up
in the value chain and thereby improving profit margins and
rationalization of debt levels along with better working capital
management remain the key rating sensitivities.

SGC was established in 2009 as a partnership firm. Currently there
are 11 partners who have an unequal holding in the firm and they
collectively look after the overall operations of the firm. SGC is
involved in cotton ginning & pressing with the main products as
cotton bales and cotton seeds. It has an installed capacity of
3,300 Metric Tonnes Per Annum (MTPA) for cotton bales and has four
expellers for cotton seed oil extraction having capacity of 8
Metric Tonnes Per Day (MTPD) as on March 31, 2013 at its sole
manufacturing facility located at Amreli (Gujarat).

During FY13, SGC reported a total operating income of INR24.35
crore (FY12: INR38.46 crore) and a PAT of INR0.04 crore (FY12:
INR0.05 crore).

As per the provisional results of 8MFY14, SGC achieved a turnover
of INR16.70 crore and a PBDT of INR0.11 crore.


SHREE SHIVAM: ICRA Reaffirms 'B' Ratings on INR5.23cr Loans
-----------------------------------------------------------
The rating of '[ICRA]B' has been reaffirmed to the INR4.00 crore
fund based cash credit facility and to INR1.23 crore term loan
facility of Shree Shivam Cotton Industries.

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Cash Credit           4.00       [ICRA]B reaffirmed
   Proposed Limits       1.23       [ICRA]B reaffirmed

The rating continues to be constrained by Shree Shivam Cotton
Industry's modest scale and its weak financial risk profile as
reflected by low profitability, leveraged capital structure along
with weak debt coverage indicators. The rating is further
constrained by the vulnerability of profitability to adverse
fluctuations in raw material prices which are subject to the
seasonal availability of raw cotton and government regulations on
MSP and export quota. The rating also takes into account the low
value additive nature of operations and intense competition on
account of the fragmented industry structure leading to thin
profit margins. Further, SSCI being a partnership firm, any
significant withdrawals from the capital account would affect its
net worth adversely.

The rating, however, positively considers the long experience of
the partners in the cotton ginning and pressing industry and the
advantages arising from the firm's proximity to the raw material
sources which ensures regular and easy availability of raw cotton
and favorable demand outlook for cotton and cottonseed.

Incorporated in 12, Shree Shivam Cotton Industries is engaged in
cotton ginning, pressing and cotton seed crushing facility with 24
ginning machines and 4 crushing machines having installed capacity
of producing 200 cotton bales and crushing 36 MT of cotton seed
per day. The firm is jointly promoted by Mr. Jivraj Padaliya and
Mr. Chandu Bediya along with five other partners. The firm's plant
is located in Rajkot (Gujarat).

Recent Results

For the year ended March 31, 2013, SSCI reported an operating
income of INR4.66 crore and profit after tax of INR0.07 crore. As
per unaudited provisional results for current year, the firm has
achieved an operating income of INR3.60 crore till October 2013
and profit before depreciation and taxes of INR0.01 crore.


SKYMAX CERAMIC: ICRA Revises Ratings on INR7.04cr Loans to 'B'
--------------------------------------------------------------
ICRA has revised the long term rating of '[ICRA]B+' to the INR4.54
crore term loans and the INR2.50 crore cash credit facility to
'[ICRA]B' of Skymax Ceramic. ICRA has also reaffirmed the short
term rating '[ICRA]A4' to the INR0.80 crore non fund based bank
guarantee facility of SC.

                          Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Cash Credit Limits      2.50       Revised from [ICRA]B+
                                      to [ICRA]B

   Term Loan Limits        4.54       Revised from [ICRA]B+
                                      to [ICRA]B

   Bank Guarantee          0.80       [ICRA]A4 reaffirmed

The revision in ratings factors in the deteriorating financial
profile characterized by low operating income, fall in margins,
tight liquidity, adverse capital structure and weak coverage
indicators. The ratings also take into consideration the
susceptibility of operations to the intense competition with the
presence of large established organized tile manufacturers and
unorganized players. ICRA also takes note of the dependence of
operations and cash flows of the company on the performance of the
real estate industry which is the main consuming sector for the
company's products, and the vulnerability to increasing prices of
gas and power.

The ratings, however, favorably consider the experience of the key
promoters in the ceramic industry and the location advantage
enjoyed by SC with its plant located in Morbi giving it easy
access to raw materials. Further, SC's foray into ceramic tile
manufacturing is expected to support revenue growth.

Established in 2008, Skymax Ceramic is currently engaged in
manufacturing of clay mix (slurry) which is used in manufacturing
of ceramic tiles. From FY 13 the firm forayed into manufacturing
of ceramic floor tiles, for which the firm has started the
commercial production for tiles from April 2012. The plant is
situated at Morbi, Gujarat. The plant has an installed capacity of
producing 24000 MT ceramic floor tiles per annum of 16" X 16''
size.

Recent Results

For the year ended March 31, 2013, SC reported an operating income
of INR6.55 crore and net loss of INR0.94 crore as against an
operating income of INR3.76 crore and a profit after tax of
INR0.01 crore during FY 2012


SLS MERCANTILE: CRISIL Reaffirms 'B' Ratings on INR100MM Loans
--------------------------------------------------------------
CRISIL's ratings on the bank facilities of SLS Mercantile Pvt Ltd
continue to reflect SLS's below-average financial risk profile
marked by high total outside liabilities to tangible net worth
(TOLTNW) ratio, large working capital requirements, and
susceptibility to volatility in steel prices. These rating
weaknesses are partially offset by the extensive experience of
SLS's promoters.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               80      CRISIL B/Stable (Reaffirmed)

   Letter of Credit          30      CRISIL A4 (Reaffirmed)

   Proposed Long-Term
   Bank Loan Facility        20      CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that SLS will continue to benefit over the medium
term from its promoters' extensive experience in the trading
business. The outlook may be revised to 'Positive' if the
company's capital structure improves, and its profitability
increases significantly, thereby improving its financial risk
profile. Conversely, the outlook may be revised to 'Negative' if
SLS's margin declines, most likely because of continued volatility
in steel prices, or the company's sales decline sharply, or if SLS
undertakes any large, debt-funded capital expenditure programme.

Update

SLS's revenue for 2012-13 (refers to financial year, April 1 to
March 31) was in line with CRISIL's expectations at INR1.1
billion; its operating margin of about 1.5 per cent in 2012-13 was
also in line with CRISIL's estimates. The company's operations
remain working capital intensive because of large receivables
days.

SLS's financial risk profile continues to be below average, marked
by high TOLTNW ratio and small net worth. In the absence of any
equity infusion over the medium term, the company's financial risk
profile is likely to remain at these levels.

SLS's liquidity remains stretched, marked by modest accruals and
high bank limit utilisation, mitigated by the absence of any term
debt obligations.

Set up in 2007, SLS trades in iron and steel (long and flat)
products. The company's day-to-day operations are managed by its
director, Mr. Praveen Sonthalia.

SLS reported a profit after tax (PAT) of INR1.7 million on net
sales of INR1.1 billion for 2012-13 as against PAT of INR1.7
million on net sales of INR893 million for 2011-12.


SRI KRISHNA: CRISIL Assigns 'B+' Ratings to INR120MM Loans
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Sri Krishna Sai Rice Industries.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Term Loan                 4       CRISIL B+/Stable (Assigned)

   Cash Credit              60       CRISIL B+/Stable (Assigned)

   Proposed Long-Term
   Bank Loan Facility       56       CRISIL B+/Stable (Assigned)

The rating reflects SKSRI's modest scale of operations and subdued
financial risk profile marked by a modest net worth, high gearing
and weak debt protection metrics. These rating weaknesses are
partially offset by the extensive industry experience of partners
in the rice milling industry.

Outlook: Stable

CRISIL believes that SKSRI will continue to benefit over the
medium term from its partners extensive experience in the rice
milling industry. The outlook may be revised to 'Positive' in case
the firm achieves significant and sustained improvement in its
revenues and margins, while improving its capital structure.
Conversely, the outlook may be revised to 'Negative' in case the
firm registers significant decline in its revenues or margins, or
undertakes a large debt-funded capital expenditure programme,
resulting in weakening in its financial risk profile.

SKSRI was established as partnership firm in 2002 by Mr.
Raghavaiah along with his family members. The firm is engaged in
the business of rice milling. SKSRI has its manufacturing
facilities in Nellore, Andhra Pradesh. The day to day operations
of the concern are managed by Mr. Raghavaiah.

SKSRI, reported a profit after tax (PAT) of INR 2.2 million on net
sales of INR 218.2 million for 2012-13 (refers to financial year,
April 1 to March 31), as against a PAT of INR 2 million on net
sales of INR 192.3 million for 2011-12.


SRI LAXMI: ICRA Revises Ratings on INR6.35cr Loans to 'B-'
----------------------------------------------------------
ICRA has revised the long-term rating assigned to INR5.11 crore
fund based limits and INR1.24 crore unallocated limits of Sri
Laxmi Revanth Rice Industries from '[ICRA]D' to '[ICRA]B-'.

                          Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Fund based Limits       5.11       [ICRA]B- revised
   Unallocated Limits      1.24       [ICRA]B- revised

The revision in rating primarily factors in the timely repayment
of the debt repayment obligations in the past six months. The
rating revision also takes comfort from the long experience of the
promoters in the rice mill business and favorable demand prospects
for rice with India being the second largest producer and consumer
of rice internationally. The rating however is constrained by the
weak financial profile characterized by a dip in revenue owing to
reduction in sales volume and intensely competitive nature of the
rice industry with presence of several small-scale players which
increases the pressure on the operating margins. The rating is
further constrained by the risks arising from the partnership
nature of the firm; susceptibility to agro-climatic risks which
impact the availability of the paddy in adverse weather condition
and the government policy restrictions on the quantity of rice
which can be sold in the open market limit the flexibility and
realizations for the firm. Going forward, improvement in revenues
while managing working capital requirements and reduction in debt
levels are the key rating sensitivities from credit perspective.

Founded in 2008, Sri Laxmi Revanth Rice Industries is a
partnership firm engaged in milling of paddy to produce raw and
boiled rice. The firm is based out in Nalgonda district of Andhra
Pradesh with a total Installed capacity of 48,000 million tonnes
per annum (MTPA) of paddy. The firm is also engaged in trading of
paddy.

Recent Results

In 2012-13, SLRRI reported net profit of INR0.09 crore on
operating income of INR10.06 crore as against net profit of
INR0.06 crore on operating income of INR16.45 crore in 2011-12.


UPAL DEVELOPERS: CRISIL Cuts Rating on INR1.08MM Loan to 'B-'
-------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank loan
facility of UPAL Developers Pvt Ltd to 'CRISIL B-/Stable' from
'CRISIL B/Negative'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Term Loan                1.08     CRISIL B-/Stable (Downgraded
                                     from 'CRISIL B/Negative')

The rating downgrade reflects CRISIL's belief that UDPL's
liquidity will deteriorate over the medium term because of low
receivables from the lessees as against its maturing debt.
Furthermore, UDPL suffered a net loss of INR25.1 million for 2012-
13 (refers to financial year, April 1 to March 31) owing to lower-
than-expected lease rentals. UPAL will remain dependent on funds
from its parent company to cover any cash flow mismatch to meet
its monthly debt obligations over the medium term. Timeliness of
such fund infusions by the parent company will remain a key rating
sensitivity factor.

The rating continues to reflect UDPL's weak financial risk
profile, marked by a highly leveraged capital structure and modest
debt protection metrics, resulting from significant debt
contracted to fund its project. Also, UDPL faces the risk of
temporary mismatches in cash flows because of potential delays in
receipt of rentals from its tenants. These rating weaknesses are
partially offset by CRISIL's belief that the promoters have a
strong track record of constructing and managing malls and the
company will continue to get funding support from the promoters as
and when required.

Outlook: Stable

CRISIL believes that UDPL will benefit from its promoters'
extensive experience in mall management over the medium term.
However, its financial risk profile will remain weak during this
period, given the large amount of debt availed of to fund the
construction of its mall, resulting in high interest outflow. The
outlook may be revised to 'Positive' if there is a significant
increase in cash flows generated by the company. Conversely, the
outlook may be revised to 'Negative' if there is a drop in
occupancy levels or lease rentals rates.

UDPL was incorporated in January 2006. The company was set up
mainly for the development and management of a mall-cum-multiplex
named Phoenix United in Lucknow (Uttar Pradesh). UDPL is promoted
by Kshitij Venture Capital Fund (30 per cent shareholding), Big
Apple Real Estate Pvt Ltd (62.5 per cent), and Edelweiss Trustee
Services Pvt Ltd (a subsidiary of Edelweiss Capital Ltd; 7.5 per
cent). UDPL's operations are managed by the Upal group.

For 2012-13 (refers to financial year, April 1 to March 31), UDPL
reported a net loss of INR25.1 million on net sales of INR250.3
million as against a net loss of INR66.5 million on net sales of
INR224.6 million for 2011-12.


VAISHNAVI COTTON: ICRA Reaffirms 'B+' Rating on INR7cr Loan
-----------------------------------------------------------
ICRA has reaffirmed the '[ICRA]B+' rating to the INR7.00 crore
cash credit facility of Vaishnavi Cotton Industries.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Cash Credit           7.00        [ICRA]B+ reaffirmed

The rating continues to be constrained by VCI's modest scale of
operations and weak financial risk profile characterized by weak
coverage indicators and thin profitability margins on account of
limited value addition in the business operations. The rating is
further constrained by susceptibility of cotton prices to
seasonality and government regulations on MSP and export quota
which together with high competitive industry environment further
exerts pressure on margins. Further, VCI being a partnership firm
any significant withdrawals from the capital account would affect
its net worth adversely.

The rating, however, favorably takes into account the long
experience of partners in the cotton ginning and pressing industry
and the advantages arising from the firm's proximity to the raw
material sources which ensures regular and easy availability of
raw cotton.

Vaishnavi Cotton Industries was set up as a partnership firm in
the year 2006 by Mr. Mukesh Patel and other family members. It is
engaged in processing of raw cotton to produce cotton bales and
cotton seeds. The manufacturing plant of the firm is situated in
Kadi, Gujarat and is equipped with thirty ginning machine with an
installed capacity to process 126 MT of raw cotton per day.

Recent Results

During FY13, the company reported a profit after tax of INR0.31
crore on an operating income of INR43.70 crore as against profit
after tax of INR0.27 crore on an operating income of INR45.45
crore in FY12.


WINMAX CERAMIC: ICRA Assigns 'B' Ratings to INR9.74cr Loans
-----------------------------------------------------------
The long-term rating of '[ICRA]B' has been assigned to the INR4.50
crore cash credit facility and the INR5.24 crore term loan
facility of Winmax Ceramic Private Limited. The short-term rating
of '[ICRA]A4' has also been assigned to the INR1.50 crore short-
term non-fund based facility of WCPL.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Cash Credit           4.50        [ICRA]B assigned
   Term Loan             5.24        [ICRA]B assigned
   Bank Guarantee        1.50        [ICRA]A4 assigned

The assigned ratings are constrained by the WCPL's relatively
small scale of operations with limited track record and financial
profile of the company which is expected to remain stretched in
the near term on account of debt funded acquisition of assets and
high working capital intensive nature of operations. The ratings
are further constrained by the vulnerability of the company's
profitability to the cyclicality inherent in the real estate
industry, which is the main consuming sector; and to the adverse
fluctuations in prices of raw materials and natural gas, which is
the major fuel. The ratings also take into account the highly
competitive domestic ceramic industry with presence of large
established organized tile manufacturers as well as unorganized
players in Morbi (Gujarat) resulting in limited pricing
flexibility.

The ratings, however, favourably take into account the experience
of the promoters in the ceramic industry and locational advantage
due to presence of the company's plant near Morbi, India's ceramic
hub, giving it easy access to raw material. The ratings also
factor in the benefit from the presence of group companies in
vitrified tile segment, which supports the marketing and sales of
the company's products to customers.

Incorporated in June 2013, Winmax Ceramic Private Limited is
engaged in manufacturing of digital ceramic wall tiles with its
production facility located near Morbi, Gujarat. WCPL purchased
the manufacturing facility of an already operational unit M/s.
Inox Ceramic and started commercial production from July 2013. It
currently manufactures digitally printed ceramic wall tiles of
three sizes 10" X 15" and 10" X 13" with total installed capacity
of -30,000 MTPA. The company is promoted by Panara and Baraiya
families who have long experience in ceramic industry by way of
their association with other related companies.



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


TOKYO ELECTRIC: Government To Appoint Fumio Sudo as New Chairman
----------------------------------------------------------------
The Japan Times reports that the government is making final
arrangements to appoint Fumio Sudo, an ex-president of steel-maker
JFE Holdings Inc., as the next chairman of Tokyo Electric Power
Co., which is trying to restructure as it struggles with the
Fukushima nuclear crisis.

According to the report, sources said Mr. Sudo, 72, currently an
outside director of Tepco, will have the task of helping the
utility continue the cleanup effort at Fukushima No. 1 while
reviving its battered business.

The Japan Times relates that Tepco and the Nuclear Damage
Liability Facilitation Fund filed on Dec. 27 for government
approval of a new 10-year business plan that features more
financial support from the government and the restart of reactors
at Tepco's Kashiwazaki-Kariwa nuclear plant in Niigata Prefecture
from July.

With the business plan likely to be endorsed by the government in
January, current Tepco Chairman Kazuhiko Shimokobe, 66, could step
down before the end of his term in June, the sources said, The
Japan Times reports.

The Japan Times relates that sources said Mr. Sudo is considered a
suitable successor because of his extensive experience in
corporate management and his contribution to the reconstruction of
Tepco as an outside director.

But even if Mr. Sudo takes the helm, it remains to be seen if
Tepco can get back on track in accordance with the new business
plan, given the uncertainty over whether any of the seven
Kashiwazaki-Kariwa reactors will be allowed to be restarted, The
Japan Times says.

Tokyo Electric Power Company is the largest electric power
company in Japan and the largest privately owned electric
utility in the world.  TEPCO supplies electricity to meet the
increasingly diversified and sophisticated demands of its over
28.09 million customers in the metropolitan Tokyo, which is the
political, economic, and cultural center of Japan, and eight
surrounding prefectures.

Bloomberg News said the utility is battling radiation leaks at
the Fukushima Dai-Ichi power plant north of Tokyo after a
March 11 earthquake and tsunami knocked out its cooling systems,
causing the biggest atomic accident in 25 years.  More than
50,000 households were forced to evacuate and Bank of America
Corp.'s Merrill Lynch estimates TEPCO may face compensation
claims of as much as JPY11 trillion (US$135 billion).

As reported in the Troubled Company Reporter-Asia Pacific on
May 11, 2012, Bloomberg News said Japan's government took control
of Tepco and agreed to provide JPY1 trillion (US$12.5 billion) as
part of the nation's largest bailout since the rescue of the
banking industry in the 1990s.

Bloomberg related that the government will obtain more than 50%
of the voting rights in the utility under a 10-year plan approved
on May 8 by Trade and Industry Minister Yukio Edano. The
government stake may rise to two-thirds if TEPCO fails to meet
goals that include cost cuts and compensation payments, said
Bloomberg.

Under the plan, Bloomberg disclosed, the utility aims for an
unconsolidated profit of JPY106.7 billion in the year ending
March 2014, based on an electricity rate increase and the restart
of the Kashiwazaki Kariwa nuclear station.  Bloomberg says
nationalization of TEPCO paves the way for the government to
restructure the electricity industry monopolized by regional
utilities and possibly break up power generation and transmission
networks to allow more competition.



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


PRIME GLOBAL: B F Borgers Raises Going Concern Doubt
----------------------------------------------------
Prime Global Capital Group Incorporated filed with the U.S.
Securities and Exchange Commission on Dec. 24, 2013, its annual
report on Form 10-K for the fiscal year ended Oct. 31, 2013.

B F Borgers CPA PC expressed substantial doubt about the
Company's ability to continue as a going concern, citing that the
Company suffered from significant operating loss and working
capital deficit of $1,887,783.  The continuation of the Company as
a going concern through October 31, 2014, is dependent upon
improving the profitability and the continuing financial support
from its stockholders.  Management believes the existing
shareholders will provide the additional cash to meet the
Company's obligations as they become due.

The Company reported a net loss of $2.09 million on $1.95 million
of net revenues in Oct. 31, 2013, compared with a net income of
$1.47 million on $3.05 million of net revenues in Oct. 31, 2012.

The Company's balance sheet at Oct. 31, 2013, showed $61.74
million in total assets, $25.52 million in total liabilities, and
stockholders' equity of $36.22 million.

A copy of the Form 10-K is available at:

                       http://is.gd/OELEe9

Kuala Lumpur, Malaysia-based Prime Global Capital Group
Incorporated operates in the following four business segments: (i)
the provision of IT consulting, programming and website
development services; (ii) its  oilseeds business; (iii) its real
estate business and (iv) the distribution of consumer products.
The Company's software, oilseeds and real estate businesses
accounted for all of the Company's revenues for the six months
ended April 30, 2013.  The Company did not generate any revenues
from the distribution of consumer products during such period.



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


CIVIC VIDEO: Store to Close Doors; Owner Blames Online Piracy
-------------------------------------------------------------
Kashka Tunstall at Waikato Times reports that Civic Video on
Ulster St is shutting up on Jan. 12, with owner Herms Brascamp
saying internet piracy has delivered the final blow to a store
that has been struggling for years.

Waikato Times relates that the Rotorua-based man and his wife
Menke have been running the Ulster St store since 2000, and
Mr. Brascamp said in that time the business had never turned a
profit.

"The reason we're closing is the turnover we have -- the money
that comes in -- is not enough to pay the bills," the report
quotes Mr. Brascamp as saying.  "We've not earned any money out of
that shop, not a single cent. It's always been a struggle to keep
it going and while we've had the shop we've got into debt."

At one stage, the Brascamps operated five Civic Video outlets
across the central North Island -- in Cambridge, Whakatane, Taupo
and Rotorua, as well as the Hamilton store.

When the Ulster St store closes, only the Rotorua shop will
remain, Waikato Times says.

According to the report, the shop will officially stop renting on
Jan. 12. Then the owners will put its 20,000-plus film and game
titles in the store up for sale at the site from January 13 to
January 31, the report adds.

The shop's two fulltime staff and three part-time employees were
notified about the closure last week, Waikato Times notes.



====================
S O U T H  K O R E A
====================


HYUNDAI GROUP: Analysts Raise Doubt on Self-Rescue Plan
-------------------------------------------------------
Kim Rahn at The Korea Times reports that Hyundai Group's plan to
sell its core assets to secure cash is raising concerns due to
uncertainties in the sales process and economic situation.

According to the report, analysts said the plan may help address
the group's liquidity shortage to some extent, but may create
other problems by making key businesses unstable.

The Korea Times relates that such concerns were raised after
Hyundai announced in December that it would secure over
KRW3.3 trillion by selling all three of its financial units --
Hyundai Securities, Hyundai Savings Bank and Hyundai Asset
Management -- in a bid to avoid a liquidity crisis and lower its
high debt ratio.

Commenting on the scheme, the Korea Investors Service (KIS) said
in a recent report that the group has not shown details on how and
when it will sell the affiliates and the assets -- an important
factor for the financial condition of Hyundai Merchant Marine, the
group's flagship unit, according to The Korea Times.

"Price competitiveness of rival foreign shipping companies is
getting strong and their market shares are getting larger. It is
also highly uncertain whether the industry can recover from
recession and whether Hyundai Merchant Marine can regain profits.
Considering all that, selling the bulk carrier business and harbor
terminals may lower the firm's business stability and
competitiveness from a long-term point of view," the report,
obtained by The Korea Times, said.

The Korea Times reports that Rew Seung-hyup, analyst at the
ratings agency, said, "I don't know whether Hyundai Merchant
Marine alone can solve the liquidity problem, as the group has a
complicated cross-shareholding structure among affiliates,
including the shipping one."

He also said resolving the problem may be beyond Hyundai Group's
ability due to the uncertain industry situation. "It is said the
shipping industry is showing signs of recovery. But the signs have
appeared and disappeared several times in recent years, so it is
difficult to ensure a real recovery this time," The Korea Times
quotes Mr. Rew as saying.

The Nice Investors Service also expressed concerns over whether
the selling of the bulk carrier business and the terminal can
provide the group with KRW1.5 trillion in fresh funds as planned,
because the company will have to pay off related debts it borrowed
for the facilities, The Korea Times adds.

"By selling the profit-making businesses, Hyundai Merchant Marine
may have fewer sources of cash," the agency said in a recent
report cited by The Korea Times.

For Hyundai Elevator, the reports said, the firm's liquidity
shortage may be eased if it successfully raises KRW217.5 billion
in equity capital in March by issuing additional shares, The Korea
Times adds.



================
S R I  L A N K A
================


SRI LANKA: Moody's Assigns (P)B1 Rating to Global Bond Offering
---------------------------------------------------------------
Moody's Investors Service has assigned a provisional rating of
(P)B1 to the Government of Sri Lanka's announced bond offering.
The outlook is stable.

RATINGS RATIONALE

In July 2013 Moody's affirmed Sri Lanka's B1 rating and changed
the outlook to stable from positive. The action was prompted by:
1) the stabilization in the external payments position, following
the sizable loss of foreign reserves in 2011, but without enough
improvement to support a positive rating action; and 2) the pause
in significant reduction in the government's very high debt
burden.

Sri Lanka's B1 government bond rating is supported by the
country's relatively strong growth performance and prospects
following the end of the nearly three-decade long civil war that
ended in 2009. Our institutional strength assessment incorporates
the government's default-free payments record.

Credit challenges largely lie in Moody's assessment of fiscal
strength. This reflects the government's large debt burden, almost
twice as high as B and Caa-rated peers, and heavy debt service
requirements in relation to both GDP and government revenues.
Although fiscal reforms and improved public-sector enterprise
financial performance have started to gain traction, budget
deficits remain relatively high and revenue mobilization weak.
Therefore, the path of fiscal consolidation and debt reduction
will likely be gradual.

In addition, Sri Lanka has historically had relatively high
inflation compared with peers, although inflation has recently
moderated to the mid-single digit range where it is likely to
remain in the near term.

The stable rating outlook reflects improvement in macroeconomic
growth and inflation performance in 2013, as well as the
resilience of the country's balance of payments. But it also
incorporates the government's high debt burden.

Over the longer term, the government's credit profile would
improve from more progress in fiscal consolidation and further
reduction in external vulnerabilities. These would be helped by
continued improvement in the investment environment and the
maintenance of strong economic growth prospects. Continued
progress in the economic integration of the northern and eastern
regions would also improve the growth outlook.

GDP per capita (PPP basis, US$): 6,046 (2012 Actual) (also known
as Per Capita Income)

Real GDP growth (% change): 6.4% (2012 Actual) (also known as GDP
Growth)

Inflation Rate (CPI, % change Dec/Dec): 9.2% (2012 Actual)

Gen. Gov. Financial Balance/GDP: -6.4% (2012 Actual) (also known
as Fiscal Balance)

Current Account Balance/GDP: -6.6% (2012 Actual) (also known as
External Balance)

External debt/GDP: 56.7% (2012 Actual)

Level of economic development: Low level of economic resilience

Default history: No default events (on bonds or loans) have been
recorded.

The principal methodology used in this rating was Sovereign Bond
Ratings published in September 2013.

The weighting of all rating factors is described in the
methodology used in this rating action, if applicable.


SRI LANKA: S&P Assigns 'B+' Rating to US$-Denominated Global Bond
-----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' senior
unsecured debt rating to the proposed benchmark size U.S.-dollar-
denominated global bond issue by the Democratic Socialist Republic
of Sri Lanka (B+/Stable/B).  The bonds mature in January 2019.

The bonds will constitute direct, unconditional, unsubordinated
and unsecured general obligations of the issuer, and payments will
be backed by the full faith and credit of Sri Lanka.

The sovereign credit ratings on Sri Lanka take into account the
country's relatively weak external liquidity, moderately high and
increasing external debt, and a high government debt and interest
burden.  In addition, some of the country's political institutions
lack extensive checks and balances.

If Sri Lanka sustains its recent improvements in external
indicators, including a reduction in the current account deficit,
these rating constraints could ease.

The rating constraints are balanced against robust growth
prospects.  Growth drivers include government measures to
reconstruct the northern districts, improve the finances of public
enterprises, and limit inflation to single digits.



=============
V I E T N A M
=============


* VIETNAM: More Enterprises Shut Down Business, Hepza Says
----------------------------------------------------------
Vietnamnet Bridge reports that the HCMC export processing zones
and industrial parks authority (Hepza) said the number of
enterprises in such concentrated production zones shutting down
business this year has still been on the rise.

This year to date, 20 such enterprises have suspended operations,
including 13 foreign-invested enterprises with total capital of
US$18.38 million and seven local firms with combined chartered
capital of VND122.8 billion, notes the report.

According to Vietnamnet Bridge, Hepza said there are up to 32
enterprises performing business liquidation before the expiry,
including five foreign-invested enterprises. The watchdog
explained that most enterprises liquidating business before terms
have operated perfunctorily or have scaled down business, the
report relays.

Last year, the report recalls, there were only 15 enterprises
liquidating business before the expiry date.

In its report, Hepza also stated that 35 enterprises have scaled
down business by 20%-30% compared to designed capacities,
including 15 foreign-invested firms, Vietnamnet Bridge relays.

The dreary business by enterprises in such IPs and EPZs is also
reflected by the dwindling purchase of goods and materials from
the local market, Vietnamnet Bridge notes.



                             *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, and Peter A. Chapman,
Editors.

Copyright 2014.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$775 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Peter Chapman at 215-945-7000 or Nina Novak at 202-241-8200.



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