/raid1/www/Hosts/bankrupt/TCRAP_Public/140212.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, February 12, 2014, Vol. 17, No. 30
Headlines
A U S T R A L I A
AURORA OIL: S&P Puts 'B' Corp. Credit Rating on CreditWatch Pos.
FORGE GROUP: Collapses After ANZ Withdraws Financial Support
MINERITE PTY: Vincents Chartered Appointed as Administrators
C H I N A
AGILE PROPERTY: Moody's Assigns Ba2 Rating on Proposed Sr. Notes
AGILE PROPERTY: S&P Assigns 'BB-' Rating to US$ Sr. Unsec. Notes
BEIJING CAPITAL: Fitch Rates $1BB Med Term Note Programme 'BB+'
CENTRAL PLAZA: Moody's Assigns (P)Ba3 Rating on MTN Program
CHINA NATURAL: Feb. 25 Hearing on Plan Filing Extension Bid Set
SUNTECH POWER: Subsidiary Wins Judgment vs. Suntech Singapore
I N D I A
AIR INDIA: To Seek Compensation From Boeing
ARG ROYAL: CARE Upgrades Rating on INR12cr Bank Loans to 'B+'
ARIHANT ORGANICS: CARE Assigns 'B+' Rating to INR6.90cr Loans
BALARAMA KRISHNA: CRISIL Reaffirms B+ Rating on INR529.6MM Loans
C. ESWARA: CRISIL Reaffirms 'C' Rating on INR16MM Loan
CRIYAGEN AGRI: CRISIL Assigns 'B' Rating to INR200MM Loans
GATI INFRASTRUCTURE: CARE Cuts Rating on INR100cr Loans to 'D'
GYANJEET SEWA: CARE Assigns 'B+' Rating to INR180cr Bank Loans
IND BARATH: CARE Upgrades Rating on INR403.1cr Loans to 'BB-'
J. K. WHEELS: CARE Assigns 'B' Rating to INR4.95cr Bank Loans
LAXMI INDUSTRIAL: CRISIL Reaffirms 'B+' Rating on INR84MM Loans
M.P.K. ISPAT: CARE Reaffirms 'B+' Rating on INR13.68cr Loans
MURLI REALTORS: CRISIL Cuts Rating on INR160MM Loans to 'B-'
MY CAR: CRISIL Downgrades Rating on INR220MM Loans to 'B+'
MY CAR (BHOPAL): CRISIL Lowers Rating on INR350MM Loan to 'B+'
PHOTON ENERGY: CRISIL Lowers Rating on INR137.7MM Loans to 'C'
R. C. ENTERPRISE: CRISIL Reaffirms 'B+' Rating on INR24MM Loans
RASHMI YARNS: CRISIL Assigns 'B' Rating to INR155MM Loans
RISHI ICE: CARE Raises Rating on INR14cr Bank Loans to 'B'
SHALCO INDUSTRIES: CARE Reaffirms 'B+' Rating on INR4cr Loans
SHIVKRUPA COTFIBER: CARE Assigns 'B' Rating to INR3.96cr Loans
SONARCH INT'L: CARE Reaffirms 'B+/A4' Rating on INR20cr Loans
SRI RAM: CRISIL Reaffirms 'B+' Rating on INR90MM Loans
VARAD FERTILIZERS: CARE Revises Rating on INR5cr Loans to 'BB-'
J A P A N
GODO KAISHA: S&P Lowers Ratings on Classes D and E Notes to 'CC'
* JAPAN: Corporate Bankruptcies Fell 7.5% in January
N E W Z E A L A N D
LOMBARD FINANCE: Lawyer Says Law Change Undermined Sentences
P H I L I P P I N E S
RURAL BANK OF REINA: Placed Under PDIC Receivership
S I N G A P O R E
GLOBAL A&T: UTAC Deal with Panasonic Credit Negative says Moody's
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A U S T R A L I A
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AURORA OIL: S&P Puts 'B' Corp. Credit Rating on CreditWatch Pos.
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it had placed its 'B'
long-term corporate credit rating on Australia-based Aurora Oil &
Gas Ltd. on CreditWatch with positive implications. S&P also
placed its 'CCC+' long-term issue ratings on the senior unsecured
notes due 2017 and 2020 that the company and its subsidiaries
guarantee on CreditWatch with positive implications. The notes are
issued by Aurora USA Oil & Gas Inc.
"The CreditWatch placement follows Baytex Energy Corp.'s
announcement that it has entered into a scheme implementation deed
to acquire 100% of Aurora via a scheme of arrangement," said
Standard & Poor's credit analyst Andrew Wong. "Given the higher
credit rating on Baytex, the ratings on Aurora could be raised
upon completion of the acquisition."
Standard & Poor's expects to resolve the CreditWatch placement
before the end of May 2014. The degree of rating enhancement S&P
ultimately attributes to the corporate credit and debt ratings on
Aurora will depend on the corporate structure after the
acquisition, the strategic importance of Aurora to Baytex, and any
guarantee or repayment of debt obligations. Pro forma this
transaction, Aurora will account for about 30% of the consolidated
entity's revenues, based on the financial performance for the
third-quarter ended Sept. 30, 2013. The transaction is targeted
to close by the end of May 2014.
S&P expects Baytex will fund the acquisition through a mixture of
debt and equity.
"We anticipate no material changes to Aurora's vulnerable business
risk profile from this transaction," said Mr. Wong. "Baytex, on
the other hand, will have access to Aurora's high-quality reserve
base with significant exposure to crude oil prices."
Aurora's operating and financial performance is in line with S&P's
expectations, with a ratio of debt to EBITDA on a rolling 12-month
basis of less than 2.5x. S&P believes increasing production and
the potential acquisition by Baytex will benefit Aurora's
liquidity.
FORGE GROUP: Collapses After ANZ Withdraws Financial Support
------------------------------------------------------------
Paul Garvey at The Australian reports that Forge Group has gone
into administration after a series of contract issues torpedoed
the mining contractor.
Martin Jones -- martin.jones@fh.com.au -- Andrew Saker --
andrew.saker@fh.com.au -- and Ben Johnson --
Ben.M.Johnson@fh.com.au -- of Ferrier Hodgson were appointed as
Joint and Several Voluntary Administrators of the Company on
Feb. 11, 2014. As a consequence, the financiers have, pursuant to
their securities, appointed Mark Mentha -- mmentha@kordamentha.com
-- and Scott Langdon -- slangdon@kordamentha.com -- of KordaMentha
as Receivers and Managers.
The Australian said that the administrators were called in after
Forge's financier ANZ Group withdrew its support.
According to The Australian, the future of the Perth-based
contractor has been under a cloud since November, when it revealed
major cost overruns at its Diamantina and West Angelas power plant
construction contracts.
The Australian relates that ANZ had previously been prepared to
extend additional credit to Forge, but the emergence of further
issues in recent weeks prompted the bank to reassess its position.
The company last month flagged a likely loss for 2014 of up to
AUD25 million before one-offs and writedowns, The Australian
recalls. In November the company flagged a AUD127 million
writedown.
Managing director David Simpson said in November that fiscal 2014
had been a "challenging year" for the group and for the
engineering and construction sectors, with increased competition
and slowing activity in the domestic market, The Australian adds.
Forge Group Limited (ASX:FGE) -- http://www.forgegroup.com.au--
is engaged in construction, commercial building, engineering,
maintenance and workshop fabrication. Forge is the holding company
of Cimeco Pty Ltd, Webb Construction West Africa Ltd, Abesque
Engineering Ltd (Abesque) and CTEC Pty Ltd, which provide a range
of engineering and construction services to a diverse range of
clients particularly to the resource and oil and gas sectors
through its operating entities.
MINERITE PTY: Vincents Chartered Appointed as Administrators
------------------------------------------------------------
Gavin Moss and Nick Combis at Vincents Chartered Accountants were
appointed as administrators of Minerite Pty Ltd on Feb. 5, 2014.
A first meeting of the creditors of the Company will be held at
North Eton Meeting Room, Parklands Mackay Business Hub, 239 Nebo
Road, in West Mackay, Queensland, on Feb. 17, 2014, at 1:00 p.m.
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C H I N A
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AGILE PROPERTY: Moody's Assigns Ba2 Rating on Proposed Sr. Notes
----------------------------------------------------------------
Moody's Investors Service has assigned a Ba2 rating to the
proposed senior unsecured notes issued by Agile Property Holdings
Limited.
The outlook on the rating is stable.
Agile will use the proceeds to finance existing and new property
projects, refinance existing indebtedness, and for general
corporate purposes.
Ratings Rationale
"The proceeds from the proposed issuance will enhance Agile's
liquidity and hence its ability to fund its projects and to
refinance its maturing debt. The latter will also lengthen its
debt maturity profile," says Kaven Tsang, a Moody's Vice President
and Senior Analyst.
"While the new debt issuance will increase Agile's already high
debt leverage and weaken its debt servicing metrics, Moody's
expects the company will reduce its debt leverage in the next 12
months to a level in line with its Ba2 ratings," says Tsang, also
Moody's lead analyst for Agile.
Agile has a track record of maintaining credit metrics that are
consistent with the Ba range. However, if the company is unable to
lower its debt leverage within the expected time frame, its
ratings could face downgrade pressure.
Agile's debt leverage increased in 2013, resulting from debt-
funded land acquisitions. Moody's estimates that adjusted
debt/capitalization rose to around 63% at end-2013 from 54% in
2012.
At the same time, revenue/gross debt (including reported debt plus
100% of its perpetual securities) will fall below 0.8x in 2013
from its historical level of above 1x.
Moody's expects the company will apply some of the proceeds from
its contracted sales and the proposed bond to repay its debt.
This will reduce adjusted debt/capitalization to around 60% and
revenue/gross debt will trend up to 0.8x-0.9x in the next 6-12
months.
Additionally, Moody's anticipates EBITDA/interest to stay between
3.0x and 3.5x in the next 12-18 months, in line with its Ba2
ratings.
"Moody's also expects the company to manage down its current level
of secured and subsidiary debt in the next 6-12 months from its
sales and bond proceeds and offshore borrowings and, as a result,
Agile's bond rating is not notched down for subordination," adds
Tsang.
Though secured and subsidiary debt to total assets would exceed
15% in 2013, Agile has kept the ratio below the threshold in the
past.
The bond rating could be downgraded if Agile's secured and
subsidiary debt fails to trend down to 15% of total assets in the
next 6-12 months.
The stable outlook reflects our expectation that Agile will
maintain discipline in its new land acquisitions and financial
management. This means the company will reduce its current debt
leverage in the next 6-12 months.
At the same time, it will maintain adequate liquidity to fund its
committed land premiums and other operating needs over the next 12
to 18 months.
The ratings could be upgraded if the company (1) successfully
implements its business plan and achieves good geographic and
product diversification; and (2) maintains good liquidity, with a
minimum cash balance consistently above 10%-15% of total assets,
and has access to the offshore bank and debt markets.
Credit metrics indicating such improvements include adjusted
debt/capitalization below 50%-55%, EBITDA/interest above 4x-4.5x,
and revenue/gross debt above 1.0x.
The ratings could experience downward rating pressure if Agile's
(1) operating cash flow weakens due to materially weaker-than-
expected sales, and/or over-expansion in terms of new projects;
(2) liquidity deteriorates because of aggressive land
acquisitions; or (3) debt increases substantially, such that
adjusted debt/capitalization fails to trend down to 60%,
revenue/gross debt fails to trend up to 0.8x-0.9x in the next 6-12
months, or EBITDA/interest drops below 3x-3.5x.
The principal methodology used in this rating was the Global
Homebuilding Industry published in March 2009.
Agile Property Holdings Ltd is one of China's major property
developers, operating in the mid- to high-end segment. As of 15
August 2013, the company had 85 projects in 35 cities and
districts in China, and a land bank with a total gross floor area
of 41.2 million square meters. Guangdong Province is its largest
market, accounting for around 42% of the company's land bank.
AGILE PROPERTY: S&P Assigns 'BB-' Rating to US$ Sr. Unsec. Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' long-term
issue rating and 'cnBB+' long-term Greater China regional scale
rating to a proposed issue of U.S. dollar-denominated fixed-rate
senior unsecured notes by Agile Property Holdings Ltd.
(BB/Stable/--; cnBBB-/--). The ratings are subject to S&P's
review of the final issuance documentation.
The issue rating is one notch lower than the long-term corporate
credit rating on Agile to reflect S&P's opinion that offshore
noteholders would be materially disadvantaged, compared with
onshore creditors, in the event of default. Agile intends to use
the net proceeds from the proposed notes to finance existing and
new property projects, refinance existing indebtedness, and for
general corporate purposes.
The corporate credit rating on Agile reflects the company's sales
concentration in Guangdong and Hainan provinces and the execution
risks associated with its accelerated growth and enlarged scale.
The rating also reflects Agile's aggressive growth appetite and
increasing leverage due to expansion. The company's established
market position in Guangdong and Hainan and its sizable low-cost
land bank temper these weaknesses.
BEIJING CAPITAL: Fitch Rates $1BB Med Term Note Programme 'BB+'
---------------------------------------------------------------
Fitch Ratings has assigned property developer Beijing Capital Land
Ltd's (BCL; BB+/Negative) USD1,000m medium-term note programme a
rating of 'BB+' and its proposed senior unsecured offshore yuan,
or CNH, notes issued under the programme an expected 'BB+(EXP)'
rating. The final rating on the offshore yuan notes is contingent
on the receipt of final documents conforming to information
already received.
The medium-term note programme has been established by Central
Plaza Development Ltd, with notes under the programme to be
irrevocably and unconditionally guaranteed by either BCL or by
BCL's wholly owned subsidiary International Financial Center
Property Ltd. (IFC). BCL will grant a keepwell deed and deed of
equity interest purchase if IFC is the guarantor. BCL's parent,
Beijing Capital Group Ltd, will execute a Letter of Support to
confirm its support for BCL, IFC, and subsidiaries of BCL involved
in the medium-term note programme and notes issued under the
programme.
The rating assigned to the medium-term note programme is no
assurance that notes issued under the programme will be assigned a
rating, or that the rating assigned to a specific issue will be
the same as that of the programme.
Key Rating Drivers
Leverage Moderated But Volatile: BCL's leverage, measured by the
net debt/adjusted inventory ratio, moderated to 36% in 2013 from
47% in 2012, helped by a strong increase in development sales in
the last two months of 2013. The sharp increase in investment
property assets (a total of CNY3.5bn in 1H13 and 2012) reversed in
2H13 following asset disposals. BCL's intention to grow at a
faster pace, which will require continued increase in land and
construction expenditure, is likely to result in more volatile
leverage. To achieve faster growth without increasing pressure on
its credit metrics, BCL needs to sustain an improvement in
contracted sales above the 2013 level of CNY19.6bn.
Contracted Sales Outlook Uncertain: Contracted sales in 2013 were
volatile - from January-October they increased by only 14% yoy,
but surged 160% yoy in November-December. Strong reliance on sales
in Beijing and Tianjin (60% in 2013, 41% in 2012) could result in
lumpy sales and reduced cash-flow visibility. Furthermore, sales
uncertainty could increase with the tightening of home-purchase
restrictions in Tier 1 cities and intense competition for land.
However, Fitch believes that BCL's fast-churn mass-market business
model targets the right market.
Investment Property Contribution Weak: Because of the long
gestation period for investment properties, they do not yet
contribute meaningfully to BCL's earnings. In addition, its outlet
malls will likely take significantly longer to stabilise and
achieve profitable yields. These factors have resulted in a
reduced focus by BCL in the expansion of its investment property
business. As a result, the ratio of recurring rental EBITDA to
interest expense will remain negligible over the next two to three
years.
Sufficient Liquidity: BCL had CNY11.3bn cash and RMB65.6bn in
unused bank credit facilities. Fitch expects the group to maintain
sufficient liquidity to fund development costs, land premium
payments and debt obligations during 2013-15 due to its
diversified funding channels from both onshore and offshore
capital markets, strong support from its partners China
Development Bank and Singaporean government investment company GIC
Private Limited, and its flexible land acquisition strategy.
Benefits from Parent and Partners: BCL is 45.58%-owned by Beijing
Capital Group Ltd, which has acquired a low-cost land bank in
prime locations throughout China through local infrastructure
development with local governments. Beijing Capital Group's land-
incubation strategy provides land bank resources for BCL at a low
cost. In addition, BCL's partnership with GIC and China
Development Bank since 2003 has produced additional funding
channels and liquidity.
Rating Sensitivities
Negative: Future developments that may, individually or
collectively, lead to negative rating action include:
-- Net debt/adjusted inventory leverage remaining above 40% over
the next 12-18 months
-- Monthly contracted sales in 2014 consistently increasing at
less than 20% yoy
-- EBITDA margins (adjusted for capitalised interest) falling
below 25% (28.8% at end- June 2013)
-- Any signs of increase in net debt to fund additional
investment property expansion in the next 12-18 months
-- Any signs of weakening in Beijing Capital Group's land
incubation strategy and/or weaker ties with its strategic
partners
Positive rating action in the immediate future is unlikely given
BCL is on Negative Outlook, although the Outlook may revert to
Stable if BCL's performance and leverage ratios improve to sit
more comfortably within thresholds that if reached, may trigger
negative rating action.
CENTRAL PLAZA: Moody's Assigns (P)Ba3 Rating on MTN Program
-----------------------------------------------------------
Moody's Investors Service has assigned a provisional (P)Ba3 senior
unsecured rating to the Medium Term Note (MTN) program of Central
Plaza Development Limited (CPD).
At the same time, Moody's has assigned a Ba3 senior unsecured
rating to CPD's drawdown of RMB senior unsecured notes under the
MTN program.
The ratings outlook is stable.
The MTNs will be unconditional and irrevocably guaranteed by
International Financial Center Property Ltd. (IFC, Ba3 stable). In
addition, they will be supported by a Deed of Equity Interest
Purchase Undertaking and a Keepwell Deed between Beijing Capital
Land Limited (Ba2 stable), CPD, IFC and the bond trustee.
Both CPD and IFC are wholly-owned subsidiaries of Beijing Capital
Land.
The Beijing Capital Group Ltd (unrated), Beijing Capital Land's
parent, will also provide a Letter of Support in favor of Beijing
Capital Land and IFC in connection with the proposed MTN program.
A total of 12 months of interest will be deposited in an offshore
escrow account as a reserve.
The (P)Ba3 rating applies only to the senior notes with a maturity
of at least one year. It does not apply to notes with a maturity
of less than one year or to subordinated notes.
Ratings Rationale
"The MTN program will improve the debt maturity profiles of
Beijing Capital Land and IFC," says Kaven Tsang, a Moody's Vice
President and Senior Analyst.
"At the same time, the issuance will not change in any material
way the key credit metrics of both companies because the proceeds
will mainly be used to repay Beijing Capital Land's short-term
debt," adds Tsang.
Tsang is also the Lead Analyst for Beijing Capital Land and IFC.
The (P)Ba3 rating for the MTN program incorporates Moody's
assessment of IFC's standalone credit strengths, and a two-notch
rating uplift because of the likelihood of financial support from
Beijing Capital Land, in case of need.
IFC's standalone credit profile reflects its small scale
operation, high level of balance sheet debt leverage with adjusted
debt/capitalization of around 65%-70% and modest EBITDA/interest
of 2x-2.5x.
The stable ratings outlook of the MTN program and IFC reflects
Moody's expectation that IFC will continue to receive financial
and operational support from Beijing Capital Land.
Upward rating pressure on the MTN Program and IFC could emerge if
IFC can (1) successfully implement its business plan; (2) improve
its scale and diversity to reduce sales and earnings volatility;
(3) strengthen access to offshore funding; and (4) further improve
its credit profile, especially debt leverage.
Credit metrics which Moody's would consider for an upgrade of IFC
include an improvement in its financial profile with adjusted
debt/capitalization falling to 50%-55% and EBITDA/interest rising
above 3x on a sustained basis.
On the other hand, the MTN program and IFC's ratings could come
under downward pressure if IFC (1) fails to substantially achieve
its business targets, such that sales and operating cash flow
generation are weaker than anticipated; and/or (2) materially
accelerates development and executes an aggressive land
acquisition plan, such that debt leverage rises, with adjusted
debt/capitalization exceeding 65%-70%, and EBITDA/interest
dropping below 1x-1.5x on a sustained basis.
Any evidence of a weakening in support from Beijing Capital Land,
or deterioration in the latter's liquidity and/or credit profile
could also be negative for the ratings.
The principal methodology used in this rating was the Global
Homebuilding Industry published in March 2009.
Incorporated in the British Virgin Islands in 2000, International
Financial Center Property Ltd (IFC) is an investment holding
company that owns property development projects in China. As of
December 31 2013, IFC had total assets of RMB22.9 billion.
Beijing Capital Land Limited was incorporated in China in 2002 and
is the property arm of the Capital Group. As of December 31 2013,
Beijing Capital Land had a total land bank of 9.95 million sqm
(attributable land bank: 7.85 million sqm) in gross floor area
(GFA), covering 15 cities in China.
CHINA NATURAL: Feb. 25 Hearing on Plan Filing Extension Bid Set
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
will hold a hearing on Feb. 25, 2014, at 11:00 a.m. (ET) to
consider China Natural Gas, Inc.'s motion for entry of an order
further extending the periods during which the Debtor has the
exclusive right to file a Chapter 11 plan by an additional 90
days, through and including May 5, 2014, and during which time the
Debtor has exclusive right to solicit acceptances of that plan,
through and including July 7, 2014.
As reported by the Troubled Company Reporter on Nov. 22, 2013,
BankruptcyData reported that the Court previously extended, at the
behest of the Debtor, the exclusive period during which the Debtor
can file a plan and solicit acceptances thereof through and
including Feb. 4, 2014 and April 7, 2014, respectively.
The Debtor and its largest alleged creditor, the Abax Entities,
entered into and filed a protocol agreement, pursuant to which the
parties agreed to collaborate to explore the interests of any
third parties in a restructuring transaction, sharing expressions
of interest, creating a "Working Group" that would meet or confer
every week on developments and possible interested parties in a
restructuring transaction.
The Debtor said in a filing dated Feb. 3, 2014, that although it
is working to attract and identify interested parties willing to
either invest in the Debtor or to acquire assets of the Debtor in
the People's Republic of China, and has shared the identity of at
least three such parties with the Abax Entities, the Debtor and
its advisors need additional time to negotiate, document and file
any acceptable transaction.
The Debtor is focused on implementing a restructuring that
maximizes value for all stakeholders. To that end, since the
Petition Date, the Debtor has taken a number of critical steps to
promote its restructuring, including, among other things, (i)
seeking and obtaining court approval of a critical SEC settlement
of pre-bankruptcy alleged securities violations; (ii) identifying
and retaining the CRO; and (iii) participating in discussions and
exchanging debt repayment proposals with its principal creditors.
In addition, the Debtor has worked with its attorneys defending
certain security class actions, Shearman & Sterling LLP, to bring
those matters to a conclusion that will facilitate any
restructuring, and will address the potential treatment of
claimants under a plan.
On Jan. 31, 2014, the bankruptcy case was reassigned to Judge Sean
H. Lane for administration.
About China Natural
Headquartered in Xi'an, Shaanxi Province, P.R.C., China Natural
Gas, Inc., was incorporated in the State of Delaware on March 31,
1999. The Company through its wholly owned subsidiaries and
variable interest entity, Xi'an Xilan Natural Gas Co., Ltd., and
subsidiaries of its VIE, which are located in Hong Kong, Shaanxi
Province, Henan Province and Hubei Province in the People's
Republic of China ("PRC"), engages in sales and distribution of
natural gas and gasoline to commercial, industrial and residential
customers through fueling stations and pipelines, construction of
pipeline networks, installation of natural gas fittings and parts
for end-users, and conversions of gasoline-fueled vehicles to
hybrid (natural gas/gasoline) powered vehicles at 0ptmobile
conversion sites.
On Feb. 8, 2013, an involuntary petition for bankruptcy was filed
against the Company by three of the Company's creditors, Abax
Lotus Ltd., Abax Nai Xin A Ltd., and Lake Street Fund LP (Bankr.
S.D.N.Y. Case No. 13-10419). The Petitioners claimed that they
have debts totaling $42,218,956.88 as a result of the Company's
failure to make payments on the 5% Guaranteed Senior Notes issued
in 2008. Adam P. Strochak, Esq., at Weil, Gotshal & Manges, LLP,
in Washington, D.C., represents the Petitioners as counsel.
China Natural Gas, Inc., sought dismissal of the involuntary
petition but in July 2013, it consented to the entry of an
order for relief under Chapter 11 of the U.S. Code.
The last regulatory filing listed assets as of June 30 of
$29.5 million and liabilities totaling $82.5 million.
SUNTECH POWER: Subsidiary Wins Judgment vs. Suntech Singapore
-------------------------------------------------------------
Suntech Power Holdings Co., Ltd. on Feb. 10 disclosed that on
January 15, 2014, the Company's immediate subsidiary, Power Solar
System Co., Ltd (in Liquidation) ("PSS"), issued a writ of summons
in the Republic of Singapore against Suntech Power Investment
Pte., Ltd. ("Suntech Singapore") for an outstanding balance of
US$263,910,599 due from Suntech Singapore. Suntech Singapore
failed to enter an appearance within the time frame required for
them to do so. The High Court of the Republic of Singapore has
granted, on 27 January 2014, Judgment in Default of Appearance
against Suntech Singapore to pay to PSS US$263,910,599, interest
at 5.33% and costs, under Order 13 of the Rules of Court in
Singapore.
"We are pleased to have the judgment in our favor and will take
further steps to enforce our rights against Suntech Singapore. It
is the first of many steps being taken by the Liquidator to
maximize the recovery for the creditors," said Mr. John Ayres, the
Liquidator of PSS. "The recovery actions will continue with focus
on an investigation of the purported transfer of equity interest
of Suntech Power Japan Corporation ("Suntech Japan") and Suntech
Singapore to Wuxi Suntech Power Co., Ltd. ("Wuxi Suntech") and the
purchase of PSS's equity interest in Wuxi Suntech by Jiangsu
Shunfeng Photovoltaic Technology Co., Ltd, a subsidiary of a Hong
Kong listed company Shunfeng Photovoltaic International Ltd
(1165.HK)."
"We will take all steps as necessary to remedy improper actions
which have caused loss to Suntech, PSS and their creditors,"
Mr. David Walker, the Joint Provisional Liquidator of the Company,
added.
About Suntech
Wuxi, China-based Suntech Power Holdings Co., Ltd., produces solar
products for residential, commercial, industrial, and utility
applications. Suntech has delivered more than 25,000,000
photovoltaic panels to over a thousand customers in more than 80
countries.
Suntech Power Holdings Co., Ltd., received from the trustee of its
3 percent Convertible Notes a notice of default and acceleration
relating to Suntech's non-payment of the principal amount of
US$541 million that was due to holders of the Notes on March 15,
2013. That event of default has also triggered cross-defaults
under Suntech's other outstanding debt, including its loans from
International Finance Corporation and Chinese domestic lenders.
Suntech Power had involuntary Chapter 7 bankruptcy proceedings
initiated against it on Oct. 14, 2013, in U.S. Bankruptcy Court in
White Plains, New York (Bankr. S.D.N.Y. Case No. 13-bk-13350), by
holders of more than $1.5 million of defaulted securities under a
2008 $575 million indenture. The Chapter 7 Petitioners are
Trondheim Capital Partners, L.P., Michael Meixler, Longball
Holdings, LLC, and Jiangsu Liquidators, LLC. They are represented
by Jay Teitelbaum, Esq., at Teitelbaum & Baskin LLP, in White
Plains, New York.
Suntech Power on Jan. 31, 2014, disclosed that it has
signed a Restructuring Support Agreement relating to the petition
for involuntary bankruptcy filed against it under chapter 7 of the
U.S. Bankruptcy Code. Under the RSA, the parties agreed that
chapter 7 proceedings will be dismissed following recognition of
the provisional liquidation proceeding previously filed by the
Company in the Cayman Islands under chapter 15 of the U.S.
Bankruptcy Code.
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AIR INDIA: To Seek Compensation From Boeing
-------------------------------------------
The Times of India reports that with the snag-prone Boeing 787
Dreamliners not proving as fuel efficient as Boeing had claimed
they would be at the time of selling them to Air India, the
airline is now going to seek compensation from Boeing on this
count. According to the report, sources said if Boeing fails to
pay adequate compensation on the failure of the "deal-clinching"
promise of fuel consumption, AI could even consider not inducting
more Dreamliners into its fleet.
"The Dreamliner's actual fuel consumption pattern over 18 months
of usage (discounting the four months they were grounded globally
last year) and the difference in what Boeing claimed would be this
aircraft's fuel efficiency will be the basis of estimating the
compensation to be sought from the aircraft manufacturer," the
report quotes a senior official as saying.
The report relates that the aircraft's way below claimed fuel
consumption comes from the fact that the final product was much
heavier than what Boeing had assumed it would be at the time the
Dreamliner was on the drawing board. "It was supposed to be 17%
more fuel efficient than the Airbus A-330 but has so far been only
13%-14%. The B-787 was supposed to be 37% thriftier than the B-777
but has been consuming 28-30% less than the fuel guzzlers. AI's
fuel uplift has not gone down as the Dreamliner has not been as
fuel efficient as it should have been," said a senior official,
TOI reports.
According to the report, AI has so far taken delivery of 12 of the
27 Dreamliners ordered. TOI relates that sources indicated that
future induction could depend on Boeing either living up to its
"deal-clinching" offer of this aircraft's fuel efficiency or
giving AI adequate compensation for failing to do so. "We will
review the performance standards of this aircraft as was
originally agreed," TOI quotes aviation minister Ajit Singh as
saying.
TOI relates that senior airline officials said the matter of
B-787's below par performance came up at the Cabinet Committee of
Economic Affairs where the matter of compensation offered by
Boeing for the over three-year delay in the aircraft's delivery to
AI was discussed. "The failure to live up to the performance
guaranteed for the Dreamliner has become an issue now. The FM P
Chidambaram-headed CCEA wants this issue to be settled with
Boeing," said an official.
AI is 'disappointed' with the Dreamliner as the aircraft was
supposed to be the "game-changer" for it in terms of improving on
time performance and revenue generation, notes the report. But
with unending snags, the aircraft's despatch reliability has
become suspect. "None of the snags faced on this plane so far have
a bearing on safety. But the delays, cancellations and diversions
(as the plane is not yet certified to land in fog in India) have
led to huge expenses in terms of putting up passengers in hotels
and have earned us passenger ire," the official, as cited by TOI,
said.
Air India Ltd -- http://www.airindia.com/-- transports
passengers throughout India and to more than 40 destinations
throughout the world. Affiliate Air India Express operates as a
low-fare carrier, mainly between India and destinations in the
Middle East, and Air India Cargo provides freight transportation.
The government of India has merged Air India with another state-
controlled carrier, Indian Airlines, which has focused on
domestic routes. The combined airline, part of a new holding
company called National Aviation Company of India, uses the Air
India brand. The new Air India and its affiliates have a fleet
of more than 110 aircraft altogether.
* * *
The Troubled Company Reporter-Asia Pacific, citing the Hindustan
Times, reported on June 19, 2009, that Air India has been
bleeding cash due to excess capacity, lower yield, a drop in
passenger numbers, an increase in fuel prices and the effects of
the global slowdown. Air India had debts of INR42,570 crore and
accumulated losses of INR22,000 crore as of March 31, 2011,
according to livemint.com.
In April 2012, the Union Cabinet approved an operational
turnaround plan through an equity infusion of INR30,000 crore
(US$5.8 billion) over the next eight years.
"The Cabinet Committee on Economic Affairs (CCEA) has approved
the turnaround plan (TAP) and financial restructuring plan (FRP)
of Air India, under which the government will infuse INR30,000
crore into the airline by 2020-21, subject to certain milestones
that AI will have to meet," civil aviation minister Ajit Singh
said.
ARG ROYAL: CARE Upgrades Rating on INR12cr Bank Loans to 'B+'
-------------------------------------------------------------
CARE revises the rating assigned to the bank facilities of
ARG Royal Ensign Developers Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 12 CARE B+ Revised
Facilities from CARE BB-
Rating Rationale
The revision in the rating of the bank facilities of ARG Royal
Ensign Developers Private Limited is mainly on account of slow
movement in the booking of residential flats in its real estate
project. The rating continues to remain constrained on account of
project implementation risk and inherent risk associated with the
cyclical real estate sector.
The rating continues to derive strength from the experienced
management with the established track record of 'ARG' and 'Royal
Ensign' group in the real estate business.
Improvement in the booking status with timely receipt of booking
advances and successful completion of its ongoing real estate
project without any time and cost overrun are the key rating
sensitivities.
ARPL was initially incorporated in January 2006 in the name of
City Star Hospitality Private Limited which was promoted by the
Meel family and belongs to the Royal Ensign group, a leading real
estate developer in Rajasthan. CSHPL had a land in Alwar
(Rajasthan) on which the company was operating a marriage garden.
However during FY12 (refers to the period April 1 to March 31),
the ARG group, real estate developer based in Jaipur and promoted
by Mr Atma Ram Gupta, entered in the management of the company
with the purpose to construct residential flats in Alwar on the
same land and name of the company was changed to its current name,
ARPL.
Subsequently in August 2012, 50% shareholding in ARPL was acquired
by the ARG Group in the name of "ARG Developers Private Limited"
by infusion of fresh share capital and remaining 50% is
held by the Meel family.
ARPL started construction of 162 residential flats under the
project name 'ARG Royal Ensign' from April 2012 onwards and
construction work envisaged to be completed by December 2015. Out
of the 162 flats, 36 flats are proposed to be of 2BHK
specifications, 108 flats of 3BHK and 18 flats of 4BHK. The
building will have three blocks (Block A, Block B and Block C)
with each block having nine floors. The envisaged total cost of
the project of INR53.45 crore to be financed through a term loan
of INR9 crore, bank overdraft of INR3 crore, promoters fund of INR
10.68 crore and the remaining amount of INR30.77 crore through
advance from the customers.
ARIHANT ORGANICS: CARE Assigns 'B+' Rating to INR6.90cr Loans
-------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Arihant
Organics Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 6.90 CARE B+ Assigned
Facilities
Rating Rationale
The rating assigned to the bank facilities of Arihant Organics
Private Limited is constrained by the nascent stage and relatively
small scale of operations, negative net-worth and working capital
intensive nature of operations resulting in high utilization of
the working capital limits. The rating is further constrained by
operations in the highly competitive narrow fabric industry and
raw material price fluctuation risk.
These factors far offset the benefits derived from the experienced
promoters along with operational & financial synergies with the
group company.
The ability of AOPL to improve the scale and turnaround its
operations along with efficiently managing the working capital
cycle amidst the intense competition are the key rating
sensitivities.
Incorporated in 1991, Arihant Organics Private Limited (AOPL) is
engaged into manufacturing of narrow fabrics (consists of woven
garment labels, rigid & elastic woven/knitted & braided
tapes/laces and covered rubber/spandex thread). The manufacturing
facility of AOPL is located at Tarapur with an installed capacity
of 147.17 lakh meters per annum for woven narrow fabric,
164.70 lakh meters per annum for crochet, 0.38 lakh kilograms for
coverings per annum.
Furthermore, the company has another unit at Bangalore with an
installed capacity of 0.98 lakh meters of labels per annum.
In FY05 (refers to the period April 1 to March 31), to acquire the
parcel of land owned by AOPL, AOPL was taken over by the Ahuja
Family. However till FY10 there were no operations in AOPL.
In the year 2010, Bombay Rayon Fashion Limited (BRFL) acquired 50%
stake in AOPL, with an understanding that AOPL will manufacture
narrow fabrics for BRFL as well as other players. BRFL
& Ahuja Family has been continuously infusing funds in AOPL to
support the operations. The day-to-day operations are managed by
the Ahuja Family.
During the FY13AOPL reported a total operating income of INR6.01
as against INR6.82 crore in FY12. Furthermore during 9MFY14
provisional, reported an operating income of INR3.66 crore.
BALARAMA KRISHNA: CRISIL Reaffirms B+ Rating on INR529.6MM Loans
----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Balarama Krishna
Spinning Mills Pvt Ltd (BRK; part of the BRK group) continues to
reflect the BRK group's below-average financial risk profile,
marked by a high gearing, and its working-capital-intensive
operations. The rating also factors in the susceptibility of the
group's operating margin to volatility in input prices. These
rating weaknesses are partially offset by its established position
in the cotton industry, and the promoters' extensive industry
experience.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 1.9 CRISIL A4 (Reaffirmed)
Cash Credit 170 CRISIL B+/Stable (Reaffirmed)
Letter of Credit 25 CRISIL A4 (Reaffirmed)
Long Term Loan 359.6 CRISIL B+/Stable (Reaffirmed)
For arriving at the rating, CRISIL has combined the business and
financial risk profiles of BRK and Sri Lakshmi Kalavathi Cotton
Traders. This is because both these companies are managed by the
same promoters, operate in the same line of business, and have
significant operational and financial linkages. The entities are
together referred to as the BRK group.
Outlook: Stable
CRISIL believes that the BRK group will continue to benefit over
the medium term from the promoters' extensive experience and
established position in the cotton industry. The outlook may be
revised to 'Positive' if the group records a significant increase
in its revenues and profitability, leading to a sustained and
significant improvement in its cash accruals and capital
structure. Conversely, the outlook may be revised to 'Negative' if
the group's operating margin declines significantly or its working
capital cycle increases; or if the group undertakes a large, debt-
funded capital expenditure (capex) programme, thereby weakening
its financial risk profile.
Update
The BRK group's revenue grew by 11.7 per cent in 2012-13 (refers
to financial year, April 1 to March 31), driven by an improvement
in demand from its key customers. Furthermore, the group's
profitability improved to 13.8 per cent in 2012-13 vis-a-vis 4.5
per cent in 2011-12, due to inventory losses incurred during 2011-
12. The group is likely to report moderate growth in 2013-14 and
its operating profitability is expected to be around 12 per cent
over the medium term. The BRK group reported revenues of INR730
million from April to December 2013.
The BRK group's financial risk profile continues to remain below-
average, marked by high gearing and average debt protection
metrics. The group's net worth and gearing was INR220 million and
2.14 times, respectively, as on March 31, 2013. Though the BRK
group's gearing is expected to improve, the same is expected to
remain high due to the group's working-capital-intensive
operations. CRISIL believes that the BRK group's financial risk
profile will remain below-average over the medium term, supported
by moderate accretion to reserves and the absence of a debt-funded
capital expenditure (capex) programme.
The BRK group has weak liquidity, marked by closely matched cash
accruals vis-a-vis debt obligations though supported by moderate
bank limit utilisation. The group could earn cash accruals of
INR49.1 million, and has debt obligations of over INR45.8 million
in 2013-14. However, the group's liquidity is supported by
moderate utilisation of bank lines at 69.2 per cent for 12 months
ended December 31, 2013.
The BRK group reported a loss of INR 28.0 million on net sales of
INR 648 million for 2011-12, vis-a-vis a profit after tax (PAT) of
INR68 million on net sales of INR667 million for 2010-11.
About the Group
BRK was incorporated in 2005. The company manufactures cotton
yarn. SLK was set up as a partnership firm in 1991, and was
subsequently reconstituted as a company. SLK undertakes ginning
and pressing of raw cotton, and sells cotton lint and cotton
seeds. The group is promoted by Mr. V Balarama Krishnaiah and his
family members.
C. ESWARA: CRISIL Reaffirms 'C' Rating on INR16MM Loan
------------------------------------------------------
CRISIL's ratings on the bank facilities of C. Eswara Reddy &
Company continue to reflect CERC's weak liquidity, which is likely
to adversely impact its ability to meet its debt servicing
obligations in time. There have been instances in the past of
delays in servicing its term debt due to delays in realisations
from government departments.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 67.5 CRISIL A4 (Reaffirmed)
Overdraft Facility 20 CRISIL A4 (Reaffirmed)
Term Loan 16 CRISIL C (Reaffirmed)
The ratings also factor in CERC's modest scale of operations in
the highly competitive civil construction industry, geographical
concentration in its revenue profile, and the working-capital-
intensive nature of its operations. These rating weaknesses are
partially offset by the extensive industry experience of the
firm's promoter.
Update
CERC's net sales declined to INR294.6 million in 2012-13 (refers
to financial year, April 1 to March 31) from INR398.5 million in
2011-12 because of lower work orders received. The firm's revenues
are estimated at INR200 million for the nine months through
December 2013, and are expected to be around INR350 million for
2013-14. CERC's financial risk profile is likely to remain above-
average over the medium term marked by low gearing of below 1
time, and healthy debt protection metrics. The firm, though, has
weak liquidity because of the working-capital-intensive nature of
its business, with stretched receivables. CERC's debtors have
increased over the past two years and stood at 107 days as on
March 31, 2013, due to delays in receiving payments from the
Government of Andhra Pradesh (GoAP); as a result, the firm's
overdraft limit has remained highly utilised with instances of
overdrawn limits. Although CERC has healthy accruals, these have
been utilised to partly fund its regular capital expenditure,
which has resulted in shortfall of cash on the due dates for debt
repayment.
CERC, promoted by the Reddy family, is engaged in civil
construction work related to road projects in Andhra Pradesh. Mr.
C Eswara Reddy, Mr. K Prabhakar Reddy, Mr K Rama Krishna Reddy,
Ms. K Uma Maheshwaramma, and Mr. K Mohan Kumar Reddy are the
current partners in the firm. CERC is a registered Class I
contractor for the Road and Building Department of GoAP. Its
registered office is in Moosapet, Hyderabad (Andhra Pradesh).
CERC reported a profit after tax (PAT) of INR20.4 million on net
sales of INR294.6 million for 2012-13 (refers to financial year,
April 1 to March 31), as against a PAT of INR23.7 million on net
sales of INR398.5 million for 2011-12.
CRIYAGEN AGRI: CRISIL Assigns 'B' Rating to INR200MM Loans
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Criyagen Agri & Biotech Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Proposed Term Loan 113 CRISIL B/Stable (Assigned)
Proposed Cash Credit
Limit 50 CRISIL B/Stable (Assigned)
Proposed Long Term
Bank Loan Facility 37 CRISIL B/Stable (Assigned)
The rating reflects Criyagen's exposure to implementation-related
risks associated with its ongoing capacity expansion and its
modest scale of operations. These rating weaknesses are partially
offset by the extensive experience of Criyagen's promoter in the
fertiliser industry and the company's moderate financial risk
profile marked by conservative capital structure.
Outlook: Stable
CRISIL believes that Criyagen will benefit over the medium term
from the extensive industry experience of its promoter. The
outlook may be revised to 'Positive' if the company ramps up
operations and generates more-than-expected revenue and
profitability. Conversely, the outlook may be revised to
'Negative' if the company faces any delay in stabilisation of
enhanced capacities, leading to lower-than-expected revenue and
profitability, or undertakes a larger-than-expected debt-funded
capital expenditure programme, resulting in weakening of its
financial risk profile.
Criyagen, incorporated in 2008, manufactures bio-chemical
fertilisers. Criyagen is promoted by Dr. Basavaraj Girennavar.
GATI INFRASTRUCTURE: CARE Cuts Rating on INR100cr Loans to 'D'
--------------------------------------------------------------
CARE revises the rating assigned to the bank facilities of Gati
Infrastructure Bhasmey Power Pvt Ltd.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 100 CARE D Revised
Facilities from CARE B+
Rating Rationale
The revision in the rating of Gati Infrastructure Bhasmey Power
Private Limited is on account of the delays in the servicing of
debt obligations consequent to the delay in project
implementation.
Gati Infrastructure Bhasmey Power Pvt Ltd is a Special Purpose
Vehicle promoted by Mr M K Agarwal and his associate company,
Amrit Jal Ventures Ltd (AJVL) for setting up a 54 MW (2
X 27MW) hydro power project, Bhasmey Hydro Electric Power Project
(BHEPP). The project is located on the river Rangpo, a major
tributary of Teesta River in the East District of Sikkim. IFCI
has picked up stake in the company as a strategic investor and
consequently the equity contribution will be shared by the
promoters, Mr M K Agarwal and associates (51%) and IFCI
Limited (49%).
The project was awarded to GIBPPL by the Government of Sikkim
(GoS) on a Build, Own, Operate and Transfer (BOOT) basis for a
period of 35 years from the scheduled COD. The total cost of the
project is estimated at INR408.49 crore and is being financed at a
debt to equity ratio of 70:30 with term loan of INR285.94 crore
and equity contribution of INR122.55 crore. GIBPPL has achieved
financial closure for the project with IFCI Limited being the
project appraiser. As on December 31, 2013, GIBPPL has incurred a
total expenditure of INR207.25 crore (representing around 50.74%
of the total estimated costs for the project), funded through a
debt of INR118.54 crore and equity of INR61.32 crore.
GYANJEET SEWA: CARE Assigns 'B+' Rating to INR180cr Bank Loans
--------------------------------------------------------------
CARE assigns 'CARE B+' and 'CARE A4' ratings to the bank
facilities of Gyanjeet Sewa Mission Trust.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank 180.00 CARE B+ Assigned
Facilities
Long Term/Short 9.50 CARE B+/CARE A4 Assigned
Term Bank
Facilities
Rating Rationale
The ratings of Gyanjeet Sewa Mission Trust (GSMT) are primarily
constrained on account of the nascent stage of implementation of
its predominantly debt-funded green field project for setting up
a medical college and hospital at Jabalpur in Madhya Pradesh. The
ratings are further constrained due to lack of experience of the
trustees in managing/operating a hospital/medical college and
risk related to delay in receipt of requisite regulatory
approvals.
The above constraints are partially offset by resourcefulness of
the trustees and their experience in the construction sector,
sound track record of various project consultants appointed by
GSMT and achievement of financial closure for the project.
GSMT's ability to ensure timely implementation of its project
within envisaged cost parameters, obtain requisite regulatory
approvals and commence commercial operations with optimum
utilisation of its facilities would be the key rating
sensitivities.
Formed in August 2004, GSMT is a private trust formed by Mr.
Baljinder Singh Khanna (Patron and Chairman of GSMT) and his
family members. GSMT belongs to the 'Sukh Sagar' group of Jabalpur
which is engaged in businesses like real estate, automobile
dealership, etc.
Sukh Sagar group has a presence in the real estate segment through
entities like Khanna Properties and Infrastructure Pvt. Ltd. and
Khanna Builders & Developers. Further, SSG also has presence in
automobile dealership segment through Sukh Sagar Motors Pvt. Ltd.
(SSMPL; rated: CARE B).
GSMT is implementing a green field project to set up a Medical
College and Hospital named 'Sukh Sagar Medical College and
Hospital' at Jabalpur, Madhya Pradesh. SSMCH would
include a multi-specialty hospital with 800 beds and a medical
college with an annual intake of 150 seats (i.e. peak capacity of
750 seats at the end of five years). SSMCH's hospital is scheduled
to commence commercial operations with a capacity of 300 beds in
April 2014 (phase-I) and subsequently, the facilities would be
scaled up to 800 beds by April 2015 (phase-II). The medical
college is envisaged to have an annual intake of 150 seats (i.e.
peak capacity of 750 seats at the end of five years) and is
scheduled to commence its first batch from July 2014 (phase-I).
The hospital, medical college, students' hostel and staff quarters
would all be located in the same premises. The estimated cost of
project is INR285.00 crore out of which GSMT had already incurred
INR72.60 crore as on December 9, 2013.
IND BARATH: CARE Upgrades Rating on INR403.1cr Loans to 'BB-'
-------------------------------------------------------------
CARE revises/reaffirms the ratings assigned to the bank facilities
of Ind Barath Power Gencom Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 403.10 CARE BB- Revised
Facilities From CARE C
Short-term Bank
Facilities 96 CARE A4 Reaffirmed
Rating Rationale
The revision in the long term rating of Ind Barath Power Gencom
Limited is on account of the improved financial performance during
FY13 (refers to the period April 1 to March 31) and improved
liquidity profile of the company.
The ratings continues to be constrained on account of the
profitability margins exposed to volatility in coal prices,
inability to source coal from the group captive mine in Indonesia
and exposure to foreign currency fluctuations due to the import of
coal. The ratings however derive strength from the experienced
promoters, support from the group companies, medium term power
deficit in Tamil Nadu region giving favourable position to
merchant players and short term power purchase agreement with
Tamil Nadu Power Generation and Distribution Corporation Limited
(TANGEDCO). Ability of company to source uninterrupted coal from
the captive mine, ability to improve power generation further and
the ability to tie-up long term power sale agreement at
remunerative tariffs will be the key rating sensitivities.
Ind-Barath Power Gencom Limited belongs to the Ind Barath Group
and is a subsidiary (99.94%) of Ind-Barath Power Infra Limited
(IBPIL), the flagship company of the group.
Incorporated on 25th July 2005, IBPGL is operating a 189 (3x63) MW
coal based thermal power plant in Thoothukudi District in Tamil
Nadu. The first two units were commissioned in February 2010,
while the third unit was commissioned in May 2011. IBPGL has
entered into a short term Power Purchase Agreement (PPA) for the
supply of 130MW power at net tariff of INR5.50/Kwh on
June 1, 2013 valid till May 25, 2014 with Tamil Nadu Generation
and Distribution Corporation Limited (TANGEDCO) for 130MW. IBPGL
has Fuel Supply Agreement in place with the group's coal mine
in Indonesia for the supply of 0.75MTPA of coal which will be
sufficient for 92% PLF. However, the company is sourcing coal from
the open market due to a delay in the commencement of mining
operations.
During FY13, IBPGL has reported a PAT of INR37.99 crore (Rs.10.74
crore in FY12) on a total operating income of INR541.11 crore
(INR495.31 crore in FY12). During H1FY14 (provisional), IBPGL
reported a PAT of INR16.34 crore on a total income of INR281.56
crore.
J. K. WHEELS: CARE Assigns 'B' Rating to INR4.95cr Bank Loans
-------------------------------------------------------------
CARE assigns 'CARE B and CARE A4' ratings to the bank facilities
of J. K. Wheels Pvt Ltd.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank
Facilities 4.95 CARE B Assigned
Short-term Bank
Facilities 1.00 CARE A4 Assigned
Rating Rationale
The ratings assigned to the bank facilities of J. K. Wheels Pvt
Ltd are constrained by its renewal based dealership nature of
business, limited bargaining power with Maruti Suzuki India
Ltd., vulnerability to the cyclicality of the auto industry,
dependence on volume momentum and linkage to the fortunes of MSIL
in a highly competitive industry, weak financial risk profile
marked by the small scale of operations with thin profitability,
leveraged capital structure due to working capital intensive
nature of business with high gearing and stressed liquidity
position. The ratings, however, derives strength from the
experience of the promoters, integrated nature of business and
authorised dealership of MSIL.
The ability of the company to scale-up its scale of operation with
an improvement in profitability, improvement in the capital
structure and demand outlook for passenger vehicles vis-a-vis
rising fuel prices and high interest rate scenario would be the
key rating sensitivities.
Incorporated on January 19, 2005, Malda-based (West Bengal) J.K.
Wheels Pvt Ltd is mainly promoted by Mr Anup Maheswari and Mr Arun
Maheshwari. JKWPL is an authorized dealer of Maruti Suzuki India
Limited for its passenger car vehicles for Malda, Uttar Dinajpur &
Dakshin Dinajpur district of West Bengal. It also offers spare
parts & after-sales services (repair and refurbishment) for its
vehicle sold.
JKWPL has two showrooms and two workshops at Malda and Uttar
Dinajpur respectively. This apart, it has one stockyard in its
flagship showroom at Malda with a capacity to store around 100
vehicles. It offers passenger vehicles of MSIL through its
showrooms equipped with 3-S facilities (Sales, Service and Spare-
parts). The company receives a small portion of its revenue from
finance and insurance companies in the form of commission for
bundled marketing of their products.
Planet Wheels Private Limited is an associate company of JKWPL
which is into the dealership business of Bajaj Auto Ltd for its
two-wheeler segment in the Malda district of West Bengal since
1995.
During FY13 (refers to the period April 1 to March 31), JKWPL
reported a total operating income of INR26.47 crore against
INR21.80 crore in FY12 and a PAT of INR0.18 crore against a PAT of
INR0.11 crore in FY12. Till November 30, 2013, the company has
stated to achieve a total income of INR13.53 crore.
LAXMI INDUSTRIAL: CRISIL Reaffirms 'B+' Rating on INR84MM Loans
---------------------------------------------------------------
CRISIL's rating on the bank facilities of Laxmi Industrial
Corporation (LIC; part of the Laxmi group) continue to reflect the
Laxmi group's below-average financial risk profile, marked by high
gearing and below-average debt protection metrics, and its
susceptibility to volatility in raw material prices. These rating
weaknesses are partially offset by the extensive experience of the
group's promoters in the psyllium husk industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 70 CRISIL B+/Stable (Reaffirmed)
Standby Line 14 CRISIL B+/Stable (Reaffirmed)
of Credit
For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of LIC and RC Enterprise (RCE), together
referred to as the Laxmi group. This is because the two firms are
under a common management, in the same line of business, and have
operational linkages and fungible cash flows.
Outlook: Stable
CRISIL believes that the Laxmi group will continue to benefit over
the medium term from its promoters' extensive industry experience.
The outlook may be revised to 'Positive' if the group generates
larger-than-expected cash accruals due to significant improvement
in its revenues and profitability, resulting in substantial
improvement in its financial risk profile, particularly its
liquidity. Conversely, the outlook may be revised to 'Negative' if
the Laxmi group's financial risk profile deteriorates, most likely
because of lower-than-expected cash accruals, significant stretch
in its working capital cycle, or large debt-funded capital
expenditure.
LIC and RCE are partnership firms set up by Mr. Rasiklal Shah and
his family members. Both the firms process psyllium husk from
psyllium seeds; the product is known as isabgol in India. The
operations of the Laxmi group are managed by Mr. Amit Shah and Mr.
Suketu Shah.
LIC reported a net profit of INR2.9 million on an operating income
of INR627.9 million for 2012-13 (refers to financial year, April 1
to March 31), as against a net profit of INR2.1 million on net
sales of INR503.8 million for 2011-12.
RCE reported a net profit of INR3.9 million on an operating income
of INR1082.3 million for 2012-13, as against a net profit of
INR2.6 million on net sales of INR1038.0 million for 2011-12.
M.P.K. ISPAT: CARE Reaffirms 'B+' Rating on INR13.68cr Loans
------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
M.P.K. Ispat (I) Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank
Facilities 13.68 CARE B+ Reaffirmed
Rating Rationale
The rating continues to remain constrained on account of the risk
associated with the predominantly debt-funded greenfield Mild
Steel (MS) billet manufacturing project of MPK Ispat (India)
Private Limited which is recently commissioned. The rating is
further constrained on account of susceptibility of margins to the
volatile raw material prices and foreign currency fluctuations and
high degree of competition in the fragmented and cyclical domestic
steel industry.
The aforesaid constraints continue to be partially offset by
strengths derived from the promoters' experience in the steel
manufacturing business, backward integration for group and
favourable industry prospects.
The company's ability to successfully stabilize its debt funded
capex with management of its working capital requirement will be
the key rating sensitivity.
MPKL, a part of the Jaipur-based (Rajasthan) MPK group, was
incorporated in 2010. The MPK group is engaged in the steel
industry since 1996 through its other group concerns named, MPK
Steels (I) Private Limited (MSPL), MPK Products Private Limited
(MPPL) and MPK Metals Private Limited (MMPL, rated 'CARE BB-',
'CARE A4') which are engaged in the manufacturing of structural
steel products.
As a backward integration initiative, the MPK group has set up
Mild Steel (MS) billet manufacturing plant in MPKL with a capacity
of 29,700 Metric Tonnes Per Annum (MTPA) at Bagru (Rajasthan).
MPKL meets its raw material requirement by purchase from the local
market as well as import from the outside market. The company has
started commercial production from March 2013. It incurred a total
cost of INR29.93 crore towards the project funded by a term loan
of INR15 crore and remaining through the promoter's fund in the
form of equity.
MURLI REALTORS: CRISIL Cuts Rating on INR160MM Loans to 'B-'
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facility of
Murli Realtors Pvt Ltd to 'CRISIL B-/Negative' from 'CRISIL
BB/Stable'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 160 CRISIL B-/Negative (Downgraded
from 'CRISIL BB/Stable')
The downgrade reflects continued pressure on MRPL's liquidity
following a reduction in the property's occupancy resulting in
closely matched cash accruals vis-a-vis debt obligations. Due to
premature termination of lease agreements by a few tenants and a
sluggish economic environment, the occupancy at MRPL's commercial
office space 'Manikchand Ikon' dropped to 61 per cent from over 97
per cent during 2011-12 (refers to financial year, April 1 to
March 31). The company is currently servicing its debt through
excess fixed deposits against term loans availed. However, MRPL's
stretched operating cash flows vis-a-vis its debt obligations
could restrict the company's credit risk profile over the medium
term. Hence, the company's ability to acquire new tenants will
remain a critical rating sensitivity factor over the medium term.
The rating reflects the customer and geographic concentration in
MRPL's revenue profile; and the company's susceptibility to
cyclical demand in the real estate segment. These rating
weaknesses are partly offset by the proximity of MRPL's property
to Pune's prime locations, Dhole Patil Road and the company's
moderate financial risk profile.
Outlook: Negative
CRISIL believes that MRPL's credit risk profile will remain
restricted over the medium term, due to its reduced occupancy, and
muted rent receipts. The rating may be downgraded if the company
sustains its low occupancy resulting in inadequate cash accruals.
The outlook may be revised to 'Stable' if the company's occupancy
improves sharply resulting in sufficient and sustainable cash
accruals or in case of a large fund infusion to shore up the
company's liquidity profile.
MRPL was set up in 1995. The company owns a single building
(classified for commercial use), Manikchand Ikon, in one of Pune's
prime locations - Dhole Patil Road. This building project was
executed by the Mantri group. However, MRPL was taken over by the
Manikchand group (promoters of Dhariwal Industries Ltd) after the
building was constructed.
Of the total leasable area of 259 thousand square feet (sq ft),
the company has leased out 158 thousand sq ft. The property has
four tenants: Satyam Computer Services Ltd, Neilsoft Ltd, Optra
Systems Pvt Ltd, and Axis Bank.
MRPL reported, on a provisional basis, a profit after tax (PAT) of
INR45.1 million on net sales of INR130.2 million for 2012-13, vis-
a-vis a PAT of INR44.1 million on net sales of INR166.8 million
for 2011-12.
MY CAR: CRISIL Downgrades Rating on INR220MM Loans to 'B+'
----------------------------------------------------------
CRISIL has downgraded its rating on the bank facilities of My Car
(Indore) Pvt Ltd to 'CRISIL B+/Stable/CRISIL A4' from 'CRISIL BB-
/Stable/CRISIL A4+'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 30 CRISIL A4 (Downgraded from
'CRISIL A4+')
Cash Credit 210.2 CRISIL B+/Stable (Downgraded
from 'CRISIL BB-/Stable')
Term Loan 9.8 CRISIL B+/Stable (Downgraded
from 'CRISIL BB-/Stable')
The rating downgrade reflects deterioration in MCIPL's financial
risk profile owing to increased working-capital-intensive
operations. The company now needs to maintain over 3 months of
inventory as against 1 to 2 months earlier, following a change in
policy by its principal, Maruti Suzuki India Ltd (MSIL, rated
CRISIL AAA/Stable/CRISIL A1+). Consequently, its debt has
increased more than 50 per cent to about INR390 million, while its
revenues registered a growth of only 10 per cent in the last 2
years. Besides the increase in its total outside liabilities to
tangible net worth (TOLTNW) to over 9 times as on March 31, 2013
and September 30, 2013 from 5 times as on March 31, 2012, its
liquidity too has deteriorated, reflected in nearly full
utilisation of its bank limits with instances of over-utilisation
and reliance on ad-hoc limits.
CRISIL believes MCIPL's increased working capital intensity will
continue to exert pressure on the company's liquidity over the
medium term.
The rating also reflects MCIPL's below-average financial risk
profile, marked by a modest net worth, high external indebtedness,
and subdued debt protection metrics, and exposure to intense
competition in the automobile dealership business. These rating
weaknesses are partially offset by the benefits that MCIPL derives
from its established market position in the automobile dealership
segment in Madhya Pradesh and its promoters' extensive industry
experience.
Outlook: Stable
CRISIL believes that My Car (Indore) Pvt Ltd (MCIPL) will continue
to benefit over the medium term from its promoters' extensive
experience and its established market position in the automobile
dealership segment in Madhya Pradesh. The outlook may be revised
to 'Positive' if the company records higher-than-expected
accretion to reserves, reduction in working capital intensity, or
substantial capital infusion leading to improvement in capital
structure and liquidity. The outlook may be revised to 'Negative'
in case MCIPL registers a sharp decline in its revenue growth and
profitability, or further weakening of its capital structure.
MCIPL, set up in 2009 by Mr. Saurabh Garg, is an authorised dealer
of Maruti Suzuki India Ltd (MSIL) in Madhya Pradesh. It has two
showrooms in Indore. The company also deals in MSIL spare parts.
MCIPL reported a profit after tax (PAT) of INR4.4 million on an
operating income of INR1300 million (provisional figures) for
2012-13 (refers to financial year, April 1 to March 31), against a
PAT of INR4.6 million on an operating income of INR1250 million
for 2011-12.
MY CAR (BHOPAL): CRISIL Lowers Rating on INR350MM Loan to 'B+'
--------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of My Car (Bhopal) Pvt Ltd to 'CRISIL B+/Stable' from 'CRISIL BB-
/Stable'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 350 CRISIL B+/Stable (Downgraded
from 'CRISIL BB-/Stable')
The rating downgrade reflects deterioration in MCBPL's financial
risk profile, owing to increased working-capital-intensive
operations. The company now needs to maintain over 3 months of
inventory as against 1 to 2 months earlier, following a change in
policy by its principal, Maruti Suzuki India Ltd (MSIL; rated
CRISIL AAA/Stable/CRISIL A1+). Consequently, its debt has
increased more than two-fold to about INR630 million, while its
revenues registered a growth of only 17 per cent in 2012-13
(refers to financial year, April 1 to March 31). Besides, the
increase in its total outside liabilities to tangible net worth
(TOLTNW) ratio to over 6 times as on March 31, 2013 and
Sept. 30, 2013 from 3 times as on March 31, 2012, its liquidity
too has deteriorated, as reflected in nearly full utilisation of
its bank limits with instances of over-utilisation and reliance on
ad-hoc limits.
CRISIL believes MCBPL's increased working-capital-intensive
operations will continue to exert pressure on the company's
liquidity over the medium term.
The rating also reflects MCBPL's below-average financial risk
profile, marked by a modest net worth, high external indebtedness,
and subdued debt protection metrics, and exposure to intense
competition in the automobile dealership business. These rating
weaknesses are partially offset by the benefits that MCBPL derives
from its established market position in the automobile dealership
segment in Madhya Pradesh and its promoters' extensive industry
experience.
Outlook: Stable
CRISIL believes that MCBPL will continue to benefit over the
medium term from its promoters' extensive experience and its
established market position in the automobile dealership segment
in Madhya Pradesh. The outlook may be revised to 'Positive' if the
company records higher-than-expected accretion to reserves,
reduction in working capital intensity, or substantial capital
infusion leading to improvement in capital structure and
liquidity. The outlook may be revised to 'Negative' in case MCBPL
registers a sharp decline in its revenue growth and profitability,
or further weakening of its capital structure.
MCBPL was incorporated in 2003 by Mr. Saurabh Garg. The company,
an authorised dealer of Maruti Suzuki India Ltd (MSIL), operates
four showrooms in Madhya Pradesh of which two are in Bhopal. MCBPL
also deals in MSIL spare parts.
MCBPL reported a profit after tax (PAT) of INR8.1 million on an
operating income of INR2.14 billion (provisional figures) for
2012-13 (refers to financial year, April 1 to March 31), against a
PAT of INR8.3 million on an operating income of INR1.84 billion
for 2011-12.
PHOTON ENERGY: CRISIL Lowers Rating on INR137.7MM Loans to 'C'
--------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Photon
Energy Systems Ltd to 'CRISIL C/CRISIL A4' from 'CRISIL
BB/Stable/CRISIL A4+'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 160 CRISIL A4 (Downgraded from
'CRISIL A4+')
Cash Credit 60 CRISIL C (Downgraded from
'CRISIL BB/Stable')
Letter of Credit 300 CRISIL A4 (Downgraded from
'CRISIL A4+')
Proposed Long Term
Bank Loan Facility 57.7 CRISIL C (Downgraded from
'CRISIL BB/Stable')
Working Capital
Demand Loan 20 CRISIL C (Downgraded from
'CRISIL BB/Stable')
The rating downgrade reflects the steep deterioration in PESL's
liquidity, with a stretch in its working capital cycle resulting
in instances of devolvement of its letters of credit. CRISIL
believes that the company will need fresh capital from its
promoters, or would have to register sustained improvement in its
working capital cycle, to alleviate the pressure on its liquidity.
There has been a stretch in PESL's working capital cycle as
reflected in a sequential increase in its receivable levels, which
are expected to be around 180 days as on March 31, 2014, as
against 93 days as on March 31, 2012. The stretch in the company's
receivables cycle resulted in instances of devolvement of letters
of credit over the past two months ended January 2014; these were
regularised within two weeks.
CRISIL's ratings on the bank facilities of PESL continue to
reflect its large working capital requirements, its limited
pricing flexibility and susceptibility of its profitability
margins to volatility in raw material prices. These rating
weaknesses are partially offset by PESL's established presence in
the solar energy systems market.
PESL was incorporated in 1995 by Mr. N Purushottam Reddy and his
family members. The company manufactures and assembles solar
energy systems at its facility in Hyderabad, Andhra Pradesh. The
company also has a 1-megawatt solar power plant in the Rangareddy
district of Andhra Pradesh.
R. C. ENTERPRISE: CRISIL Reaffirms 'B+' Rating on INR24MM Loans
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of R. C. Enterprise (RCE;
part of the Laxmi group) continue to reflect the Laxmi group's
below-average financial risk profile, marked by high gearing and
below-average debt protection metrics, and its susceptibility to
volatility in raw material prices. These rating weaknesses are
partially offset by the extensive experience of the group's
promoters in the psyllium husk industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Packing Credit 120 CRISIL A4 (Reaffirmed)
Standby Line 24 CRISIL B+/Stable (Reaffirmed)
of Credit
For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of RCE and Laxmi Industrial Corporation
(LIC), together referred to as the Laxmi group. This is because
the two firms are under a common management, in the same line of
business, and have operational linkages and fungible cash flows.
Outlook: Stable
CRISIL believes that the Laxmi group will continue to benefit over
the medium term from its promoters' extensive industry experience.
The outlook may be revised to 'Positive' if the group generates
larger-than-expected cash accruals due to significant improvement
in its revenues and profitability, resulting in substantial
improvement in its financial risk profile, particularly its
liquidity. Conversely, the outlook may be revised to 'Negative' if
the Laxmi group's financial risk profile deteriorates, most likely
because of lower-than-expected cash accruals, significant stretch
in its working capital cycle, or large debt-funded capital
expenditure.
LIC and RCE are partnership firms set up by Mr. Rasiklal Shah and
his family members. Both the firms process psyllium husk from
psyllium seeds; the product is known as isabgol in India. The
operations of the Laxmi group are managed by Mr. Amit Shah and Mr.
Suketu Shah.
RCE reported a net profit of INR3.9 million on an operating income
of INR1082.3 million for 2012-13 (refers to financial year, April
1 to March 31), as against a net profit of INR2.6 million on net
sales of INR1038.0 million for 2011-12.
LIC reported a net profit of INR2.9 million on an operating income
of INR627.9 million for 2012-13, as against a net profit of INR2.1
million on net sales of INR503.8 million for 2011-12.
RASHMI YARNS: CRISIL Assigns 'B' Rating to INR155MM Loans
---------------------------------------------------------
CRISIL has revoked the suspension of its ratings on the bank
facilities of Rashmi Yarns Ltd and has assigned its 'CRISIL
B/Stable/CRISIL A4' ratings to the bank facilities of RYL. The
ratings were previously 'Suspended' by CRISIL vide the Rating
Rationale dated February 04, 2013, since RYL had not provided
necessary information required for a rating review. RYL has now
shared the requisite information enabling CRISIL to assign ratings
to its bank facilities.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 5 CRISIL A4(Assigned;
Suspension Revoked)
Cash Credit 100 CRISIL B/Stable (Assigned;
Suspension Revoked)
Letter of Credit 40 CRISIL A4 (Assigned;
Suspension Revoked)
Letter of Credit 40 CRISIL B/Stable (Assigned;
Suspension Revoked)
Term Loan 15 CRISIL B/Stable (Assigned;
Suspension Revoked)
The ratings reflect the modest scale of operations in the
intensely competitive texturised yarn segment and working capital
intensive nature of operations. The ratings also factor the below-
average financial risk profile marked by modest net worth, and
subdued debt protection metrics. These rating weaknesses are
partially offset by the extensive industry experience of RYL's
promoters.
Outlook: Stable
CRISIL believes that the RYL will benefit over the medium term
from the extensive industry experience of its promoters. The
outlook may be revised to 'Positive' if the company registers a
significant and sustainable growth in its revenues and
profitability while improving its debt protection indicators.
Conversely, the outlook may be revised to 'Negative' in case RYL
registers a significant decline in its revenues and margins or if
its working capital cycle lengthens further, leading to further
weakening of its financial risk profile.
RYL, set up as a private limited company in 1997, became a public
limited company in 2006 and is engaged in texturising and twisting
of polyester partially oriented yarn (POY). The company has its
registered office in Mumbai and its manufacturing units at
Silvassa and Surat. The day-to-day operations of the company are
managed by the directors Mr. Pankaj Mehta and Mr. Lakhabhai Wagh.
RYL reported a profit after tax (PAT) of INR0.04 million on net
sales of INR545.3 million for 2012-13 (refers to financial year,
April 1 to March 31) as against a PAT of INR3.6 million on net
sales of INR661.2 million for 2011-12.
RISHI ICE: CARE Raises Rating on INR14cr Bank Loans to 'B'
----------------------------------------------------------
CARE revises the rating assigned to the bank facilities of Rishi
Ice & Cold Storage Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 14.00 CARE B Revised
Facilities from CARE C
Rating Rationale
The revision in the rating of bank facilities of Rishi Ice & Cold
Storage Private Limited is primarily driven by its improvement in
the liquidity profile. The rating continues to be constrained by
the relatively small scale of operations, leveraged capital
structure, moderate debt coverage indicators and presence in the
highly competitive and fragmented industry.
The rating, however, continues to draw strength from the wide
experience of promoters in the industry and healthy profitability
margins.
The ability of Rishi to timely complete the expansion project
within the envisaged cost parameters and thereby scale up its
operations while maintaining its profitability amidst the
increasing competition along with efficient management of working
capital cycle and thereby continue to maintain its liquidity
position would remain the key rating sensitivities.
Incorporated in the year 2002, Rishi Ice and Cold Storage Private
Limited started commercial operations from March 2006 and is
engaged in the business of providing cold and dry storage
facilities for storage of various products such as grains, spices,
dates, dry fruits, milk products. Rishi has an annual storage
capacity of 14,000 Metric Tonnes (MT) as on December 31,
2013.
During FY13 (refers to the period April 01 to March 31), Rishi
reported a total operating income of INR7.41 crore (declined by 1%
as compared with FY12) and PAT of INR0.58 crore (declined by 28%
as compared with FY12). Furthermore, the company has achieved a
total operating income of around INR6 crore till December 31,
2013.
SHALCO INDUSTRIES: CARE Reaffirms 'B+' Rating on INR4cr Loans
-------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Shalco Industries private limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank
Facilities 4 CARE B+ Reaffirmed
Short-term Bank
Facilities 8 CARE A4 Reaffirmed
Rating Rationale
The ratings assigned to the bank facilities of Shalco Industries
Private Limited continue to be constrained by relatively small
scale of operations, leveraged capital structure and weak
coverage indicators. The ratings further continue to factor in
customer & supplier concentration risk, susceptibility of
profitability margins to the volatile raw material prices and
operations in the highly fragmented & competitive industry.
The ratings, however, continue to derive strength from experienced
management and diverse product range.
Ability of Shalco to scale up its operations and achieve envisaged
level of capacity utilization while maintaining its profitability
margins amidst intense competition would be the key rating
sensitivities.
Incorporated in 2000, Shalco Industries Private Limited (Shalco)
is engaged in the manufacturing of Stainless Steel seamless and
welded pipes and tubes. The company started commercial operations
from FY10 (refers to the period April 1 to March 31). Shalco has
two manufacturing units located at Taloja and at Mahad with a
total installed capacity of 2,500 tons per annum (as on March 31,
2013); utilized at 55% during FY13 & 63% during 9MFY14. The
company is certified by ISO 9001:2008, AD2000 MERKBLATT W0
Standard and the PED 97 23 EC. The exports (to European countries
& USA) contributed around 37% of the total income against 53% raw
material imports from China and European countries. Shalco is part
of the Sanghvi group, which has been engaged in the trading of
various metals, tubes and pipes for over four decades through
various entities namely Nishant Infin Private Limited, Sanghavi
Stainless & Alloys Private Limited and Sanghavi Bothra Engineering
Company Private Limited.
During FY13, Shalco has reported total operating income of
INR15.91 crore (down by 23% vis-...-vis FY12) and PAT of INR0.29
crore (up by 5% vis-...-vis FY12). Further as per 9MFY14
provisional, the company reported income of INR11.00 crore & PAT
of INR0.06 crore.
SHIVKRUPA COTFIBER: CARE Assigns 'B' Rating to INR3.96cr Loans
--------------------------------------------------------------
CARE assigns 'CARE B' and 'CARE A4' ratings to the bank facilities
of Shivkrupa Cotfiber Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank
Facilities 3.96 CARE B Assigned
Short-term Bank
Facilities 2 CARE A4 Assigned
Rating Rationale
The ratings assigned to the bank facilities of Shivkrupa Cotfiber
Private Limited (SCPL) are primarily constrained on account of the
limited track record of operations in the highly competitive
and fragmented cotton-ginning business with limited value addition
and financial risk profile marked by thin profitability, leveraged
capital structure and weak debt coverage indicators. The ratings
are also constrained on account of volatility associated with the
raw material prices, working capital intensive operations and
susceptibility to changes in the government policy for cotton.
The ratings, however, favourably take into account the experience
of the promoters in the cotton ginning business and proximity to
the cotton growing region of Gujarat. The ability of SCPL to
increase its scale of operations and moving up in the value chain,
thereby improving its profitability and the capital structure
while managing working capital efficiently are the key rating
sensitivity.
Amreli-based (Gujarat) SCPL was formed in June 2011 as a private
limited company. SCPL is into the business of manufacturing and
trading of cotton bales and cotton seeds. Currently, SCPL is
managed by Mr Shantibhai Kukadiya, Mr Mehulbhai Kukadiya and Mr
Ranchhodbhai Kukadiya.
SCPL operates from its sole manufacturing facility located in
Amreli (Gujarat) and has an installed capacity of 6,900 metric
tonnes per annum (MTPA) for cotton bales and 12,075 MTPA as on
March 31, 2013. SCPL started its own manufacturing facility from
March 2013 hence prior to that it was selling goods which were
manufactured by a third party on a job-work basis. SCPL markets
its products in the states of Karnataka, Punjab, Andhra Pradesh
and Maharashtra.
As per the audited results for FY13 (refers to the period
April 1 to March 31), SCPL reported a total operating income of
INR4.24 crore (FY12: INR3.59 crore) and PAT of INR0.01 crore. As
per the provisional 9MFY14 (from April 1 to December 13), SCPL has
achieved a turnover of INR44.78 crore.
SONARCH INT'L: CARE Reaffirms 'B+/A4' Rating on INR20cr Loans
-------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Sonarch International Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term/Short- 20 CARE B+/CARE A4
term Bank Reaffirmed
Facilities
Rating Rationale
The ratings of Sonarch International Private Limited continue to
be constrained by the modest scale of operations, low
profitability margins, leveraged capital structure, weak debt
coverage indicators and working capital intensive nature of
operations. The ratings further continues to be constrained by the
inherent industry risk marked by vulnerability of profit margins
to volatility in raw material prices, foreign exchange fluctuation
risk along with presence in a highly competitive industry with
linkages to the fortunes of the real estate industry which is
cyclical in nature.
The ratings, however, continue to take comfort from the promoters
experience in the tile industry. SIPL's ability to increase its
scale of operations along with an improvement in profitability
margins amidst increasing competition and efficient management of
the working capital are the key rating sensitivities.
Incorporated in 1996, Sonarch International Private Limited (SIPL)
is engaged in the trading of vitrified and ceramics tiles under
the brand name of "Picasso Ceramica". The company supplies
tiles to dealers, distributors (contributed around 60% in the
total income) and institutional clients (Lodha group, Hiranandani
builders, Marthon Builders and others) across India. Apart from
the trading, the company also started retail outlets under the
name "Urban Posch" in Malad and Andheri, where it sells multi-
brand products.
In FY13 (refers to the period April 1 to March 31), SIPL reported
PAT of INR0.12 crore (declined by 40% vis-a-vis FY12) on a total
income of INR61.70 crore (increased by 5% vis-a-vis FY12).
Furthermore the company has earned a total income of INR85 crore
till December 2013.
SRI RAM: CRISIL Reaffirms 'B+' Rating on INR90MM Loans
------------------------------------------------------
CRISIL's ratings on the bank facilities of Sri Ram Enterprises
continues to reflect SRE's small scale of operations in the
intensely competitive civil construction industry, and stretched
liquidity resulting from its large working capital requirements.
These rating weaknesses are partially offset by the benefits that
SRE derives from its promoter's extensive industry experience, and
its healthy order book providing revenue visibility over the
medium term.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 60 CRISIL A4 (Reaffirmed)
Cash Credit 12.5 CRISIL B+/Stable (Reaffirmed)
Proposed Long Term
Bank Loan Facility 77.5 CRISIL B+/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes that SRE will continue to benefit over the medium
term from its promoter's extensive experience in the civil
construction business and its healthy order book. The outlook may
be revised to 'Positive' if the firm strengthens its business risk
profile through significant improvement in its scale of
operations, or if it improves its liquidity on the back of better-
than-expected accruals or improvement in its working capital
management. Conversely, the outlook may be revised to 'Negative'
if SRE records a steep decline in its accruals, or if its working
capital cycle lengthens, or if it undertakes a larger-than-
expected, debt-funded capital expenditure programme, leading to
deterioration in its liquidity.
SRE, established as a partnership firm in 1998, undertakes civil
construction work related to road, bridge, and irrigation
projects. It executes contracts, primarily for government bodies
such as Road Construction Department of Bihar, Indian Railways,
Irrigation Department of Bihar, and Bihar Rajya Pul Nirman Nigam
Ltd. SRE's day-to-day operations are looked after by its partner,
Mr. Roshan Kumar Agarwal.
VARAD FERTILIZERS: CARE Revises Rating on INR5cr Loans to 'BB-'
---------------------------------------------------------------
CARE revises/reaffirms the rating assigned to the bank facilities
of Varad Fertilizers.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank 5.00 CARE BB- Revised
Facilities from CARE B+
Short-term Bank 0.03 CARE A4 Reaffirmed
Facilities
The ratings assigned by CARE are 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 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 revision in the long-term rating factors in Varad Fertilizers'
(VF) stable operating performance in FY13 (refers to the period
April 1 to March 31) coupled with improved financial risk profile.
The ratings continue to be constrained by its low profit margins
owing to the trading nature of business, its constitution as a
partnership along with vulnerability of revenues to agro climatic
risk and prices of fertilizers. The ratings are further
constrained on account of the small scale of operations with
limited track record of the firm.
The ratings continue to draw strength from VF's experienced
partners and their long standing relationship with the established
players in the fertilizer industry.
The ability of the firm to increase its scale of operations along
with improvement in profitability remain the key rating
sensitivities.
Varad Fertilizers (VF) was established as a partnership firm in
April 2009 in Sangli by Mr Sainath Parsewar, Mr Sudhakar Parsewar,
Mr Somnath Puramwar and Mr Venkatesh Puramwar as partners sharing
profit in the ratio 3:2:3:2 respectively.
VF is engaged in the trading of seeds, fertilizers and pesticides.
In addition to trading, the firm is also engaged in the handling,
storage and transportation of fertilizers. It has dealership of
seeds and fertilizers from 19 companies including eminent players
in the industry, namely, Rashtriya Chemicals & Fertilizers,
Coromandal International Ltd, Hindalco Industries Limited (rated
'CARE AA+'), National Fertilizers Limited, Gujarat Narmada Valley
Fertilizers Company Limited, Mangalore Chemicals & Fertilizers
Limited and Gujarat State Fertilizers and Chemicals Limited
(rated 'CARE AA+' , 'CARE A1+').
The firm's product portfolio (in the fertilizer segment) includes
urea, Di-Ammonium Phosphate (DAP), Calcium Ammonium Nitrate (CAN),
ammonium sulphate, etc, and (in the seeds segment) maize, jawar,
bazra, rice and soybean. Presently, the firm owns five warehouses
with a total storage capacity of 35,000 metric tonne and has fleet
size of 10 trucks.
=========
J A P A N
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GODO KAISHA: S&P Lowers Ratings on Classes D and E Notes to 'CC'
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Standard & Poor's Ratings Services lowered to 'CC (sf)' from
'CCC- (sf)' its ratings on the class D and E notes issued under
the Godo Kaisha Orso Funding CMBS 7 (Orso Funding CMBS 7)
transaction in July 2007.
The servicer sold the properties backing the transaction's
remaining two loans, which have both defaulted. However, the
loans' outstanding balances exceeded collection proceeds from the
respective collateral property sales and, as a result, the loans
incurred principal losses. Combined, the loans originally
represented about 45% of the total initial issuance amount of the
notes.
Losses incurred on the underlying loans will first impair the
lower-level tranches of rated notes. S&P downgraded classes D and
E because these classes have incurred effective principal losses.
S&P intends to lower to 'D (sf)' its ratings on both classes when
it confirms that losses are realized at the CMBS level.
Four loans and two TMK ("tokutei mokuteki kaisha"; special-purpose
company) bonds extended to or issued by six obligors initially
secured the floating-rate notes, and 42 real estate properties
originally backed the loans and TMK bonds issued under this
commercial mortgage-backed securities (CMBS) transaction.
Following the above property sales, no loans or TMK bonds with
unsold collateral properties remain. Bear Stearns (Japan) Ltd.
Tokyo Branch (currently, JPMorgan Securities Japan Co. Ltd.)
arranged this transaction, and Premier Asset Management Co. acts
as the servicer.
The ratings reflect S&P's opinion on the likelihood of the full
payment of interest and the ultimate repayment of principal by the
transaction's legal final maturity date in May 2014 for the class
D and E notes.
STANDARD & POOR'S 17G-7 DISCLOSURE REPORT
SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and a
description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities. The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.
If applicable, the Standard & Poor's 17g-7 Disclosure Report
included in this credit rating report is available at:
http://standardandpoorsdisclosure-17g7.com
RATINGS LOWERED
Godo Kaisha Orso Funding CMBS 7
JPY50.3 billion floating-rate notes due May 2014
Class To From Initial issue amount
D CC (sf) CCC- (sf) JPY5.4 bil.
E CC (sf) CCC- (sf) JPY5.9 bil.
* JAPAN: Corporate Bankruptcies Fell 7.5% in January
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Kyodo News reports that corporate bankruptcies dropped
7.5 percent in January from a year earlier to 864 for the 15th
straight month of decline, a credit research agency said on
Feb. 10.
The downward trend, at least in terms of number, has continued as
banks have been accepting loan rescheduling requests from small
firms, said Tokyo Shoko Research, which covers business failures
with debts of JPY10 million or more, Kyodo relays.
The number slipped below 900 for a January for the first time in
23 years, the news agency discloses.
The report relates that due to one large failure -- a real estate
firm with 165 billion in debt -- total liabilities left behind by
failed firms shot up 40.3 percent to 315.15 billion.
Of the 10 industrial categories, seven logged declines in business
failures, including the information and communications sector,
which saw a 36.6 percent fall, the real estate industry, which saw
an 18.4 percent drop, and the construction sector, which reported
a 10.6 percent decrease, Kyodo reports.
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N E W Z E A L A N D
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LOMBARD FINANCE: Lawyer Says Law Change Undermined Sentences
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Mark Mitchell at The New Zealand Herald reports that sweeping
changes to securities law have undermined the deterrence effect of
the custodial sentences handed out to former directors of Lombard
Finance & Investments, which should be reduced back to original
levels, the Supreme Court heard on Feb. 11.
The Herald relates that former Justice Ministers Doug Graham and
Bill Jeffries, former PR man for the Queen Lawrie Bryant and
Lombard's ex-boss Michael Reeves are appealing tougher sentences
handed out to them by the Court of Appeal, though weren't granted
leave to overturn their convictions.
Counsel for the directors, Jim Farmer QC, told the country's top
court that the introduction of the Financial Markets Conduct Act
last year removed the criminality from their offending, which
attracted strict liability, meaning dishonest or criminal intent
didn't have to be proved, according to the Herald.
"The question of deterrence and denunciation in relation to this
offence simply can't be something that can properly be said to
have any great weight because the law has changed," the report
quotes Mr. Farmer as saying. "Nobody is going to be deterred by
thought of going to prison if they honestly made a mistake."
The new regime reserves criminality for the most egregious
misconduct, leaving cases similar to Lombard as civil matters, the
report notes.
According to the Herald, Mr. Farmer said he is seeking to
reinstate the penalties handed down in the High Court.
All four avoided jail time when sentenced in 2012, when Justice
Robert Dobson said the offending was much less serious than that
involving other failed finance companies, such as Bridgecorp, the
Herald states. They had been found guilty of making untrue
statements in investment documents and advertisements in late 2007
and early 2008 and the Crown had initially sought jail terms,
notes the Herald.
The Appeal Court imposed custodial sentences after determining the
original penalty didn't reflect the gravity of offending and
didn't give sufficient weight to accountability, denunciation and
general deterrence, the Herald adds.
About Lombard Finance
Lombard Finance & Investments Limited is a wholly owned
subsidiary of Lombard Group, a diversified company specializing
in the financial services sector offering a number of lending
options and providing investment opportunities for its
shareholders and investors.
Lombard Finance was placed into receivership on April 10, 2008,
by its trustee, Perpetual Trust Limited. PricewaterhouseCoopers
partners John Fisk and John Waller have been appointed receivers
of the company. The receivership also applies to three other
subsidiaries of Lombard Group, being Lombard Asset Finance
Limited, Lombard Property Holdings Limited and Lombard Asset
Finance No 2 Limited. The receivership does not impact
Lombard Group Limited.
Some 4,400 Lombard Finance investors were owed NZ$127 million.
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P H I L I P P I N E S
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RURAL BANK OF REINA: Placed Under PDIC Receivership
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The Monetary Board (MB) placed the Rural Bank of Reina Mercedes
(Isabela), Inc. under the receivership of the Philippine Deposit
Insurance Corporation (PDIC) by virtue of MB Resolution No. 204
dated Feb. 7, 2014. As Receiver, PDIC took over the bank on
Feb. 10, 2014.
Rural Bank of Reina Mercedes is a three-unit rural bank with Head
Office located in Brgy. Tallungan, Reina Mercedes, Isabela. Its
two branches are located in Cauayan and San Mateo, Isabela. Latest
available records show that as of Dec. 31, 2013, Rural Bank of
Reina Mercedes had 1,271 accounts with total deposit liabilities
of PHP68.87 million. A total of 1,262 deposit accounts or 99.29%
of the accounts have balances of PHP500,000 or less and are fully
covered by deposit insurance. Total insured deposits amounted to
PHP66.98 million or 97.26% of total deposits.
PDIC said that upon takeover, all bank records shall be gathered,
verified and validated. The state deposit insurer assured
depositors that all valid deposits shall be paid up to the maximum
deposit insurance coverage of PHP500,000.00.
The PDIC also announced that it will conduct a Depositors-
Borrowers Forum on February 13, 2014 to inform depositors of the
requirements and procedures for filing deposit insurance claims.
Claim forms will be distributed during the Forum. The schedule and
venue of the Forum will be posted on the bank premises and in the
PDIC website, www.pdic.gov.ph. The claim forms and the
requirements and procedures for filing are likewise available for
downloading from the PDIC website.
Depositors may update their addresses with the PDIC
representatives at the bank premises or during the Forum using the
Mailing Address Update Forms to be furnished by PDIC
representatives. Duly accomplished Mailing Address Update Forms
should be submitted to PDIC representatives accompanied by a
photo-bearing ID with signature of the depositor. Depositors may
update their addresses until Feb. 14, 2013.
Depositors with valid deposit accounts with balances of
PHP50,000.00 and below need not file deposit insurance claims. But
depositors who have outstanding obligations with the Rural Bank of
Reina Mercedes including co-makers of the obligations, and have
incomplete and/or have not updated their addresses with the bank,
regardless of amount, should file deposit insurance claims.
For depositors that need not file deposit insurance claims, PDIC
will start sending payments by mail to their addresses based on
bank records by the 3 rd week of February.
For depositors that are required to file deposit insurance claims,
the PDIC will start claims settlement operations for these
accounts also by the 3 rd week of the month. The schedule of the
claims settlement operations will be announced through notices to
be posted in the bank premises and other public places as well as
through the PDIC website, www.pdic.gov.ph.
According to the latest Bank Information Sheet (BIS) as of
June 30, 2013 filed by the Rural Bank of Reina Mercedes with the
PDIC, the bank is owned by Lina Judith C. Bautista (28.33%), David
C. Bautista, Jr. (26.01%) and Pacita C. Bautista (16.58%). Its
President is Romeo P. Garcia and its Chairman is Shelly G.
Bautista.
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S I N G A P O R E
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GLOBAL A&T: UTAC Deal with Panasonic Credit Negative says Moody's
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Moody's Investors Service notes that UTAC Holdings Ltd. (UTAC,
unrated), the parent company of Global A&T Electronics Ltd. (GATE,
Caa1 Negative), announced that it had entered into a sale-and-
purchase agreement with Panasonic Corporation (Baa3 Stable) to
acquire three of Panasonic's facilities in Southeast Asia. The
three facilities conduct semiconductor assembly and testing for
the industrial and automotive sectors.
The acquisition will be made via a special purpose vehicle (SPV),
wholly-owned by UTAC, and on a non-recourse basis to GATE. As
such, the SPV will be a sister company to GATE. The total
acquisition price is $116.5 millionplus transaction related fees
and is payable in installments over five years with an initial
payment to be made at the completion of the acquisition.
This initial payment will be funded with an $11 million inter-
company loan from GATE to UTAC with a pay-in-kind coupon of 10.5%
per annum.
As of December 2013, GATE had approximately $200million in cash-
on-hand and short-term investments, which is sufficient to cover
the inter-company loan, interest expense, working capital, capex
and short term debt obligations over the next 12 months, absent
any claims related to the bondholder dispute.
Although GATE's liquidity position will remain strong even after
the outflow of $11 million, the deal is credit negative given that
it comes at a time when GATE is facing considerable uncertainty
arising from an ongoing legal dispute with bondholders. The
dispute covering security claims over some $1.1 billion in debt
could result in an event of default being declared and potentially
debt acceleration.
The remaining installments, totaling $108 million, will be paid
directly out of the cash flow generation from the acquired
facilities. A third party bank will guarantee these installment
payments by the SPV to Panasonic. The guarantee will be secured by
the acquired facilities only.
Accordingly, none of the collateral which secures GATE's 10.0%
senior secured notes due 2019 will be used to secure any
obligations of the SPV regarding this acquisition.
As the facilities will not be direct subsidiaries of GATE, it will
not benefit significantly from incremental sales or cash flows,
although it will receive a small annual management fee from UTAC.
The addition of the facilities broadens UTAC's product offering
and end-customer base, providing cross-selling opportunities for
GATE. However, because of the long sales and qualification
process, it will take at least 9-12 months for such transactions
to develop and generate cash flows for GATE.
In the longer term, GATE could also take advantage of
underutilized capacity in the acquired facilities to service new
and existing customers. However, any such transactions will
require a formal agreement between the SPV and GATE, made on
commercial terms and at arm's length.
As a result, although Moody's acknowledge the longer term
strategic benefits, the acquisition is credit negative in the near
term given the cash outflow.
The transaction is expected to close in June 2014, subject to,
among other things, regulatory and other third party approvals.
The negative outlook reflects ongoing pressure on GATE's operating
performance and the uncertainty regarding the outcome of the
dispute with some of its bondholders.
A rating upgrade is unlikely in the near term, given the negative
outlook.
Downgrade pressure could emerge if: (1) the exchange transaction
unwinds, thereby creating significant near-to-medium term
liquidity risk, given that the initial second-lien bonds were to
mature in 2015, (2) an event of default is declared and an
acceleration of up to $1.1 billion in debt is triggered, (3) there
is further evidence of a weakening competitive position or
significant loss of market share, or (4) the company's balance-
sheet liquidity falls below $150 million owing to higher-than-
expected cash expenses.
The principal methodology used in this rating was the Global
Semiconductor Industry Methodology published in December 2012.
GATE is a leading provider of semiconductor assembly and test
services operating under the name UTAC with manufacturing
facilities in Singapore, Taiwan, Thailand and China. UTAC was
privatized through a leverage buy-out by a private equity group
led by TPG Capital (47.7%) and Affinity Equity Partners (47.7%) in
October 2007.
*********
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
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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.
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*** End of Transmission ***