/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/150130.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 Friday, January 30, 2015, Vol. 18, No. 021 Headlines A U S T R A L I A BOATMATE PTY: First Creditors' Meeting Slated for Feb. 6 CENTRAL QUEENSLAND: First Creditors' Meeting Set For Feb. 5 NEWCASTLE JETS: Dump Senior Players as FFA Sets Debt Deadline TECHDRILL CIVIL: First Creditors' Meeting Slated for Feb. 6 C H I N A LDK SOLAR: Bankr. Case Reassigned to Judge L. Silverstein YINGDE GASES: Moody's Lowers Corporate Family Rating to Ba3 I N D I A AL-RKAYAN APPARELS: ICRA Assigns B+ Rating to INR5cr Cash Credit ALCON BIOSCIENCES: CRISIL Reaffirms B+ Rating on INR105MM Loan AMEYA LABORATORIES: ICRA Suspends D Rating on INR210cr LT Loan CANVAS INTEGRATED: CRISIL Assigns B+ Rating to INR50MM Term Loan D.P.M.K. FERTILIZERS: CRISIL Assigns B Rating to INR95MM Loan DEVDOOT COTTON: CRISIL Rates INR60M Loan B+; Suspension Revoked DNH PROJECTS: ICRA Cuts Rating on INR12cr Cash Credit to C ESSEN TRADING: CRISIL Assigns B+ Rating to INR100MM Cash Loan EURO VISTAA: CRISIL Reaffirms B+ Rating on INR64.3MM Bank Loan FAROOQ CONSTRUCTIONS: ICRA Rates INR4cr Long Term Loan at 'C' GLOBSYN KNOWLEDGE: CRISIL Reaffirms B Rating on INR127MM Loan GOVIND RUBBER: CRISIL Ups Rating on INR401.8MM Cash Loan to B- JAHNVIS MULTI: CRISIL Assigns B+ Rating to INR70MM Term Loan JAIPRAKASH POWER: May Default on $200MM Convertible Bonds JIVANDHARA COTTON: ICRA Assigns B+ Rating to INR14cr Cash Credit KEWAL KUMAR: ICRA Suspends 'B' Rating on INR6.50cr LT Loan KINGSTON PAPTECH: CRISIL Cuts Rating on INR145MM Loan to D KOYILI HOSPITAL: CRISIL Ups Rating on INR162.5MM Loan to B KUN UNITED: CRISIL Assigns B Rating to INR350MM Bank Loan LAXMANBHAI CONSTRUCTION: CRISIL Rates INR120MM Cash Loan at B+ MAA SARADESWARI: CRISIL Puts B Rating on INR81MM Bank Loan MAHAVIR COTTEX: CRISIL Assigns B Rating to INR50MM Cash Credit MANDEEP INTERNATIONAL: CRISIL Rates INR100MM Cash Credit at B MAP COTTON: ICRA Assigns B+ Rating to INR27cr Bank Loan MARTIN & BROWN: CRISIL Assigns B Rating to INR75MM Cash Credit MARY MATHA: CRISIL Reaffirms D Rating on INR138.3MM LT Loan MOHANDAS MOTORS: CRISIL Ups Rating on INR100MM Funding Loan to B- NATURAL ORGANIC: CRISIL Assigns B Rating to INR92.5MM Cash Loan NAXALBARI FLOUR: CRISIL Reaffirms B Rating on INR90MM Term Loan P. D. SHAH: CRISIL Ups Rating on INR250MM Cash Credit to B PARAMJEET SAINI: CRISIL Assigns B+ Rating to INR7.5MM Cash Loan PAULMECH INFRA: CRISIL Reaffirms 'D' Rating on INR55MM Loan POLYSPIN LTD: CRISIL Reaffirms B+ Rating on INR16MM Cash Loan RAJHANS IMPEX: CRISIL Reaffirms B Rating on INR100MM Cash Loan RAVELS APPARELS: CRISIL Assigns B Rating to INR35MM Packing Loan SASWAD MALI: CRISIL Assigns B- Rating to INR1.01BB Cash Credit SHREE TATYASAHEB: CRISIL Reaffirms D Rating on INR547.7MM Loan SHYAM JOTI: CRISIL Reaffirms B- Rating on INR63.3MM Term Loan SMVD POLYPACK: CRISIL Reaffirms B+ Rating on INR105MM Term Loan SUNRISE MARKETING: CRISIL Ups Rating on INR10MM Cash Loan to B+ SUPER COTTON: CRISIL Upgrades Rating on INR64MM Cash Loan to B+ TIRUPATI INDUSTRIES-RAJKOT: CRISIL Rates INR150MM Loan at 'B' VASU TRADING: CRISIL Cuts Rating on INR100MM Cash Loan to 'B+' VENU FOOD: ICRA Suspends B+ Rating on INR7.10cr Long Term Loan J A P A N SKYMARK AIRLINES: Files For Bankruptcy Protection SONY CORP: Delays Third-Quarter Results on November Cyberattack SONY CORP: To Cut 1,000 More Jobs in Smartphone Business M A L A Y S I A PRIME GLOBAL: B F Borgers Expresses Going Concern Doubt N E W Z E A L A N D 3C BAR: Closes Shop, In Hands of Liquidator MERCHANT + CAPITAL: Two Directors' Parole Hearing Deferred P H I L I P P I N E S RURAL BANK OF STA. RITA: Arrest Warrants Issued vs. Bank Officers S O U T H K O R E A DONGBU GROUP: Building Unit Subcontractors Face Liquidity Crisis HYUNDAI GROUP: KDB to Select Buyer for Hyundai Securities Unit X X X X X X X X * Large Companies with Insolvent Balance Sheets - - - - - ================= A U S T R A L I A ================= BOATMATE PTY: First Creditors' Meeting Slated for Feb. 6 -------------------------------------------------------- Alan Hayes and Christian Sprowles of Hayes Advisory were appointed as administrators of Boatmate pty ltd on Jan. 27, 2015. A first meeting of the creditors of the Company will be held at Hayes Advisory, Level 11, 66 King Street, in Sydney, on Feb. 6, 2015, at 11:00 a.m. CENTRAL QUEENSLAND: First Creditors' Meeting Set For Feb. 5 ----------------------------------------------------------- Christopher Richard Cook and Morgan Gerard Lane of Worrells Solvency & Forensic Accountants were appointed as administrators of Central Queensland Packaging Solutions Pty. Limited on Jan. 27, 2015. A first meeting of the creditors of the Company will be held at Worrells Solvency & Forensic Accountants, Level 8, 102 Adelaide Street, in Brisbane, on Feb. 5, 2015, at 10:30 a.m. NEWCASTLE JETS: Dump Senior Players as FFA Sets Debt Deadline ------------------------------------------------------------- fourfourtwo.com reports that the blood-letting continues at Newcastle Jets with the club culling their senior playing ranks. Club hero Joel Griffiths and skipper Kew Jaliens are among five players sacked by owner Nathan Tinkler. David Carney's contract has been terminated for disciplinary reasons while the contracts of Griffiths, Jaliens, Billy Celeski and Adrian Madaschi were due to end at the end of the season, according to fourfourtwo.com. The report notes that Mr. Carney only recently rejected an approach from his former club Sydney Football Club recently to stay with the Hunter outfit. Three coaches, including Newcastle product and assistant coach Clayton Zane, were also given their marching orders, the report relates. Head coach Phil Stubbins remains safe for now. The report notes that Coach Stubbins re-signed Carney and Griffiths -- Newcastle's all-time leading goal scorer -- in May last year, and signed Mr. Madaschi and Mr. Celeski soon after, hailing their experience as a key factor in bringing them to Hunter Stadium, the report notes. The report relates that the cleanout comes as Football Federation Australia set a deadline of this week for Tinkler's Hunter Sports Group to meet their debts. It is understood the club is behind on player superannuation payments and owes money to other bodies including Northern NSW Football, the report relates. "FFA is aware of debts owed by Hunter Sports Group (HSG) to football stakeholders and other service providers," the report quoted an FFA spokesman as saying. "These matters are the subject of undertakings provided by HSG to FFA. The expectation is that these matters will be urgently addressed," the FFA spokesman said. "It is obvious that the Newcastle Jets are not currently a stable operation in structure, personnel or finances. HSG has been told it needs to take action this week," the FFA spokesman added. The report notes that the default on the payment could precipitate a club takeover by FFA. The report relays that Tinkler Hunter cited a need to change the club culture for cull of the playing roster and backroom. The report relays that Mr. Tinkler assumed control of the day-to- day running of the troubled club following the resignation and departure of chairman Ray Baartz and chief executive Robbie Middleby earlier this month. Reports have since emerged of players rebelling against head coach Phil Stubbins, who apparently retains Tinkler's support, the report notes. The players' union, Professional Footballers Australia, issued a statement on Wednesday denying claims of a player revolt, the report adds. TECHDRILL CIVIL: First Creditors' Meeting Slated for Feb. 6 ----------------------------------------------------------- Craig Crosbie and David McEvoy of PPB Advisory were appointed as administrators of Techdrill Civil Services Pty Ltd on Jan. 27, 2015. A first meeting of the creditors of the Company will be held at The Christie Centre, 320 Adelaide Street, in Brisbane, on Feb. 6, 2015, at 10:00 a.m. ========= C H I N A ========= LDK SOLAR: Bankr. Case Reassigned to Judge L. Silverstein --------------------------------------------------------- Judge Brendan Linehan Shannon on Jan. 7, 2015, entered an order transferring the Chapter 11 case of LDK Solar Systems, Inc. and all associated cases to Judge Laurie Selber Silverstein. Schemes of Arrangement Become Effective LDK Solar and its Joint Provisional Liquidators, Tammy Fu and Eleanor Fisher, both of Zolfo Cooper (Cayman) Limited, said on Dec. 10, 2014, that the Cayman Islands schemes of arrangement in respect of LDK Solar and LDK Silicon & Chemical Technology Co., Ltd. and the Hong Kong schemes of arrangement in respect of LDK Solar, LDK Silicon and LDK Silicon Holding Co., Limited became effective as of that day. The Cayman Islands schemes of arrangement were previously sanctioned by the Grand Court of the Cayman Islands, and the Hong Kong schemes of arrangement were previously sanctioned by the High Court of Hong Kong. LDK Solar and the JPLs also confirmed that pursuant to an order of the Cayman Court dated Dec. 10, 2014, the powers of the JPLs were suspended (except for certain residual powers required to finalize the provisional liquidation) and the powers of the directors of LDK Solar were restored. With effect from December 10, the directors may exercise all their powers as such, subject to the powers granted to the scheme supervisors in respect of the Schemes. Pursuant to the terms of the Schemes, the consummation of the restructuring transactions as contemplated in the Schemes was to occur on Dec. 17, 2014. On Dec. 18, 2014, LDK stated that, pursuant to the terms of the Cayman Islands schemes of arrangement in respect of LDK Solar and LDK Silicon & Chemical Technology Co., Ltd. and the Hong Kong schemes of arrangement in respect of LDK Solar, LDK Silicon and LDK Silicon Holding Co., Limited, the closing date for the restructuring transactions in respect of LDK Solar's senior noteholders and preferred shareholders, as contemplated in the Schemes, occurred on Dec. 17, 2014. About LDK Solar LDK Solar Co., Ltd. -- http://www.ldksolar.com-- based in Hi-Tech Industrial Park, Xinyu City, Jiangxi Province, People's Republic of China, is a vertically integrated manufacturer of photovoltaic products, including high-quality and low-cost polysilicon, solar wafers, cells, modules, systems, power projects and solutions. LDK Solar was incorporated in the Cayman Islands on May 1, 2006, by LDK New Energy, a British Virgin Islands company wholly owned by Xiaofeng Peng, LDK's founder, chairman and chief executive officer, to acquire all of the equity interests in Jiangxi LDK Solar from Suzhou Liouxin Industry Co., Ltd., and Liouxin Industrial Limited. LDK Solar in February 2014 filed in the Cayman Islands for the appointment of provisional liquidators, four days before it was due to make a $197 million bond repayment. Its Joint Provisional Liquidators are Tammy Fu and Eleanor Fisher, both of Zolfo Cooper (Cayman) Limited. In September 2014, LDK Solar, LDK Silicon and LDK Silicon Holding Co., Limited each applied to file an originating summons to commence their restructuring proceedings in the High Court of Hong Kong. On Oct. 21, 2014 three U.S. subsidiaries of LDK Solar, LDK Solar Systems, Inc., LDK Solar USA, Inc. and LDK Solar Tech USA, Inc. filed voluntary petitions to reorganize under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. The lead case is In re LDK Solar Systems, Inc. (Bankr. D. Del., Case No. 14-12384). On Oct. 21, 2014, LDK Solar filed a petition in the same U.S. Bankruptcy Court for recognition of the provisional liquidation proceeding in the Grand Court of the Cayman Islands. The Chapter 15 case is In re LDK Solar CO., Ltd. (Bankr. D. Del., Case No. 14-12387). The U.S. Debtors' General Counsel is Jessica C.K. Boelter, Esq., at Sidley Austin LLP, in Chicago, Illinois. The U.S. Debtors' Delaware counsel is Robert S. Brady, Esq., Maris J. Kandestin, Esq., and Edmon L. Morton, Esq., at Young, Conaway, Stargatt & 73 Taylor, LLP, in Wilmington, Delaware. The U.S. Debtors' financial advisor is Jefferies LLC. The Debtors' voting and noticing agent is Epiq Bankruptcy Solutions, LLC. The U.S. Debtors commenced the Chapter 11 Cases in order to implement the prepackaged plan of reorganization, with respect to which the U.S. Debtors launched a solicitation of votes on Sept. 17, 2014, from the holders of LDK Solar's 10% Senior Notes due 2014, as guarantors of the Senior Notes, and required such holders of the Senior Notes to return their ballots by Oct. 15, 2014. Holders of the Senior Notes voted overwhelmingly in favor of accepting the Prepackaged Plan. YINGDE GASES: Moody's Lowers Corporate Family Rating to Ba3 ----------------------------------------------------------- Moody's Investors Service has downgraded Yingde Gases Group Co Ltd's corporate family rating to Ba3 from Ba2. Moody's has also downgraded to B1 from Ba3 the senior unsecured rating on the bonds issued by Yingde Gases Investment Limited and guaranteed by Yingde Gases. The ratings outlook is negative. This rating action concludes the rating review initiated on 10 November 2014. Ratings Rationale "The downgrades reflect the considerable operating challenges Yingde Gases faces, stemming from its heavy exposure to the weak steel industry and the outstanding litigation against a major customer. These circumstances will increase the company's liquidity risk and keep its financial leverage elevated," says Gerwin Ho, a Moody's Vice President and Senior Analyst. Moody's expects Yingde Gases' operating cash flow and profitability to remain pressured in the next 12-18 months, as its major customers in the steel industry face a challenging operating environment and tighter bank credit. Yingde Gases' adjusted operating cash flow has stagnated at RMB800-RMB900 million per annum since 2011, a level substantially lower than its reported EBITDA. The company's cash flow also remains affected by the unresolved legal dispute with one of its major steel customers, which caused overdue receivables to rise by about RMB460 million in the first half of 2014. This legal dispute further demonstrates that its financially weakened customers may not have the ability or willingness to honor agreed contractual terms. As such, Yingde Gases' business model, which is largely based on take-or-pay contracts, is less resilient than previously assumed because of some customers' strong bargaining power over the company. Given these factors, and despite its plan to slow down its business expansion and share repurchases, Moody's expects its free cash flow to remain negative and its business to continue to rely on external borrowings. In this regard, Moody's expects the company's adjusted debt/EBITDA to remain 4.0x-4.5x and adjusted operating cash flow to debt to stay below 10% in the next 12-18 months. Such credit metrics position the company in the low Ba rating category. Yingde Gases' liquidity will remain tight given its low cash holdings and large short-term debt. Moody's cautions that its previously good ability to raise funds in the financial markets can weaken if such challenges persist. Yingde Gases' Ba3 corporate family rating reflects its leading position in the independent on-site industrial gas market in China and recurring cash flows from its long-term take-or-pay contracts with on-site customers, which account for above 80% of its revenues. On the other hand, its rating is constrained by its heavy exposure to the steel industry and client concentration. Yingde Gases' USD notes are rated one notch below its corporate family rating, given structural subordination at the holding company level. Yingde Gases has a large amount of onshore debt, which results from the construction of its gas supply facilities. The negative rating outlooks reflects Moody's expectation that Yingde Gases' operating challenges and weak liquidity will keep its refinancing risk elevated over the next 12-18 months. Upward rating pressure is unlikely in the near term given the negative outlook. However, the ratings could return to stable if Yingde Gases (1) improves its liquidity profile by lengthening its debt maturity profile; and (2) improves its cash collection, with operating cash flow to debt rising above 12% and adjusted debt/EBITDA below 4.5x. The ratings would be downgraded if (1) Yingde Gases' liquidity risk is escalated; or (2) its financial profile weakens further, such that its adjusted debt/EBITDA rises above 5.0x or operating cash flow to debt declines below 8%-10%. The principal methodology used in these ratings was Global Chemical Industry Rating Methodology published in December 2013. Yingde Gases Group Co Ltd is one of the largest players in the independent on-site industrial gas market in China. The company reported RMB7.35 billion in revenues for the 12 months ended June 2014. It had a total of 61 production facilities in operation and another 38 under development as of June 2014. On-site gas production accounted for about 80%-90% of Yingde Gases' revenues, with the rest coming from merchant sales. The company listed on the Hong Kong Stock Exchange in September 2009. The executive directors and founders, Zhongguo Sun, Zhao Xiangti and Trevor Raymond Strutt, held 20.18%, 12.79% and 10.02% equity stakes, respectively, as of June 2014. The Local Market Analyst for this rating is Jiming Zou, +86 (21) 6101-0381. ========= I N D I A ========= AL-RKAYAN APPARELS: ICRA Assigns B+ Rating to INR5cr Cash Credit ---------------------------------------------------------------- ICRA has assigned the long term rating of [ICRA]B+ to the enhancement amount of of INR5.00 crore long term fund based facilities of Al-Rkayan Apparels & Exports Private Limited. ICRA also has [ICRA]B+ rating outstanding for INR4.28 crore (revised from INR4.50 crore) term loan limit and INR10.0 crore fund based limit of Al-Rkayan Apparels & Exports Private Limited (Al- Rkayan). Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 5.00 [ICRA]B+ Assigned Term Loan 4.28 [ICRA]B+ outstanding The rating reaffirmation takes into account the long experience of promoters in the denim manufacturing industry. The revenues of the company have reported a strong growth in FY2013 and 7MFY2014, on the back of healthy order inflows for contract manufacturing from its existing customers and new customers. The rating also favorably factors in the strong tie-ups of Al-Rkayan with its key customers, which include established denim players. The rating is, however, constrained by the leveraged capital structure of the company due to an elongated working capital cycle and debt funded capital expenditure, which have led to weak interest and debt coverage indicators. The company's liquidity position continues to be strained as illustrated by its almost- full utilisation (95%-100%) of fund based working capital limits during the last twelve months. The operating margins have deteriorated in FY2013 and 7MFY2014 owing to higher input costs and lower realizations from its in-house brand (Leonidas). The rating is also constrained by the high volatility in cotton yarn prices with limited ability to pass on raw material price fluctuations for its in-house brand, as Al-Rkayan primarily caters to a price sensitive semi-urban/rural segment. Sales and inventory also remain exposed to macro-economic slowdown and inherent industry risk of obsolescence owing to constantly changing fashion trends. Al-Rkayan was incorporated in 2004 by Mr. Prabhakar Shetty, Mr.Shahid Rafi and Mr. Abdul Rahman S Al-Rkayan. The promoters commenced the business with contract manufacturing for major denim brands in the domestic market. Towards the end of 2008-09, Al- Rkayan launched its own denim brand Leonidas, aimed at the price- sensitive and fashion conscious youth segment (16 to 40 years age group). Al-Rkayan has also in the current year launched two more brands- Leslie (for capris and three-fourths) and LD Active (bottom wear for women). Recent Results As per audited results for FY 2013, Al-Rkayan reported a profit after tax (PAT) of INR0.59 crore over an operating income (OI) of INR61.99 crore as against a PAT of INR0.50 crore on an OI of INR32.39 crore in FY 2012. As per 7MFY 2014 results, Al-Rkayan has reported a profit after tax (PBT) of INR0.93 crore on an operating income of INR45.60 crore. ALCON BIOSCIENCES: CRISIL Reaffirms B+ Rating on INR105MM Loan -------------------------------------------------------------- CRISIL's ratings on Alcon Biosciences Pvt Ltd (Alcon) continue to reflect Alcon's modest scale and working-capital-intensive operations; and its average financial risk profile, constrained by a small net worth. The rating also factors in the corporate guarantee provided to an affiliate, Swati Spentose Pvt Ltd. These rating weaknesses are partially offset by the extensive experience of Alcon's promoters in the pharmaceutical sector. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 2.5 CRISIL A4 (Reaffirmed) Letter of Credit 20 CRISIL A4 (Reaffirmed) Line of Credit 105 CRISIL B+/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 21 CRISIL B+/Stable (Reaffirmed) Outlook: Stable CRISIL believes that Alcon will continue to benefit over the medium term from its established relationships with customers and suppliers and the promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company improves its net worth with significant revenue growth and sustained profitability. Conversely, the outlook may be revised to 'Negative' if Alcon's operating margin declines, or it's gearing increases sharply, because of large debt-funded capital expenditure or an increase in its working capital requirements. Alcon was established in 1998 by the late Mr. N P Jajodia and his son, Mr. Vishal Jajodia. The company manufactures and trades in active pharmaceutical ingredients, and has manufacturing facilities in Vapi (Gujarat). Alcon primarily caters to the anaesthetic, veterinary, and other therapeutic segments. Before Alcon, Mr. N P Jajodia traded in bulk drugs since 1970 under the brand, Lark. Alcon, reported a profit after tax (PAT) of INR7 million on net sales of INR388.7 million for 2013-14 (refers to financial year, April 1 to March 31), as against a PAT of INR5.5 million on net sales of INR417.5 million for 2012-13. AMEYA LABORATORIES: ICRA Suspends D Rating on INR210cr LT Loan -------------------------------------------------------------- ICRA has suspended [ICRA]D rating assigned to the INR210.00 crore long term fund based facilities and INR60.0 crore short term fund based facilities of Ameya Laboratories Limited (erstwhile Anu's Laboratories Limited). The suspension follows ICRA's inability to carry out a rating surveillance in the absence of the requisite information from the company. ALL was incorporated in 1996 in Hyderabad for manufacture of basic chemicals and intermediates which are used as raw material in bulk drug (API) molecules. The company was promoted by Mr. K. Hari Babu with Mr. N.S. Walimbe subsequently joining as a co-promoter in the year 1997. CANVAS INTEGRATED: CRISIL Assigns B+ Rating to INR50MM Term Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facilities of Canvas Integrated Cold Chain Services (CICCS). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 25 CRISIL B+/Stable Term Loan 50 CRISIL B+/Stable The rating reflects CICCS's initial stage of operations in the highly competitive food processing and packaging industry, and its exposure to risks related to project implementation and to demand for its products. These rating weaknesses are partially offset by the firm's low gearing, and the strong funding support it receives from its promoters. Outlook: Stable CRISIL believes that CICCS will continue to benefit over the medium term from the support it receives from its promoters. The outlook may be revised to 'Positive' in case of a significant ramp-up in the firm's sales, leading to large cash accruals, along with timely completion of its project within the budgeted cost. Conversely, the outlook may be revised to 'Negative' in case of a significant time or cost overrun in CICCS's project, or delay in funding the project or in stabilising operations. Established in 2010 as a partnership firm, CICCS is based in Himachal Pradesh; it started commercial operations in August 2014. The firm is primarily engaged in processing and packaging of frozen peas, sweet corn, and mixed vegetables, which it markets under its own brand, Frozen Delight. It is in the process of setting up another plant in order to produce potato patties and nuggets. Its operations are currently being managed by Mr. Aloke Bhatnagar. CICCS's processing plant is in Una (Himachal Pradesh). D.P.M.K. FERTILIZERS: CRISIL Assigns B Rating to INR95MM Loan ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the bank facilities of D.P.M.K. Fertilizers Pvt Ltd (DPMK). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 5 CRISIL A4 Cash Credit 95 CRISIL B/Stable The ratings reflect DPMK's below-average financial risk profile, marked by its weak capital structure and subdued debt protection metrics; along with its modest scale of operations and low profitability in the fragmented fertiliser trading segment. These rating weaknesses are partially offset by the extensive industry experience of the promoters, and their funding support. For arriving at its ratings, CRISIL has treated unsecured loans of INR22.4 million extended to DPMK by its promoters, as neither debt nor equity; these loans are expected to be retained in the business over the medium term. Outlook: Stable CRISIL believes that DPMK will benefit from its promoters' extensive experience and its established presence in the fertiliser trading segment. The outlook may be revised to 'Positive' if the company reports significant and sustained growth in its revenue and improves its profitability, leading to sizeable cash accruals. Conversely, the outlook may be revised to 'Negative' if DPMK's financial risk profile and liquidity deteriorate with significantly low cash accruals or substantial working capital requirements. DPMK was established in 1990 as a proprietorship firm and reconstituted as a company in 2009. The company trades in and distributes organic and inorganic fertilisers, primarily in Chhattisgarh, Madhya Pradesh and Odisha. The key promoter, Mr. Dwarika Gupta, manages DPMK's daily operations. DEVDOOT COTTON: CRISIL Rates INR60M Loan B+; Suspension Revoked --------------------------------------------------------------- CRISIL has revoked the suspension of its rating on the bank facilities of Devdoot Cotton Industries (DCI) and has assigned its 'CRISIL B+/Stable' rating to the aforementioned facilities. CRISIL had earlier, on April 22, 2013, suspended the ratings, as DCI had not provided the necessary information required for a rating view. DCI has now shared the requisite information, thereby enabling CRISIL to assign ratings to its bank facilities. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 60 CRISIL B+/Stable (Assigned; Suspension Revoked) The rating reflects DCI's modest scale of operations in the highly fragmented cotton industry, and its working-capital-intensive operations. These rating weaknesses are partially offset by the extensive experience of the firm's promoters in the cotton industry, and the proximity of its production facility to the cotton-growing belt of Gujarat. Outlook: Stable CRISIL believes that DCI will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the firm significantly improves its scale of operations and profitability, or if there is a significant improvement in its working capital cycle. Conversely, the outlook may be revised to 'Negative' if DCI's accruals are lower than expected, or if it undertakes a substantial debt-funded capital expenditure programme, or if its working capital management weakens, deteriorating its financial risk profile. DCI, established in 1996 and based in Morbi (Gujarat), is promoted by the Patel family. The firm is engaged in ginning and pressing of raw cotton. It has its facility at Morbi, with a capacity of more than 250 bales of cotton per day. DCI reported a net profit of INR1.4 million on an operating income of INR163.7 million for 2013-14 (refers to financial year, April 1 to March 31), against a net profit of INR2.4 million on an operating income of INR233.9 million for 2012-13. DNH PROJECTS: ICRA Cuts Rating on INR12cr Cash Credit to C ---------------------------------------------------------- ICRA has revised downwards the long term rating from [ICRA]C+ to [ICRA]C for the INR15.50 crore long term fund based facilities of DNH Projects Limited. ICRA has also reaffirmed the short term rating at [ICRA]A4 for the INR6.00 crore short term non fund based facilities. ICRA has also revised the long term rating from [ICRA]C+ to [ICRA]C and reaffirmed the short term rating at [ICRA]A4 for the unallocated amount of INR6.50 crore. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based-Cash 12.00 Downgraded from [ICRA]C+ Credit to [ICRA]C Fund Based-WCTL 3.50 Downgraded from [ICRA]C+ to [ICRA]C Non Fund Based- Bank Guarantee 6.00 [ICRA]A4 reaffirmed Unallocated amount 6.50 Downgraded from [ICRA]C+ to [ICRA]C/[ICRA]A4 The rating revision takes into account DNH Projects Limited's (DNH) deteriorating liquidity position which has resulted in regular instances of overutilization of limits and its weakening financial profile as evident in dip in sales, stressed working capital intensity and consequently an adverse capital structure coupled with weak coverage indicators. Further, the ratings continue to factor in the high competitive intensity in the construction space resulting in pressure on margins, geographical concentration risk due to the concentration of most ongoing and future projects in Dadra & Nagar Haveli and Chhattisgarh and the vulnerability to raw material price variation. The ratings however, favorably factor in the promoter's experience of over two decades in the business and "AA" class registration rating in the building segment with the Government of Gujarat. DNH Projects Limited (DNH) is engaged in executing work orders for the construction of industrial units, factories and corporate and institutional buildings in Central Western parts of the country. The company originally commenced its business as a Private Limited Company in 1996 under the name of M/s. Nagar Haveli Real Estate Pvt Ltd and later changed into a closely held public limited company in March, 2009. As on 30th September, 2013 the company has an order book position of INR38.70 crore to be executed by 31st March 2016. M/s. Ajay Enterprises and M/s. Morai Infrastructure Pvt Ltd are the associate companies of the company. Recent Results DNH Projects Limited recorded a net profit of INR0.09 crore on an operating income of INR15.42 crore for the year ending March 31, 2014. ESSEN TRADING: CRISIL Assigns B+ Rating to INR100MM Cash Loan ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long term bank facilities of Essen Trading Company (ETC). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 100 CRISIL B+/Stable The rating reflects ETC's below-average financial risk profile and its modest scale of operations in the intensely competitive coconut oil industry. These rating weaknesses are partially offset by the extensive industry experience of the firm's promoters. Outlook: Stable CRISIL believes ETC will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' in case of significant improvement in the firm's scale of operations and profitability, or substantial equity infusion, leading to a better financial risk profile. Conversely, the outlook may be revised to 'Negative' if ETC's accruals decline, or its working capital cycle deteriorates, or it undertakes a large debt-funded capital expenditure programme, leading to weakening of its financial risk profile. Set up in 2006 by Mr. Gopakumar and Mr. Baby, ETC is a partnership firm that manufactures coconut oil and trades in edible oils. The firm is based in Annamanada (Kerala). ETC reported a net profit of INR4.8 million on sales of INR952.2 million for 2013-14 (refers to financial year, April 1 to March 31), against a net profit of INR2.1 million on sales of INR567.9 million for 2012-13. EURO VISTAA: CRISIL Reaffirms B+ Rating on INR64.3MM Bank Loan -------------------------------------------------------------- CRISIL's ratings on the bank facilities of Euro Vistaa India Limited (Euro Vistaa) continue to reflect Euro Vistaa's below- average financial risk profile, marked by a small net-worth, a high total outside liabilities to tangible net worth ratio, and average debt protection metrics. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 30 CRISIL A4 (Reaffirmed) Bill Discounting 450 CRISIL A4 (Reaffirmed) Letter of Credit 65 CRISIL A4 (Reaffirmed) Packing Credit 50 CRISIL A4 (Reaffirmed) Proposed Long Term Bank Loan Facility 64.3 CRISIL B+/Stable (Reaffirmed) The ratings are also constrained by the company's exposure to intense competition in the yarn trading industry, the susceptibility of its profitability margins to fluctuations in foreign exchange rates, and its large dividend payouts constraining the growth in its net-worth. These rating weaknesses are partially offset by Euro Vistaa's established presence in the yarn trading industry, supported by its promoters' extensive industry experience and its established relations with customers, and its efficient working capital management. Outlook: Stable CRISIL believes that Euro Vistaa will continue to benefit over the medium term from its promoters' extensive industry experience and its established relations with customers. The outlook may be revised to 'Positive' if there is a substantial and sustained improvement in the company's revenues and profitability margins, or if there is substantial improvement in its capital structure on the back of sizeable equity infusion by its promoters. Conversely, the outlook may be revised to 'Negative' in case of a steep decline in Euro Vistaa's profitability margins, or significant deterioration in its capital structure, caused most likely by a stretch in its working capital cycle. Euro Vistaa was set up in 1987 by Mr. Pramod Lath and Mr. Punkajj Lath. The company is a government-recognised three-star export house, and is a merchant exporter of textile yarn. It is based in Mumbai. FAROOQ CONSTRUCTIONS: ICRA Rates INR4cr Long Term Loan at 'C' ------------------------------------------------------------- ICRA has assigned a long term rating of [ICRA]C to the INR4.0 crore long term fund based bank limits of Farooq Constructions. ICRA has also assigned a short term rating of [ICRA]A4 to the INR2.5 crore non fund based limits of Farooq. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term, fund based facilities 4.0 [ICRA]C assigned Short Term, non fund based facilities 2.5 [ICRA]A4 assigned The ratings assigned takes into account the small scale of operations of Farooq constructions, the moderate profitability levels and prequalification limits of INR30 crore constraining the maximum size of orders. The ratings also consider the geographical and sectoral concentration of the firm with presence limited to road projects in and around Alappuzha in Kerala, the competition intensive nature of the industry, the vulnerability of profit margins to fluctuations in raw material and labour costs and the working capital intensive nature of operations. ICRA also notes that being a partnership firm, any significant withdrawals from the capital account by the promoters would have an adverse bearing on the firm's gearing levels and thus remains a key rating sensitivity. The rating, however positively factors in the firm's and the promoter's long standing presence and established track record in the construction industry in Kerala, the availability of orders in hand providing visibility to the revenues in the short term, going forward and the adequate man power and equipments available with the firm to execute the orders in hand. Farooq Constructions is a civil works contracting firm based in Alappuzha town and was established in the year 2000 as a proprietorship concern owned and promoted by Mr. Baiju Rasheed. In the year 2009, it was converted to a partnership firm with Mr. Baiju Rasheed and Mrs. Sajeela Baiju as its partners. The office functions at North of Vazhicherry Bridge, Alappuzha. Farooq undertakes Kerala State Public Works Department (PWD) contract works especially roads, bridges and other major civil works. For FY 2014, as per audited results, the company has reported an operating income of INR8.6 crore and Profit After Tax (PAT) of INR0.5 crore. GLOBSYN KNOWLEDGE: CRISIL Reaffirms B Rating on INR127MM Loan ------------------------------------------------------------- CRISIL's ratings on the bank facilities of Globsyn Knowledge Foundation (GKF) continue to reflect GKF's weak financial risk profile, marked by inadequate cash accruals to meet its term debt obligations, and weak debt protection metrics. The ratings also factor in the trust's vulnerability to regulatory risks associated with educational institutions. These rating weaknesses are partially offset by the extensive industry experience and funding support of GKF's promoters. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 10 CRISIL B/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 35.5 CRISIL B/Stable (Reaffirmed) Term Loan 127 CRISIL B/Stable (Reaffirmed) Outlook: Stable CRISIL believes that GKF's liquidity will remain constrained over the medium term by cash flow mismatches. The outlook may be revised to 'Positive' if GKF increases its scale of operations substantially, most likely by increasing the number of courses it offers or by increasing its intake capacity, while maintaining its profitability margins and capital structure. Conversely, the outlook may be revised to 'Negative' if GKF's liquidity deteriorates, most likely because of delay in realisation of receivables or any large capital expenditure. GKF was founded in December 2004 in Kolkata (West Bengal) by Mr. Bikram Dasgupta. The trust is managed by its parent, Globsyn Technologies Ltd (incorporated in 1997; engaged in the software and education industry). GKF currently offers Post Graduate Diploma in Management (PGDM) and Bachelor of Business Administration (BBA) courses through its institute, Globsyn Business School, in Bishnupur (West Bengal). GOVIND RUBBER: CRISIL Ups Rating on INR401.8MM Cash Loan to B- -------------------------------------------------------------- CRISIL has upgraded its ratings on the bank facilities of Govind Rubber Ltd (GRL) to 'CRISIL B-/Stable/CRISIL A4' from 'CRISIL D/CRISIL D' Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 35 CRISIL A4 (Upgraded from 'CRISIL D') Bill Discounting 42.9 CRISIL B-/Stable (Upgraded from 'CRISIL D') Bills - Inland 12.6 CRISIL A4 (Upgraded from 'CRISIL D') Cash Credit 401.8 CRISIL B-/Stable (Upgraded from 'CRISIL D') Letter of Credit 286 CRISIL A4 (Upgraded from 'CRISIL D') Packing Credit 36 CRISIL A4 (Upgraded from 'CRISIL D') Proposed Long Term 366.5 CRISIL B-/Stable (Upgraded from Bank Loan Facility 'CRISIL D') Term Loan 109.2 CRISIL B-/Stable (Upgraded from 'CRISIL D') Working Capital 210 CRISIL B-/Stable (Upgraded from Demand Loan 'CRISIL D') The rating upgrade reflects the improvement in GRL's liquidity, which has led to timely servicing of debt by the company over the past three months through November 2014. The liquidity has improved due to increase in cash accruals generated due to the improvement in profitability resulting from the decline in rubber prices. The cash accruals were INR26 million for the second quarter (Q2) of 2014-15 (refers to financial year, April 1 to March 31) as compared with cash accruals of INR11 million for Q2 of 2013-14 The company is expected to generate adequate accruals while sustaining its working capital cycle that will ensure adequate coverage against the maturing term loan obligations over the medium term. The ratings also factor in GRL's below-average financial risk profile marked by high gearing and subdued debt protection metrics, and susceptibility of GRL's margins to volatility in raw material prices. These rating weaknesses are partially offset by the GRL's established market position coupled with extensive experience of its promoters in the tyre industry. Outlook: Stable CRISIL believes that GRL will continue to benefit over the medium term from its promoters' extensive experience in the cement industry. The outlook may be revised to 'Positive' in case of higher than expected net cash accruals or if there is a sustained improvement in its working capital management resulting in a better than expected financial risk profile. Conversely, the outlook may be revised to 'Negative' in case of lower than expected cash accruals resulting from a decline in GRL's operating margin or a stretch in its working capital cycle, or larger-than- expected capital expenditure, leading to further deterioration in liquidity. GRL, incorporated in 1985, is engaged in manufacturing of tyres and tubes. The company's business operations are overseen by Mr.Vinod Poddar. GRL has its manufacturing facilities located at Ludhiana, Punjab. The company is listed on the Bombay Stock Exchange and the National Stock Exchange. JAHNVIS MULTI: CRISIL Assigns B+ Rating to INR70MM Term Loan ------------------------------------------------------------ CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facilities of Jahnvis Multi Foundation (JMF). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term 10 CRISIL B+/Stable Bank Loan Facility Term Loan 70 CRISIL B+/Stable The rating reflects JMF's small scale of operations, limited track record and weak financial risk profile marked by a modest net worth and moderate gearing. These rating weaknesses are partially offset by promoters' extensive industry experience and healthy demand prospects for the education sector. Outlook: Stable CRISIL expects JMF business profile to remain constrained on account of initial phase of operations and limited track record. The outlook may be revised to 'Positive' if JMF reports significant improvement in its scale of operations thereby improving its cash accruals or if there is an improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if there is lower-than-expected enrollment leading to depressed accruals or higher-than-expected debt-funded capex leading to deterioration in capital structure. Registered in 2003, JMF, a Dombivili based trust, runs Jana Gana Mana School (JGMS) and Vande Matram Degree College (VMDC) in Dombivili. JMF was formed by MR. Rajkumar Kolhe and his family members. JAIPRAKASH POWER: May Default on $200MM Convertible Bonds --------------------------------------------------------- Reuters reports that Jaiprakash Power Ventures said it was likely to default on payments for convertible bonds worth $200 million due on February 13, because it could not generate enough revenue from its operations. According to the report, Jaiprakash, which has been weighed down by debts and a sharp downturn in the performance of the Indian power sector, said in a statement on Jan. 28 the company was confident of its ability to pay its dues under the bonds by March 31, 2016. The default, if it happens, will be the first major convertible bonds default by an Indian company since wind turbine maker Suzlon Energy Ltd failed to meet its repayment obligations in 2012, Reuters notes. Reuters says many Indian companies have struggled to meet convertible bonds payment obligations in the last couple of years due to a sharp plunge in their share prices, feeble earnings growth and a weaker rupee. Jaiprakash Power raised $200 million through convertible bonds in 2010. The conversion price of the paper, due next month, was fixed at INR85.81 a share, according to Thomson Reuters data. Shares in Jaiprakash were trading at INR11.90 on Jan. 28, making conversion impossible for the bondholders and leaving the company needing to raise fresh funds to repay the investors, Reuters discloses. Reuters relates that Jaiprakash, which has been selling hydroelectric plants to raise cash, said its power business had been "severly impacted" by various reasons beyond its control, including an Indian court decision in September to cancel coal blocks that had been allocated to the company. Its difficulties highlight the wider problems facing India's infrastructure sector, where companies say they are too indebted to kick-start a new cycle of capital expenditure on roads, power plants and airports that the government has deemed vital to an economic recovery, Reuters states. Jaiprakash said in the statement on Jan. 28 it had called a meeting with the convertible bondholders to discuss a repayment schedule, adds Reuters. The firm has total outstanding debts of $2.7 billion, according to Thomson Reuters data. India-based Jaiprakash Power Ventures Limited engages in the generation, transmission, and sale of power in India. It generates electricity through hydro and thermal energy sources. JIVANDHARA COTTON: ICRA Assigns B+ Rating to INR14cr Cash Credit ---------------------------------------------------------------- ICRA has assigned a long term rating of [ICRA]B+ to the INR5 crore enhanced fund based bank facility of Jivandhara Cotton Industries. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 14.00 [ICRA]B+ Assigned The rating continues to be constrained by the firm's weak financial profile as reflected by adverse capital structure along with weak debt coverage indicators. The rating also takes into account the low value additive nature of operations and intense competition on account of fragmented industry structure leading to thin profit margins. The rating is further constrained by vulnerability of profitability to adverse fluctuations in raw material prices which are subject to seasonal availability of raw cotton and government regulations on MSP and export quota. Further, JCI being a partnership firm, any significant withdrawals from the capital account would affect its net worth adversely. The rating, however, positively considers the long experience of the partners in the cotton ginning and pressing industry, positive demand outlook for cotton and cottonseed and the advantage firm enjoys by virtue of its location in cotton producing region giving it easy access to raw cotton. Established in 2006, Jivandhara Cotton Industries is engaged in cotton ginning and pressing operations. The business is owned and managed by Mr. Husain Ibrahim Kadivar, Mr. Ahmed Ibrahim Kadivar, Mr. Ibrahim Vali Kadivar and Mr. Usman Ibrahim Kadivar. The firm's manufacturing facility is located at Wankaner in Rajkot. The firm has 28 ginning machines and one pressing machine having a cumulative processing capacity of 67 TPD of raw cotton. Recent Results For the year ended 31st March, 2014, JCI reported an operating income of INR131.64 crore and profit after tax of INR0.50 crore. KEWAL KUMAR: ICRA Suspends 'B' Rating on INR6.50cr LT Loan ---------------------------------------------------------- ICRA has suspended the long term rating of [ICRA]B assigned to the INR6.50 crore fund based bank facilities of Kewal Kumar Pawan Kumar Rice Mill. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term-Fund 6.50 [ICRA]B; Suspended Based Limits The ratings were suspended due to lack of cooperation by the client to provide any further information. KPRM was established in the year 1998 as a proprietorship firm with Mr. Sanjay Kumar as the proprietor. Milling capacity of the plant is 4 tonnes/hr of paddy. Firm sells its product only in the domestic market under the brand name of "KP" and "Kundan". As per the management they also perform custom milling operations for "HAFED". Credit policy of the firm is to allow a credit period of 15-30 days to the customers. As per the management raw material i.e. paddy is purchased from mandi in Uttar Pradesh, Haryana and payments to suppliers are usually made on cash basis. Company is having its manufacturing unit at Jind Road, Kaithal, Haryana. KINGSTON PAPTECH: CRISIL Cuts Rating on INR145MM Loan to D ---------------------------------------------------------- CRISIL has downgraded its ratings on the bank facilities of Kingston Paptech Pvt Ltd (KPPL) to 'CRISIL D/CRISIL D' from 'CRISIL BB/Stable/CRISIL A4+'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 145 CRISIL D (Downgraded from 'CRISIL BB/Stable') Letter of Credit 95 CRISIL D (Downgraded from 'CRISIL A4+') Proposed Long Term 19 CRISIL D (Downgraded from Bank Loan Facility 'CRISIL BB/Stable') Term Loan 81 CRISIL D (Downgraded from 'CRISIL BB/Stable') The rating downgrade reflects instances of delay by KPPL in servicing its term debt and devolvement of its letter of credit; the delays have been caused by the company's weak liquidity driven by stretched receivables. KPPL's working capital cycle is stretched as reflected in its gross current assets of 257 days, led by receivable of 118 days, as on March 31, 2014, mainly on account of delay in payments by a few customers. CRISIL believes that KPPL's liquidity will remain stretched over the medium term on account of its working-capital-intensive operations led by stretched receivables. KPPL also has a small scale of operations and a weak financial risk profile marked by moderate gearing. However, the company benefits from its promoters' extensive experience in the paper industry and its strategically located plant. Incorporated in 2009 and located in Sabarkantha (Gujarat), KPPL is promoted by Mr. Manohar Patel, Mr. Balwant Patel, Mr. Bharat Rudani, and Mr. Kalpesh Patel. The company manufactures multilayer kraft, kraft board, and kraft paper. For 2013-14 (refers to financial year, April 1 to March 31), KPPL reported net profit of INR4.7 million on sales of INR563.9 million against net profit of INR7.6 million on net sales of INR459.5 million for 2012-13. KOYILI HOSPITAL: CRISIL Ups Rating on INR162.5MM Loan to B ---------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank loan facilities of Koyili Hospital (Koyili) to 'CRISIL B/Stable' from 'CRISIL D'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 37.5 CRISIL B/Stable (Upgraded from 'CRISIL D') Term Loan 162.5 CRISIL B/Stable (Upgraded from 'CRISIL D') The rating upgrade reflects Koyili's timely servicing of its term debt obligation supported by its improved liquidity position on the back of completion and stabilization of the cardiac block in 2013-14. The firm is expected to generate net cash accruals of Rs 56 million to Rs 68 million which will be adequate to service repayment of INR 17 million to Rs 22 million over the medium term. The rating also reflects Koyili's modest scale of operations and below average financial risk profile, marked by modest net worth and high gearing. These rating weaknesses are partially offset by the firm's established regional position in the healthcare industry, and healthy occupancy at its hospital. Outlook: Stable CRISIL believes that Koyili will continue to benefit over the medium term from its established regional market position in the healthcare industry. The outlook may be revised to 'Positive' if the firm reports higher than expected revenues while sustaining its profitability, leading to better than expected cash accruals thereby improving its financial risk profile. Conversely, the outlook may be revised to 'Negative' if Koyili reports lower than expected cash accruals, or undertakes a sizable debt-funded capital expenditure programme, weakening its financial risk profile. Established in 1981, Koyili manages a multi-speciality hospital in Kannur (Kerala). The hospital's day-to-day operations are managed by the firm's partner, Mr. Bhaskaran along with his family members. KUN UNITED: CRISIL Assigns B Rating to INR350MM Bank Loan --------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long term bank facilities of Kun United Car Trax Private Limited (KUCTPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term 350 CRISIL B/Stable Bank Loan Facility The rating reflects KUCTPL's weak financial risk profile, marked by low net worth, high ratio of total outside liabilities to tangible net worth and weak debt protection metrics, susceptibility to intense competition in the passenger vehicles industry, and low bargaining power with its principal, Hyundai Motor India Ltd (HMIL; rated 'CRISIL A1+'). These rating weaknesses are partially offset by the benefits derived from promoters' extensive industry experience and its long standing relationship with its principal. Outlook: Stable CRISIL believes that KUCTPL will continue to benefit from its established market position in the automobile dealership business and extensive industry experience of promoters. The outlook may be revised to 'Positive' if KUCTPL's financial risk profile improves, most likely driven by an increase in its scale of operations, and improvement in its profitability, capital structure and debt protection metrics. Conversely, the outlook may be revised to 'Negative' if KUCTPL undertakes any larger than expected debt- funded capex programme, thereby further weakening its financial risk profile, or if its working capital management or operating profitability weakens, thereby weakening its liquidity. Incorporated in 2000, KUCTPL is an authorised dealer of passenger cars for HMIL. Based out of Hyderabad, the company is promoted by Mr. U Venkatesh and Mr. G. Gautham. KUCTPL reported, on provisional basis, a profit after tax (PAT) of INR3 million on net sales of INR2.4 billion for 2013-14 (refers to financial year, April 1 to March 31) as against PAT of INR3 million on net sales of INR2.6 billion for 2012-13. LAXMANBHAI CONSTRUCTION: CRISIL Rates INR120MM Cash Loan at B+ -------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term bank facilities of Laxmanbhai Construction (India) Pvt Ltd (LCIPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 120 CRISIL B+/Stable The ratings reflect LCIPL's susceptibility to risk related to completion and salability of the ongoing project and its vulnerability to risks and cyclicality inherent in the Indian real estate industry. These rating weaknesses are partially offset by the extensive experience of LCIPL's promoters in the construction and real estate development, and their funding support. Outlook: Stable CRISIL believes that LCIPL will benefit from promoters' extensive industry experience and their funding support over the medium term. The outlook may be revised to 'Positive' in case of better- than-expected bookings of units and timely receipt of customer advances leading to sizeable cash inflows. Conversely, the outlook may be revised to 'Negative' in case of fewer bookings for its project and low flow of advances leading to low cash inflows, constraining its liquidity and debt servicing ability. LCIPL was incorporated in 1983 by Mr. Laxmanbhai Bhimji Raghwani and his family members. The company is engaged in residential real estate business; it also undertakes civil construction for other developers. The company is implementing one residential real estate project Laxcon Plaza at Nerul in Navi Mumbai (Maharashtra). MAA SARADESWARI: CRISIL Puts B Rating on INR81MM Bank Loan ---------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Maa Saradeswari Heemghar Pvt Ltd (MSHPL). The rating reflects MSHPL's exposure to risks related to the highly regulated and intensely competitive nature of the cold storage industry in West Bengal. The rating also factors in the company's below-average financial risk profile, marked by small net worth and high gearing. These rating weaknesses are partly offset by the extensive experience of MSHPL's promoters in the cold storage business. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term 81 CRISIL B/Stable Bank Loan Facility Cash Credit 62 CRISIL B/Stable Overdraft Facility 7 CRISIL B/Stable Outlook: Stable CRISIL believes that MSHPL will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' in case of increase in MSHPL's cash accruals or infusion of capital by its promoters, leading to improvement in the company's financial risk profile, particularly its liquidity. Conversely, the outlook may be revised to 'Negative' in case of pressure on MSHPL's liquidity on account of delays in repayment by farmers, considerably low cash accruals, or significant debt-funded capital expenditure. Incorporated in 2008, MSHPL provides cold storage services to potato famers and traders, and trades in potatoes. The company is owned by West Bengal-based Dandapat family. MAHAVIR COTTEX: CRISIL Assigns B Rating to INR50MM Cash Credit -------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Mahavir Cottex (MC). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 15.2 CRISIL B/Stable Cash Credit 50 CRISIL B/Stable Proposed Long Term Bank Loan Facility 34.8 CRISIL B/Stable The rating reflects MC's initial and nascent stage of operations in the highly competitive cotton industry, and its expected weak financial risk profile, marked by average debt protection metrics and high gearing. These rating weaknesses are partially offset by the extensive industry experience of the firm's promoters, and the proximity of its unit to the cotton-growing belt in Gujarat. Outlook: Stable CRISIL believes that MC will continue to benefit over the medium term from its promoters' extensive experience in the cotton industry. The outlook may be revised to 'Positive' if the firm stabilises its operations earlier than expected, leading to a substantial increase in its cash accruals as well as to an improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if MC's operating margin is low, or it undertakes a large debt-funded expansion programme, or its working capital management deteriorates, constraining its financial risk profile. MC was established in 2014 as a partnership firm in Amreli (Gujarat). The firm has recently set up its project to carry out cotton ginning and pressing; operations commenced in October 2014. MANDEEP INTERNATIONAL: CRISIL Rates INR100MM Cash Credit at B ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Mandeep International Pvt Ltd (MIPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 100 CRISIL B/Stable The rating reflects MIPL's modest scale of operations and exposure to risks related to intense competition in the agro-commodities trading segment. The rating also factors in the company's average financial risk profile marked by its modest net worth, high total outside liability to total net worth (TOLTNW) ratio and modest debt protection metrics. These rating weaknesses are partially offset by the promoters' extensive experience in the agro- industry. Outlook: Stable CRISIL believes that MIPL will benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company reports sizeable sales, maintains a stable operating margin and reduces its gearing. Conversely, the outlook may be revised to 'Negative' if MIPL's financial risk profile deteriorates because of significantly low sales, with a decline in the operating margin or stretched working capital cycle. Incorporated in April 2013 in Gujarat, MIPL trades in agro- commodities. MIPL reported a profit after tax (PAT) of INR0.6 million on net sales of INR21.8 million for 2013-14 (refers to financial year, April 1 to March 31). MAP COTTON: ICRA Assigns B+ Rating to INR27cr Bank Loan ------------------------------------------------------- The long term rating of [ICRA]B+ has been assigned to the INR19.00 crore cash credit facility, the INR27.00 crore bank overdraft facility and the INR3.65 crore term loan facilities of MAP Cotton Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit Facility 19.00 [ICRA]B+ assigned Bank Overdraft Facility 27.00 [ICRA]B+ assigned Term Loans 3.65 [ICRA]B+ assigned The assigned rating is constrained by MCPL's limited track record of operations and low profitability levels, arising from the limited value added nature of operations and highly competitive and fragmented industry structure. The company's financial profile is expected to remain highly leveraged in the near term owing to the debt funded project set up and the highly working capital intensive nature of operations. The rating is also constrained by the vulnerability of the company's profitability to raw material prices which are subject to seasonality and crop harvest; and the regulatory risks with regard to Minimum Support Price (MSP) fixed by GoI and imposition of any restrictions on cotton exports. The rating, however, favourably factors in the longstanding experience of the promoter in the cotton ginning industry and the advantage the company enjoys by virtue of its manufacturing located at Kadi (Gujarat), an area with easy availability of quality raw cotton. MAP Cotton Private Limited (MCPL), promoted by Mr. Arvind Patel and Mr. Mehul Patel was incorporated as a closely held private limited company in June 2014 to undertake cotton ginning and pressing activity. The manufacturing unit of the company is located at Kadi (Mehsana) - an area with easy availability of raw cotton, and is equipped with 56 ginning machines and one fully automated pressing machine. MARTIN & BROWN: CRISIL Assigns B Rating to INR75MM Cash Credit -------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Martin & Brown Bio-Sciences (MBBS). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 75 CRISIL B/Stable Proposed Long Term Bank Loan Facility 5 CRISIL B/Stable The rating reflects MBBS's small scale of operations in the large and fragmented pharmaceutical and medical industry, its working- capital-intensive operations, and its below-average financial risk profile, marked by a modest net worth and gearing. These rating weaknesses are partially offset by the extensive experience of the firm's promoters in the pharmaceutical industry and its established relationships with customers. Outlook: Stable CRISIL believes that MBBS will continue to benefit over the medium term from its promoters' industry experience and its established relationships with customers. The outlook may be revised to 'Positive' in case of an improvement in the company's financial risk profile, driven most likely by a considerable ramp-up in its scale of operations along and improvement in its operating margin, or equity infusion by its promoters. Conversely, the outlook may be revised to 'Negative' if MBBS's financial risk profile, particularly its liquidity, deteriorates, caused most likely by low cash accruals, or substantial incremental working capital requirements, or debt-funded capital expenditure. Established in 2008, MBBS manufactures pharmaceutical products in the form of tablets, capsules, injections, and cough syrups. The firm has its manufacturing unit at Baddi (Himachal Pradesh). Its operations are managed by Mr. Vineet Maini and Mr. Puneet Maini. The firm manufactures around 300 products under 250 brands. It generates 70 per cent of its revenue through manufacturing own products and the remaining through job work. MARY MATHA: CRISIL Reaffirms D Rating on INR138.3MM LT Loan ----------------------------------------------------------- CRISIL's rating on the long-term bank facility of Mary Matha Education Society (MMES) continues to reflect delays by MMES in servicing its term loan obligations. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Long Term Loan 138.3 CRISIL D (Reaffirmed) The delays are on account of society's weak liquidity arising from cash flow mismatch. MMES is also susceptible to regulatory changes in the education sector and to changing demand for its courses. The society, however, benefits from its moderate market position, supported by its promoters' experience in the education sector. Established in 2003, MMES was taken over in 2008 by the PRS group, which is headed by Mr. R Murugan. MMES runs one institute, PRS College of Engineering and Technology, in Trivandrum (Kerala). The institute, approved by the All India Council for Technical Education, New Delhi, is affiliated to the University of Kerala and recognised by the Government of Kerala. MOHANDAS MOTORS: CRISIL Ups Rating on INR100MM Funding Loan to B- ----------------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank loan facilities of Mohandas Motors Pvt Ltd (MMPL) to 'CRISIL B-/Stable' from 'CRISIL D'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Inventory Funding 100 CRISIL B-/Stable (Upgraded Facility from 'CRISIL D') Long Term Loan 20 CRISIL B-/Stable (Upgraded from 'CRISIL D') Proposed Long Term 30 CRISIL B-/Stable (Upgraded Bank Loan Facility from 'CRISIL D') The rating upgrade follows MMPL's timely servicing of its term debt obligations, supported by infusion of funds in the form of unsecured loans from its promoters. Though the company is expected to report cash losses, the liquidity is supported by need based infusion from promoters and absence of term debt obligations. The rating also reflects MMPL's weak financial risk profile, marked by accumulated losses leading to negative net worth, its exposure to intense competition in the automobile dealership business, and its low bargaining power with its principal. These rating weaknesses are partially offset by the extensive experience of the company's promoters in the automotive dealership industry. Outlook: Stable CRISIL believes that MMPL will continue to benefit over the medium term from its promoters' extensive experience. The outlook may be revised to 'Positive' if the company's revenue and profitability improve significantly leading to better than expected cash accruals or its working capital management improves thereby improving its financial risk profile particularly its liquidity. Conversely, the outlook may be revised to 'Negative' if MMPL's scale of operations reduces or if its financial risk profile deteriorates further, most likely because of increased working capital borrowings, large debt-funded capital expenditure, or lower-than-expected cash accruals. Set up in 2009, MMPL is a dealer of Tata Motors Ltd's passenger cars and utility vehicles in Thiruvananthapuram (Kerala). The company is promoted by Mr. Mohandas and his family. NATURAL ORGANIC: CRISIL Assigns B Rating to INR92.5MM Cash Loan --------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the bank facilities of Natural Organic Farm (Natural). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 92.5 CRISIL B/Stable Term Loan 12.5 CRISIL B/Stable The rating of Natural reflects its weak financial profile marked by high gearing, modest scale of operations in highly fragmented industry and vulnerability of business and profitability to changes in government policy. These weaknesses are partially offset by the proprietor's experience of the cotton ginning industry and its proximity to cotton belt. Outlook: Stable CRISIL expects Natural to maintain its credit profile over the medium term backed by successful stabilization of its operations. The financial risk profile will however remain weak on account of high working capital requirements and low net worth levels. The outlook may be revised to 'Positive', if the firm registers higher than expected accruals or proprietor infuse funds into the firm leading to improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative', if the firm's financial risk profile deteriorates owing to larger than expected working capital requirements or any significant debt-funded capital expenditure (capex). Natural Organic Farm is a sole proprietorship firm engaged in the business of cotton ginning and pressing. Mr. Manjeet Chawla is at the helm of the operations of the firm with its ginning plant is situated in Kesinga in Kalahandi district of Odisha. NAXALBARI FLOUR: CRISIL Reaffirms B Rating on INR90MM Term Loan --------------------------------------------------------------- CRISIL's rating on the bank facilities of Naxalbari Flour and Rice Mill Pvt Ltd (NFRM) continues to reflect its exposure to risks related to the initial stage of operations, regulatory changes, volatility in raw material prices, and vagaries of the monsoons. These rating weaknesses are partly offset by stable demand for rice. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 40 CRISIL B/Stable (Reaffirmed) Letter Of Guarantee 6 CRISIL A4 (Reaffirmed) Term Loan 90 CRISIL B/Stable (Reaffirmed) Outlook: Stable CRISIL believes that NFRM will benefit from healthy prospects for the rice processing segment, over the medium term. The outlook may be revised to 'Positive' if the company considerably improves its financial risk profile, and liquidity, and generates substantial cash accruals, thus improving its working capital management. Conversely, the outlook may be revised to 'Negative' if NFRM's liquidity weakens, with deficient working capital management, or low cash accruals. Established in 2012, NFRM mills non-basmati parboiled rice. The company has a manufacturing facility at Naxalbari, Darjeeling (West Bengal) with a processing capacity of 8 tonnes per hour. Mr. Manish Rungta oversees NFRM's daily operations. P. D. SHAH: CRISIL Ups Rating on INR250MM Cash Credit to B ---------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank facilities of P. D. Shah and Sons (part of the Shah group) to 'CRISIL B/Stable' from 'CRISIL B-/Stable' and has reaffirmed its rating on short term bank loan facility at 'CRISIL A4'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 2.4 CRISIL A4 (Reaffirmed) Cash Credit 250.0 CRISIL B/Stable (Upgraded from 'CRISIL B-/Stable') Proposed Long Term 70.1 CRISIL B/Stable (Upgraded from Bank Loan Facility 'CRISIL B-/Stable') Term Loan 57.5 CRISIL B/Stable (Upgraded from 'CRISIL B-/Stable') The rating upgrade reflects improvement in the Shah group's liquidity driven by capital infusion by the promoters and better than expected cash accruals. The group's operating margin improved to 6.9 per cent in 2013-14 from 2.4 per cent in the previous year driven by higher rental revenues from its cold storage unit. The improved operating margin coupled with improved realisations and sustained revenue has resulted in better than expected accruals leading to improved liquidity. This has also resulted in improved gearing ratio of 3.39 times as on March 31, 2014 as against 6.27 times as on March 31, 2013. The rating reflects the Shah group's below-average financial risk profile, exposure to risks related to intense competition in the fragmented milk products trading industry and working-capital- intensive operations. These rating weaknesses are partially offset by the extensive industry experience of the Shah group's promoters, their established relationships with principals, and their funding support to the group. For arriving at the ratings, CRISIL has combined the business and financial risk profiles of P D Shah & Sons ' Pune, P D Shah & Sons ' Kolhapur, P D Shah & Sons Cold Storage Unit ' Wai, Shree Mahalaxmi Distributors, and P D Shah & Sons Cold Storage Unit Wai (Trading), collectively referred to as the Shah group. This is because all these companies are under the same proprietor, are in the similar line of business and have intercompany financial transactions. Outlook: Stable CRISIL believes that the Shah group will continue to benefit over the medium term from its promoters' extensive industry experience and established relationship with its principal suppliers. The outlook may be revised to 'Positive' in case of a significant improvement in the group's financial risk profile, particularly its liquidity, most likely because of substantial increase in its cash accruals and a shorter working capital cycle, leading to low reliance on external debt. Conversely, the outlook may be revised to 'Negative' if the Shah group's cash accruals are low, or if it contracts large debt to meet its working capital requirements, leading to pressure on its liquidity. P. D. Shah and Sons-Pune, a proprietorship concern established in 1972, is presently managed by Mr. Ashok P Shah. PD Shah & Sons Kolhapur, Shree Mahalaxmi Distributors, and the cold storage unit are owned by Mr. Shah and his family members. The group mainly trades in milk and milk products. It is also a carrying and forwarding agent and distributor for companies such as Parag Milk Foods Pvt Ltd, Warana Dairy and Agro Industries Ltd, Heritage Foods India Ltd, Gujarat Cooperative Milk Marketing Federation Ltd, and Hindustan Unilever Ltd. PARAMJEET SAINI: CRISIL Assigns B+ Rating to INR7.5MM Cash Loan --------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Paramjeet Saini & Co. (PSC). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 60 CRISIL A4 Cash Credit 7.5 CRISIL B+/Stable The ratings reflect PSC's modest scale of operations in the highly fragmented civil construction industry, and declining operating profitability. These rating weaknesses are partially offset by the extensive industry experience of the firm's proprietor, and it's above average financial risk profile. Outlook: Stable CRISIL believes that PSC will continue to benefit over the medium term from its proprietor's extensive industry experience. The outlook may be revised to 'Positive' in case of significant and sustained improvement in the firm's scale of operations and/or profitability, leading to a substantial increase in its cash accruals, while it efficiently manages its working capital requirements. Conversely, the outlook may be revised to 'Negative' if low cash accruals, or large working capital requirements, or significant debt-funded capital expenditure constrains the firm's liquidity. Established in 1997 and based in Baddi (Himachal Pradesh), PSC is a proprietorship firm engaged in civil construction. The firm undertakes construction of industrial buildings for private as well as government entities in India; it is owned and managed by Mr. Paramjeet Saini. PAULMECH INFRA: CRISIL Reaffirms 'D' Rating on INR55MM Loan ----------------------------------------------------------- CRISIL's rating on the bank facilities of Paulmech Infrastructure Private Limited (PIPL) continues to reflect instances of delay by PIPL in servicing its debt. The delays have been caused by the company's weak liquidity largely on account of stretch in receivables realization. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 2.5 CRISIL D (Reaffirmed) Cash Credit 55 CRISIL D (Reaffirmed) Term Loan 17.5 CRISIL D (Reaffirmed) PIPL has large working capital requirements, modest scale of operations, and its operations are susceptible to intense competition. These rating weakness are partially offset by experience of PIPL's promoter in the rubber gasket and ready mix concrete (RMC) industry. Update The operating income of PIPL has declined to around Rs 15 million during 2013-14 as against Rs 119 million during 2012-13 on account of closure of RMC plant and petrol pumps. The demand in the rubber gaskets segment has also been sluggish resulting in the significant decline in turnover. The company has registered the operating losses on account of low absorption of fixed cost which is expected to continue over the medium term. The company continued to report weak financial risk profile marked by small net worth, high gearing and subdued debt protection metrics. The net worth of the company as on March 31, 2014 was modest at around INR 20 million and gearing was at around 17 times. Other debt protection metrics were also weak on account of the losses incurred by PIPL. The bank lines of the company were also highly utilized during 2013-14. Incorporated in 1986, PIPL manufactures rubber gaskets and RMC at its facilities located at Barasat (West Bengal) and paradip (Orissa) respectively. The installed capacity for rubber hasket and RMC unit is 288 tonnes per annum and 60 cubic meters per hour respectively. POLYSPIN LTD: CRISIL Reaffirms B+ Rating on INR16MM Cash Loan ------------------------------------------------------------- CRISIL's ratings on the bank facilities of Polyspin Ltd (PL) continue to reflect PL's small scale of operations in the intensely competitive Flexible Intermediate Bulk Container (FIBC) industry, and its below-average financial risk profile, marked by a highly leveraged capital structure and average debt protection metrics. These rating weaknesses are partially offset by the extensive industry experience of PL's promoters. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 2 CRISIL A4 (Reaffirmed) Bill Discounting 45 CRISIL A4 (Reaffirmed) Cash Credit 16 CRISIL B+/Stable (Reaffirmed) Letter of Credit 60 CRISIL A4 (Reaffirmed) Packing Credit 18 CRISIL A4 (Reaffirmed) Working Capital Demand Loan 3 CRISIL B+/Stable (Reaffirmed) Outlook: Stable CRISIL believes that PL will continue to benefit over the medium term from its promoters' extensive experience in both the FIBC and industrial paper bag segments. The outlook may be revised to 'Positive' if the company registers a considerable increase in its revenue and profitability, resulting in an improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if PL's financial risk profile deteriorates on account of lower cash accruals owing to delays in starting or stabilising commercial operations at its upcoming facility, or if it undertakes an additional debt-funded capital expenditure programme. PL was originally set up in 1972 as a private limited company, which was reconstituted as a limited company in 1990. The company currently manufactures industrial paper bags. Its day-to-day operations are managed by its joint managing director, Mr. R Ramji. RAJHANS IMPEX: CRISIL Reaffirms B Rating on INR100MM Cash Loan -------------------------------------------------------------- CRISIL's ratings on the bank facilities of Rajhans Impex Pvt Ltd (RIPL) continue to reflect RIPL's average financial risk profile, marked by high gearing, a modest net worth, and weak debt protection metrics. The ratings also factor in the company's modest scale of operations. These rating weaknesses are partially offset by the extensive experience of RIPL's promoter in the metal products industry. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 8 CRISIL A4 (Reaffirmed) Buyer Credit Limit 50 CRISIL B/Stable (Reaffirmed) Cash Credit 100 CRISIL B/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 17.7 CRISIL B/Stable (Reaffirmed) Term Loan 5.0 CRISIL B/Stable (Reaffirmed) Outlook: Stable CRISIL believes that RIPL will continue to benefit over the medium term from its promoter's extensive industry experience. The outlook may be revised to 'Positive' if the company reports a substantial increase in its revenue along with better profitability, or if its financial risk profile improves significantly, mainly driven by fresh equity infusion. Conversely, the outlook may be revised to 'Negative' if RIPL reports low cash accruals or undertakes a debt-funded capital expenditure programme, leading to weakening of its capital structure and liquidity. RIPL was founded by Mr. Jinesh Shah in 2004. The company, based in Jamnagar (Gujarat), manufactures brass rods (round, hexagonal, square, flat, or rectangular); copper alloy ingots (brass ingots); and copper alloy billets (brass billets). RIPL's products find application in various industries such as engineering, electrical, electronics, automobiles, building hardware, and sanitary ware. For 2013-14 (refers to financial year, April 1 to March 31), RIPL reported a net loss of Rs10 million on net sales of INR532.2 million, as against a PAT of INR3.81 million on net sales of INR558.6 million for 2012-13. RAVELS APPARELS: CRISIL Assigns B Rating to INR35MM Packing Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the bank facilities of Ravels Apparels Pvt Ltd (RAPL). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term 6.5 CRISIL B/Stable Bank Loan Facility Export Packing Credit 35.0 CRISIL B/Stable Bank Guarantee 1.0 CRISIL A4 Bill Discounting 27.5 CRISIL A4 The ratings reflect RAPL's small scale of operations in the highly fragmented garments export industry, and its low cash accruals due to the vulnerability of its operating margin to fluctuations in raw material prices and foreign exchange rates. These rating weaknesses are partially offset by the extensive experience of the company's promoters in the garments business and the funding support it receives from them. Outlook: Stable CRISIL believes that RAPL will continue to benefit over the medium term from its promoters' extensive industry experience. The outlook may be revised to 'Positive' in case of a significant improvement in the company's scale of operations and profitability, leading to sizeable cash accruals. Conversely, the outlook may be revised to 'Negative' in case of any pressure on RAPL's liquidity, either because of a decline in its profitability leading to considerably low cash accruals, or a significant increase in its working capital requirements. RAPL is promoted by Mr. Vinod Kapahi and his family members. The company was originally set up in 1983 as a partnership firm, Ravels International; this firm was reconstituted as a private limited company with the current name in July 1993. RAPL is a 100- per-cent export-oriented unit, engaged in manufacturing high-end fashion women's garments. The cost of each piece ranges from USD5 to USD20. SASWAD MALI: CRISIL Assigns B- Rating to INR1.01BB Cash Credit -------------------------------------------------------------- CRISIL has assigned its 'CRISIL A4' rating to the short-term bank facility of The Saswad Mali Sugar Factory Ltd (SMSFL), and has reaffirmed its rating on the company's long-term bank facilities at 'CRISIL B-/Stable'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 26.1 CRISIL A4 Cash Credit 1,014.7 CRISIL B-/Stable Proposed Long Term Bank Loan Facility 34.2 CRISIL B-/Stable Long Term Loan 735.7 CRISIL B-/Stable CRISIL had on December 31, 2014 downgraded its long term rating on the bank facilities of The Saswad Mali Sugar Factory Ltd (SMSFL) to 'CRISIL B-/Stable' from 'CRISIL B/Stable'. The rating downgrade reflects deterioration in company's business and financial risk profile in 2013-14. The company's revenues declined by around 24 percent in 2013-14 (refers to financial year April 1 to March 31). Its operating margin declined to 3.3 percent in 2013-14 from 11.8 percent in 2012-13, resulting in cash losses of INR 177 million. This was mainly on account of decrease in sugarcane availability and yield during the year. The sugar season of 2014 is expected to be better as per industry estimates, and the company revenues and operating profitability is expected to improve in 2014-15. The ratings reflect SMSFL's exposure to risks related to regulatory changes and to cyclicality in the sugar industry, working capital intensive operations and below-average financial risk profile, marked by high gearing and subdued debt protection metrics. These rating weaknesses are partially offset by the extensive experience of SMSFL's promoters in the sugar industry. Outlook: Stable CRISIL believes that SMSFL will continue to benefit over the medium term from its promoters' extensive industry experience and the integrated nature of its operations. The outlook may be revised to 'Positive' if the company reports a substantial increase in its revenue and margins, while improving its capital structure and debt protection metrics. Conversely, the outlook may be revised to 'Negative' if SMSFL registers deterioration in its debt protection metrics because of lower-than-expected growth in its revenues and accruals, or in case the company undertakes a larger-than-expected, debt-funded capex programme. SMSFL, incorporated in 1932, manufactures sugar and has a distillery unit; it has also set up a co-generation plant. The company is based in the Malshiras district of Maharashtra. It is promoted by a group of farmers. Mr. Rajendra Girme is the managing director of the company. For 2013-14 (refers to financial year, April 1 to March 31), SMSFL reported a net loss of INR123 million on net sales of INR1.93 billion, against a net profit of INR82.9 million on net sales of INR2.52 billion for 2012-13. SHREE TATYASAHEB: CRISIL Reaffirms D Rating on INR547.7MM Loan -------------------------------------------------------------- CRISIL's ratings on the bank facilities of Shree Tatyasaheb Kore Warana Sahakari Navshakti Nirman Sanstha Ltd (Warana Navshakti) continue to reflect instances of delay by the society in servicing its debt, due to weak liquidity and delays in realisation of receivables from customers. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Proposed Long Term 547.7 CRISIL D (Reaffirmed) Bank Loan Facility Term Loan 452.3 CRISIL D (Reaffirmed) The rating also reflects Warana Navshakti's weak financial risk profile, marked by a high gearing and weak debt protection metrics, and exposure to risks relating to maintaining optimal capacity utilisation on a consistent basis.These rating weaknesses are partially offset by Warana Navshakti's power purchase agreement with Tata Power Trading Company Ltd (TPTCL) and support from the Warana group. Update Warana Navshakti reported revenue of INR140.5 million for 2013-14 (refers to financial year, April 1 to March 31), up from INR107.9 million in 2012-13.The increase in revenue was on account of better-than-expected electricity generation and higher price realisation in 2013-14. Of the total revenue, INR111.2 million was from sale of electricity, and the remainder from sale of renewable energy credits. The society's operating margin (82.39 per cent in 2013-14) was in line with that in the previous year (82.8 percent). The net cash accruals (Rs.35 million in 2013-14) were just about adequate to service the maturing term debt of INR32.4 million during the year; the accruals are expected to remain barely adequate for debt servicing in 2014-15 as well. The society had unsecured loans of INR251.8 million from promoters in 2013-14, as against INR223.8 million in 2012-13. The society will remain dependent on timely infusion of funds by promoters for meeting its debt obligations. CRISIL believes that Warana Navshakti's liquidity will remain constrained by accruals that are barely adequate for debt servicing over the medium term. Warana Navshakti is a co-operative society engaged in hydroelectric power generation. The society, registered in 2005, is part of the Warana group of societies. It has set up four power plants at Chitri, Kumbhi, Kadavi and Patgaon in Kolhapur district of Maharashtra. Mr. Vinay Kore is the founder chairman of Warana Navshakti. The day-to-day operations of the society are managed by Mr. SRPatil, Chief Executive Officer with support from other professionals. SHYAM JOTI: CRISIL Reaffirms B- Rating on INR63.3MM Term Loan ------------------------------------------------------------- CRISIL's ratings on the bank facilities of Shyam Joti Rice Mill Pvt Ltd (SRMPL) continue to reflect the company's exposure to risks associated with the offtake from its rice-processing unit and expected below-average financial risk profile. These rating weaknesses are partially offset by the extensive experience of the promoters in the rice-processing segment. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Bank Guarantee 7 CRISIL A4 (Reaffirmed) Cash Credit 42.6 CRISIL B-/Stable(Reaffirmed) Proposed Long Term Bank Loan Facility 0.1 CRISIL B-/Stable (Reaffirmed) Term Loan 63.3 CRISIL B-/Stable (Reaffirmed) Outlook: Stable CRISIL believes that SRMPL will benefit from the promoters' extensive experience in the rice-processing segment. The outlook may be revised to 'Positive' if the company completes its ongoing project earlier than expected and receives higher-than-expected funding support from the promoters, resulting in low project gearing. Conversely, the outlook may be revised to 'Negative' in case of delays or cost overrun in project completion, or receives low funding support from the promoters, thereby constraining the company's liquidity. Update SRMPL commenced operations in October 2014 as against July 2014 expected earlier. Although there has been a time overrun in the commencement of operations in the project, there has been no cost overrun in the same. In the two months ended December 31, 2014, however, the company is estimated to have posted revenue of INR20 million to INR30 million and is expected to post revenue of INR80 million to INR90 million in 2014-15 (refers to financial year, April 1 to March 31). The financial risk profile of the company continues to remain below average marked by modest net worth of INR20 million and gearing of 3.46 times as on March 31, 2014. The financial risk profile has remained supported by equity infusion of INR25.8 million in Jan 2015. SRMPL's liquidity remains weak marked by low cash accruals due to the initial year of operations. The bank limit was utilised by 76 per cent for the five months through November 2014. The cash accruals over the medium term are expected to remain tightly matched to service its term debt obligations, which are commencing from April 2015. The timely repayments of the term loan remain a key rating sensitivity factor. SRMPL was incorporated in 2013 by the Kundu family. The company, based in Uttar Dinjapur (West Bengal), is setting up a par-boiled and raw rice-processing unit with capacity of 5 tonnes per hour. SRMPL plans to begin commercial operations in July 2014. SMVD POLYPACK: CRISIL Reaffirms B+ Rating on INR105MM Term Loan --------------------------------------------------------------- CRISIL's rating on the long-term bank facilities of SMVD Polypack Pvt Ltd (SPPL) continue to reflect the company's modest scale of operations in a highly fragmented high-density polyethylene (HDPE) and polypropylene (PP) bags manufacturing industry, and subdued financial risk profile, marked by modest net worth, high gearing and subdued debt protection metrics. These rating weaknesses are partially offset by the benefits that SPPL derives from its diversified customer profile. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 38 CRISIL B+/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 42 CRISIL B+/Stable (Reaffirmed) Term Loan 105 CRISIL B+/Stable (Reaffirmed) Outlook: Stable CRISIL believes that SPPL will continue to benefit over the medium term from its diversified customer profile. The outlook may be revised to 'Positive' if sizeable accruals or improved capital structure results in a stronger financial risk profile, particularly liquidity, for SPPL. Conversely, the outlook may be revised to 'Negative' if SPPL reports deterioration in its liquidity on account of stretch in working capital cycle, low accruals, or any large debt-funded capital expenditure. Update SPPL reported revenue of INR232.8 million in 2013-14 (refers to financial year, April 1 to March 31), its first full year of commercial operations. The revenue is expected to increase in 2014-15 to INR320 million to INR350 million, due to increase in scale of operations backed by increased capacity utilisation. Its operating margin was moderate at 9.3 per cent in 2013-14. SPPL's operations are working capital intensive, with gross current assets (GCAs) at 126 days as on March 31, 2014, with inventory and receivables of 81 and 36 days respectively. ALPL funds its working capital requirements partly through credit from suppliers (it had outstanding payables of 24 days as on March 31, 2014) and short-term bank borrowings. The company utilised its short-term bank borrowings at an average of 90 per cent over the 12 months through September 2014. SPPL's financial risk profile remains weak, marked by modest net worth and high gearing (INR60 million and 2.45 times as on March 31, 2014) and subdued debt protection metrics. It had debt of INR147.8 million on that date 'with short-term bank borrowings of INR43 million, term loans of INR94.5 million, and promoters' unsecured loans of INR10.3 million. On account of moderate operating margins and large debt, the company's debt protection metrics are subdued with interest coverage ratio and net cash accrual to total debt ratio at 1.1 and 0.04 times respectively. SPPL reported a profit after tax (PAT) of INR0.9 million on net sales of INR232.8 million for 2013-14 (Rs.0.3 million and INR62.3 million, respectively, for 2012-13). Incorporated in January 2010, SPPL manufactures PP and HDPE woven sacks and fabric. The company commenced commercial operations in November 2012. The day-to-day operations are managed by Mr. Promod Agarwal. SUNRISE MARKETING: CRISIL Ups Rating on INR10MM Cash Loan to B+ --------------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank facilities of Sunrise Marketing Agents (SMA) to 'CRISIL B+/Stable' from 'CRISIL B/Stable', while reaffirming its rating on the firm's short-term facilities at 'CRISIL A4'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 10 CRISIL B+/Stable (Upgraded from 'CRISIL B/Stable') Overdraft Facility 40 CRISIL A4 (Reaffirmed) Term Loan 2 CRISIL B+/Stable (Upgraded from 'CRISIL B/Stable') Overdraft Facility 6 CRISIL A4 (Reaffirmed) The rating upgrade reflects improvement in SMA's liquidity, driven by its prudent working capital management coupled with timely and adequate enhancement in its bank lines. On the back of increasing demand from existing customers and increase in its allocated distribution area, the firm's revenue is expected to register a healthy growth of around 60 per cent year-on-year in 2014-15 (refers to financial year, April 1 to March 31) to over INR550 million. While achieving this topline growth, SMA has been prudently managing its working capital requirements, reflected in its stable gross current assets of less than 50 days as on December 31, 2014. Its liquidity is also supported by limited debt obligations of around INR1.1 million in 2014-15, which would be adequately covered by its increasing cash accruals. CRISIL believes that SMA will sustain its improved liquidity over the medium term, supported by the recent enhancement in its working capital bank lines to INR40 million from INR6 million. The ratings reflect the firm's below-average financial risk profile, marked by a high total outside liabilities to tangible net worth ratio and a modest net worth, its modest scale of operations, and low profitability due to trading nature of its operations. These rating weaknesses are partially offset by the benefits that SMA derives from its promoters' extensive experience in the polyvinyl chloride (PVC) resin and PVC plumbing fittings trading industry and its established relationships with customers and suppliers. Outlook: Stable CRISIL believes that SMA will continue to benefit over the medium term from its promoters' extensive experience in the polyvinyl chloride (PVC) resin and PVC plumbing fittings trading business. The outlook may be revised to 'Positive' if the firm generates sizeable cash accruals with an increase in its scale of operations or profitability, or if its promoters infuse considerable long- term funds, leading to an improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if SMA's financial risk profile weakens, most likely because of a stretch in its working capital cycle, or a decline in its topline or profitability. Incorporated in 1999, SMA trades in PVC plumbing fittings and PVC resin. The firm is an exclusive distributor for the range of plumbing fittings manufactured by Finolex Pipes, Astral Pipes, and Suparna Plastics in the districts of North Kanara, Udipi, and Dakshin Karnataka (all in Karnataka). It is also the sole authorised distributor for Finolex Industries Ltd (rated 'CRISIL AA-/Stable/CRISIL A1+') for PVC resin in Karnataka. SMA is promoted by Mr. K Dinesh Kamath and his son, Mr. K Rajendra Kamath. The promoters have been in the business of trading in PVC pipes for more than a decade. SUPER COTTON: CRISIL Upgrades Rating on INR64MM Cash Loan to B+ --------------------------------------------------------------- CRISIL has upgraded its rating on the long-term bank facilities of Super Cotton Industries (SCI) to 'CRISIL B+/ Stable' from 'CRISIL B/Stable'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 64 CRISIL B+/Stable (Upgraded from 'CRISIL B/Stable') Term Loan 25.5 CRISIL B+/Stable (Upgraded from 'CRISIL B/Stable') The rating upgrade reflects CRISIL's belief that SCI will increase its accruals over the medium term, with a consistent increase in its revenue driven by higher capacity utilisation. The firm started its operations in January 2014 and generated revenue of around INR153.4 million in 2013-14 (refers to financial year, April 1 to March 31). It has already registered revenue of around Rs180 million in the eight months through November 2014, and CRISIL expects the firm to generate revenue of around INR450 million in 2014-15. SCI's operating profitability was around 3.5 per cent, and it generated accruals of INR3.1 million, in 2013-14. CRISIL believes that the firm will maintain its operating profitability over the medium term. Moreover, SCI has moderate working capital requirements, marked by gross current assets of 52 days as on March 31, 2014, resulting in its bank lines being moderately utilised at an average of around 80 per cent over the 11 months through October 2014. CRISIL believes that the firm will generate accruals of INR7 million, as against repayment obligations of INR5 million, in 2014-15. The rating reflects SCI's modest scale of operations in a highly fragmented industry, the firm's exposure to intense competition, and its susceptibility to changes in government policies. The ratings also factor in the firm's weak financial risk profile, marked by high gearing. These rating weaknesses are partially offset by the extensive experience of SCI's promoters in the cotton industry. Outlook: Stable CRISIL believes that SCI will continue to benefit over the medium term from the extensive industry experience of its promoters. The outlook may be revised to 'Positive' if the firm reports a substantial increase in its accruals, supported by a significant improvement in its scale of operations, or in case of sizeable capital infusion by its partners, leading to a better financial risk profile. Conversely, the outlook may be revised to 'Negative' if SCI's financial risk profile weakens, caused most likely by an increase in its working capital requirements, a decline in its cash accruals, large debt-funded capital expenditure, or sizeable capital withdrawal by its partners. Established in 2013, SCI is a partnership firm based at Soyal in the Jamnagar district of Gujarat. The firm commenced operations from January 2014. SCI reported a profit after tax (PAT) of INR0.1 million on net sales of INR153.4 million for 2013-14. TIRUPATI INDUSTRIES-RAJKOT: CRISIL Rates INR150MM Loan at 'B' ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term bank facilities of Tirupati Industries-Rajkot (TI). Amount Facilities (INR Mln) Ratings ---------- --------- ------- Term Loan 47.5 CRISIL B/Stable Cash Credit 150 CRISIL B/Stable Proposed Long Term Bank Loan Facility 2.5 CRISIL B/Stable The rating reflects TI's exposure to risks related to its ongoing project and expected high gearing. These rating weaknesses are partially offset by the promoters' extensive experience in the industry. Outlook: Stable CRISIL believes that TI will benefit from its promoters' extensive industry experience, over the medium term. The outlook may be revised to 'Positive' if the firm completes and stabilizes its project without time or cost overruns and generates sizeable revenue with a stable operating margin. Conversely, the outlook may be revised to 'Negative' if TI incurs project time or cost over runs or reports significantly low sales and profitability, thus restricting its liquidity. TI is setting up an oil cake crushing plant in Rajkot (Gujarat). VASU TRADING: CRISIL Cuts Rating on INR100MM Cash Loan to 'B+' -------------------------------------------------------------- CRISIL has downgraded its rating on the long-term bank facilities of Vasu Trading Co. (VTC) to 'CRISIL B+/Stable' from 'CRISIL BB- /Stable'. Amount Facilities (INR Mln) Ratings ---------- --------- ------- Cash Credit 100 CRISIL B+/Stable (Downgraded from 'CRISIL BB-/Stable') Proposed Long Term 15 CRISIL B+/Stable (Downgraded Bank Loan Facility from 'CRISIL BB-/Stable') Standby Line of Credit 15 CRISIL B+/Stable (Downgraded from 'CRISIL BB-/Stable') The rating downgrade reflects significant deterioration in VTC's financial risk profile, especially its liquidity, mainly due to withdrawal of capital by its partners. Its partners withdrew capital of INR9.2 million, which led to negative cash accruals of INR3.7 million, in 2013-14 (refers to financial year, April 1 to March 31). During the same year, VTC's topline increased by around 21 per cent to INR966.4 million from INR796.8 million in the previous year. As a result of healthy topline growth, the firm's working capital requirements increased. However, given its negative cash accruals, it had to rely on bank borrowings to fund the higher working capital requirements. Hence, its gearing deteriorated to 4.28 times as on March 31, 2014, from 2.42 times as on March 31, 2013. CRISIL believes that the financial risk profile will remain weak over the medium term on account of low cash accruals. The rating reflects VTC's weak financial risk profile, marked by a high total outside liabilities to tangible net worth ratio and subdued debt protection metrics. These rating weaknesses are partially offset by the extensive experience of the firm's partners in the steel industry and their established relationships with customers and suppliers. Outlook: Stable CRISIL believes that VTC will continue to benefit over the medium term from its partners' extensive industry experience. The outlook may be revised to 'Positive' if the firm reports a significantly high operating margin, leading to improvement in its debt protection metrics, or if its capital structure improves due to substantial equity infusion. Conversely, the outlook may be revised to 'Negative' if VTC's operating margin declines further, or if it's financial risk profile deteriorates, most likely due to a stretch in its working capital cycle. VTC, set up in 2005 as a partnership firm in Hissar (Haryana), trades in steel and steel products such as thermo-mechanically treated bars, mild steel bars, and wires, and in cement. The firm is currently managed by Mr. Amit Arya and Mr. Abhishek Arya. VENU FOOD: ICRA Suspends B+ Rating on INR7.10cr Long Term Loan -------------------------------------------------------------- ICRA has suspended the [ICRA]B+ rating assigned to the INR7.10 crore long term fund based facilities of Venu Food Industries. The suspension follows ICRAs inability to carry out a rating surveillance in the absence of the requisite information from the company. Incorporated in August 2009, Venu Foods Industries (VFI) commenced commercial production of gram flour (besan) in June 2010 at its plant located at Kuvadva in Rajkot district of Gujarat. The firm is managed by Koradia family who have an experience of over two decades in the business of processing gram and manufacturing gram flour by virtue of their other group companies namely Vanraj Food Industries (Junagadh, Gujarat), Vanraj Protein Industries (Junagadh, Gujarat) and Venu Proteins Industries (Chhatra, near Ahmedabad, Gujarat). VFI has a capacity to produce 60 MT of gram flour per day currently and the firm is in process of increasing the same by 20MT of gram flour per day. The firm is also diversifying its operation in the gram pulse segment. ========= J A P A N ========= SKYMARK AIRLINES: Files For Bankruptcy Protection ------------------------------------------------- Kiyotaka Matsuda and Andrea Rothman at Bloomberg News report that Skymark Airlines Inc., Japan's third-largest carrier, filed for bankruptcy protection after running short of cash, highlighting the failure of growth plans that climaxed in the ill-fated purchase of six Airbus Group NV A380 superjumbos. Bloomberg relates that Skymark said it filed at the Tokyo District Court with JPY71 billion ($603 million) in liabilities. President Shinichi Nishikubo is standing down and Chief Financial Officer Masakazu Arimori is taking on the role, Bloomberg says. It will be delisted on March 1, the Tokyo Stock Exchange said. Shares of the budget carrier were untraded at the open in Tokyo after sell offers outnumbered bids by about 500 to 1, Bloomberg notes. According to Bloomberg, the low-cost carrier, which will get restructuring support from private-equity firm Integral, first flagged in July that there was "material uncertainty" over whether it would remain a going concern following penalty demands for the cancellation of the A380 contracts. Doubts about its ability to fund the planes had led Airbus to terminate the order worth $2.5 billion in list prices, says Bloomberg. "A low load factor led to a sustained cash outflow amid an already strained cash position," Bloomberg quotes Masaharu Hirokane, an analyst at Nomura Holdings Inc. in Tokyo as saying in a note dated Jan. 27. "Key to improving earnings will be the early return of leased aircraft and other moves to downsize to an operation capable of generating stable profits." An earnings report due Jan. 28 has been postponed to Feb. 5, spokeswoman Yuka Izumaru told Bloomberg by phone. Bloomberg recalls that Skymark had announced plans to buy the world's largest passenger model and start an international business-class service in 2010, breaking from a discount model using Boeing Co. 737 narrow-bodies. Mr. Nishikubo said at the time he planned to win market share by charging less than half the price of rivals. The application from Tokyo-based Skymark, which had 2,275 employees as of last March, comes five years after Japan Airlines Corp. became the first major Asia flag-carrier to file for bankruptcy, seeking protection from creditors with JPY2.32 trillion in liabilities, Bloomberg notes. JAL successfully re-listed in 2012. According to Bloomberg, Airbus said on Jan. 28 it was aware of the Skymark filing, which was a matter for the courts. After the sides failed to reach a deal on the A380s the planemaker filed a complaint in a London court, the contents of which haven't yet been made public, Bloomberg states. Skymark had a net loss of JPY5.7 billion in the six months through September amid tougher competition, the cost of introducing leased Airbus A330s, and a weaker yen, Bloomberg discloses. It had JPY4.5 billion in cash and near-cash items as of Sept. 30, down 75 percent on a year earlier, based on data compiled by Bloomberg. Skymark Airlines is a Japanese low-cost carrier based in Tokyo. The carrier, which commenced operations in 1998, operates domestic service from its base at Tokyo International Airport. SONY CORP: Delays Third-Quarter Results on November Cyberattack --------------------------------------------------------------- Sony Corporation announced on Jan. 23 that it has filed with the Financial Services Agency of Japan (the "FSA") an application for approval of the extension of the deadline for Sony to file its quarterly securities report for the third quarter of the fiscal year ending March 31, 2015. Relevant quarterly securities report: The quarterly securities report for the third quarter of the fiscal year ending March 31, 2015 Required deadline (original deadline): February 16, 2015 Extended deadline, if approved: March 31, 2015 Reason for the application: In November 2014, Sony Pictures Entertainment Inc. ("SPE"), a consolidated subsidiary of Sony that is reported as the Pictures business segment, identified a cyberattack on SPE's network and IT infrastructure. As a result of the cyberattack, which has been now recognized as a highly sophisticated and damaging cyberattack, a serious disruption of SPE's network systems occurred, including the destruction of network hardware and the compromise of a large amount of data on these systems. In response to this cyberattack, SPE shut down its entire network. Since that time, SPE has worked aggressively to restore these systems. However, most of SPE's financial and accounting applications and many other critical information technology applications will not be functional until early February 2015 due to the amount of destruction and disruption that occurred, and the care necessary to avoid further damage by prematurely restarting functions. After the restoration of these applications, SPE will immediately commence the actions necessary to close its third quarter financial statements. However, even with the anticipated restoration of these applications in early February 2015, SPE will not have sufficient time to close its financial statements in time for submission of the quarterly securities report in the middle of February 2015. SPE must then enter transactional data for the two- month period the systems were offline and perform verification procedures over the restored data. For these reasons, Sony expects that it cannot complete its preparation, including the review by our independent accountants, of its consolidated financial statements for the third quarter of the fiscal year ending March 31, 2015, by February 16, 2015, the original deadline for submission of the quarterly securities report for this third quarter. Accordingly Sony has filed an application with the FSA for approval to extend the deadline for submission of the report to March 31, 2015. Considering the current status, Sony expects that it can complete its preparation of its financial statements as described above and submit the quarterly securities report for the third quarter by March 31, 2015. Sony had planned to issue its earnings release and hold press/analyst conferences about the consolidated financial results for the third quarter of the fiscal year ending March 31, 2015 on February 4, 2015. Although Sony expects that SPE will not complete its third-quarter closing processes by February 4, for the reasons described above, Sony plans to issue a release and hold press/analyst conferences on that date so as to provide investors, shareholders, analysts, media and other stakeholders with updated forecasts of Sony's consolidated financial results for the third quarter, to the extent reasonably possible, based on the information available on that date. While Sony continues to evaluate the impact of the cyberattack on its financial results, it currently believes that such impact is not material. Based in Japan, Sony Corporation -- http://www.sony.net/-- engages in the operation of imaging products and solution (IP&S), game, mobile products and communication (MP&C), home entertainment and sound (HE&S), device, movie, music, financial and other business. The IP&S segment provides digital imaging products and professional solutions. As reported in the Troubled Company Reporter-Asia Pacific on Nov. 21, 2014, Fitch Ratings affirmed Sony Corporation's Long-Term Foreign-and Local-Currency Issuer Default Ratings (IDRs) of 'BB-'. The Outlook has been revised to Stable from Negative. SONY CORP: To Cut 1,000 More Jobs in Smartphone Business -------------------------------------------------------- The Japan Times reports that Sony Corp. plans to eliminate another 1,000 jobs in its smartphone operations as the company tries to return the business to profit, according to a source familiar with the matter. It will shrink the division's workforce to about 5,000 after including 1,000 job losses previously announced, the source said, asking not to be identified because the details are private, the report relates. The Japan Times relates that the cuts will include Sony's operations in China, the U.K. and Sweden, the source said. According to the report, Chief Financial Officer Kenichiro Yoshida is ending the development of new smartphones for China, the world's biggest smartphone market, and is culling the number of Xperia models as Sony struggles to compete with Apple Inc. and Samsung Electronics Co. The additional cuts are needed to reach the Tokyo-based company's goal of reducing operating costs in the business by 30 percent by March 2017, the report states. Based in Japan, Sony Corporation -- http://www.sony.net/-- engages in the operation of imaging products and solution (IP&S), game, mobile products and communication (MP&C), home entertainment and sound (HE&S), device, movie, music, financial and other business. The IP&S segment provides digital imaging products and professional solutions. As reported in the Troubled Company Reporter-Asia Pacific on Nov. 21, 2014, Fitch Ratings affirmed Sony Corporation's Long-Term Foreign-and Local-Currency Issuer Default Ratings (IDRs) of 'BB-'. The Outlook has been revised to Stable from Negative. =============== M A L A Y S I A =============== PRIME GLOBAL: B F Borgers Expresses Going Concern Doubt ------------------------------------------------------- Prime Global Capital Group Incorporated filed with the U.S. Securities and Exchange Commission its annual report on Form 10-K for the fiscal year ended Oct. 31, 2014. B F Borgers CPA PC expressed substantial doubt about the Company's ability to continue as a going concern, citing that the Company's capital commitments in comparison to available cash balances raise substantial doubt about its ability to continue as a going concern. The Company reported a net loss of $1.34 million on $2.31 million of net revenues for the fiscal year ended Oct. 31, 2014, compared with a net loss of 2.09 million on $354,000 of net revenues during the prior year. The Company's balance sheet at Oct. 31, 2014, showed $61.2 million in total assets, $20.5 million in total liabilities, and stockholders' equity of $40.6 million. A copy of the Form 10-K is available at: http://is.gd/ZkHVS8 Kuala Lumpur, Malaysia-based Prime Global Capital Group Incorporated operates in the following four business segments: (i) the provision of IT consulting, programming and website development services; (ii) its oilseeds business; (iii) its real estate business and (iv) the distribution of consumer products. The Company's software, oilseeds and real estate businesses accounted for all of the Company's revenues for the six months ended April 30, 2013. The Company did not generate any revenues from the distribution of consumer products during such period. On Dec. 24, 2013, the Company filed its annual report on Form 10-K for the fiscal year ended Oct. 31, 2013. B F Borgers CPA PC expressed substantial doubt about the Company's ability to continue as a going concern, citing that the Company suffered from significant operating loss and working capital deficit of $1.89 million. The continuation of the Company as a going concern through Oct. 31, 2014, is dependent upon improving the profitability and the continuing financial support from its stockholders. Management believes the existing shareholders will provide the additional cash to meet the Company's obligations as they become due. The Company reported a net loss of $2.09 million on $1.95 million of net revenues for the year ended Oct. 31, 2013, compared with net income of $1.47 million on $3.05 million of net revenues for the fiscal year ended Oct. 31, 2012. ==================== N E W Z E A L A N D ==================== 3C BAR: Closes Shop, In Hands of Liquidator ------------------------------------------- Worcester News reports that another bar operated by the owner of the now closed Molly Malone's Irish pub has now also closed and been put in the hands of a liquidator. Jeremy Morley, who was appointed liquidator of Molly Malone's said he had now also been appointed liquidator of 3C Bar in Chews Lane, according to Worcester News. The report relates that the two companies, operated by Ewan Henderson, are understood to owe hundreds of thousands of dollars to the landlord who owns both properties, liquor supplier DB Breweries, the Inland Revenue Department and other suppliers. Mr. Morley said both businesses would now be put up for sale, the report notes. The ten staff at Molly Malone's would be given notice and the same would probably happen to staff at the 3C bar, the report relays. The report notes that Mr. Morley had met with the landlord's representatives and had discussions with the brewery and would be looking to sell both business to a new operator in the next two weeks. Mr. Morley expected the bars to remain closed in the meantime, the report adds. MERCHANT + CAPITAL: Two Directors' Parole Hearing Deferred ---------------------------------------------------------- Kelly Dennett at Fairfax NZ News reports that jailed Merchant + Capital Finance directors Neal Nicholls and Wayne Douglas have had their first parole hearings deferred after an error was made with their eligibility dates. The Merchant + Capital fraudsters were both jailed for more than eight years each after pleading guilty to misleading investors in charges brought by the Serious Fraud Office and the Financial Markets Authority, according to Fairfax NZ. Both were due to become eligible for parole this month after serving a third of their sentences but both their hearings were abandoned after discrepancies were discovered about when they had officially served a third, according to hearing reports released to Fairfax Media. Fairfax NZ relates that in the reports Parole Board panel convener Judge Louis Bidois noted that Nicholl's parole eligibility should have been in June this year, rather than January, and Douglas' hearing was due in March. Both hearings were stood down while clarification was sought from Justice Geoffrey Venning, who was the last to sentence the pair, and they were eventually given new eligibility dates -- Nicholls in May and Douglas in April, Fairfax NZ says. Fairfax NZ notes that confusion seemed to arise because the pair were each given two sentences, one in 2012 and another in 2013, to be served cumulatively. In Nicholls' hearing report, Judge Bidois noted that Nicholls had raised the issue of eligibility in September last year, Fairfax NZ relays. "There had been no official response it seems," the report, as cited by Fairfax NZ, said. The pair were jailed along with co-director Owen Tallentire after being convicted of theft in a special relationship, to the tune of a combined NZ$32 million, the report notes. About Capital + Merchant Capital + Merchant Finance Limited was placed into receivership on Nov. 23, 2007, with the appointment of Timothy Downes and Richard Simpson of Grant Thornton as Receivers. A second receivership also commenced on Nov. 29, 2007, with the appointment of Grant Graham and Brendon Gibson of Korda Mentha as Receivers. The first receivership was concluded on March 21, 2012, and the second receivership continues. The Official Assignee was appointed liquidator of the company on Dec. 15, 2009, on the petition of the Registrar of Companies. Three former directors of C+M (Nicholls, Douglas and Tallentire) were convicted of offences under the Crimes Act and the Securities Act as a result of prosecutions by the Serious Fraud Office (SFO) and the Financial Markets Authority (FMA). They received total prison sentences of between six and eight and a half years' imprisonment. Two of the directors (Ryan and Sutherland) were ordered to pay reparation totaling NZ$160,000. ===================== P H I L I P P I N E S ===================== RURAL BANK OF STA. RITA: Arrest Warrants Issued vs. Bank Officers ----------------------------------------------------------------- A mother and her daughter who were former bank officers charged with large-scale estafa continue to elude justice. Charged by the Department of Justice (DOJ) with 19 counts of large-scale estafa under Presidential Decree No. 1689 and 19 counts of creation of fictitious loans in violation of Section 21 (f)(5) of Republic Act 3591 or the amended Charter of the PDIC before the Regional Trial Court (RTC) of Guagua, Pampanga, Branch 51 were Sylvia R. de Castro and daughter Mary Jane C. Acol, former Assistant Manager and Corporate Secretary and shareholder, respectively, of the closed Rural Bank of Sta. Rita (Pampanga). The cases were based on a complaint by the Philippine Deposit Insurance Corporation (PDIC), Liquidator of RB Sta. Rita, after the conduct of preliminary investigation. Both mother and daughter have remained at large as police authorities in Pampanga have been unable to serve their warrants of arrest to date. PDIC is requesting the public's assistance for any information that may assist in the arrest of de Castro and Acol. The public may contact the PDIC Investigation Department at the 9th Floor, SSS Bldg., 6782 Ayala Ave. corner V.A. Rufino St., Makati City or call (02) 841-4120, (02) 841-4124 or (02) 841-4125. The RTC issued alias warrants of arrest against the accused on December 10, 2014 after the police reported that the original warrants issued have remained unserved. The 3rd Regional Public Safety Battalion of Pampanga is currently pursuing efforts to enforce the warrants of arrest against the accused. Earlier, the DOJ has directed the Bureau of Immigration to issue a lookout bulletin against the accused to discourage them from leaving the country as well as to monitor their movements. The PDIC has requested the court to issue a Hold-Departure Order (HDO) against de Castro and Acol set for hearing on March 3, 2015. The criminal charges alleged that de Castro and Acol conspired, from February 2005 to August 2006, to misappropriate, convert and divert funds of RB of Sta. Rita by creating 19 fictitious loans totaling PHP5.96 million, through the falsification of commercial documents, and diverting PHP4.2 million worth of the proceeds of the fictitious loan accounts to Acol's personal bank account. The purported borrowers neither participated in the execution of the loan and commercial documents, nor received the loan proceeds of PHP4.2 million. The accused filed an Omnibus Motion to remand the cases to the DOJ for preliminary investigation, and recall previously issued warrants of arrest or defer the issuance of warrants of arrest. On October 13, 2014, the RTC denied the accused's Omnibus Motion and directed the issuance of warrants of arrest against both de Castro and Acol. PDIC is authorized to conduct investigations and file appropriate cases against erring bank officials and unscrupulous individuals. PDIC vigorously pursues legal action against erring bank officers, for the benefit of depositors/creditors and to protect the Deposit Insurance Fund (DIF), PDIC's funding source for payment of insured deposits. RB of Sta. Rita was placed under PDIC receivership in January 2009. ==================== S O U T H K O R E A ==================== DONGBU GROUP: Building Unit Subcontractors Face Liquidity Crisis ---------------------------------------------------------------- Kim Jae-won at The Korea Times reports that hundreds of Dongbu Corp. subcontractors are facing a liquidity crisis after the group's mid-sized construction unit filed for court receivership last month, financial authorities said. The report relates that the Financial Services Commission (FSC) and the Financial Supervisory Service (FSS) said about 280 subcontractors with transactions worth more than KRW500 million ($459,000) faced a credit crunch. "We do not rule out the possibility that subcontractors, which have had relatively big size orders, will face a credit crisis," the authorities said in a statement, after an urgent meeting chaired by Koh Seung-beom, head of the General Administration Division of the FSC, the report relays. The subcontractors had combined orders worth KRW198.1 billion with an average of KRW700 million per subcontractor, according to the statement obtained by The Korea Times. The Korea Times relates that the authorities also said they would look into 23 Dongbu subcontractors, whose exposure to the construction company was more than 10 percent of their annual revenue. The FSC and the FSS said that to avoid additional court receivership, they would restructure subcontractors in crisis through workout programs, the report states. According to the report, Korea Development Bank (KDB), Dongbu's main creditor, said it would seek to protect the subcontractors in cooperation with the authorities and the court. Dongbu owed KRW261.8 billion to financial companies, including the state-run KDB. The key creditor bank has been reluctant to extend financial support to the group as its chairman, Kim Jun-ki, has not accepted creditors' demands that he give up managerial control of the group in return for financial support, the report says. About Dongbu Group Dongbu Group is a South Korean conglomerate corporation which operates through seven business segments with 42 subsidiaries and 35,000 employees. The Group produces industry, chemical, shipping, insurance and financial products. As reported in the Troubled Company Reporter-Asia Pacific on June 30, 2014, Yonhap News Agency said cash-starved Dongbu Group is at risk of falling into a deeper hole as its affiliates are likely to face hurdles in refinancing maturing debts following the failure of a deal to sell its key assets, analysts said on June 27. The news agency said Dongbu has been under pressure from its creditors to beef up its worsening financial status. The Group's construction arm filed for court receivership in December 2014. The builder has accumulated debts totaling KRW137 billion (US$125.9 million) due to mature by the end of 2016, with retail investors accounting for KRW23 billion, Yonhap News said. HYUNDAI GROUP: KDB to Select Buyer for Hyundai Securities Unit -------------------------------------------------------------- Choi Kyong-ae at The Korea Times reports that Korea Development Bank (KDB) will select a preferred bidder for Hyundai Securities as early as this week to sign a deal in March, the state-owned bank's chairman said on Jan. 28. "We have received bids from Japan's Orix Corp and Korea's private equity company Pinestreet for a controlling stake in the brokerage," the report quotes KDB Chairman and Chief Executive Hong Kyttack as saying at a press conference in western Seoul. According to the report, the chairman said KDB plans to pick the preferred bidder either late this week or early next week after considering their offers, as well as their plans to raise funds and operate Hyundai Securities after acquisition. The two bidders have reportedly offered more than KRW1 trillion ($922 million) for the combined 36.4 percent stake in Hyundai Securities owned by Hyundai Merchant Marine and other shareholders, the report says. The stake has been up for sale since 2003 when the shipping company's parent Hyundai Group outlined plans to sell financial assets to reduce its debts, The Korea Times discloses. KDB is the main creditor bank of Hyundai Group. As reported in the Troubled Company Reporter-Asia Pacific on Jan. 8, 2014, The Korea Times said Hyundai Group's plan to sell its core assets to secure cash is raising concerns due to uncertainties in the sales process and economic situation. According to the report, analysts said the plan may help address the group's liquidity shortage to some extent, but may create other problems by making key businesses unstable. The Korea Times said such concerns were raised after Hyundai announced in December 2013 that it would secure over KRW3.3 trillion by selling all three of its financial units -- Hyundai Securities, Hyundai Savings Bank and Hyundai Asset Management -- in a bid to avoid a liquidity crisis and lower its high debt ratio. Hyundai, once South Korea's largest conglomerate, has shrunk to become a minor player since the Asian financial crisis of 1997 prompted the spin-off of key auto and shipbuilding units. =============== X X X X X X X X =============== * Large Companies with Insolvent Balance Sheets ----------------------------------------------- Total Total Shareholders Assets Equity Company Ticker (US$MM) (US$MM) ------- ------ ------ ------------ AUSTRALIA 360 CAPITAL OFFI TOF 88.94 -33.19 AAT CORP LTD AAT 32.50 -13.46 AAT CORP LTD AAT 32.50 -13.46 ATLANTIC LTD ATI 64.03 -517.87 AUSTRALIAN ZI-PP AZCCA 14.89 -65.04 AUSTRALIAN ZIRC AZC 14.89 -65.04 BESRA GOLD -CDI BEZ 67.38 -22.27 BIRON APPAREL LT BIC 19.71 -2.22 BLUESTONE GLOBAL BUE 46.32 -2.40 CLARITY OSS LTD CYO 13.99 -15.57 KASBAH RESOURCES KAS 18.24 -0.85 KASBAH RESOUR-NS KASN 18.24 -0.85 LEGEND MINING LEG 20.24 -0.66 MACQUARIE ATLAS MQA 1,643.30 -1,018.14 MIRABELA NICKEL MBN 158.54 -375.82 NATURAL FUEL LTD NFL 19.38 -121.51 QUICKFLIX LTD QFX 12.12 -4.38 QUICKFLIX LTD-N QFXN 12.12 -4.38 RIVERCITY MOTORW RCY 386.88 -809.13 SAVCOR GRP LTD SAV 25.90 -10.32 STERLING PLANTAT SBI 55.20 -11.32 STONE RESOURCES SHK 21.01 -5.58 STRAITS RESOURCE SRQ 185.04 -65.47 TZ LTD TZL 12.45 -10.10 VDM GROUP LTD VMG 17.70 -2.10 CHINA ANHUI GUOTONG-A 600444 75.69 -6.25 BAIOO 2100 88.34 -3.21 CHANG JIANG-A 520 85.63 -803.28 HUNAN TIANYI-A 908 56.58 -1.61 JIANGXI CHANG-A 600228 110.07 -9.15 LUOYANG GLASS-A 600876 203.45 -2.05 LUOYANG GLASS-H 1108 203.45 -2.05 NANNING CHEMIC-A 600301 344.15 -9.59 SHAANXI QINLIN-A 600217 349.25 -14.52 SHANG BROAD-A 600608 35.87 -0.22 SHANGHAI CHAOR-A 2506 577.79 -465.36 TIANGE 1980 139.51 -13.82 WUHAN BOILER-B 200770 203.68 -218.32 HONG KONG BEIJINGWEST INDU 2339 28.39 -57.06 BIRMINGHAM INTER 2309 59.86 -21.91 C FOOD&BEV GP 8272 50.10 -4.36 CHINA E-LEARNING 8055 13.33 -4.07 CHINA HEALTHCARE 673 27.19 -12.96 CHINA OCEAN SHIP 651 315.16 -76.51 CNC HOLDINGS 8356 42.92 -52.59 CROWN INTERNATIO 727 64.61 -5.12 EFORCE HLDGS LTD 943 55.72 -17.55 GR PROPERTIES LT 108 17.83 -52.36 GRANDE HLDG 186 205.00 -295.25 HARMONIC STR 33 32.93 -2.03 MASCOTTE HLDGS 136 18.90 -12.88 MEGA EXPO HOLDIN 1360 17.00 -0.53 PALADIN LTD 495 148.01 -14.35 PROVIEW INTL HLD 334 314.87 -294.85 SINO DISTILLERY 39 72.30 -7.54 SINO RESOURCES G 223 30.65 -17.93 SURFACE MOUNT SMT 41.44 -9.21 TITAN PETROCHEMI 1192 422.49 -1,073.54 INDONESIA APAC CITRA CENT MYTX 172.86 -12.52 ARPENI PRATAMA APOL 182.55 -333.91 ASIA PACIFIC POLY 330.86 -853.09 BAKRIE & BROTHER BNBR 956.98 -156.77 BAKRIE TELECOM BTEL 748.76 -111.71 BERLIAN LAJU TAN BLTA 1,074.01 -1,177.97 BERLIAN LAJU TAN BLTA 1,074.01 -1,177.97 BUMI RESOURCES BUMI 6,764.90 -242.51 ICTSI JASA PRIMA KARW 54.93 -6.88 JAKARTA KYOEI ST JKSW 23.75 -35.86 MATAHARI DEPT LPPF 282.58 -74.21 ONIX CAPITAL TBK OCAP 11.39 -1.66 PRIMARINDO ASIA BIMA 11.89 -16.86 RENUKA COALINDO SQMI 17.04 -0.33 SUMALINDO LESTAR SULI 77.74 -33.80 UNITEX TBK UNTX 18.83 -18.53 INDIA ABHISHEK CORPORA ABSC 53.66 -25.51 AGRO DUTCH INDUS ADF 85.09 -22.81 ALPS INDUS LTD ALPI 201.29 -41.70 AMIT SPINNING AMSP 12.85 -7.68 ARTSON ENGR ART 11.64 -10.64 ASHAPURA MINECHE ASMN 162.39 -16.64 ASHIMA LTD ASHM 63.23 -48.94 ATV PROJECTS ATV 48.47 -43.93 BELLARY STEELS BSAL 451.68 -108.50 BENZO PETRO INTL BPI 26.77 -1.05 BHAGHEERATHA ENG BGEL 22.65 -28.20 BINANI INDUS LTD BZL 1,163.38 -38.79 BLUE BIRD INDIA BIRD 122.02 -59.13 CELEBRITY FASHIO CFLI 24.96 -8.26 CHESLIND TEXTILE CTX 20.51 -0.03 CLASSIC DIAMONDS CLD 66.26 -6.84 COMPUTERSKILL CPS 14.90 -7.56 DCM FINANCIAL SE DCMFS 18.46 -9.46 DFL INFRASTRUCTU DLFI 42.74 -6.49 DIGJAM LTD DGJM 99.41 -22.59 DISH TV INDIA DITV 462.53 -52.19 DISH TV INDI-SLB DITV/S 462.53 -52.19 DUNCANS INDUS DAI 122.76 -227.05 ENSO SECUTRACK ENSO 15.57 -0.46 EURO CERAMICS EUCL 110.62 -6.83 EURO MULTIVISION EURO 36.94 -9.95 FERT & CHEM TRAV FCT 314.24 -76.26 GANESH BENZOPLST GBP 44.05 -15.48 GANGOTRI TEXTILE GNTX 54.67 -14.22 GOKAK TEXTILES L GTEX 46.36 -0.29 GOLDEN TOBACCO GTO 97.40 -18.24 GSL INDIA LTD GSL 29.86 -42.42 GSL NOVA PETROCH GSLN 16.53 -1.31 GUJARAT STATE FI GSF 15.26 -304.68 GUPTA SYNTHETICS GUSYN 44.18 -6.34 HARYANA STEEL HYSA 10.83 -5.91 HEALTHFORE TECHN HTEC 14.74 -46.64 HINDUSTAN ORGAN HOC 57.24 -51.76 HINDUSTAN PHOTO HPHT 49.58 -1,832.65 HIRAN ORGOCHEM HO 14.56 -4.59 HMT LTD HMT 106.62 -454.42 ICDS ICDS 13.30 -6.17 INDAGE RESTAURAN IRL 15.11 -2.35 INDOSOLAR LTD ISLR 193.78 -6.91 INTEGRAT FINANCE IFC 49.83 -51.32 JCT ELECTRONICS JCTE 80.08 -76.70 JENSON & NIC LTD JN 16.49 -71.70 JET AIRWAYS IND JETIN 2,856.84 -697.07 JET AIRWAYS -SLB JETIN/S 2,856.84 -697.07 JOG ENGINEERING VMJ 45.90 -5.28 KALYANPUR CEMENT KCEM 23.39 -42.66 KERALA AYURVEDA KERL 13.97 -1.69 KIDUJA INDIA KDJ 11.16 -3.43 KINGFISHER AIR KAIR 515.93 -2,371.26 KINGFISHER A-SLB KAIR/S 515.93 -2,371.26 KITPLY INDS LTD KIT 14.77 -58.78 KLG SYSTEL LTD KLGS 40.64 -27.37 KM SUGAR MILLS KMSM 19.14 -0.47 KSL AND INDUSTRI KSLRI 269.42 -14.19 LML LTD LML 43.95 -78.18 MADHUCON PROJECT MDHPJ 1,226.74 -21.90 MADRAS FERTILIZE MDF 289.78 -34.43 MAHA RASHTRA APE MHAC 14.49 -12.96 MALWA COTTON MCSM 44.14 -24.79 MAWANA SUGAR MWNS 142.07 -32.88 MILTON PLASTICS MILT 17.67 -51.22 MODERN DAIRIES MRD 38.61 -3.81 MOSER BAER INDIA MBI 727.13 -165.63 MOSER BAER -SLB MBI/S 727.13 -165.63 MTZ POLYFILMS LT TBE 31.94 -2.57 MURLI INDUSTRIES MRLI 262.39 -38.30 MYSORE PAPER MSPM 87.99 -8.12 NATL STAND INDI NTSD 22.09 -0.73 NAVCOM INDUS LTD NOP 10.19 -3.53 NICCO CORP LTD NICC 71.84 -4.91 NICCO UCO ALLIAN NICU 23.25 -83.90 NK INDUS LTD NKI 141.35 -7.71 NRC LTD NTRY 63.70 -53.01 NUCHEM LTD NUC 24.72 -1.60 PANCHMAHAL STEEL PMS 51.02 -0.33 PARAMOUNT COMM PRMC 124.96 -0.52 PARASRAMPUR SYN PPS 99.06 -307.14 PAREKH PLATINUM PKPL 61.08 -88.85 PIONEER DISTILLE PND 53.74 -5.62 PREMIER INDS LTD PRMI 11.61 -6.09 PRIYADARSHINI SP PYSM 20.80 -2.28 QUADRANT TELEVEN QDTV 127.72 -153.54 QUINTEGRA SOLUTI QSL 16.76 -17.45 RAMSARUP INDUSTR RAMI 433.89 -89.28 RATHI ISPAT LTD RTIS 44.56 -3.93 RELIANCE MED-SLB RMW/S 276.99 -88.49 RENOWNED AUTO PR RAP 14.12 -1.25 RMG ALLOY STEEL RMG 66.61 -12.99 ROYAL CUSHION RCVP 14.70 -75.18 SAAG RR INFRA LT SAAG 12.54 -4.93 SADHANA NITRO SNC 16.74 -0.58 SANATHNAGAR ENTE SNEL 49.23 -6.78 SANCIA GLOBAL IN SGIL 53.12 -30.47 SBEC SUGAR LTD SBECS 92.44 -5.61 SERVALAK PAP LTD SLPL 61.57 -7.63 SHAH ALLOYS LTD SA 168.13 -81.60 SHALIMAR WIRES SWRI 21.39 -24.28 SHAMKEN COTSYN SHC 23.13 -6.17 SHAMKEN MULTIFAB SHM 60.55 -13.26 SHAMKEN SPINNERS SSP 42.18 -16.76 SHREE GANESH FOR SGFO 44.50 -2.89 SHREE KRISHNA SHKP 14.62 -0.92 SHREE RAMA MULTI SRMT 38.90 -4.49 SHREE RENUKA SUG SHRS 2,162.34 -82.52 SHREE RENUKA-SLB SHRS/S 2,162.34 -82.52 SIDDHARTHA TUBES SDT 44.95 -15.37 SIMBHAOLI SUGAR SBSM 268.76 -54.47 SPICEJET LTD SJET 489.96 -170.22 SQL STAR INTL SQL 10.58 -3.28 STATE TRADING CO STC 556.35 -392.74 STELCO STRIPS STLS 14.90 -5.27 STI INDIA LTD STIB 21.69 -2.13 STL GLOBAL LTD SHGL 30.73 -5.62 STORE ONE RETAIL SORI 15.48 -59.09 SUPER FORGINGS SFS 14.62 -7.00 SURYA PHARMA SUPH 370.28 -9.97 SUZLON ENERG-SLB SUEL/S 5,061.62 -53.02 SUZLON ENERGY SUEL 5,061.62 -53.02 TAMILNADU JAI TNJB 17.07 -1.00 TATA METALIKS TML 122.76 -3.30 TATA TELESERVICE TTLS 1,311.30 -138.25 TATA TELE-SLB TTLS/S 1,311.30 -138.25 TODAYS WRITING TWPL 18.58 -25.67 TRIUMPH INTL OXIF 58.46 -14.18 TRIVENI GLASS TRSG 19.71 -10.45 TUTICORIN ALKALI TACF 19.86 -19.58 UDAIPUR CEMENT W UCW 11.38 -10.53 UNIFLEX CABLES UFCZ 47.46 -7.49 UNIWORTH LTD WW 149.50 -151.14 UNIWORTH TEXTILE FBW 22.54 -35.03 USHA INDIA LTD USHA 12.06 -54.51 VANASTHALI TEXT VTI 14.59 -5.80 VENUS SUGAR LTD VS 11.06 -1.08 WANBURY LTD WANB 141.86 -3.91 WEBSOL ENERGY SY WESL 105.10 -23.79 JAPAN GOYO FOODS INDUS 2230 11.93 -1.86 LCA HOLDINGS COR 4798 19.37 -7.17 OPTROM INC 7824 17.71 -2.66 PIXELA CORP 6731 15.08 -1.63 KOREA HYUNDAI CEMENT 6390 454.92 -262.92 SHINIL ENG CO 14350 199.04 -2.53 STX CORPORATION 11810 1,275.13 -484.08 STX ENGINE CO LT 77970 1,170.67 -62.72 TEC & CO 8900 139.98 -16.61 TONGYANG INC 1520 1,068.15 -452.52 TONGYANG INC-2PF 1527 1,068.15 -452.52 TONGYANG INC-3RD 1529 1,068.15 -452.52 TONGYANG INC-PFD 1525 1,068.15 -452.52 VERITAS INVESTME 19660 16.04 -0.09 MALAYSIA DING HE MINING 705 75.97 -26.38 HAISAN RESOURCES HRB 39.97 -11.83 HIGH-5 CONGLOMER HIGH 34.30 -46.85 ML GLOBAL BHD MLG 17.74 -3.63 PERWAJA HOLDINGS PERH 632.62 -7.46 PETROL ONE RESOU PORB 51.39 -4.00 PHILIPPINES CYBER BAY CORP CYBR 13.72 -23.36 DFNN INC DFNN 13.15 -2.31 FILSYN CORP A FYN 23.11 -11.69 FILSYN CORP. B FYNB 23.11 -11.69 GOTESCO LAND-A GO 21.76 -19.21 GOTESCO LAND-B GOB 21.76 -19.21 LIBERTY TELECOMS LIB 91.11 -40.80 METRO GLOBAL HOL FC 40.90 -15.77 PICOP RESOURCES PCP 105.66 -23.33 STENIEL MFG STN 21.07 -11.96 UNIWIDE HOLDINGS UW 50.36 -57.19 SINGAPORE ADVANCE SCT LTD ASCT 19.68 -22.46 CHINA GREAT LAND CGL 16.52 -19.01 HL GLOBAL ENTERP HLGE 83.11 -4.63 OCEANUS GROUP LT OCNUS 85.03 -5.53 QT VASCULAR LTD QTVC 10.21 -25.76 SCIGEN LTD-CUFS SIE 46.71 -55.42 SINGAPORE EDEVEL SGE 20.68 -9.36 TERRATECH GROUP TEGP 13.55 -5.24 TT INTERNATIONAL TTI 399.33 -11.36 UNITED FIBER SYS UFS 51.61 -76.05 THAILAND ABICO HLDGS-F ABICO/F 15.28 -4.40 ABICO HOLDINGS ABICO 15.28 -4.40 ABICO HOLD-NVDR ABICO-R 15.28 -4.40 ASCON CONSTR-NVD ASCON-R 59.78 -3.37 ASCON CONSTRUCT ASCON 59.78 -3.37 ASCON CONSTRU-FO ASCON/F 59.78 -3.37 BANGKOK RUBBER BRC 77.91 -114.37 BANGKOK RUBBER-F BRC/F 77.91 -114.37 BANGKOK RUB-NVDR BRC-R 77.91 -114.37 BIG CAMERA COP-F BIG/F 19.86 -13.03 BIG CAMERA CORP BIG 19.86 -13.03 BIG CAMERA -NVDR BIG-R 19.86 -13.03 CIRCUIT ELEC PCL CIRKIT 16.79 -96.30 CIRCUIT ELEC-FRN CIRKIT/F 16.79 -96.30 CIRCUIT ELE-NVDR CIRKIT-R 16.79 -96.30 ITV PCL-NVDR ITV-R 36.02 -121.94 K-TECH CONSTRUCT KTECH 38.87 -46.47 K-TECH CONSTRUCT KTECH/F 38.87 -46.47 K-TECH CONTRU-R KTECH-R 38.87 -46.47 KUANG PEI SAN POMPUI 17.70 -12.74 KUANG PEI SAN-F POMPUI/F 17.70 -12.74 KUANG PEI-NVDR POMPUI-R 17.70 -12.74 PATKOL PCL PATKL 52.89 -30.64 PATKOL PCL-FORGN PATKL/F 52.89 -30.64 PATKOL PCL-NVDR PATKL-R 52.89 -30.64 PICNIC CORP-NVDR PICNI-R 101.18 -175.61 PICNIC CORPORATI PICNI 101.18 -175.61 PICNIC CORPORATI PICNI/F 101.18 -175.61 SHUN THAI RUBBER STHAI 19.89 -0.59 SHUN THAI RUBB-F STHAI/F 19.89 -0.59 SHUN THAI RUBB-N STHAI-R 19.89 -0.59 TONGKAH HARBOU-F THL/F 62.30 -1.84 TONGKAH HARBOUR THL 62.30 -1.84 TONGKAH HAR-NVDR THL-R 62.30 -1.84 TRANG SEAFOOD TRS 15.18 -6.61 TRANG SEAFOOD-F TRS/F 15.18 -6.61 TRANG SFD-NVDR TRS-R 15.18 -6.61 TT&T PCL TTNT 589.80 -223.22 TT&T PCL-NVDR TTNT-R 589.80 -223.22 TT&T PUBLIC CO-F TTNT/F 589.80 -223.22 WORLD CORP -NVDR WORLD-R 15.72 -10.10 WORLD CORP PCL WORLD 15.72 -10.10 WORLD CORP PLC-F WORLD/F 15.72 -10.10 TAIWAN BEHAVIOR TECH CO 2341S 34.54 -2.57 BEHAVIOR TECH-EC 2341O 34.54 -2.57 HELIX TECH-EC 2479T 23.39 -24.12 HELIX TECH-EC IS 2479U 23.39 -24.12 HELIX TECHNOL-EC 2479S 23.39 -24.12 POWERCHIP SEM-EC 5346S 1,761.34 -296.10 TAIWAN KOL-E CRT 1606U 507.21 -147.14 TAIWAN KOLIN-EN 1606V 507.21 -147.14 TAIWAN KOLIN-ENT 1606W 507.21 -147.14 ********* Tuesday's edition of the TCR-AP delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-AP editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Tuesday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-AP constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-AP editor holds some position in the issuers' public debt and equity securities about which we report. A list of Meetings, Conferences and Seminars appears in each Wednesday's edition of the TCR-AP. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com Friday's edition of the TCR-AP features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Asia Pacific is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, and Peter A. Chapman, Editors. Copyright 2015. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. TCR-AP subscription rate is US$775 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000 or Nina Novak at 202-362-8552. *** End of Transmission ***