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        T R O U B L E D   C O M P A N Y   R E P O R T E R

                      A S I A   P A C I F I C

             Thursday, May 7, 2015, Vol. 18, No. 089


                            Headlines


A U S T R A L I A

BLUE FIN: First Creditors' Meeting Slated For May 13
CANB PTY: First Creditors' Meeting Slated For May 13
ONSITE RENTAL: Moody's Downgrades CFR to B2, Outlook Negative
PETRECYCLE LIMITED: First Creditors' Meeting Set For May 15
POWER SYSTEMS: Business Up for Sale

TONI & GUY: First Creditors' Meeting Slated For May 11


C H I N A

DELTA TECHNOLOGY: Receives NASDAQ Listing Non-Compliance Notice
FOSUN INTERNATIONAL: S&P Affirms 'BB' CCR; Outlook Stable
KAISA GROUP: Default Forensics Yield Clues in Acctg. Footnotes
MODERN LAND: Fitch Affirms 'B' IDR & Revises Outlook to Positive
ZTE CORPORATION: Fitch Raises IDR to 'BB-'; Outlook Stable


I N D I A

AGARWAL POLYSACKS: ICRA Assigns B Rating to INR12.50cr Cash Loan
AMIDHARA INDUSTRIES: CRISIL Ups Rating on INR150MM Loan to B+
ANITHA TEXCOT: CRISIL Raises Rating on INR200MM Cash Loan to B+
APPU HOTELS: CARE Upgrades Rating on INR213.7cr LT Loan to B+
BALKRUSHNA GINNING: ICRA Reaffirms B+ Rating on INR5cr Cash Loan

CALISTA PROPERTIES: CARE Lowers Rating on INR16.58cr LT Loan to D
CLUB29 PRIVATE: CARE Assigns 'B+' Rating to INR9.95cr LT Loan
CRESCENT COMBUSTION: ICRA Suspends 'D' Rating on INR3.75cr Loan
DHANASHREE ELECTRONICS: CRISIL Reaffirms B Rating on INR80MM Loan
EMPEE DISTILLERIES: CARE Reaffirms D Rating on INR75.25cr LT Loan

EVER SHINE: CRISIL Reaffirms B Rating on INR8MM Cash Credit
GK SHELTERS: ICRA Lowers Rating on INR50cr Term Loan to 'D'
IDEAL CARPET: ICRA Reaffirms B- Rating on INR12cr Fund Based Loan
ISHWAR OIL: ICRA Reaffirms B Rating on INR8cr Cash Credit
J M FERRO: ICRA Assigns B Rating to INR7.50cr Cash Credit

KALASELVI MODERN: CRISIL Assigns B+ Rating to INR77.9MM Loan
LASER FIBERS: ICRA Reaffirms B Rating on INR12.80cr Cash Credit
LOREM TILES: CRISIL Assigns B+ Rating to INR37.5MM LT Loan
M. L. ENTERPRISES: CRISIL Assigns B+ Rating to INR45MM Bank Loan
MAHAVEER FIBRES: CARE Assigns B+ Rating to INR12.50cr LT Loan

NARAYAN ENTERPRISES: ICRA Withdraws 'D' Rating on INR14.35cr Loan
NARMADA SPINNING: CRISIL Assigns 'B' Rating to INR200MM Term Loan
NINE GLOBE: ICRA Withdraws 'D' Rating on INR5cr Bank Loan
NS PAPERS: CARE Revises Rating on INR155.10cr LT Loan to D
PROVET PHARMA: CRISIL Ups Rating on INR50MM Overdraft Loan to B+

S S M FOUNDATION: CRISIL Cuts Rating on INR45.0MM Loan to 'D'
SAI LEKSHMI: CRISIL Reaffirms B Rating on INR30MM Packing Loan
SAMALESWARI EDUCATION: CRISIL Reaffirms B- Rating on INR178M Loan
SAVITRI WEAVING: ICRA Assigns B+ Rating to INR6.26cr Term Loan
SHAKTI INDUSTRIES: CRISIL Reaffirms 'B' Rating on INR95MM Loan

SHIVANG CARPETS: CRISIL Cuts Rating on INR90MM Corp. Loan to D
SHREE AGRO: CRISIL Assigns 'B' Rating to INR87.5MM Term Loan
SHREE VIJAYASHREE: CRISIL Assigns B+ Rating to INR60MM Cash Loan
SHRI MAHALAXMI: CARE Assigns B+ Rating to INR7cr LT Loan
SHRI ROKADOBA: CARE Reaffirms B+ Rating on INR10.55cr LT Loan

SRI BALAJI: CARE Assigns B+ Rating to INR20cr Long Term Loan
SRI RAJA: ICRA Assigns 'B+' Rating to INR18.26cr Term Loan
SRI SWETHARKA: ICRA Assigns 'B+' Rating to INR6cr Overdraft Loan
SRM CONSTRUCTION: CRISIL Ups Rating on INR30MM Loan to B+
STAARLIGHT DESIGNS: CRISIL Reaffirms B+ Rating on INR54.5MM Loan

SUNDALE PACKERS: CRISIL Reaffirms B Rating on INR87.2MM Loan
SURANA INDUSTRIES: CARE Reaffirms D Rating on INR517.28cr Loan
TRIMURTI FOODTECH: CRISIL Ups Rating on INR80MM Term Loan to B
TRUFORM TECHNO: ICRA Reaffirms 'D' Rating on INR5.75cr Cash Loan
V & S INTERNATIONAL: CARE Reaffirms 'D' Rating on INR45.25cr Loan

VALLABH MARKET: ICRA Revises Rating on INR15cr LT Loan to C+
VBM POWER: CRISIL Lowers Rating on INR105.8MM Term Loan to D
VEER OVERSEAS: CRISIL Reaffirms B+ Rating on INR270MM Loan
VENUS INDUSTRIAL: CARE Reaffirms B+ Rating on INR15.29cr LT Loan
VGN HOMES: CRISIL Ups Rating on INR1.46BB LT Loan to B+


I N D O N E S I A

BANK DANAMON: Fitch Affirms 'BB+' LT IDR; Outlook Stable


N E W  Z E A L A N D

SOLID ENERGY: To Reveal Restructuring Plans Today
TRIBECA HOMES: Goes Into Liquidation
VICTORIA STREET: In Liquidation, May Have NZ$1.4MM for Creditors


P A K I S T A N

PAKISTAN: S&P Affirms B- Sov. Credit Rating; Outlook Now Positive


S O U T H  K O R E A

DONGKUK STEEL: Mulls Closing Down Another Plate Mill
POS-HIAL: Files For Court Receivership


                            - - - - -


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BLUE FIN: First Creditors' Meeting Slated For May 13
----------------------------------------------------
Derrick Vickers and Darryl Kirk at PricewaterhouseCoopers were
appointed as administrators of Blue Fin Boats Pty Ltd on May 1,
2015.

A first meeting of the creditors of the Company will be held at
Sharks Event Centre, Cnr Musgrave & Olsens Avenues, in Southport,
Queensland, on May 13, 2015, at 3:00 p.m.


CANB PTY: First Creditors' Meeting Slated For May 13
----------------------------------------------------
Stewart William Free of Jirsch Sutherland Sydney was appointed as
administrator of Canb Pty Limited on May 1, 2015.

A first meeting of the creditors of the Company will be held at
Jirsch Sutherland Sydney, Level 4, 55 Hunter St, in Sydney on
May 13, 2015, at 11:00 a.m.


ONSITE RENTAL: Moody's Downgrades CFR to B2, Outlook Negative
-------------------------------------------------------------
Moody's Investors Service downgraded the corporate family rating
of Onsite Rental Group Pty Ltd (Onsite) to B2 from B1. At the same
time, Moody's has downgraded the ratings on the senior secured
ratings assigned to the USD Term Loan and Revolving Facilities
entered into by Onsite Rental Group Operations Pty Ltd and Onsite
US Finco LLC, both wholly owned subsidiaries of Onsite to B2 from
B1. The outlook on all ratings is negative.

"The ratings downgrade reflects the persistent weakness in the
mining services industry and which has been pressuring Onsite's
profitability", says Saranga Ranasinghe, a Moody's Analyst, adding
"Another driver for the downgrade is Onsite's inability to improve
the non-mining related businesses to sustain its previous rating".

"This has led Onsite's credit profile to deteriorate to a level
that is no longer consistent with the previous rating", says
Ranasinghe.

"We expect operating conditions for companies serving mining
companies to remain weak through 2016 as mining companies continue
to focus on cost savings programs in the current depressed price
environment. Along with the slowdown in mining construction, there
has been no material increase in non-mining construction activity.
This has further deteriorated Onsite's ability to benefit from its
diversification across industries to improve earnings." adds
Ranasinghe.

Prices for iron ore and LNG which collectively represent around
50% of Onsite's revenue are trading at very weak levels due to
poor fundamentals, and we do not expect a material improvement in
the near term. Onsite is also heavily exposed to non-mining
construction, which is exposed to the level of construction
activity in the economy.

"We expect Onsite's financial leverage, as represented by the
ratio of adjusted debt-to-EBITDA to be between 4.5x-5.0x for the
financial year ending 30 June 2015, compared to the 4.25x
threshold set for the previous rating" says Ranasinghe.

The negative outlook reflects these concerns and our view that
there could be further risk to the downside with potential
contract deferrals and/or cancellations.

Given the challenging market conditions, a ratings upgrade is
unlikely. However, the outlook could revert to stable if Onsite
successfully improves its earnings, such that debt-to-EBITDA
remains comfortably below 4.5x on a consistent basis.

The ratings could face further negative pressure if the
challenging market conditions deteriorate beyond our current
expectations, further hindering Onsite's revenue and earning
generating ability, and leading to Debt/EBITDA ratio exceeding
5.25x -- 5.5x on a consistent basis .

The principal methodology used in these ratings was Equipment and
Transportation Rental Industry published in December 2014.

Onsite is an Australian equipment rental company with a national
network of 34 branches. Onsite also has a small retail exposure
through its fully owned subsidiary Redstar Equipment. A large
majority of Onsite's shares are held by funds and equity interests
managed by Next Capital, with the remainder held by management and
related parties.


PETRECYCLE LIMITED: First Creditors' Meeting Set For May 15
-----------------------------------------------------------
Gideon Isaac Rathner of Lowe Lippmann was appointed as
administrator of Petrecycle Limited on May 6, 2015.

A first meeting of the creditors of the Company will be held at
Lowe Lippmann, Level 7, 616 St Kilda Road, in Melbourne, on
May 15, 2015, at 10:30 a.m.


POWER SYSTEMS: Business Up for Sale
-----------------------------------
Cliff Sanderson at Dissolve.com.au reports that expressions of
interest are being sought for the purchase of Power Systems
Australia Pty Ltd.

According to the report, the company has a track record with a
number of the leading companies in the mining, gas and oil
industries in Australia.  The sale includes the title, interest
and right of the company.

Dissolve.com.au says the sale is being managed by Michael Royal of
BIR Solutions.

Since 2006, Power Systems Australia has specialised in designing
and building heavy-duty pump and generator packages.  Power
Systems Australia Pty Ltd entered liquidation on April 30, 2015 by
court order, the report notes.


TONI & GUY: First Creditors' Meeting Slated For May 11
------------------------------------------------------
Randall Joubert of Joubert Insolvency was appointed as
administrator of Toni & Guy St Kilda No. 2 Pty Limited, trading as
Toni & Guy, on April 29, 2015.

A first meeting of the creditors of the Company will be held at
the offices of Joubert Insolvency, Level 1, 5 Elizabeth Street, in
Sydney on May 11, 2015, at 11:30 a.m.



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DELTA TECHNOLOGY: Receives NASDAQ Listing Non-Compliance Notice
---------------------------------------------------------------
Delta Technology Holdings Limited, formerly CIS Acquisition Ltd.,
on May 4 disclosed that on April 21, 2015, it received a
notification of deficiency from Listing Qualifications of The
NASDAQ Stock Market LLC based on the Company's failure to pay
certain fees required by Listing Rule 5250(f).

Pursuant to a decision by the NASDAQ Hearings Panel dated
December 11, 2014, the Company's warrants will be subject to
delisting if the Company's ordinary shares underlying the warrants
are not approved for trading on NASDAQ on or before April 29,
2015.

In the Letter, NASDAQ informed the Company that this deficiency
serves as an additional basis for delisting the Company's
securities from NASDAQ.  The Letter also stated that the Panel
will consider this matter in their decision regarding the
Company's continued listing on NASDAQ and the Company should
present its reviews with respect to this additional deficiency to
the Panel no later than April 28, 2015.

The Company subsequently paid the fees required by Listing Rule
5250(f) to NASDAQ.

              About Delta Technology Holdings Ltd.

Founded in 2007, Delta is a China-based fine and specialty
chemical company producing and distributing organic compound
including para-chlorotoluene ("PCT"), ortho-chlorotoluene ("OCT"),
PCT/OCT downstream products, unsaturated polyester resin ("UPR"),
maleic acid ("MA") and other by-product chemicals.  The end
application markets of the Company's products include Automotive,
Pharmaceutical, Agrochemical, Dye & Pigments, Aerospace, Ceramics,
Coating-Printing, Clean Energy and Food Additives.  Delta has
approximately 300 employees, 25% of whom are highly-qualified
experts and technical personnel.  The Company serves more than 380
clients in various industries.


FOSUN INTERNATIONAL: S&P Affirms 'BB' CCR; Outlook Stable
---------------------------------------------------------
Standard & Poor's Ratings Services said that it had affirmed its
'BB' long-term corporate credit rating on China-based conglomerate
Fosun International Ltd.  The outlook is stable.  S&P also
affirmed its 'BB' issue rating on the outstanding senior unsecured
notes that the company issued or guarantees.  At the same time,
S&P affirmed its 'cnBBB-' long-term Greater China regional scale
ratings on Fosun and the notes.

"We affirmed the ratings because we expect Fosun to maintain a
diversified portfolio of businesses and assets with satisfactory
quality over the next 12-24 months," said Standard & Poor's credit
analyst Lawrence Lu.  "We also anticipate that the company will
have the flexibility to adjust its investments to temper its high
debt leverage."

S&P expects Fosun to maintain satisfactory business and financial
performances through economic cycles.  The company's increased
geographic and business diversification because of its recent
expansion into insurance, healthcare, and tourism, should offset
risks from its highly cyclical property, steel, and mining
businesses.

S&P continues to consider Fosun as an industrial conglomerate
despite S&P's expectation that the company will transition to an
insurance-led investment holding company over the next two years.
Industrial operations accounted for 65% of consolidated assets and
87% of consolidated revenue at the end of 2014.  Fosun's proposed
acquisition of the remaining stake in Bermuda-based insurer
Ironshore Inc. will increase its exposure to the insurance sector.

S&P expects Fosun to maintain its adequate competitive position in
its main industrial operations of pharmaceutical, property
development, and metals and mining.  The company's investments in
the health care, leisure, and oil sectors etc. are yet to make
meaningful contributions to revenue.  However, these investments
have good growth potential, tapping into consumption growth in
China.  S&P assess Fosun's business risk profile as "satisfactory"
based on these factors.

S&P expects the leverage of Fosun's industrial operations to
improve but remain high over the next 12 months, with the ratio of
debt to EBITDA staying above 5x.  The company's good financial
flexibility also allows it to monetize its investments and
portfolio, and reduce its leverage.  S&P assess Fosun's financial
risk profile as "highly leveraged" based on the above factors.

S&P believes Fosun has a diversified business portfolio with
medium level of correlation.  The resultant one-notch uplift
reflects S&P's expectation that such diversification will provide
the company with the flexibility to stabilize its profitability
and cash flows when the economic cycle turns around.

Fosun has a significant amount of investments in unconsolidated
affiliates and associates, as well as large short-term investments
in equity.  In S&P's view, the company is willing to sell its
investments to improve its leverage, if necessary.  The
investments, if sold, could improve the company financial risk
profile by one category.  This factor underpins S&P's assessment
on Fosun's "positive" capital structure, which lifts its anchor by
one notch.

In S&P's view, the credit profile of Fosun's insurance business is
slightly weaker than that of the industrial operations, but in the
same rating category.  The acquisition of the remaining stake in
Ironshore is likely to help Fosun at least maintain the credit
profile of its insurance portfolio.

"The stable outlook over the next 12 months reflects our view that
Fosun's growing and diverse asset and investment portfolio
provides it with good financial flexibility to temper its high
leverage," said Mr. Lu.

S&P expects the company to continue to expand its portfolio
through acquisitions.  However, S&P anticipates that the company
will recycle its investment portfolio and raise equity to fund the
acquisitions, and maintain its consolidated debt.

S&P could lower the rating if the asset quality of Fosun's
business portfolio deteriorates and weakens the company's
financial flexibility and liquidity.  This could happen if the
value of Fosun's key assets deteriorates, the company's access to
funding becomes limited, and capital markets weaken sustainably.
S&P could also lower the rating if Fosun continues to increase its
debt-funded investments and expand in highly cyclical and volatile
businesses.

S&P could raise the rating if Fosun improves its financial
performance, such that its consolidated EBITDA interest coverage
for the industrial operations rises to more than 2.5x on a
sustained basis, and the company maintains the credit profile of
its insurance portfolio.  The improved performance of the
industrial operations could result in steady dividends, higher
investment returns, and a reduction in consolidated debt.  S&P
could also raise the rating if Fosun adopts a clear financial
policy toward leverage and demonstrates a record of adhering to
its risk and leverage tolerance.


KAISA GROUP: Default Forensics Yield Clues in Acctg. Footnotes
--------------------------------------------------------------
Bloomberg News reports that investors still wondering how Kaisa
Group Holdings Ltd doubled its debt in six months and triggered
China's first property bond default may want to read page 63 of
its 2014 interim report.

There, in footnote No. 15 of the Shenzhen-based company's balance
sheet, is a reference to CNY11 billion (S$2.36 billion) in advance
deposits for property projects from third parties and for CNY1.15
billion that needed to be refunded, Bloomberg says.

Bloomberg relates that at issue is whether these deposits were
initially classified properly as current liabilities on Kaisa's
books.  According to Bloomberg, analysts at Lucror Analytics Pte,
Mitsubishi UFJ Securities HK Ltd and BDO Ltd said the payments
have characteristics of interest-bearing debt, and booking them
the way Kaisa did may have made metrics that investors use to
assess a company's riskiness appear stronger than they actually
were.

"We view anything where the holder can demand repayment as being
debt-like," Bloomberg quotes Charles Macgregor, head of Asia high
yield research in Singapore at Lucror and a former senior credit
officer at Moody's Investors Service, as saying. "The advance
deposits in Kaisa's balance sheet are akin to a convertible bond
where the holder has the option to take land or take cash."

Bloomberg notes that questions over Kaisa's accounts are now
delaying both the restructuring of its US$10.5 billion of debt and
a takeover worth as much as US$1.2 billion by rival Sunac China
Holdings Ltd.  According to Bloomberg, Asian junk dollar bond
yields began climbing in the second half of last year and peaked
in January as falling property prices and the slowest economic
growth in more than two decades make it harder for companies to
pay record debts.

Kaisa declined to discuss its accounts, according to its public
relations firm IPR Ogilvy & Mather, the report says.
PricewaterhouseCoopers LLP, the company's auditor, said it
couldn't comment due to client confidentiality, Bloomberg relates.
Ernest Kong, a spokesman for Hong Kong's Securities and Futures
Commission, declined to comment.

                       About Kaisa Group

China-based Kaisa Group Holdings Ltd. (HKG:1638) --
http://www.kaisagroup.com/english/-- is an investment holding
company, and its subsidiaries are engaged in property development,
property investment and property management.

As reported in the Troubled Company Reporter-Asia Pacific on
April23, 2015, Moody's Investor Service said that Kaisa Group
Holdings Ltd's (Ca review for upgrade) interest payment defaults
will weaken Chinese property developers' near-term access to
offshore funding, but that the overall refinancing risk for the
sector remains manageable for 2015.

At the same time, Moody's said the defaults by Kaisa are within
expectation and have no immediate impact on the company's Ca
ratings. The ratings remain under review for upgrade.

On April 20, 2015, Kaisa announced that it had failed to honor
missed interest payments within the 30-day grace period on its
12.875% senior notes due 2017 and 8.875% senior notes due 2018.

Kaisa further stated that it will continue its efforts to reach a
consensual restructuring of its outstanding debt, and that it
hopes to enter into standstill agreements with offshore debt
holders.


MODERN LAND: Fitch Affirms 'B' IDR & Revises Outlook to Positive
----------------------------------------------------------------
Fitch Ratings has revised Modern Land (China) Co. Limited's
(Modern Land) Outlook to Positive from Stable, and affirmed its
Long-Term Foreign Currency and Local Currency Issuer Default
Ratings at 'B'.  The company's senior unsecured rating and the
ratings on all its outstanding bonds have also been affirmed at
'B' and Recovery Rating 'RR4'.

The Positive Outlook is based on Modern Land's strong expansion
and healthy leverage ratio.  Modern Land is likely to benefit from
looser credit and tax policies for the property market and
stronger housing demand in 2015 as it further penetrates top-tier
cities under its residential-focused, fast asset churn strategy.

KEY RATING DRIVERS

Modest Leverage, More Sales: Modern Land's leverage, as measured
by net debt/adjusted inventory, was 22% at end-2014 (-31% at end-
2013).  Fitch expects Modern Land to maintain its leverage in the
high twenties because of its conservative land acquisition plans
and healthy cash collection that stems from its fast-churn
business model.  Modern Land's EBITDA margin rose to 32% in 2014
from 29% in 2013; while contracted sales increased to CNY7.4bn
from CNY4.1bn. Contracted sales continued to increase strongly by
70% in 1Q15, which demonstrated management's commitment to
expansion and strong execution.

Comparable to 'B+' Peers: Modern Land's financial position is
comparable to other 'B+' rated peers, although it operates at a
smaller scale.  Achieving its target of CNY10bn of contracted
sales in 2015 will narrow the gap.  A larger scale would improve
the company's operational flexibility and business diversity.

Focus on Tier 1 and 2 Cities: Modern Land acquired CNY3bn of
attributable land in 2014, of which Beijing accounted for 35%.
Fitch expects over 65% of gross contracted sales in 2015 to be
from top tier cities, including Beijing and Shanghai.  The housing
demand in high-tier cities is likely to recover faster as the
government loosens credit and tax policies to stimulate the
property market.

Lower But Still Healthy Margin: Modern Land's EBITDA margin rose
to 32% in 2014 due to lower construction costs.  Fitch expects the
company's high gross margin to narrow as increases in selling
prices in high-tier cities and cost reduction measures will not be
enough to offset the rising cost of land.  EBITDA margin, however,
is likely to remain in the mid-twenties in the next few years.

KEY ASSUMPTIONS

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

   -- Contracted sales of CNY11bn in 2015 and CNY12.5bn in 2016;
   -- Price-driven land acquisition as reflected by ratio of new
      land acquisition GFA to contracted sales GFA of 0.7x-0.9x
      in 2015-2018E;
   -- Land costs to rise to CNY5,700/sqm-CNY6,700/sqm in 2015-
      2018E due to more projects located in top-tier cities.

RATING SENSITIVITIES

Positive: Future developments that may individually or
collectively, lead to rating upgrade to 'B+' include:

   -- Achieving the contracted sales target of CNY10bn in 2015
      and sustaining this scale
   -- EBITDA margin sustained above 25%
   -- Net debt/adjusted inventory sustained below 30%

Negative: Future developments that may individually or
collectively, lead to the Outlook revised to Stable:

   -- Failure to achieve the above within 12 months


ZTE CORPORATION: Fitch Raises IDR to 'BB-'; Outlook Stable
----------------------------------------------------------
Fitch Ratings has upgraded China-based ZTE Corporation's (ZTE)
Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDR)
to 'BB-' from 'B+'.  The Outlook is Stable.

The upgrade reflects Fitch's expectation of further improvement in
ZTE's financial profile in the next two to three years, driven by
capex in China to install 4G telecommunications networks.
However, the ratings are constrained by its high financial
leverage, the highly competitive global telecoms equipment market,
ZTE's weaker position in Europe and stiff competition in the
smartphone industry.

KEY RATING DRIVERS

China's 4G Investment: Fitch expects China's telecoms capex to
increase 5% yoy in 2015.  More importantly, Fitch expects China's
3G and 4G capex to increase 19% yoy in 2015.  Fitch expects China
to account for over 60% of ZTE's network revenue in the next two
years.  However, ZTE is very dependent on China and the rating
reflects that the company may need to reduce its dependence on
Chinese telecoms capex before the current 4G cycle peaks to
maintain a robust credit profile over the longer term.

Improved Financial Profile: Fitch expects ZTE to see steady
margins in the next two to three years, driven by higher network
sales and also steadily rising enterprise network business.  ZTE
has already benefited from increased investment for China's 4G
network rollout, with its operating EBIT margin improving to 5.4%
in 2014 from 2.7% in 2013, and funds flow from operations (FFO)-
adjusted leverage decreasing to 5.0x from 7.0x over the same
period.

Volatile Cash Conversion: High volatility in cash conversion will
remain a constraint on ZTE's ratings.  While ZTE's operating cash
flow is likely to gradually improve in 2015 and 2016, Fitch
expects its cash conversion will remain weak, due to higher
working capital requirements stemming from more China 4G projects.
Fitch expects ZTE to see more meaningful improvement in cash
conversion in 2017 or 2018 when the 4G capex cycle peaks and sales
collection following project completion starts to exceed working
capital needs for new projects.

High Leverage: Fitch expect ZTE's free cash flow (FCF) to remain
negative in the next two years due to higher working capital needs
and the resumption of cash dividend payment, slowing ZTE's
deleveraging.  Fitch expects ZTE's FFO-adjusted leverage to stay
above 4.5x in the next two years before trending below 4.5x in
2017 when FCF generation starts to improve.  At end-2014,
including bank advances on factored trade receivables of CNY4.9bn,
ZTE had gross debt of CNY32.1bn.

Adequate Liquidity: Fitch expects ZTE to maintain adequate
liquidity.  Unrestricted cash of CNY17bn at end-2014 covered 101%
of short-term loans and the current portion of long-term debt,
excluding bank advances on factored trade receivables.  In
addition, the company is well supported by Chinese banks.  It had
unused banking facilities of CNY77bn in the beginning of 2015. In
addition, the company recently issued a total of CNY7.5bn
perpetual medium-term notes, providing further liquidity headroom.

KEY ASSUMPTIONS

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

   -- China's telecoms capex to increase 5% yoy in 2015
   -- Steady operating EBIT margins of 5%-6% in the next two to
      three years, driven by higher Chinese equipment sales
   -- China's current value-added tax (VAT) refund policy to
      continue
   -- Dividend payout ratio of 20%-25% in the next two to three
      years

RATING SENSITIVITIES

Negative: Future developments that may, individually or
collectively, lead to negative rating action include:

   -- sustained operating EBIT margin (including VAT refunds
      and subsidies) of 5% or below (2014: 5.4%)
   -- sustained FFO-adjusted leverage above 5.0x (2014: 5.0x)
   -- sustained FFO-adjusted net leverage above 3.0x (2014: 2.7x)
   -- sustained negative cash flow from operations (CFO)
      generation

Positive: Future developments that may, individually or
collectively, lead to positive rating action include:

   -- sustained operating EBIT margin (including VAT refunds and
      subsidies) of 5% or above
   -- sustained FFO-adjusted leverage below 4.0x
   -- sustained FFO-adjusted net leverage below 2.5x
   -- sustained positive FCF generation


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AGARWAL POLYSACKS: ICRA Assigns B Rating to INR12.50cr Cash Loan
----------------------------------------------------------------
ICRA has assigned its long term rating of [ICRA]B to the INR12.5
crore fund based bank facilities of Agarwal Polysacks Limited.
ICRA has also assigned its short term rating of [ICRA]A4 to the
INR1.6 crore non fund based bank facilities of APL.

                           Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Long-term Fund Based
   Facility-Cash credit    12.50      [ICRA]B; Assigned

   Short-term Non-Fund
   Based Facility-Letter
   of credit                1.50      [ICRA]A4; Assigned

   Short-term Non-Fund
   Based Facility-Bank
   Guarantee                0.10      [ICRA]A4; Assigned

ICRA's ratings take into account APL's moderate scale of
operations; the highly competitive industry characterized by large
number of players; the vulnerability of profitability to
fluctuations in prices of polymer, paper and ink and the financial
profile of the company characterised by low cash accruals, high
working capital intensity and modest coverage indicators. However,
the ratings favourably factor in the long standing relationships
with large and reputed customers like Amul diary, Mother dairy,
etc. which lead to repeat orders; the extensive track record of
the promoters in packaging business and the favourable demand
outlook for packaging products driven by growing population,
consumer spending and retail penetration. Going forward, the
ability of the company to improve its scale of operations while
reducing its working capital intensity of operations will be the
key rating sensitivities.

APL was established in the year 1992 as a private limited company
and was converted into a public limited company in 2000.
Initially, APL commenced manufacturing of paper bags including
multiwall paper bags and HDPE laminated bags at its factory unit
(Unit I) located at Jodhpur, Rajasthan. Later, APL commenced
manufacturing air bubble rolls as well at its new factory (Unit
II) located in Jodhpur, Rajasthan in 2001. APL currently
manufactures paper bags, HDPE laminated bags, air bubble rolls,
stretch film rolls. The company has wide customer base from
different industries such as guar gum, milk powder, minerals and
handicraft exporters.

Recent Results
APL reported an operating income of INR26.28 crore and a profit
after tax of INR0.09 crore in 2013-14, as against an operating
income of INR21.83 crore and a profit after tax of INR1.97 crore
in the previous year.


AMIDHARA INDUSTRIES: CRISIL Ups Rating on INR150MM Loan to B+
-------------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Amidhara
Industries (AI) to 'CRISIL B+/Stable' from 'CRISIL B/Stable'.

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit           150       CRISIL B+/Stable (Upgraded
                                   from 'CRISIL B/Stable')

   Proposed Long Term      8.1     CRISIL B+/Stable (Upgraded
   Bank Loan Facility              from 'CRISIL B/Stable')

   Term Loan              21.9     CRISIL B+/Stable (Upgraded
                                   from 'CRISIL B/Stable')

The rating upgrade follows improvement in AI's business and
financial risk profiles. Following ramp-up in its scale of
operations, AI's return on capital employed (RoCE) improved to an
estimated 14.6 times in 2014-15 (refers to financial year,
April 1 to March 31) from 9.0 times in 2012-13. The gross current
assets have reduced to 84 days in 2014-15 from 102 days in 2012-
13. Backed by steady sales, the accruals have increased to an
estimated INR1150 million in 2014-15 from INR815.1 million in
2013-14. The gearing remains stable at an estimated 3 times as on
March 31, 2015, as in the past. Its net cash accruals to total
debt and interest coverage ratios improved to an estimated 0.08
times and over 1.95 times, respectively, for 2014-15. Prudent
management of working capital requirements and the absence of
large capital expenditure (capex) plans are expected to help AI
maintain its improved financial risk profile continues to improve
over the medium term.

The ratings reflect the extensive experience of AI's promoters in
the agri-commodity industry, leading to established customer and
supplier relations. These rating strengths are partially offset by
the group's modest scale of operations, large working capital
requirements and average financial risk profile, marked by poor
debt protection metrics and high gearing.
Outlook: Stable

CRISIL believes that AI will benefit from its promoters'
experience in the agro-commodity industry. However, the firm's
financial risk profile is likely to be below average over the
medium term, marked by high gearing and weak debt protection
metrics. The outlook may be revised to 'Positive' if improved
profitability leads to stronger cash accruals, and, consequently,
capital structure for AI. Conversely, the outlook may be revised
to 'Negative' if low operating margin or weak working capital
management weaken its financial risk profile.

Set up in 2002, AI is a partnership firm promoted by Mr. Ritesh
Kaushikbhai Patel and his family. The firm, based in Ahmedabad
processes rice and wheat. AI has a manufacturing facility in
Ahmedabad.

AI reported a net profit of INR4.82 million on net sales of INR815
million for 2013-14 (refers to financial year, April 1 to March
31) up from INR3.4 million and INR545.17 million, respectively,
for 2012-13.


ANITHA TEXCOT: CRISIL Raises Rating on INR200MM Cash Loan to B+
---------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
Anitha Texcot India Pvt Ltd (ATIPL) to 'CRISIL B+/Stable' from
'CRISIL B/Stable'.

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          200        CRISIL B+/Stable (Upgraded
                                   from 'CRISIL B/Stable')

The rating upgrade reflects CRISIL's belief that ATIPL's liquidity
will improve over the medium term, driven by the expected increase
in the company's cash accruals on the back of steady growth in
revenue and improvement in operating profitability. ATIPL's net
cash accruals are likely to range from INR27.5 million to INR32.1
million per annum, and will be adequate to meet its annual term
debt obligations of INR3.9 million to INR7.5 million, over the
medium term.

The rating reflects ATIPL's modest scale of operations in the
intensely competitive cotton trading business and its below-
average financial risk profile marked by a high total outside
liabilities to tangible net worth ratio. These rating weaknesses
are partially offset by the extensive industry experience of the
company's promoters.
Outlook: Stable

CRISIL believes that ATIPL will continue to benefit over the
medium term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if the company's scale of
operations increases significantly while it maintains its moderate
profitability, leading to sustained improvement in its cash
accruals and capital structure. Conversely, the outlook may be
revised to 'Negative' if ATIPL's financial risk profile
deteriorates because of increase in working capital requirements
or low cash accruals because of low profitability.

Set up in 1999 as a partnership firm and reconstituted as a
private limited company in 2012, ATIPL trades in cotton yarn and
polyester yarn. Its daily operations are managed by Mr. A
Elangovan and Mr. A Chandrasekharan.


APPU HOTELS: CARE Upgrades Rating on INR213.7cr LT Loan to B+
-------------------------------------------------------------
CARE revises the ratings assigned to the bank facilities of
Appu Hotels Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities    213.70      CARE B+ Revised to
                                            CARE D from CARE B+
                                            and upgraded to
                                            CARE B+

   Long-term/Short-term Bank      9.00      CARE B+/CARE A4
   Facilities                               Revised to CARE D/
                                            CARE D from
                                            CARE B+/CARE A4
                                            and upgraded to
                                            CARE B+/CARE A4

   Non-convertible debenture     75.00      CARE B+ Reaffirmed
   issue/term loan

Rating Rationale
The ratings continue to remain constrained by the continuous
moderation in the operational performance of the company during
the last three year period ended March 2014 marked by decline in
occupancy levels and average room rental due to prolonged downturn
in the domestic hotel industry & high competition. The ratings,
however, continue to factor in the experience of the promoter in
the hospitality industry, demonstrated financial support from the
PGP group and the operational and marketing support provided by
the Starwood group in managing the company's properties. The
ratings assigned to the bank facilities of AHL was revised to
'CARE D/CARE D' on account of delays in debt servicing in the past
and reinstated to 'CARE B+/CARE A4' on account of satisfactory
debt servicing track record post implementation of restructuring.

Ability of AHL to improve the RevPAR (Revenue per available room)
at both properties thereby leading to improvement in cash accruals
from the present levels in the backdrop of challenging business
environment will be the key rating sensitivity.

Appu Hotels Limited' (AHL) is a Chennai-based public limited
company engaged in the hospitality business in the state of Tamil
Nadu. AHL is part of the PGP Group of Companies which has
diversified business interests in sugar, chemicals, finance,
hospitality, and real estate etc. AHL is founded and promoted by
Dr Palani G Periasamy, Chairman of the group. The group companies
include Dharani Sugar and Chemicals Limited, Dharani Finance
Limited, Ananthi Developers Limited, Dharani Developers Limited,
Dharani Credit and Finance Limited among others.

AHL owns two 5-star deluxe category hotels in the name of 'Le
Royal Meridien' (LRM), situated in Chennai (240-rooms property)
and 'Le Meridien' Coimbatore (254-rooms property) respectively.
Both these properties are operated under the license issued by
Starwood (M) International. Inc, one of the leading and well
recognised names in the hospitality industry with presence across
the world.

For the year ended March 2014, AHL registered after tax loss of
INR40 crore on a total income of INR 70 crore. For the nine months
period ended December 2014, AHL has registered after tax loss of
INR27 crore on a total income of INR57 crore.


BALKRUSHNA GINNING: ICRA Reaffirms B+ Rating on INR5cr Cash Loan
----------------------------------------------------------------
ICRA has reaffirmed the [ICRA]B+ rating for the INR6.00 crore fund
based facilities of Balkrushna Ginning and pressing Industries.

                           Amount
   Facilities           (INR crore)    Ratings
   ----------           -----------    -------
   Long Term Fund based-
   Cash Credit              5.00       [ICRA]B+ reaffirmed

   Long Term Fund based-
   Term Loan                1.00       [ICRA]B+ reaffirmed

The ratings continue to be constrained by Balkrushna Ginning and
Pressing Industries' (BGPI) weak financial profile as reflected in
low profitability, adverse capital structure, weak debt coverage
indicators and stretched liquidity position. The ratings also take
into account the low value additive nature of operations and the
intense competition on account of the fragmented industry
structure leading to thin profit margins. The ratings are further
constrained by the vulnerability to adverse fluctuations in raw
material prices which are subject to seasonal availability of raw
cotton and government regulations on the minimum support price
(MSP) for the procurement of raw cotton and export quota for
cotton bales.

The ratings, however, positively factor in the long experience of
the promoters in the cotton ginning and pressing business, the
favorable location of the company giving it easy access to raw
cotton and the positive demand outlook for cotton and cotton seed
in India.

Balkrushna Ginning & Pressing Industries promoted by Mr. Dhirubhai
Kalsaria and its other four partners was incorporated on 2006 and
started its commercial production in the same year. The firm is
engaged in the business of cotton ginning and pressing in Una
(Gujarat). The company has its plant set up at Una district in
Gujarat and is currently operating at a capacity of about 21,600
bales annually.

Recent Results
For the year ended 31st March 2014, Balkrushna Ginning and
Pressing Industries reported an operating income of INR22.80 crore
and profit after tax of INR0.14 crore.


CALISTA PROPERTIES: CARE Lowers Rating on INR16.58cr LT Loan to D
-----------------------------------------------------------------
CARE revises/reaffirmed rating assigned to the bank facilities of
Calista Properties Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     16.58      CARE D Revised from
                                            CARE BB

   Short-term Bank Facilities     3.00      CARE A4 Reaffirmed

Rating Rationale
The revision in the rating assigned to the long-term bank
facilities of Calista Properties Private Limited (CPPL) takes into
account the delays in servicing of interest on the term loan.

The rating continue to be constrained by moderate occupancy levels
and high operating costs translating into operating loss on
account of high employee and power cost in FY14 (refers to the
period April 1 to March 31).

Calista Properties Private Limited (CPPL), incorporated in March,
2006, is promoted by the Kalmadi group and Mr Vijay Kumar Gupta.
Mr Gupta carries a rich experience of over a decade in the
strength of the promoter and Managing Director (MD) of Hotel Le
Meridien, Pune. The Kalmadi Group is the promoter of automobile
dealership company - Sai Service Station Limited, an authorized
dealer of Maruti Suzuki India Limited spread across various
locations in Maharashtra.

CPPL owns a 5-star hotel with 141 rooms on Nagar Bypass Road,
Kharadi, Pune operated under the brand "Radisson". CPPL has
entered into 10 year management-cum-marketing arrangement with
Radisson Hotels International, Inc. The hotel started its
commercial operations from November 2009.

During FY14 (Audited), CPPL reported total operating income of
INR18.90 crore, operating loss of INR0.08 crore and Net loss of
INR9.63 crore as against total operating income of INR17.61 crore,
operating loss of INR0.59 crore and net loss of INR13.24 crore in
FY13 (Audited).


CLUB29 PRIVATE: CARE Assigns 'B+' Rating to INR9.95cr LT Loan
-------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Club29
Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities      9.95      CARE B+ Assigned

Rating Rationale
The rating assigned to the bank facilities of Club29 Private
Limited (Club29) is constrained on account of lack of experience
of the promoters in executing and operating a recreational indoor
facility, timely receipt of commencement certificate from Pimpri-
Chinchwad Municipal Corporation and financial risk emanating from
achievability of projected revenues dependent on timely
commissioning.

The rating, however, derives strength from the business experience
of the partners in real estate development, advantageous location
of the project rendering visibility on the membership enrolment,
advance stage of project execution with majority (97.29%) of cost
incurred as on March 11, 2015, and achievement of financial
closure for the project.

The ability of Club 29 to generate the envisaged foot-falls
translating into envisaged cash flows from increased membership
and from usage of the facility is the key rating sensitivity.

Club29 incorporated in January 2012, is a Mont-Vert group venture
based out of Wakad, Pune, and is focused on providing a
recreational indoor centre under single roof. Club29 is a
recreational facility that provides facilities such as gymnasium
facility, sports lounge consisting of badminton court, squash
court, Table-Tennis tables, swimming pool, bowling alley,
billiards tables, fuzz ball tables, etc. The club had commenced
construction in June 2010 and as on March 11, 2015, has completed
97.29% of the project in terms of cost incurred. The total project
cost is at INR35.08 crore, being funded with a mix of bank loan
(28%, INR9.95 crore, sanctioned), promoter funds (43%, in form of
equity (INR0.01 crore) and unsecured loans (INR15.03 crore) and
membership fees (29%, INR10.00 crore).

The complete facility is housed in a single building with Ground
plus 5 floors. The total built up area of the property is about
3,810.34 square meters. Club29 is in a residential area and is
also in proximity to the Information technology (IT) hub at
Hinjewadi, Pune, thereby rendering visibility on better occupancy
levels. The club currently has 500 life time members (ie, for
period of 25 years) which also are residents of the group's
project 'Mont Vert Seville', a Mont Vert group residential scheme
of 450 flats in immediate vicinity to Club29. Furthermore, the
club will be open for additional membership post commencement of
commercial operations from June 2015.

Club29 is promoted by Mr Dhiraj Hansalia, Mr Jayant Vallabhdas
Kaneria, Mr Sanjay Pandurang Kalate and Mr Mohan Pandurang Kalate
also the promoters of the Mont Vert group. The Mont Vert group was
established in 1995 and has executed 21 projects over the past two
decades in Pune.

The promoter of the company, Mr Dhiraj Hansalia, Mr Jayant
Vallabhdas Kaneria, Mr Sanjay Pandurang Kalate and Mr Mohan
Pandurang Kalate are also the promoters of the Mont-Vert group,
which was established in 1995 and has executed 21 projects over
the past two decade The club had commenced construction in June
2010 and as on March 11, 2015, has completed 97.29% of the
project. The total project cost is at INR35.08 crore, being funded
with a mix of bank loan (28%, INR9.95 crore, sanctioned), promoter
funds (43%, in form of equity (INR0.01 crore) and unsecured loans
(INR15.03 crore)) and membership fees (29%, INR10.00 crore).


CRESCENT COMBUSTION: ICRA Suspends 'D' Rating on INR3.75cr Loan
---------------------------------------------------------------
ICRA has suspended the long term rating of [ICRA]D outstanding on
the INR3.75 crore fund based facilities, INR2.50 crore non fund
based facilities and INR0.35 crore unallocated limits of Crescent
Combustion Systems Private Limited. ICRA has also suspended the
short term rating of [ICRA]D outstanding on the INR0.40 crore non-
fund based facilities of the company. The suspension follows
ICRA's inability to carry out a rating surveillance in the absence
of the requisite information from the company.

According to its suspension policy, ICRA may suspend any rating
outstanding if in its opinion there is insufficient information to
assess such rating during the surveillance exercise.

Crescent Combustions Systems Private Limited was established in
2000. It provides combustion products and solutions to for
industrial heating and thermal processes. Crescent operates its
business in two business divisions namely Products and Systems.
The Products division offers combustion products ranging from
industrial gas, oil, and dual fuel burners, mixers, fuel ratio
regulators, control valves, and gas valve train assemblies. The
company exclusively represents Belgium based ESA-Pyronics, a
global supplier for burners and other combustion control related
products in India. The company operates a manufacturing plant in
Pune. The Systems Division provides turnkey solutions in thermal
and combustion systems. The services offered under the systems
division include conversion, revamping, retrofitting, and
modernization and up gradation of heating & combustion of aged and
conventional furnaces. In addition to this the company also earns
revenue from annual maintenance contracts signed with customers
for a fixed annual fee.


DHANASHREE ELECTRONICS: CRISIL Reaffirms B Rating on INR80MM Loan
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Dhanashree Electronics
Ltd (DEL) continue to reflect DEL's modest scale of, and working
capital-intensive-operations and its average financial risk
profile, marked by a modest net worth and average debt protection
metrics. These rating weaknesses are partially offset by its
promoters' extensive experience in trading in audio and lighting
products.
                      Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Cash Credit           20       CRISIL B/Stable (Reaffirmed)

   Letter of Credit     100       CRISIL A4 (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility    80       CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that DEL will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' in case DEL reports higher-
than-expected cash accruals, driven by significant ramp-up in its
scale of operations and profitability, or there is substantial
improvement in its working capital management. Conversely, the
outlook may be revised to 'Negative' in case of deterioration in
DEL's financial risk profile, most-likely because of decline in
revenues or profitability, or further elongation in its working
capital cycle, leading to pressure on liquidity.

Update
For 2014-15 (refers to financial year, April 1 to March 31), DEL
is estimated to have registered revenues of INR200 million,
significantly higher than the preceding year, on account of
exclusive distributorship obtained from the Music Group Commercial
LU SURL (Music group) during the last quarter of 2014-15. DEL's
operating profitability has remained stable at around 10 per cent,
backed by its stable income from rental business and is expected
to remain at similar level over the medium term.

DEL has large working capital requirements as reflected in its
gross current assets estimated at more than 350 days as on
March 31, 2015, primarily emanating from its large inventory
holding and stretched receivables. The large working capital
requirements have led to high reliance on external borrowings,
resulting in moderately high gearing estimated at 1.2 times as on
March 31, 2015. Furthermore, given the company's modest scale of
operations and moderate profitability, its cash accruals have
remained modest, resulting in average debt protection metrics.
DEL's interest coverage and net cash accruals to total debt ratios
are estimated at 2.2 times and less than 0.10 times, respectively,
for 2014-15. Nevertheless, with no debt-funded capital expenditure
plans, the company's financial risk profile is expected to remain
average over the medium term. Despite modest cash accruals, its
liquidity remains supported by absence of term debt obligations.

Its bank limits have remained utilised at an average of 85 per
cent for the nine months through December 2014. Moreover, stable
cash flows from its rental business is expected to provide cushion
to the company's liquidity over the medium term.

DEL was incorporated in 1989 as Rashmi Chock Pvt Ltd to
manufacture lighting products such as chock and luminaire under
the brand Rashmi. In 1997, it was reconstituted as a public
limited company and the name was changed to DEL. It manufactures
lighting products and trades in audio and lighting products. DEL
has also obtained distributorship Music group for sale of audio
equipment and products in India. It also earns income through
lease rentals.


EMPEE DISTILLERIES: CARE Reaffirms D Rating on INR75.25cr LT Loan
-----------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Empee Distilleries Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities     75.25      CARE D Reaffirmed

Rating Rationale
The ratings take into account instances of delays in debt
servicing by Empee Distilleries Limited (EDL).

Promoted in 1983 by Mr M P Purushothaman, EDL is the flagship
company of the Empee group mainly engaged in the manufacturing of
Indian Made Foreign Liquor (IMFL) in the states of Tamil Nadu
(TN), Kerala and Karnataka. EDL has a licensed capacity of 7.2
million cases per annum, spread among these three states. EDL also
produces power through a bio-mass based power plant of 10 MW
capacity in TN and has a 60 Kilo Litre per Day (KLPD) grain based
alcohol plant in Andhra Pradesh (AP).

The company registered an after tax loss of INR7 crore on a total
operating income of INR409 crore in fifteen months ending December
2014 as against a PAT of INR11 crore on a total operating income
of INR276 crore in FY13 (refers to the period April 1 to March
31).


EVER SHINE: CRISIL Reaffirms B Rating on INR8MM Cash Credit
-----------------------------------------------------------
CRISIL's ratings on the bank loan facilities of Ever Shine Traders
(EST) continue to reflect EST's modest scale of operations,
customer concentration in its revenue profile, and below-average
financial risk profile, marked by a modest net worth, high
gearing, and average debt protection metrics. These rating
weaknesses are partially offset by the extensive experience of the
firm's partners in the waste paper trading industry.

                      Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bill Discounting      60       CRISIL A4 (Reaffirmed)
   Cash Credit            8       CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that EST will continue to benefit over the medium
term from the extensive industry experience of its partners. The
outlook may be revised to 'Positive' if the firm records
significant and sustainable growth in its revenue and
profitability margins, while maintaining its capital structure.
Conversely, the outlook may be revised to 'Negative' if EST's
revenue or margins decline significantly or if its working capital
cycle is stretched, leading to deterioration in its financial risk
profile.

Update
EST's operating income was around INR187 million in 2013-14
(refers to financial year, April 1 to March 31); its revenue is
estimated at INR240 million for 2014-15 due to better order flow.
The firm's operating margin was around 2.3 per cent in 2013-14,
and is estimated at around the same level for 2014-15.

EST's financial risk profile is expected to remain below average
over the medium term, marked by high gearing, a modest net worth,
and average debt protection metrics. The firm's total outside
liabilities to tangible net worth ratio is estimated at 4.0 times
to 4.5 times and its net worth at INR12.1 million, as on March 31,
2015, because of its low accretion to reserves. EST's debt
protection metrics remained average, with interest coverage and
net cash accruals to total debt ratios estimated at 1.30 times to
1.40 times and 0.05 times to 0.10 times, respectively, for 2014-
15. The firm's debt protection metrics are expected to remain
average over the medium term.

EST's liquidity is stretched, marked by low cash accruals and
extensively utilised bank lines. The firm's cash accruals are
estimated at INR0.5 million to INR1.0 million for 2014-15; it has
annual debt obligations of INR0.2 million over the medium term.
EST's operations are moderately working capital intensive, as
reflected in its gross current assets, estimated at 120 days as on
March 31, 2015. The firm extensively utilised its bank facilities
at an average of 92 per cent over the 12 months through December
2014.

EST was established in 1990 as a partnership firm by Mr. Prem
Kumar Minocha and his son, Mr. Rajan Minocha. The firm trades in
waste paper. Mr. Rajan Minocha manages its day-to-day operations.


GK SHELTERS: ICRA Lowers Rating on INR50cr Term Loan to 'D'
-----------------------------------------------------------
ICRA has downgraded the long term rating for the INR50 crore term
loan facilities of GK Shelters Private Limited (GKS) from [ICRA]B+
to [ICRA]D. The rating downgrade takes into account the recent
delays in debt servicing by the company.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Term Loan            50.00        [ICRA]D/downgraded

G K Shelters Private Limited, incorporated in May, 2007 under The
Companies Act, 1956 is into the business of real estate
development. It is represented by its Managing Director Mr.
K.Narasimhulu Naidu, who is engaged in this line of activity for
more than 22 years. The Promoters have acquired good experience in
this field and enjoy good reputation in the market. The sound
track record maintained by them has enabled them to be successful
entrepreneurs in this business.

The company has successfully completed two residential projects GK
Jewel City in Bangalore and GK Pearl in Chennai. They are
currently developing 3 residential projects; GK Golden City, GK
Lake View and GK Meadows in Bangalore.


IDEAL CARPET: ICRA Reaffirms B- Rating on INR12cr Fund Based Loan
-----------------------------------------------------------------
ICRA has reaffirmed its [ICRA]B- rating on the INR12 crore fund
based limits of Ideal Carpet Industries.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Fund based limits      12         [ICRA]B- ; Reaffirmed

ICRA's rating continues to be constrained by ICI's modest scale of
operations, high competitive intensity in the carpet industry,
characterized by the presence of a large number of unorganized
players, stiff competition in the export market from countries
like Turkey and Iran, and intense competition to the hotel owned
and operated by the firm, from other hotels operating in the
vicinity. The rating also factors in the seasonal nature of the
business and high debtor and inventory days which have led to
stretched liquidity and frequent overdrawals in fund based limits.
The rating, however, draws support from ICI's experienced
management, with over three decades of experience in the carpet
business, stabilization of the hotel business which has led to an
improvement in the firm's profitability and the firm's well
established clientele in the carpet business.

Going forward, the ability of the firm to scale up its operations
in a profitable manner and optimally manage its working capital
requirements, will be the key rating sensitivities.

Promoted by the Maurya family in 1976, ICI manufactures and
exports hand knotted carpets, which enjoy high demand and
realization in the export market. The firm sells the carpets to
countries such as Austria and Germany, with exports accounting for
about 90% of the revenues from the carpet division. The firm also
operates a 68 room hotel 'Rivatas' in Varanasi, Uttar Pradesh,
which started operations in FY 13.

Recent Results
The firm reported a net profit of INR0.45 crore on an operating
income of INR20.74 crore in FY14 as against a net profit of
INR0.10 crore on an operating income of INR17.03 crore in the
previous year.


ISHWAR OIL: ICRA Reaffirms B Rating on INR8cr Cash Credit
---------------------------------------------------------
ICRA has reaffirmed the long-term rating assigned to the INR0.77
crore (reduced from INR0.87 crore) term loan and the INR8.00 crore
long-term fund based cash credit facility of Ishwar Oil Mill at
[ICRA]B.

                           Amount
   Facilities           (INR crore)    Ratings
   ----------           -----------    -------
   Long Term Fund Based-
   Cash Credit              8.00       [ICRA]B reaffirmed

   Long Term Fund Based-
   Term Loan                0.77       [ICRA]B reaffirmed

The rating continues to be constrained by the firm's weak
financial risk profile characterized by low profitability,
aggressive capital structure and weak coverage indicators owing to
the high dependence on working capital facilities. The rating also
takes into account the limited value addition in the cottonseed
crushing business, the highly fragmented and competitive nature of
the industry and the vulnerability of firm's profitability to
movements in cottonseed prices which are subject to seasonality
and crop harvest. The rating also considers potential adverse
impact on net worth and gearing levels in case of any substantial
withdrawal from capital account given the constitution as a
partnership firm.

The rating however continues to favourably factor in the
longstanding experience of the promoters in the cotton industry,
the favourable location of the firm's plant with respect to raw
material procurement, stabilization of operations and the healthy
growth in operating income of the firm during FY 2014.

Ishwar Oil Mill (IOM) was incorporated in 2012 by Mr. Ashok Gamdha
and Mr. Ramesh Gamdha as a partnership firm and is engaged in
manufacturing of edible cottonseed oil and cottonseed oil cake.
The firm markets crude cottonseed oil in loose form to bulk
dealers and cottonseed oil cake as cattle feed to dairies. IOM
operates from its plant located in Rajkot, Gujarat with a total
installed capacity of crushing ~113 MT of cottonseeds per day.

Recent Results
For the year ended March 31, 2014, the firm reported an operating
income of INR45.57 crore and a profit before tax of INR0.25 crore
as compared to an operating income of INR12.78 crore and a profit
before tax of INR0.09 crore in FY 2013. Further in the first nine
months of FY 2015, the firm reported an operating income of
INR33.14 crore and profit before depreciation and tax of INR0.63
crore (as per unaudited provisional numbers).


J M FERRO: ICRA Assigns B Rating to INR7.50cr Cash Credit
---------------------------------------------------------
ICRA has assigned an [ICRA]B rating to the INR7.50 crore fund
based bank facilities and [ICRA]A4 rating to the INR12.00 crore
non fund based bank limits of J M Ferro Alloys Private Limited.
ICRA has also assigned [ICRA]B/[ICRA]A4 ratings to INR0.50 crore
untied limits of JMF.

                          Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   LT Scale- Fund Based
   Limits- Cash Credit     7.50       [ICRA]B Assigned

   ST Scale- Non Fund     12.00       [ICRA]A4 Assigned
   Based Limits-Letter
   of Credit (Import/
   Export)/ Buyer's
   credits

   LT & ST Scale-Untied    0.50       [ICRA]B/[ICRA]A4 Assigned
   Limits

The ratings consider JMF (J M Ferro Alloys Private Limited)'s weak
financial position as reflected in a highly leveraged capital
structure and high TOL/TNW of 13.34 times as on March 31, 2014,
given its sizeable dependence in deposits from parties as well as
working capital borrowing to fund its working capital
requirements.

The ratings are also constrained by inherently low profit margins
due to limited value addition and intense competition prevailing
in the industry. ICRA also takes note of the price volatility
risk, however order backed purchases mitigates the risk to an
extent. The ratings, however, favorably take into account the
established track record of the promoters in the steel industry;
diversified product profile along with steady ramp up of
operations since inceptions.

Established in FY 2011, J M Ferro Alloys Private Limited (JMF) is
engaged in the business of trading of various types of Steel. Till
FY 2013, the company was engaged into the trading of structural
items only. However, from FY 2014 onwards the company has
diversified its product profile and has also started trading of
various steel products namely Hot Rolled (HR) sheets/coils/CTL,
Galvanized Plain (GP) coil/sheet, scrap, Pipe, Tube, TMT bars etc.
The company has its registered office in Masjid (Mumbai) and a
rented warehouse at Kalamboli.

The company's associate concern, New Steel Trading Private Limited
is engaged in the business of trading of steel products, import
and trading of ferrous and non ferrous scrap and manufacturing of
Ingots.

Recent results:
JMF earned a net profit of INR0.35 crore on an operating income of
INR98.22 crore for the period ending March 31, 2014.


KALASELVI MODERN: CRISIL Assigns B+ Rating to INR77.9MM Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Kalaselvi Modern Rice Mill (KMRM). The rating
reflects KMRM's small scale of operations in the intensely
competitive rice-milling industry. These rating strengths are
partially offset by the promoters' extensive experience in the
industry.

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit         77.9         CRISIL B+/Stable
   Long Term Loan       7.1         CRISIL B+/Stable

Outlook: Stable

CRISIL believes that KMRM will maintain its moderate business risk
profile on the back of the extensive industry experience of its
management. The outlook may be revised to 'Positive' if the firm's
revenue and profitability increase substantially leading to
improvement in its financial risk profile. Conversely, the outlook
may be revised to 'Negative' if KMRM undertakes aggressive debt-
funded capital expenditure, or if its revenue and profitability
decline substantially leading to deterioration in its financial
risk profile.

Set up in 2007, KMRM is engaged in milling and processing of
paddy. The firm is promoted by Mr. Jayaraman.

For 2013-14 (refers to financial year, April 1 to March 31), KMRM
reported net profit of INR5.2 million on sales of INR305.9 million
against net profit of INR5.7 million on sales of INR206.1 million
for 2012-13.


LASER FIBERS: ICRA Reaffirms B Rating on INR12.80cr Cash Credit
---------------------------------------------------------------
ICRA has re-affirmed the long term rating of [ICRA]B to the
INR12.80 crore cash credit facility (enhanced from INR4.00 crore)
and to the INR1.72 crore term loan facility (enhanced from INR1.51
crore) of Laser Fibers Private Limited. ICRA has also reaffirmed
the short term rating of [ICRA]A4 to the INR2.50 crore non-fund
based sub-limit of cash credit facility of LFBPL.

                         Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Fund based limits-
   Term loan              1.72        [ICRA]B reaffirmed

   Fund based limits-
   Cash Credit           12.80        [ICRA]B reaffirmed

   Non Fund based limits
   Sub limit of cash
   credit limit          (2.50)       [ICRA]A4 reaffirmed

The re-affirmed ratings continue to remain constrained by Laser
Fibers Private Limited's (LFPL) moderate scale of operation in a
highly fragmented and competitive industry structure with low
entry barriers, which limits pricing flexibility. The ratings are
further constrained by the company's low value additive nature of
yarn processing business which has kept the profit metrics weak
and its tight liquidity profile as reflected in high utilization
of sanctioned bank limits. The company's profit margins are
vulnerable to price fluctuations in primary raw material i.e. POY
which is in turn pegged to crude oil prices.

The ratings, however, continue to favourably factor in the long
experience of the promoters in the textile industry and the
favourable location of the company's manufacturing facility in
Surat resulting in easy access to key raw materials and proximity
to end users. ICRA also notes that strategic restructuring carried
out to consolidate the texturising operation under one entity and
foray into knitting operations is likely to improve the scale of
operation of the company in the near term and benefit on economics
of scale.

Laser Fibers Private Limited (LFBPL) promoted by Mr. Murarilal L.
Saraf and Pawankumar L. Saraf was incorporated as a private
limited company in the year 2009 and commenced its operations in
the year 2011. The company since inception is engaged in the
business of manufacturing polyester texturised yarn. In FY15, the
company has forayed into manufacture of Knitted fabrics. LFBPL has
its registered office at Jash Textile Market in Surat, Gujarat and
manufacturing facility setup at Mangrol, near Surat, Gujarat with
a total installed capacity of 5100 MTPA.

The company's sister concern Laser Filament Private Limited (LFPL)
is engaged in the business of manufacturing polyester texturised
yarn. It has a manufacturing facility at Karanji in Mandvi Taluka
near Surat, Gujarat with a total installed capacity of 6000 MTPA
and a registered office at Jash Textile Market in Surat. Recently,
the company has leased out it factory premises and machinery to
Laser Fibers Private Limited for a period of 10 years. LFPL
reported a profit of INR0.14 crore on an operating income of
INR70.90 crore for the year ending 31st March 2014.


LOREM TILES: CRISIL Assigns B+ Rating to INR37.5MM LT Loan
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Lorem Tiles Pvt Ltd (LTPL).

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Long Term Loan       37.5       CRISIL B+/Stable
   Bank Guarantee       15         CRISIL A4
   Cash Credit          22.5       CRISIL B+/Stable

The ratings reflect LTPL's early stage of and expected modest
scale of operations in the highly competitive ceramics industry.
The ratings also factor in the company's large expected working
capital requirements. These rating weaknesses are partially offset
by the promoters' extensive industry experience and the proximity
of LTPL's factory to Morbi (Gujarat).
Outlook: Stable

CRISIL believes that LTPL will benefit over the medium term from
its promoters' extensive industry experience. The outlook may be
revised to 'Positive' if the company improves its financial risk
profile with timely stabilisation of its operations and
consequently reporting substantial cash accruals. Conversely, the
outlook may be revised to 'Negative' if LTPL's financial risk
profile weakens, with significantly low cash accruals, substantial
working capital requirements, or debt-funded capital expenditure.

LTPL set up in Morbi in 2014, is promoted by Mr. Mahesh
Panchotiya, Mr. Kirit Parecha and Mr. Satish Detroja. The company
manufactures digital wall tiles, and commenced operations in
December 2014.


M. L. ENTERPRISES: CRISIL Assigns B+ Rating to INR45MM Bank Loan
----------------------------------------------------------------
CRISIL has assigned its CRISIL B+/Stable/CRISIL A4 ratings to the
bank facilities of M. L. Enterprises (MLE).

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Packing Credit         5         CRISIL A4

   Proposed Long Term
   Bank Loan Facility    45         CRISIL B+/Stable

The ratings reflect MLE's modest scale of operations in the
intensely competitive readymade garments accessories segment and
its working capital intensive nature of operations. These rating
weaknesses are partially offset by the benefits derived from the
extensive industry experience of its promoters and its
longstanding customer relationships.
Outlook: Stable

CRISIL believes that MLE will continue to benefit over the medium
term from the extensive industry experience of the promoters. The
outlook may be revised to 'Positive' in case there is a sustained
improvement in MLE's revenues and margins leading to improvement
in the business risk profile. Conversely, the outlook may be
revised to 'Negative' in case the firm's profitability or revenues
decline, resulting in lower-than-expected cash accruals or if the
firm undertakes a substantial debt-funded capital expenditure or
if there is a stretch in its working capital cycle leading to
deterioration of its financial risk profile.

Established in 2010 and based in Bengaluru, MLE trades in
readymade garments accessories. The firm is promoted by Mr. Lalit
Rupani.

For 2013-14 (refers to the financial year April 1 to March 31),
MLE reported a profit after tax (PAT) of INR4.4 million on a net
sales of INR48 million against a PAT of INR3.9 million on a net
sales of INR39 million for 2012-13.


MAHAVEER FIBRES: CARE Assigns B+ Rating to INR12.50cr LT Loan
-------------------------------------------------------------
CARE assigns 'CARE B+' ratings to the bank facilities of Mahaveer
Fibres Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     12.50      CARE B+ Assigned

Rating Rationale
The ratings assigned to the bank facilities of Mahaveer Fibres
Private Limited (MFPL) are constrained by thin profitability
margins inherent to the trading of cotton bales business, seasonal
availibity of raw material (raw cotton) and associated volatility
in raw material prices, working capital intensive nature of
operations and presence in a highly fragmented cotton ginning
industry.

The rating, however, continue to derive strength from the
experience of the promoters in the cotton industry and strategic
location of the manufacturing unit with proximity to raw material.
Going forward, the ability of MFPL to achieve stabilization of its
ginning operations, improve profitability margin along-with
effective management of working capital are the key rating
sensitivities.

MFPL was established in October 2011 as a Private Limited Company
and is managed by Mr Arvind Shantilal Jain and Mr Ajay Shantilal
Jain. MFPL was primarily engaged in trading of cotton bales and
cotton seed. Furthermore, since March 2015, MFPL is engaged in the
processing of raw cotton and pressing the same into cotton bales,
trading in cotton, cotton seeds and cotton seeds oil extraction.
The manufacturing unit is located in the Nanded region of
Maharashtra with an installed capacity of processing 216,000
cotton bales per annum and 24,000 (MTPA) of cottonseed oil.

During FY14 (refers to the period April 01 to March 31) (Audited),
MFPL reported a total operating income of INR19.80 crore, PBILDT
of INR0.34 crore and a PAT of INR0.07 crore as against a total
operating income of INR46.73 crore, PBILDT of INR0.28 crore and
PAT of INR0.14 crore in FY13 (Audited).


NARAYAN ENTERPRISES: ICRA Withdraws 'D' Rating on INR14.35cr Loan
-----------------------------------------------------------------
ICRA has withdrawn the [ICRA]D rating assigned to the INR14.35
crore term loan facility of Narayan Enterprises. The rating has
been withdrawn as the term loan has been repaid in full. There is
no amount outstanding against the rated instrument.


NARMADA SPINNING: CRISIL Assigns 'B' Rating to INR200MM Term Loan
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the
bank facilities of Narmada Spinning Pvt Ltd (NSPL).

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Term Loan             200        CRISIL B/Stable

   Proposed Long Term
   Bank Loan Facility      3.5      CRISIL B/Stable

   Bank Guarantee         16.5      CRISIL A4

   Cash Credit            30.0      CRISIL B/Stable

The ratings reflect NSPL's susceptibility to implementation and
offtake risks associated with the setup of its new plant in Jalida
(Gujarat), and the company's weak capital structure expected
during its initial stage of operations. These rating weaknesses
are partially offset by the extensive experience of NSPL's
promoters in the cotton industry.
Outlook: Stable

CRISIL believes that NSPL will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if NSPL stabilises operations
at its proposed plant in a timely manner and reports higher-
than'expected revenue and profitability. Conversely, the outlook
may be revised to 'Negative' if the company faces significant
delays in the commencement of its operations, generates low cash
accruals during the initial phase of its operations, or if its
working capital requirements increase significantly, resulting in
weak liquidity.

Incorporated in 2013-14 (refers to financial year, April 1 to
March 31), NSPL is setting-up a 15-tonne-per-day capacity for
manufacturing combed and carded yarn at Jalida village, in Morbi
district (Gujarat). The company is promoted by the Morbi-based
Dhamsania family. NSPL is expected to commence full production
from April 15, 2015.


NINE GLOBE: ICRA Withdraws 'D' Rating on INR5cr Bank Loan
---------------------------------------------------------
ICRA has withdrawn the long term rating of [ICRA]D assigned to the
INR5.00 crore fund based bank facilities of Nine Globe Builders
(NGB), as there is no amount outstanding against the rated
instruments. The rating was under notice of withdrawal and is
withdrawn as the period of notice of withdrawal is complete.


NS PAPERS: CARE Revises Rating on INR155.10cr LT Loan to D
----------------------------------------------------------
CARE revises the ratings assigned to the bank facilities of
NS Papers Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank facilities    155.10      CARE D Suspension
                                            revoked and revised
                                            from CARE B

   Short-term Bank facilities    15.00      CARE D Suspension
                                            revoked and revised
                                            from CARE A4

Rating Rationale
The revision in the ratings of the bank facilities of NS Papers
Limited (NSPL) takes into account the on-going delays in servicing
of the company's debt obligations.

NSPL, earlier known as Rana Papers Limited, is promoted by Mr Noor
Saleem Rana and his family members. NSPL is engaged in the
manufacturing of kraft paper (waste paper based) & kraft liner,
duplex paper and MS ingots. NSPL's manufacturing facilities are
located at Muzaffarnagar, Uttar Pradesh, with an installed
capacity of 49,500 tonnes per annum (TPA) for kraft paper, 52,500
TPA of MS ingots and 74,250 TPA of duplex paper with a captive
power plant of 14 MW as on March 31, 2014.

Key updates
The company has completed a capital expenditure project to set up
a duplex board manufacturing plant during FY14 (refers to the
period April 01 to March 31) with the total cost of INR176.45
crore funded through debt of INR104.80 and rest through internal
accruals. There has been cost overrun and delays in the project
implementation which has affected the liquidity position and the
company was unable to meet its debt obligations.

During FY14, NSPL has reported total operating revenue of INR76.98
crore with net loss of INR25.66 crore as compared with total
operating revenue of INR119.61 crore and PAT of INR3.32 crore
during FY13.


PROVET PHARMA: CRISIL Ups Rating on INR50MM Overdraft Loan to B+
----------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
Provet Pharma Pvt Ltd (PPPL) to 'CRISIL B+/Stable' from 'CRISIL
B/Stable'.

                      Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Overdraft Facility     50      CRISIL B+/Stable (Upgraded from
                                  'CRISIL B/Stable')

The rating upgrade reflects improvement in PPPL's business risk
profile on the back of healthy revenue growth and improved
profitability. During 2014-15 (refers to financial year, April 1
to March 31), the company is likely to record revenue of INR260
million, implying a healthy year-on-year growth of around 13.5 per
cent. CRISIL expects PPPL's revenue growth momentum to continue on
the back of improvement in its end markets and growing penetration
of brands distributed by PPPL.

PPPL's profitability has also improved considerably over the past
year, driven by increased contribution from high-margin revenue
streams. PPPL's operating profitability is estimated in the range
of 8 to 10 per cent in 2014-15. Improved profitability and healthy
revenue growth have resulted in better financial risk profile,
particularly liquidity, for the company.

The rating reflects PPPL's modest scale of operations in the
intensely competitive poultry feed industry, and its below-average
financial risk profile, marked by a high gearing and weak debt
protection metrics. These rating weaknesses are partially offset
by the extensive experience of the company's promoters in the
poultry feed industry.
Outlook: Stable

CRISIL believes that PPPL will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if the company significantly
expands its scale of operations and improves its profitability,
while maintaining its working capital requirements, or in case of
substantial equity infusion, leading to improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' if PPPL undertakes a large debt-funded capital
expenditure programme or if its profitability declines, leading to
deterioration in its financial risk profile. The outlook may also
be revised to 'Negative' if its working capital management
deteriorates, resulting in weakening of its liquidity.

PPPL, established in 2009, manufactures and trades in animal feed
supplements and pharmaceutical formulations for animals. The
company's day-to-day operations are managed by its sales director
Dr. Senthil Suthanthirakumar and its marketing director Dr. V
Muthuselvan.


S S M FOUNDATION: CRISIL Cuts Rating on INR45.0MM Loan to 'D'
-------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of S S M Foundation Trust for Educational and Social Development
(SSM) to 'CRISIL D' from 'CRISIL C'

                         Amount
   Facilities          (INR Mln)    Ratings
   ----------          ---------    -------
   Overdraft Facility      16       CRISIL D (Downgraded
                                    from 'CRISIL C')

   Proposed Long Term      14.1     CRISIL D (Downgraded
   Bank Loan Facility               from 'CRISIL C')

   Term Loan               45.0     CRISIL D (Downgraded
                                    from 'CRISIL C')

The rating downgrade reflects instances of delay by the SSM in
meeting repayment obligations on its term debt; the delays have
been caused by the trust's weak liquidity arising out of cash flow
mismatches in the lean fee-collection period.

SSM also has a below-average financial risk profile, marked by a
small net worth and average debt protection metrics. However, the
trust continues to benefit from its established position in the
educational sector and its wide range of course offerings.

SSM, set up in 1998, operates SSM College of Engineering, an
engineering under-graduation and post-graduation college, at
Komarapalayam (Tamil Nadu). The trust is recognised by the All
India Council for Technical Education and is affiliated to Anna
University, Tamil Nadu.


SAI LEKSHMI: CRISIL Reaffirms B Rating on INR30MM Packing Loan
--------------------------------------------------------------
CRISIL's ratings on the bank facilities of Sai Lekshmi Cashew
Company (SLCC)  continues to reflect SLCC's large working capital
requirements and below-average financial risk profile, marked by a
high total outside liabilities to tangible net worth ratio. These
rating weaknesses are partially offset by the extensive experience
of the firm's proprietor in the cashew industry.

                         Amount
   Facilities           (INR Mln)    Ratings
   ----------           ---------    -------
   Export Packing Credit    30       CRISIL B/Stable (Reaffirmed)

   Foreign Bill Purchase    15       CRISIL A4 (Reaffirmed)

   Letter of Credit         25       CRISIL A4 (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility       30       CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that SLCC will continue to benefit over the medium
term from its proprietor's extensive industry experience. The
outlook may be revised to 'Positive' if the firm records a
considerable increase in its revenue and profitability, leading to
better-than-expected cash accruals and hence to improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' if SLCC's revenue or profitability is low, or if its
working capital management weakens, resulting in weak liquidity.
Large debt-funded capital expenditure, leading to weakening of the
firm's financial risk profile, may also result in a 'Negative'
outlook.

Set up in 1998, SLCC processes raw cashew nuts. The firm's day-to-
day operations are managed by its proprietor, Ms. R Jalajakumari.


SAMALESWARI EDUCATION: CRISIL Reaffirms B- Rating on INR178M Loan
-----------------------------------------------------------------
CRISIL's rating on the long-term bank facility of Samaleswari
Education Trust (SET) continues to reflect SET's weak financial
risk profile, marked by average gearing and weak debt protection
metrics, its small scale of operations and its susceptibility to
regulatory changes in the education sector.

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Rupee Term Loan      178        CRISIL B-/Stable (Reaffirmed)

The rating also factors in the trust's weak liquidity owing to low
cash accruals from operations, which are insufficient to meet its
term debt obligations, and moderately utilised working capital
limits. These rating weaknesses are partially offset by the
extensive experience of SET's promoters in the education sector,
and the benefits expected from the favourable demand prospects for
the educational sector over the medium term.
Outlook: Stable

CRISIL believes that SET's liquidity will remain constrained over
the medium term due to inadequate cash accruals to meet its debt
obligations. The outlook may be revised to 'Positive' if there is
a substantial increase in occupancy at the trust's institute,
thereby significantly improving its surplus levels and cash
accruals. Conversely, the outlook may be revised to 'Negative' if
SET's liquidity deteriorates significantly because of inadequate
funding support from its promoters, or a decline in its surplus
levels resulting in low cash accruals, or any major debt-funded
capital expenditure.

Update
SET's net revenue is estimated at around INR54.7 million for 2014-
15 (refers to financial year, April 1 to March 31), as against
INR66.9 million reported for 2013-14; the decline is due to low
occupancy levels. The trust's operating surplus margin decreased
to 41.1 per cent in 2013-14 from 51 per cent in 2012-13. CRISIL
believes that SET's scale of operations will remain modest over
the medium term on account of low student intake.

SET's financial risk profile remains weak, marked by a leveraged
capital structure with estimated gearing of 1.08 times as on March
31, 2015 on the back of a small net worth. Its debt protection
metrics remain weak, with interest coverage ratio of 1.29 times
and net cash accruals to total debt ratio of 0.04 times, during
2014-15.

SET's liquidity also remains weak, with low cash accruals from
operations owing to higher interest cost and low occupancy levels,
resulting in mismatch in cash flows against maturing term debt
obligations; its overdraft limit has been moderately utilised.
CRISIL believes that the trust's cash accruals from operations
will remain low and tightly matched against its maturing term debt
obligations, over the medium term. However, support from promoters
in the form of corpus donation and unsecured loans are expected to
support the trust's liquidity over the medium term. Timely
repayment of term loans remains a key rating sensitivity factor.

Set up in 2008, SET operates an engineering institute, Silicon
Institute of Technology, which provides an undergraduate
engineering degree (Bachelor of Technology) in five streams of
engineering (computer science, civil, electrical, electronics and
communication, and mechanical). The institute is located in
Sambalpur (Odisha). It is affiliated to Biju Patnaik University of
Technology and all its courses are approved by All India Council
for Technical Education. Currently, the trust is managed by Mr.
Ramanand Mishra, managing trustee, and Mr. Sanjeev Nayak, vice
chairperson.


SAVITRI WEAVING: ICRA Assigns B+ Rating to INR6.26cr Term Loan
--------------------------------------------------------------
ICRA has assigned a long term rating of [ICRA]B+ to the INR0.80
crore working capital limits and INR6.26 crore term loan facility
of Savitri Weaving.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Fund Based-Cash
   Credit                0.80        [ICRA]B+ assigned

   Fund Based-Term
   Loans                 6.26        [ICRA]B+ assigned

The rating assignment takes into account Savitri Weaving's (SW)
small scale of operations, its financial profile characterised by
moderate profitability level and coverage indicators, its working
capital intensive nature of operations resulting in high
utilisation of working capital limits. The rating also factors in
the adverse capital structure which may further stretch on account
of ongoing capital expenditure. Further, the rating incorporates
the vulnerability of operations to the cyclicality observed in the
textile industry and intensely competitive business environment
owing to the highly fragmented nature of the industry.
The rating, however, draws comfort from the long track record of
the firm's proprietor in the fabric processing industry and
locational advantage on account of proximity to sources of raw
materials. The rating also factors in the fiscal incentives in the
form of Technology Upgradation Fund Scheme under the proposed
capex.

Established in January 2003, as a proprietorship firm by Mr Mukesh
Bansal, Savitri Weaving is engaged in manufacturing of art silk
cloth. The present processing capacity is 10 lakhs meters which is
expected to increase to 20 lakhs meters per annum after the
completion of the ongoing capex. The firm has its manufacturing
facility at Surat which works in two shifts of 12 hours each.

Recent Results
SW recorded a net profit before tax of INR0.22 crore on an
operating income of INR9.58 crore for the year ending March 31,
2014. In the first 9 months of FY15 ending December 31, 2014, the
firm has recorded an operating income (provisional) of INR6.44
crore.


SHAKTI INDUSTRIES: CRISIL Reaffirms 'B' Rating on INR95MM Loan
--------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Shakti
Industries (Ahmedgarh) (SI) continues to reflect SI's average
financial risk profile, marked by a weak capital structure and
average debt protection metrics, and its modest scale of
operations in the highly fragmented edible oil industry. These
rating weaknesses are partially offset by the firm's established
customer and supplier network, as well as the extensive industry
experience of its promoters.

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit           95         CRISIL B/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility     9         CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that SI will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if SI reports a significant
increase in its scale of operations or an improvement in its
capital structure. Conversely, the outlook may be revised to
'Negative' in case of a significant decline in the firm's topline,
or if it undertakes a large debt-funded expansion project that
results in deterioration in its financial risk profile.

SI was set up in 1981 by Mr. Bharat Goyal. It manufactures kachi
ghani mustard oil, which is sold under the firm's brand name,
Rajdhani. The plant is located at Jalandhar (Punjab).


SHIVANG CARPETS: CRISIL Cuts Rating on INR90MM Corp. Loan to D
--------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Shivang Carpets Pvt Ltd (SCPL) to 'CRISIL D/CRISIL D' from 'CRISIL
C/CRISIL A4'.


                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Corporate Loan          90        CRISIL D (Downgraded
                                     From 'CRISIL C')


   Foreign Bill Purchase   70        CRISIL D (Downgraded
                                     From 'CRISIL C')

   Packing Credit          20        CRISIL D (Downgraded
                                     from 'CRISIL A4')

   Proposed Long Term      11        CRISIL D (Downgraded
   Bank Loan Facility                from 'CRISIL C')

   Standby Line of Credit   9        CRISIL D (Downgraded
                                     from 'CRISIL C')

The rating downgrade reflects delays of around 60 days by SCPL in
interest payments and principle repayments on its corporate loan
taken to fund forward contract losses of around INR95 million in
2013-14 (refers to financial year, April 1 to March 31). The
delays were because of the company's stretched working capital
cycle, particularly debtors from whom payments are received after
more than six months leading to cash flow mismatches.

SCPL has a small scale of operations with modest profitability,
and geographical and customer concentration in its revenue
profile. Furthermore, the company's financial risk profile is
weak, marked by a small net worth and high gearing, estimated of
INR4.7 million and 34 times, respectively, as on March 31, 2015.
However, SCPL benefits from the experience of its promoters in the
floor coverings business.

SCPL was originally established in 2001 as a proprietorship firm
by Mr. Ranjeet Singh. This firm was reconstituted as a private
limited company in 2005, with Mr. Abhishek Singh, the founder's
nephew, joining the company as director. SCPL manufactures and
exports floor coverings, mainly hand-made woollen rugs and
carpets, at its facilities in Bhadohi (Uttar Pradesh). In 2007-08,
the company started manufacturing polyester carpets, which now
contribute around 60 per cent to its total revenues.


SHREE AGRO: CRISIL Assigns 'B' Rating to INR87.5MM Term Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long term
bank facilities Shree Agro Fresh Ulo Cold Storage (SAFUCS).

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit           2.5        CRISIL B/Stable
   Term Loan            87.5        CRISIL B/Stable

The rating reflects SAFUCS' modest scale of operations due to
nascent stage of operations along with exposure to intense
competition in cold storage warehousing industry. These rating
weaknesses are partially offset by entrepreneurial experience of
promoters.
Outlook: Stable

CRISIL believes that SAFUCS will continue to benefit from the
partners entrepreneurial experience over the medium term. The
outlook may be revised to 'Positive' in case the firm reports
significantly higher than expected revenues and profitability
resulting in higher cash accruals. Conversely, the outlook may be
revised to 'Negative' in case of delays in commissioning of the
project, resulting in lower than expected accruals, leading to
impact on its debt servicing ability.

SAFUCS was setup in June, 2014 by Mrs. Sadhana Maloo, Mr. S K
Singh, Mr. Dineshchandra Maheshwari and Mr. Narendrakumar Sharma.
The firm is setting up its cold storage facility at Hallol,
Gujarat. The firm is expected to commence its operations from July
2015.


SHREE VIJAYASHREE: CRISIL Assigns B+ Rating to INR60MM Cash Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Shree Vijayashree Food Processing Industries
(SVFPI).

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          60         CRISIL B+/Stable
   Long Term Loan       10         CRISIL B+/Stable

The rating reflects SVFPI's modest scale of operations in the
intensely competitive rice-milling industry, and the
susceptibility of the firm's operating profitability to changes in
government regulations and to volatility in raw material prices.
The rating also factors in the firm's below-average financial risk
profile, marked by weak capital structure and debt protection
metrics. These rating weaknesses are partially offset by the
extensive experience of SVFPI's promoters in the rice industry and
benefits expected from the healthy demand prospects for this
industry.
Outlook: Stable

CRISIL believes that SVFPI will continue to benefit over the
medium term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if the firm's revenue and
profitability increase substantially or in case of significant
infusion of capital into the firm, resulting in an improvement in
its financial risk profile. Conversely, the outlook may be revised
to 'Negative' if SVFPI undertakes a large debt-funded capital
expenditure programme or if its partners withdraw capital from the
firm, leading to deterioration in its financial risk profile.

Set up in 2009, SVFPI mills and processes paddy into rice, rice
bran, broken rice, and husk. It has an installed paddy milling
capacity of 6 tonnes per hour. Its rice mill is located at
Allanagar village in Koppal (Karnataka). The partners of the firm
are Mr. Arihanthkumar Mehta, Mr. S. Goutamchand Mehta, Mr. S.
Vijaykumar Mehta, and Mr. Vishal Mehta.

For 2013-14 (refers to financial year, April 1 to March 31), SVFPI
reported a profit after tax (PAT) of INR0.81 million on net sales
of INR196.6 million, against a PAT of INR0.54 million on net sales
of INR192.7 million for 2012-13.


SHRI MAHALAXMI: CARE Assigns B+ Rating to INR7cr LT Loan
--------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Shri
Mahalaxmi Agro Industries.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities      7         CARE B+ Assigned

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

Rating Rationale
The rating assigned to the bank facilities of Shri Mahalaxmi Agro
Industries (SMAI) is constrained by its modest scale of
operations, and weak financial risk profile marked by highly
leveraged capital structure and low profitability margins. The
rating also factors in the susceptibility of margins to
fluctuation in raw material prices and exposure to vagaries of
nature and intense competition in the sector.
The rating, however, derives strength from the experience of the
management, proximity to customers and suppliers and diversified
customer & supplier base.

The ability of the firm to improve its scale of operations and
improve its margins amidst volatility in raw material prices is a
key rating sensitivity.

Parbhani based, SMAI is a proprietorship concern established in
the year 2008. The firm is engaged in trading and extraction of
cotton seed oil and manufacturing of oil cakes. Mr Baswraj Eklare
is the proprietor, while the day-to-day operations are managed by
his brother, Mr Virendra Eklare. The unit has an annual installed
capacity of 1,05,000 quintals/year for cotton seed oil cake and
10,678 quintals/year for cotton seed oil.

The firm procures cotton seeds from traders and cotton ginning
units, and undertakes processing on the same, while the finished
products are sold to oil refining companies and industrial users.
The other group companies managed by the Eklare family are Eklare
Traders and Suryadarshan Agro Industries Private Limited (SAIPL,
rated CARE B), which are engaged in in trading of seeds and
fertilizers and manufacturing, processing and refining of cotton
seed oil respectively.

In FY14, SMAI earned PAT of INR0.30 crore on a total operating
income of INR26.77 crore against PAT of INR0.23 crore on a total
operating income of INR17.19 crore.


SHRI ROKADOBA: CARE Reaffirms B+ Rating on INR10.55cr LT Loan
-------------------------------------------------------------
CARE reaffirms the rating assigned to bank facilities of
Shri Rokadoba Maharaj Ginning And Pressing Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities     10.55      CARE B+ Reaffirmed

Rating Rationale
The rating assigned to the bank facilities of Shri Rokadoba
Maharaj Ginning and Pressing Private Limited (SRGPL) continues to
be constrained by its weak financial risk profile marked by low
profitability along with weak solvency position, susceptibility of
operating margins to raw material price fluctuation risk and
seasonality associated with the cotton ginning industry. The
rating is further constrained by the presence of company in highly
fragmented ginning industry with limited value addition and highly
regulated sector.

The above constraints far outweigh the strength derived from the
experience of the promoters in cotton ginning industry, improved
operating cycle, location advantage emanating from proximity to
raw material growing region and integration into cotton seed oil
extraction resulting into zero discharge plant.

Going forward, the ability of the company to improve its
profitability margin and solvency position is the key rating
sensitivity.

Incorporated as private limited company in the year 2008,
Aurangabad-based SRGPL is engaged in cotton ginning and pressing
along with extraction of cotton oil. SRGPL procures its raw
material, ie, raw cotton from the local market (farmers) and sell
its finished products to its customers located in and around
Aurangabad. The finished products of the firm include cotton
bales, cotton seeds, cotton oil and by-product, ie, cotton cake.
The manufacturing facility of the company is located at Sillod,
Aurangabad, with an installed capacity of manufacturing 70,000
bales per annum and extracting 12,000 quintals of cotton oil per
annum. The company started its commercial operations of ginning
unit in 2010 and cotton oil from February 28, 2013. The
manufacturing facility runs in two shifts in a day and being in
the seasonal industry it operates for 10 months in a year.
In FY14 (refers to the period April 01 to March 31), the firm
registered a PAT of INR1.72 crore on total operating income of
INR44.21 crore as compared with total operating income and PAT of
INR1.35 crore and INR33.14 crore, respectively, in FY13.


SRI BALAJI: CARE Assigns B+ Rating to INR20cr Long Term Loan
------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Sri Balaji
Raw & Parboiled Rice Mills Private Limtied.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     20.00      CARE B+ Assigned

Rating Rationale
The rating assigned to the bank facilities of Sri Balaji Raw &
Parboiled Rice Mills (SBPL) is constrained by its nascent stage of
operations with project stabilization risk, seasonality nature of
availability of paddy resulting in working capital intensive
nature of operations, presence in the competitive industry and
government regulations in terms of procurement of rice through
Andhra Pradesh State Civil Supplies Corporation Limited (APSCSCL).
The rating, however, derives strength from the experienced
promoters for more than three decades in the rice mill industry,
presence in major paddy cultivation area facilitating easy
procurement of raw material and healthy demand outlook for rice.
Ability of the company to scale up its operations along with
efficient management of working capital cycle are the key rating
sensitivities.

SBPL was established as a private limited company by Mr Tatikonda
Viswanadham and Mrs Tatikonda Savithri on June 20, 2013.
Presently, Mr Tatikonda Viswanadham operates two rice mills,
namely, M/s. Pallavi Enterprises and M/s. Girija Modern Rice
Mills. M/s. Girija Modern Rice Mills is managed by Mr Tatikonda
Viswanadham and his daughter whereas M/s Pallavi Enterprises is
managed by Mr Tatikonda Viswanadham and Mrs Tatikonda Savithri. As
both these are partnership firms, in order to give a corporate
look, Mr Tatikonda Viswanadham proposed to start a company called
M/s. Sri Balaji Raw and Parboiled Rice Mills Private Limited by
leasing part premises and machinery of Girija Modern Rice Mills
and Pallavi Enterprises. The company hired machinery capacity of
250 tonnes per day (TPD; out of 350 TPD total capacity) from
Girija Modern Rice Mills and 150 TPD (out of 250 TPD total
capacity) from Pallavi Enterprises.


SRI RAJA: ICRA Assigns 'B+' Rating to INR18.26cr Term Loan
----------------------------------------------------------
ICRA has assigned a long-term rating of [ICRA]B+ to the INR18.26
crore term loan and Rs.1.74 crore proposed facility of Sri Raja
Rajeswari Hotels (Vellore) Private Limited.

                         Amount
   Facilities         (INR crore)     Ratings
   ----------         -----------     -------
   Long term-Term Loan    18.26       [ICRA]B+ assigned
   Long term-Proposed      1.74       [ICRA]B+ assigned

The assigned rating takes into account the favourable location of
the upcoming 3-star hotel on Chennai-Bengaluru highway (NH46) with
close proximity to key commercial areas and the promoter's
considerable experience in the hospitality business. In addition,
the project has low funding risks with tied-up term loan with
banks. The rating also derives comfort from the corporate
guarantee extended by associate entity - Sri Raja Rajeshwari
Hotels (Chennai) Private Limited (SRR Chennai), which has healthy
operational track record with stable occupancies. The rating, is
however, constrained by time overruns (six months delay at
present), which exposes the company to refinancing risk, given the
overlap of completion date and proposed commencement of debt
repayments (from October 2015). Further, the rating also factors
in the company's exposure to market risks during ramp up period,
once the hotel commences operation and concentration risks by
virtue of being a single hotel property. Going forward, timely
completion of the project within budgeted costs and revised
timelines, and ability to achieve targeted occupancies and
realizations (post commencement), will be critical for its timely
debt servicing and hence will remain key rating sensitivities.

Sri Raja Rajeswari Hotels Vellore Private Limited was incorporated
in October 2013, by Mr. A.C. Shanmugam, and is currently setting
up a 90 room 3-star hotel "Benzz Park" at Vellore (Tamil Nadu),
about 140 Km from Chennai. The hotel will also have banquet halls,
Coffee shop, Speciality restaurant, Health club, Swimming pool and
Gym among others. The property is expected to be launched by
October 2015. Besides this, the promoters operate another hotel in
the name Benzz Park, a 3-star hotel located in Chennai, under the
entity SRR Chennai. The hotel operates with 60 rooms and has
specialty restaurants and banquet halls.


SRI SWETHARKA: ICRA Assigns 'B+' Rating to INR6cr Overdraft Loan
----------------------------------------------------------------
ICRA has assigned the [ICRA]B+ to the INR6.00 crore fund based
limits and [ICRA]A4 to INR3.00 Cr non fund based limits of Sri
Swetharka Constructions Private Limited.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Overdraft             6.00        [ICRA]B+;assigned
   Bank Guarantee        3.00        [ICRA]A4;assigned

The assigned rating is constrained by the high order book and
client concentration with largest order contributing to 89% of the
order book size of INR85. Cr as on 28th February, 2015 (1.15x of
operating income). The rating is further constrained by the high
client concentration and geographic concentration with presence
only in the state of Telangana. Also low value and low complexity
jobs carried out by the company further restricts the margins
which added to slow order inflow over the last few years further
constrains the rating.

The rating, however, takes comfort from the decade long experience
of the promoters in executing civil contracts, the increase in
operating income of the company at a CAGR of 64% over the last
three years and the modest order book of INR85.30 Cr as on 29th
February, 2015. The rating is further comforted by the favourable
leverage and coverage indicators as indicated by OPBITDA-to-
Interest & Finance Charges of 3.98x and NCA-to-Total Debt of 35%
as on 31st December, 2014

Sri Swetharka Constructions Private Limited started its operations
in 2006 as a partnership firm named "Sri Lakshmi Constructions".
It was incorporated as a private limited company in 2014 and
renamed to Sri Swetharka Constructions Private Limited.

The company specializes in carrying out civil works for the
irrigation department. The company initially started as a sub-
contractor for companies such as IVRCL Limited, GVPR Engineers
Private Limited, BPR Infrastructure (P) Ltd., Sarala Project Works
(P) Ltd., Irrigation Department, etc. The company is currently a
designated Class I Contractor for the government.
According to audited FY14 financials, the company registered an
operating income of INR58.01 Cr and operating profit of INR5.31 Cr
as against the operating income of INR39.01 Cr and operating
profit of INR3.26 Cr in FY13.


SRM CONSTRUCTION: CRISIL Ups Rating on INR30MM Loan to B+
---------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
SRM Construction (SRMC) to 'CRISIL B+/Stable' from 'CRISIL B-
/Stable', and has reaffirmed its rating on the firm's short-term
facilities at 'CRISIL A4'.

                      Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bank Guarantee        70       CRISIL A4 (Reaffirmed)
   Overdraft Facility    50       CRISIL A4 (Reaffirmed)
   Overdraft Facility    30       CRISIL B+/Stable (Upgraded from
                                  'CRISIL B-/Stable')

The rating upgrade reflects CRISIL's belief that SRMC will
maintain its improved liquidity over the medium term with more-
than-adequate cash accruals to meet its debt obligations; SRMC is
likely to generate annual cash accruals of INR53 million to INR61
million, against annual debt obligations of INR4.5 million, over
the medium term. The improved liquidity has been driven by the
firm's improving operating performance, as reflected in healthy
revenue growth of 48.0 per cent year-on-year in 2014-15 (refers to
financial year, April 1 to March 31). CRISIL believes that SRMC
will continue to report a stable operating performance over the
medium term supported by its order book of INR1.31 billion as on
March 31, 2015.

The ratings reflect SRMC's modest scale of operations in the
intensely competitive civil construction industry, its large
working capital requirements, and geographical and customer
concentration in its revenue profile. These rating weaknesses are
partially offset by the extensive experience of SRMC's promoters
in the construction industry and the firm's above-average
financial risk profile, marked by comfortable gearing and debt
protection metrics.
Outlook: Stable

CRISIL believes that SRMC will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if the firm reports
significant improvement in its scale of operations and
profitability, leading to large cash accruals, while maintaining
its comfortable gearing. Conversely, the outlook may be revised to
'Negative' if SRMC undertakes aggressive debt-funded expansion or
contracts substantial debt to meet its large working capital
requirements, weakening its financial risk profile.

SRMC, set up as a partnership firm in 2006, is based in Erode
(Tamil Nadu). The firm undertakes civil contracts, involving
construction of canals, buildings, roads, earthworks, canal
lining, and civil construction works, primarily for government
departments. It is promoted by Mr. S Boopathy and his family
members.


STAARLIGHT DESIGNS: CRISIL Reaffirms B+ Rating on INR54.5MM Loan
----------------------------------------------------------------
CRISIL's rating on the bank facilities of Staarlight Designs (SD)
continue to reflect SD's modest scale of operations in the
intensely competitive and highly fragmented ready-made garments
(RMG) industry, and its below-average financial risk profile,
marked by a modest net worth. These rating weaknesses are
partially offset by the extensive experience of the firm's
promoters in the RMG industry.

                         Amount
   Facilities          (INR Mln)   Ratings
   ----------          ---------   -------
   Cash Credit             3.5     CRISIL B+/Stable (Reaffirmed)

   Export Packing         20.0     CRISIL A4 (Reaffirmed)
   Credit

   Foreign Demand
   Bill Purchase          20.0     CRISIL A4 (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility     54.5     CRISIL B+/Stable (Reaffirmed)

   Standby Line of         2.0     CRISIL B+/Stable (Reaffirmed)
   Credit

Outlook: Stable

CRISIL believes that SD will continue to benefit over the medium
term from its promoters' extensive industry experience and its
established client relationships. The outlook may be revised to
'Positive' in case of a sustained increase in the firm's scale of
operations and profitability, resulting in improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' if SD's revenue or profitability declines considerably,
or its working capital management deteriorates resulting in
stretched liquidity, or if it undertakes a significant debt-funded
capital expenditure programme, resulting in weakening of its
financial risk profile.

Established in 1999, SD manufactures and exports knitted garments
to various companies in Europe. The firm has its manufacturing
facility at Tirupur (Tamil Nadu) and is promoted by Mr. B.M
Ravichandran and Mr. M. Karuppusamy.


SUNDALE PACKERS: CRISIL Reaffirms B Rating on INR87.2MM Loan
------------------------------------------------------------
CRISIL's ratings on the bank facilities of Sundale Packers (SP)
continue to reflect SP's small scale of operations in the highly
fragmented and competitive packaging industry.

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit            5         CRISIL B/Stable (Reaffirmed)
   Letter of Credit      50         CRISIL A4 (Reaffirmed)
   Proposed Long Term
   Bank Loan Facility    87.2       CRISIL B/Stable (Reaffirmed)
   Term Loan              7.8       CRISIL B/Stable (Reaffirmed)

The ratings also factor in the firm's below-average financial risk
profile, marked by small net worth and average debt protection
metrics. These rating weaknesses are partially offset by the
extensive experience of SP's promoter in the packaging industry.
Outlook: Stable

CRISIL believes that SP will continue to benefit over the medium
term from its promoter's extensive industry experience. The
outlook may be revised to 'Positive' if the firm's financial risk
profile improves significantly on account of substantial revenue
and profitability on a sustainable basis. Conversely, the outlook
may be revised to 'Negative' if SP's profitability or revenue
declines, resulting in low cash accruals. Also, the outlook may be
revised to 'Negative' if the firm's financial risk profile
deteriorates on account of large debt-funded capital expenditure
or stretch in working capital cycle or increased capital
withdrawals by its promoter.

Update
SP reported operating income of INR350 million for 2013-14 (refers
to financial year, April 1 to March 31), driven by sustained
demand and increased orders from existing customers. The firm
reported operating margin of 3.7 per cent and cash accruals of
INR3.7 million for 2013-14. The firm reported operating income of
INR340 million for the nine months ended December 31, 2014. Its
operating income is expected to improve at a moderate rate over
the medium term driven by sustained orders from existing customers
and new customers. However, the firm's revenue profile is expected
to remain constrained over the medium term by customer
concentration risk, as two customer account for more than 80 per
cent of its revenue.

SP's below-average financial risk profile is marked by small net
worth of INR8.8 million and high gearing of 2.59 times as on March
31 2014; its debt protection metrics were average, with net cash
accruals to total debt ratio at 0.22 times and interest coverage
ratio at 1.74 times, in 2013-14. SP's financial risk profile is
expected to remain below average over the medium term because of
limited accretion to reserves.

SP has adequate liquidity, with cash accruals expected at around
INR8.5 million against debt obligations of INR1.5 million in 2014-
15. The firm's bank line utilisation was moderate, averaging 57
per cent over the 12 months through December 2014. SP's liquidity
is constrained by large working capital requirements marked by its
gross current assets of 117 days as on March 31, 2014. However,
the liquidity is supported by need-based fund support through
unsecured loans from its promoter (at INR48 million as on March
31, 2014). The firm's liquidity is expected to remain adequate
over the medium term, with adequate cash accruals against debt
obligations.

SP, established in 1998 as a proprietorship firm in Kollam
(Kerala), manufactures various packing materials such as pallets,
boxes, crates, and end caps made of wood. The firm is promoted by
Mr. S Shihas.


SURANA INDUSTRIES: CARE Reaffirms D Rating on INR517.28cr Loan
--------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Surana Industries Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities    517.28      CARE D Reaffirmed
   Short-term Bank Facilities    75.63      CARE D Reaffirmed

Rating Rationale
The rating continues to factor in delays in servicing of the debt
obligations by Surana Industries Limited (SIL) on account of its
tight liquidity position.

Surana Industries Limited (SIL) is into manufacturing of iron and
steel products and trading in MS Structurals. The company has two
units, one each at Raichur (Karnataka) and Gummidipoondi, Tamil
Nadu (GPD). As on March 31, 2014, Raichur unit had a sponge iron
capacity of 1,28,000 tonnes per annum (tpa), steel melting shop
with capacity of 225,000 tpa and Rolling Mill/Wire drawing
capacity of 300,000 tpa. GPD unit has a rolling mill capacity of
108,000 tpa and induction furnace of 30,000 tpa for production of
ingots. In addition to production and sale of billets & TMT bars,
GPD operations include purchase and sale of MS Structural. SIL is
in this line of business for the past 18 years.

Instances of delays in debt servicing
The company has reported delays in debt servicing to banks on
account of tight liquidity position. During FY14, (refers to the
period April 1 to March 31), the company has reported loss after
tax of INR155 crore on a total operating income of INR558 crore.
During 9MFY15, the company the company reported net losses of
INR199 crore on a total operating income of INR382 crore. The
losses during this period are attributed to the significant
increase in input cost, unavailability of, raw materials and
stalling of the Raichur plant due to labour issues.

Corporate debt restructuring
The company has restructured the debt under corporate debt
restructuring (CDR) mechanism. On March 13, 2014, CDR cell has
issued letter of approval with cut-off date as June 1, 2013. IDBI
Bank is appointed as the Monitoring Institution (MI) to oversee
the implementation of the restructuring package. The
irregularities in term loan and working capital facilities have
been converted into working capital term loan and interest overdue
is converted into funded interest term loan. Furthermore, as part
of the package, the bankers had sanctioned additional term loan of
INR41.73 crore to improve the liquidity position of the company.
As a part of the CDR package, the promoters are required to bring
additional fund amounting to INR46.46 crore, of which INR41.08
crore have been brought as on March 31, 2014.


TRIMURTI FOODTECH: CRISIL Ups Rating on INR80MM Term Loan to B
--------------------------------------------------------------
CRISIL has upgraded its rating on the long term bank facilities of
Trimurti Foodtech Pvt Ltd (TFPL) to 'CRISIL B/Stable' from 'CRISIL
B-/Stable'.

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit           60        CRISIL B/Stable (Upgraded
                                   from 'CRISIL B-/Stable')

   Funded Interest       20        CRISIL B/Stable (Upgraded
   Term Loan                       from 'CRISIL B-/Stable')

   Proposed Long Term     0.2      CRISIL B/Stable (Upgraded
   Bank Loan Facility              from 'CRISIL B-/Stable')

   Term Loan             38.2      CRISIL B/Stable (Upgraded
                                   from 'CRISIL B-/Stable')

   Working Capital       80.0      CRISIL B/Stable (Upgraded
   Term Loan                       from 'CRISIL B-/Stable')

The rating upgrade reflects CRISIL's belief that TFPL will
maintain its improved liquidity, backed by improvement in scale of
operations coupled with improvement in working capital management.
There has been improvement in realization of the receivables
reflected over the 6 months period ended February 2015. Further,
TFPL is estimated to have reported around 16 million cash accruals
during 2014-15 as against Rs 10 million of term debt obligations
during the same year.

The rating further reflects TFPL's moderate financial risk
profile, marked by a moderate net worth and average debt
protection metrics, its exposure to volatility in raw material
prices, and its working-capital-intensive operations, leading to
limited financial flexibility. These rating weaknesses are
partially offset by the extensive industry experience of TFPL's
promoter, and its management by professionals with experience in
the food grain industry. Furthermore, TFPL's diverse revenue
streams mitigate its exposure to risks relating to downturns in
any single food category.
Outlook: Stable

CRISIL believes that TFPL will maintain its business risk profile
over the medium term, backed by its improved scale of operations
and profitability. The outlook may be revised to 'Positive' in
case of significant improvement in its cash accruals and
profitability. Conversely, the outlook may be revised to
'Negative' if company's reports considerably lower-than-expected
revenue or lengthening of its working capital cycle, thereby
constraining its liquidity.

Incorporated in 2007, TFPL manufactures frozen food products
including vegetables, fruit pulp, and snacks. The company also
owns the Pet Pooja chain of restaurants, which it lets out on a
franchise basis. TFPL exports the major portion of its frozen
vegetables and fruit pulp production under the brand Fresh Valley,
while most of its snack production is utilised in the Pet Pooja
outlets. The company is promoted by Mr. Atul Banginwar, who has
been involved in the food industry since 1991 through his
proprietorship concern, Trimurti Foods, which manufactures Indian
sweets and chocolates under the brands Gopimalai and Frootlet.


TRUFORM TECHNO: ICRA Reaffirms 'D' Rating on INR5.75cr Cash Loan
----------------------------------------------------------------
ICRA has reaffirmed the [ICRA]D rating to the INR11.00 crore fund
and non-based limits of Truform Techno Products Limited.

                       Amount
   Facilities        (INR crore)      Ratings
   ----------        -----------      -------
   Fund Based Limits-
   Cash Credit (CC)
   Limits                5.75         [ICRA]D reaffirmed

   Fund Based Limits-
   Term Loans Limits     4.25         [ICRA]D reaffirmed

   Non-Fund Based Limits-
   Letter of Credit
   Limits                1.00         [ICRA]D reaffirmed

The reaffirmation of rating factors in the continuing delays
witnessed in meeting term loan obligations and the interest
payments resulting in consistent overutilisation of the CC limits.
The financial profile of the company continues to remain weak
marked by range bound operating income and net losses incurred
over the last three years leading to erosion of networth and
subsequent stretched capital structure. Funding through creditors
and external borrowings has translated into high total liabilities
while the high interest payouts have impinged the debt protection
indicators and the cash accrual position of the company. The
rating also continues to be constrained by the susceptibility of
margins to variations in raw material prices and risks arising
from high customer concentration.

ICRA, however, favorably notes the experience of the management in
the iron casting industry and the credibility built through
approvals and certifications from various agencies.
With increasing focus on ductile iron fittings, the ability of the
company to increase the production capacity levels, maintain cost
economies and facilitate faster inventory turnaround will be
critical from a credit perspective. Improvement in the scale will
also be critical to adequately absorb the cost and improve the
profitability of the company which will facilitate timely
servicing of debt obligations.

Established in 1993, Truform is engaged in manufacturing of cast
iron and ductile iron pipes, fittings, flanges and castings which
principally find application in water line fittings and rough iron
fittings used in industrial applications. Truform have increased
the production of ductile iron in various forms and grades in
FY15. The company's registered office is in Baroda, Gujarat while
its manufacturing facility and administrative and sales office are
located in Nagpur, Maharashtra.

Recent results
Truform recorded a net loss of INR1.90 crore on an operating
income of INR16.77 crore for the year ending March 31, 2014.


V & S INTERNATIONAL: CARE Reaffirms 'D' Rating on INR45.25cr Loan
-----------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
V & S International (P) Ltd.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities    31.56       CARE D Reaffirmed
   Short-term Bank Facilities   45.25       CARE D Reaffirmed

Rating Rationale
The ratings of V & S International Pvt. Ltd. (VSI) factor in
ongoing delays in debt servicing resulting from stretched
liquidity position owing to elongated working capital cycle and
weak financial profile marked by low profitability and moderate
gearing.

VSI incorporated in 1992, is involved in the business of
manufacturing and trading of apparels, home furnishing and
accessories. VSI is also engaged in weaving and processing of
fabric, ie, dyeing of grey fabric. The products and services range
of VSI include manufacturing of readymade garments, manufacturing
of knitted fabrics, trading of fabrics, dyeing and processing of
fabrics.

VSI manufactures products for other companies on job work basis
which includes world's leading brands like Guess, Forever, Next,
Calvin Klein, Debenhams, Marks & Spencers. The job work is
allotted by the export buying houses as well as other small
exporters. As on December 31, 2014, VSI has three manufacturing
facilities located in Gurgaon.

During FY14 (refers to the period April 1 to March 31), the
company reported a total operating income of INR103.4 crore and
net loss of INR14.84 crore as against a total operating income of
INR102.36 crore and a net loss of INR20.96 crore in FY13.


VALLABH MARKET: ICRA Revises Rating on INR15cr LT Loan to C+
------------------------------------------------------------
ICRA has revised its long-term rating on the INR15.00 crore fund-
based bank facilities of Vallabh Market from [ICRA]B- to [ICRA]D
and simultaneously reassigned the rating to [ICRA]C+.

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term fund-      15.00       Revised to [ICRA]D from
   based facilities                 [ICRA]B- and simultaneously
                                    reassigned to [ICRA]C+

Vallabh Market had delayed in servicing its debt obligations,
however the firm has been regular in debt servicing since October,
2014.

ICRA takes note of the ongoing sluggish demand for real estate, as
also the stretch on the company's liquidity due to commencement of
debt repayment from April 2015. However, ICRA notes that the firm
has pre-paid its April installment in order to release the charge
from the lenders. However, going forward timely support from
partners, as well as material pickup in sales booking and
collections will remain critical for timely servicing of debt. The
rating draws support from the adequate pace of execution, with
around 61% of the project cost having been incurred upto the first
week of January 2015, which has largely been funded through debt
and contribution from the partners.

In ICRA's view, the firm's ability to ensure ramp-up in
incremental bookings, improve collection efficiency and ensure
timely fund infusion by the partners to obviate cash flow
mismatches will be critical for its credit profile.

Vallabh Market was incorporated in November 2011 to undertake
construction and development of a real estate project in Gadarwara
tehsil of Narsinghpur district of Madhya Pradesh. The firm was
formed by seven partners, of which four partners belong to the
Rathi family, which is engaged in dealership of building
materials. The other partners Mr. Kirtiraj Lunawat, Mr. Naveneet
Singh Malhotra and Mr. Navneet Palod have diverse individual lines
of businesses, besides this project. The complex will have a total
built-up area of 0.21 million square feet comprising of retail,
office space and apartments. The total cost of the project is
estimated at INR28.30 crore (including land cost) and is being
funded in a debt-equity ratio of 1.12x. Project construction
commenced in April 2012 and 61% of the project cost has been
incurred till the first week of January 2015.


VBM POWER: CRISIL Lowers Rating on INR105.8MM Term Loan to D
-------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of VBM Power and Infrastructure Private Limited (VBM Power) to
'CRISIL D' from 'CRISIL B-/Stable'.

                      Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Term Loan            105.8       CRISIL D (Downgraded from
                                    'CRISIL B-/Stable')

The rating downgrade reflects instances of delay by VBM Power in
servicing its debt obligation. The delays have been caused by the
weakening in the company's liquidity profile arising from a
stretch in its working capital cycle.

VBM Power has a below-average financial risk profile marked by its
small net-worth and weak debt protection metrics. The company also
has small scale of operations and high degree of customer
concentration in its revenue profile. These rating weaknesses are
partially mitigated by VBM Power's stable revenues supported by a
long-term power purchase agreement (PPA) with Tamil Nadu
Generation & Distribution Corporation Ltd (TANGEDCO).

VBM Power was set up in 2010 by Mr. GV Pratap Reddy in Hyderabad
(Andhra Pradesh). The company has two wind-turbine generators of
2.1 megawatt (MW) each in Tirunelveli district (Tamil Nadu). The
company commenced commercial operations in September 2010.


VEER OVERSEAS: CRISIL Reaffirms B+ Rating on INR270MM Loan
----------------------------------------------------------
CRISIL's ratings on the bank facilities of Veer Overseas Ltd (VOL;
part of the Veer group) continue to reflect the Veer group's weak
financial risk profile marked by high gearing, weak debt
protection metrics, and moderate net worth. The ratings also
reflect the group's large working capital requirements, and
susceptibility to volatility in raw material prices and regulatory
changes.

                        Amount
   Facilities          (INR Mln)    Ratings
   ----------          ---------    -------
   Cash Credit             60       CRISIL B+/Stable (Reaffirmed)

   Export Bill Purchase
   Discounting            200       CRISIL A4 (Reaffirmed)

   Packing Credit        1100       CRISIL A4 (Reaffirmed)

   Standby Line of
   Credit                 270       CRISIL B+/Stable (Reaffirmed)

   Warehouse Receipts     250       CRISIL B+/Stable (Reaffirmed)

These rating weaknesses are partially offset by the promoters'
extensive experience in, and the healthy growth prospects of, the
rice industry.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of VOL and Veer Oil & General Mills
(VOGM). This is because the two entities, together referred to as
the Veer group, have strong operating and financial linkages and
are under a common management.
Outlook: Stable

CRISIL believes that the Veer group will continue to benefit over
the medium term from its promoters' extensive experience in, and
the healthy growth prospects of, the rice industry. The outlook
may be revised to 'Positive' in case of a significant improvement
in the group's capital structure, most likely because of large
equity infusion or healthy cash accruals. Conversely, the outlook
may be revised to 'Negative' in case of significant pressure on
the group's liquidity, most likely because of decline in cash
accruals or large working capital requirements, or if the group
undertakes a large debt-funded capital expenditure programme,
weakening its capital structure.

Update
The Veer group reported an estimated revenue of INR4.4 billion to
INR4.5 billion for 2014-15 (refers to financial year, April 1 to
March 31). The group's operating margin is expected to be around 6
per cent for the year, in line with the industry trend. The
group's revenue is expected to grow at a modest rate with a
sustained operating margin, over the medium term.

The Veer group's operations are highly working capital intensive
as reflected in its estimated gross current assets (GCA) of around
240 days as on March 31, 2015. The GCAs include inventory of
around 220 days and a receivables cycle of 35 days. As a result,
the group's average bank limit utilisation has been high, at an
average of around 94 per cent for the 12 months through February
2015.

The group's net worth is estimated to remain moderate at around
INR395 million, as on March 31, 2015. The group has substantial
debt contracted for funding its working capital requirements;
this, coupled with moderate net worth, is estimated to result in
high gearing of around 6.66 times as on March 31, 2015. The
gearing is expected to remain high over the medium term on account
of the Veer group's working-capital-intensive operations.

Set up in 1979 as a partnership firm, VOL was reconstituted as a
public limited company in 1994. VOL mills and processes basmati
rice. The company primarily caters to the export market; it mainly
exports par-boiled rice, which has high demand in the Middle East.
VOL also sorts unsorted rice procured from smaller mills in its
unit's vicinity, and exports the sorted rice.

VOGM, a partnership firm, was set up in 1980. It sorts basmati
rice and sells mainly in the international market. The Veer
group's plants, in Karnal (Haryana), have combined milling and
sorting capacities of 24 tonnes per hour (tph) and 32 tph,
respectively.


VENUS INDUSTRIAL: CARE Reaffirms B+ Rating on INR15.29cr LT Loan
----------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Venus Industrial Corporation Pvt Ltd.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     15.29      CARE B+ Reaffirmed
   Short-term Bank Facilities     2.50      CARE A4 Reaffirmed

Rating Rationale
The ratings of the bank facilities of Venus Industrial Corporation
Pvt Ltd (VICPL) continue to be constrained by the company's weak
financial risk profile marked by low profitability margins,
leveraged capital structure and weak liquidity position with high
utilization of working capital limits. The ratings also consider
the company's exposure to fluctuation in raw material prices, its
presence in the competitive and fragmented auto ancillary industry
and cyclicality inherent in automobile industry. However, the
ratings derive strength from the experience and track record of
VICPL's promoters and the company's established customer base.

Going forward, VICPL's ability to improve its profitability
profile amid competition and improve its capital structure while
effectively managing its working capital requirements shall remain
the key rating sensitivities.

VICPL was incorporated in 1996 and is engaged in the manufacturing
of precision sheet metal components primarily to the automotive
industry. The company manufactures door hinges, handle of hand
brakes, clutch parts and other fabricated and stamped components
for original equipment manufacturers (OEMs). Its manufacturing
facilities are located at Faridabad, Haryana.

During FY14 (refers to the period April 1 to March 31), on a total
operating income of INR171.80 crore, the company reported a PBILDT
and net loss of INR8.87 crore and INR0.52 crore, respectively.
Furthermore, during 9MFY15 (provisional) (refers to the period
April 1 to December 31), it has reported a PBILDT of INR7.90 crore
of on a total operating income of INR146.08 crore.


VGN HOMES: CRISIL Ups Rating on INR1.46BB LT Loan to B+
-------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
VGN Homes Pvt Ltd (VHPL) to 'CRISIL B+/Stable' from 'CRISIL
B/Stable', while assigning a short-term rating of 'CRISIL A4'

                      Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bill Purchase         10       CRISIL A4 (Reassigned)

   Long Term Loan     1,460       CRISIL B+/Stable (Upgraded
                                  from 'CRISIL B/Stable')

   Overdraft Facility   140       CRISIL B+/Stable (Upgraded
                                  from 'CRISIL B/Stable')

   Proposed Long Term
   Bank Loan Facility   140       CRISIL B+/Stable (Upgraded
                                  from 'CRISIL B/Stable')

The rating upgrade reflects CRISIL's belief that VHPL will
maintain its improved liquidity over the medium term, marked by
steady cash inflows from healthy booking rates on ongoing
projects. The company is expected to generate sufficient annual
cash accruals of around INR330 million to INR384 million over the
medium term, to service its maturing debt obligations.

The ratings continue to reflect VHPL's below-average financial
risk profile, marked by high gearing and average debt protection
metrics; the company also remains exposed to risks relating to
geographic concentration in revenue and to intense competition.
The company, however, benefits from its established brand name in
Chennai (Tamil Nadu) and its promoters' extensive industry
experience.
Outlook: Stable

CRISIL believes that VHPL will continue to benefit over the medium
term from its established market position in the Chennai real
estate market. The outlook may be revised to 'Positive' if VHPL
reports healthy bookings in its new projects leading to higher
than expected cash flows. Conversely, the outlook may be revised
to 'Negative' if VHPL's liquidity is constrained by delayed
bookings or sizeable project-related debt.

VHPL, incorporated in 2004, develops residential apartments and
houses in Chennai and its suburbs. The company is part of the VGN
group set up by Mr. V Guruswamy Naidu in 1942. VHPL is currently
managed by Mr. Devadoss, grandson of Mr. V Guruswamy Naidu.



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


BANK DANAMON: Fitch Affirms 'BB+' LT IDR; Outlook Stable
--------------------------------------------------------
Fitch Ratings has affirmed the Long-Term Foreign Currency Issuer
Default Rating (IDR) of three banks in Indonesia:

   -- PT Bank Central Asia Tbk (BCA)
   -- PT Bank Danamon Tbk (Danamon) and
   -- PT Bank Pan Indonesia Tbk (Panin)

At the same time, Fitch Ratings Indonesia has affirmed their
National Ratings.

'AAA(idn)' Long-Term National Ratings denote the highest ratings
assigned by Fitch on its national rating scale for that country.
This rating is assigned to issuers or obligations with the lowest
expectation of default risk relative to all other issuers or
obligations in the same country.

'AA(idn)' Long-Term National Ratings denote expectations of very
low default risk relative to other issuers or obligations in the
same country.  The default risk inherently differs only slightly
from that of the country's highest rated issuers or obligations.

'F1(idn)' Short-Term National Ratings indicate the strongest
capacity for timely payment of financial commitments relative to
other issuers or obligations in the same country.  Under the
agency's National Rating scale, this rating is assigned to the
lowest default risk relative to others in the same country.  Where
the liquidity profile is particularly strong, a "+" is added to
the assigned rating.

KEY RATING DRIVERS - IDRs, VRs and National Ratings

BCA's IDRs, Viability Ratings (VRs) and National Ratings reflect
Fitch's view that its strong credit fundamentals will continue to
be underpinned by its business model, which focuses on low-risk
transactional banking, and will remain comparable with higher
rated peers' in emerging markets.  However, the credit profile is
constrained by BCA's operating environment.  BCA has demonstrated
resilient and strong performance in challenging operating
conditions in 2014 with improved profitability and sound asset
quality.  It benefited from higher interest rates in 2014, due to
its large low-cost savings and demand deposit pool, which formed
around 75% of total deposits.  BCA's Fitch core capital (FCC)
ratio improved to 18.5% at end-2014 from 17% at end-2013,
supported by its strong internal capital generation.

Danamon's IDRs, VRs and National Ratings reflect its strong
capital profile (FCC ratio at 19% at end-2014), modest asset
quality, weakening profitability and its relatively weaker funding
profile.  Danamon has recently been reducing its reliance on mass-
market customers in response to increased competition in the
market segment, and instead targeting loans to SMEs.  The shift
could lead to lower profitability in the short to medium term due
to a smaller contribution from high-margin mass-market lending.
Nonetheless, Fitch believes Danamon's capitalisation is strong
enough to withstand the earnings pressure and potential asset
quality challenges.

Panin's IDRs and VRs reflect modest earnings compared with higher-
rated Indonesian banks, improved capital and satisfactory asset
quality.  Panin's core capital has improved, with its FCC ratio
increasing to 16.1% at end-2014 from 14.9% at end-2013, due to
increased profit retention and slower loan growth.  Panin's
profitability was better than its second-tier bank peers, such as
Danamon, PT Bank CIMB Niaga Tbk (BBB/Stable/AAA(idn)) and PT Bank
Internasional Indonesia Tbk (BBB/Stable/(AAA(idn)), as it reduced
more risky credit exposures earlier in the cycle.  Its credit cost
fell to 0.4% compared with the average 0.9% among Indonesia's nine
largest banks by assets.

The Stable Outlooks reflect Fitch's expectation that the three
banks will be able to comfortably cover the potential increase in
non-performing loans and rise in credit and funding costs without
impairing capital due to their satisfactory pre-provision profits
and loan loss provisions.

RATING SENSITIVITIES - IDRs, VRs, and National Ratings

BCA's ratings are sensitive to a significant change in its
business model resulting in greater appetite for risk and/or a
sharp deterioration of the operating environment manifested by a
lower sovereign rating.

Danamon's ratings are sensitive to sustained deterioration in
asset quality and profitability.  Furthermore, significant decline
in its capital profile could lead to a lower VR.  Rating upside
for Danamon may result from material improvement in its franchise
and flexibility in funding and liquidity while maintaining sound
asset quality and profitability.

For Panin, rapid loan expansion, which could negatively affect its
capital and funding position in a difficult economy, may result in
a downgrade of the bank's VR.  However, as the 'BB' IDR of Panin
is at the same level as its SRF, the IDR will not be affected by a
downgrade of the bank's VR, unless considerations underpinning its
'BB' SRF also weaken.  Sustained improvements in its ability to
generate capital and profitability would be positive for the VR.

RATING DRIVERS AND SENSITIVITIES - SUPPORT RATING (SRs) and
SUPPORT RATING FLOOR (SRFs)

The SRs and SRFs of the three banks, reflect Fitch's view of a
moderate probability of extraordinary state support available to
them, if needed.  Fitch believes that these three banks are
systemically important to the country because BCA, Danamon and
Panin are the third, sixth and eighth largest banks in Indonesia
by assets, respectively.  A change in the government's ability and
willingness to provide extraordinary support would affect these
banks' SRs and SRFs.

The list of rating actions is:

BCA:
Long-Term IDR affirmed at 'BBB-'; Outlook Stable
Short-Term IDR affirmed at 'F3'
National Long-Term Rating affirmed at 'AAA(idn)'; Outlook Stable
National Short-Term Rating affirmed at 'F1+(idn)'
Viability Rating affirmed at 'bbb-'
Support Rating affirmed at '3'
Support Rating Floor affirmed at 'BB+'

Danamon:
Long-Term IDR affirmed at 'BB+'; Outlook Stable
Short-Term IDR affirmed at 'B';
National Long-Term Rating affirmed at 'AA+(idn)'; Outlook Stable
National Short-Term Rating affirmed at 'F1+(idn)'
Viability Rating affirmed at 'bb+'
Support Rating affirmed at '3';
Support Rating Floor affirmed at 'BB'

Panin:
Long-Term IDR affirmed at 'BB'; Outlook Stable
Short-Term IDR affirmed at 'B'
Viability Rating affirmed at 'bb'
Support Rating affirmed at '3'
Support Rating Floor affirmed at 'BB'



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


SOLID ENERGY: To Reveal Restructuring Plans Today
-------------------------------------------------
Hamish McNicol at NBR Online reports that Solid Energy is to
announce further restructuring today, May 7, possibly including
job losses, which will be a "shock" for the West Coast, Labour MP
Damien O'Connor said.

In March, the company foreshadowed more redundancies at its
Stockton mine, near Westport, because of slumping global prices
for coking coal, the report recalls.

It was talking to its banks to restructure its borrowing, the
report says.

According to the report, Chief executive Dan Clifford told
Parliament's finance and expenditure select committee plans were
under way to stem the losses, and "reductions will be inevitable
on the basis of those plans."

NBR Online relates that Mr Clifford said staff were being kept
informed of the company's difficulties and decisions are "not a
matter of days or of double digit months."

Now, Labour's MP for West Coast-Tasman, Damien O'Connor, said he
has his fingers crossed any job losses will be minimal.

The company is to meet staff today, May 7, to update them on
restructuring plans, NBR Online notes.

According to the report, Mr. O'Connor told TV3 up to 400 people
will be waiting to hear about their jobs, with any losses likely
to cause a "shock" to the West Coast communities.

"Now the reality of a slump in the coal price will hit the miners
as it has too often throughout history," the report quotes
Mr. O'Connor as saying.  "The West Coast will survive as it has in
the past but the immediate impact on many young local families
will be devastating."

In March, acting Solid Energy chairman Andy Coupe would not
speculate on whether the company might fail but said there were "a
number of potential outcomes" from current discussions with its
banking consortium and that Solid Energy was "expecting no further
support from the Crown," the report relays.

Finance Minister Bill English questioned whether Solid Energy
remained commercially viable, the report notes.

Restructuring and cost-cutting had reduced Solid Energy's
breakeven price for coking coal to between US$120 and US$130 a
tonne, but it was basing its plans on a price in the year ahead of
US$110 a tone, NBR Online adds.

                        About Solid Energy

Solid Energy New Zealand Ltd is New Zealand's largest coal mining
company and an investor in research and commercialisation of
sustainable forms of energy that use coal, coal seam gas, biomass,
biodiesel and solar. Solid Energy's core mining business
includes hard coking coal, primarily for export to steel mills
throughout Asia, and thermal coal for the Huntly power station
and other domestic customers in the steel, dairy and cement
industries.

As reported in the Troubled Company Reporter-Asia Pacific on
Nov. 6, 2014, BusinessDesk said Solid Energy posted its third
annual loss in a row as the financially distressed state-
owned coal miner wrote down the value of its export operations
amid lower coal price assumptions, and warned of more red ink to
come.

BusinessDesk related that the Christchurch-based state-owned
enterprise reported a loss of NZ$181.9 million in the 12 months
ended June 30, compared to a loss of NZ$335.4 million a year
earlier, it said in its annual report tabled in Parliament on
October 31.  The company's board doesn't anticipate it will return
to profitability until the 2017 financial year, based on its
current projections, BusinessDesk added.


TRIBECA HOMES: Goes Into Liquidation
------------------------------------
3News reports that a house investment company has finally gone
into liquidation and caved in to creditor's pressure, after
failing to build nearly NZ$10 million worth of new homes.

Tribeca Homes was placed into liquidation at the request of
subcontractor F&M Construction by the High Court, the New Zealand
Herald reported, according to 3News.

The report notes that Tribeca Homes, directed by Mark Richards,
had advertised and sold land and building packages but earlier
this year stated it was unable to fulfil 44 contracts worth $10
million, the Herald previously reported.

Associated companies Tribeca Homes Holdings and Personal
Retirement Planning Franchising have also entered liquidation,
3News discloses.

The report relates that there were complaints from clients of long
delays -- some more than two years -- and reports of vacant lots
littered with rubbish and rotting building materials.

Tribeca Homes liquidator Gregory Sheriff --
greg.sherriff@nz.gt.com -- of the firm Grant Thornton told the
Herald he felt sorry for clients who had been left in the lurch,
3News discloses.

"In many cases they've been hoping beyond hope that something will
come through, and that clearly hasn't happened."

Daniel Carney, a financial adviser for Goodlife Financial Advice,
was responsible for referring clients to Tribeca Homes and
reportedly received NZ$280,000 in commission, the report relays.

Mr. Carney told the Herald he had lost money in the liquidation,
the report discloses.

Mr. Richards had earlier blamed his company's problems on
substandard subcontractors, the report adds.


VICTORIA STREET: In Liquidation, May Have NZ$1.4MM for Creditors
----------------------------------------------------------------
Suze Metherell at BusinessDesk reports that liquidators of
property developer Tony Gapes's investment vehicle Victoria Street
West are yet to finalise how much is owed, but said there is the
potential of NZ$1.4 million to be available for unsecured
creditors.

Victoria Street West appointed liquidator John Gilbert of C&C
Strategic on April 10.

In Mr. Gilbert's first liquidators report he was still
establishing how much was owed to creditors. The liquidators
report says Victoria Street West, previously known as RW Corporate
and Redwood Group, bought a development property prior to the
global financial crisis in 2008, according to BusinessDesk.

The report notes that the development became "unviable" and was
eventually sold by the mortgagees, leaving a number of "unsecured
creditors including related parties" unpaid.

Victoria Street West had not traded since 2014, and appears to
have acted as corporate trustee for the Redwood Group Trust, said
Mr. Gilbert's report, BusinessDesk discloses.

Redwood Group is a property developer wholly owned by Mr. Gapes.

The developer has previously said more liquidations may follow as
his accountant goes through various company structures, the report
relates.  Mr. Gapes is listed as the shareholder and director of
six companies, of which he is the sole shareholder of five,
according to the Companies Office, the report says.

In an email to BusinessDesk in April after the appointment of the
liquidators, Mr. Gapes said Victoria Street West was an unused
entity, and "after what we have been through in the last few years
we are starting to go through and tidy up a lot of our old
entities so we have no loose ends hanging around going forward,"
the report discloses.

Mr. Gapes is building 424 affordable townhouses and apartments for
his Springpark residential development in the Auckland suburb of
Mount Wellington.  In May last year, Mr. Gape's majority owned
Panama Road Developments, the developer responsible for
Springpark, was put into receivership when Crown Finance demanded
repayment, leaving Panama Road owing secured creditors NZ$2.5
million, the report notes.

The company emerged out of receivership two months later and the
development is now fully funded, Mr. Gapes said, the report
relays.

Springpark's website names Redwood Group as the developers,
however Gapes said in his email Panama Road was the developer.

Mr. Gapes said the first 160 homes were under construction with
the first home expected in June, the report adds.



===============
P A K I S T A N
===============


PAKISTAN: S&P Affirms B- Sov. Credit Rating; Outlook Now Positive
-----------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on the
Islamic Republic of Pakistan's long-term sovereign credit rating
to positive from stable.  S&P also affirmed its 'B-' long-term and
'B' short-term sovereign credit ratings on Pakistan.

RATIONALE

The positive outlook reflects S&P's view of Pakistan's improved
economic growth prospects, which S&P expects to further improve
its budgetary position.  The government is making significant
progress in fiscal consolidation, and Pakistan's external
financing conditions and external performance also continue to
improve.

The ratings reflect vulnerabilities in Pakistan's institutional
and governance effectiveness that are partly associated with the
country's security risks.  Other rating constraints include
Pakistan's low income, weak monetary policy framework, and
shortfalls in infrastructure and services that have historically
been negative to its fiscal performance.  These factors are offset
by gains in Pakistan's economic, fiscal, and external performance,
which benefits from the strong financial and technical support of
donors.

Pakistan's government continues to face significant domestic and
external security risks.  S&P observes that policy responses
continue to be challenged by a material risk of domestic conflict
and social upheaval.  Impaired transparency and governance,
nepotism, corruption, and material data gaps further undermine the
effectiveness, stability, and predictability of Pakistan's
policymaking and political institutions.

The Pakistani economy generates low income but it is relatively
diversified.  S&P estimates its GDP per capita to rise by 4.3% to
about US$1,460 this year, from 5.4% in 2014.  S&P has revised its
2015-2017 average real GDP growth projections for Pakistan to
4.6%, from 3.8% previously, reflecting strong capital inflows and
remittances, and lower oil prices, which support business
confidence and investment spending.  S&P projects growth of GDP
per capita over 2015-2019 to average 2.6%, reflecting the sound
outlooks for the agriculture and construction sectors (in spite of
recent floods), and Pakistan's trading partners.  Inflation has
declined and S&P expects it to average 4.8% over 2015-2019.
Uncertain conditions in export markets, a weak business climate
and inadequate infrastructure (mainly in energy) are the main
factors that add downside risks to S&P's growth outlook for the
economy.

Pakistan's fiscal performance has also exceeded S&P's expectations
for 2014, with the general government deficit now estimated at
4.5% of GDP in 2015, compared with S&P's earlier forecast of 5.5%.
The outperformance reflects a combination of improved collections
and restrained expenditure, largely in line with the reforms under
the International Monetary Fund program.  S&P expects further
fiscal consolidation (of an estimated 1% of GDP over 2015-2016)
from broadening the tax base, reducing tax concessions, and
improving compliance, while addressing expenditure-side rigidities
(such as through lowering subsidies and public-sector salaries).

S&P forecasts Pakistan's fiscal deficits to average 3.5% of GDP
over 2016-2019, and the net general government debt burden to fall
to 50.5% of GDP by 2019 (from 57% in 2015) as the deficit shrinks.
In line with the falling debt stock and cost of borrowing, S&P
expects Pakistan's interest costs will approach 25.5% of general
government revenues in 2019, from an estimated 30.6% in 2015.

Pakistan's external performance indicators stabilized further in
2014 and have a broadly neutral impact on its creditworthiness.
S&P estimates the current account deficit declined to 1.2% of GDP
in 2014, partly reflecting lower oil prices, and S&P expects it to
average about 2% over 2015-2019.  Foreign exchange reserves rose
further to US$11.6 billion as of March 2015 from an average of
US$6 billion in 2012-2013; as per the definition of "net liquid
foreign exchange reserve" of the State Bank of Pakistan (SBP),
that figure also reflects donor disbursements and privatization
proceeds.

S&P expects Pakistan's external debt burden to remain moderate,
with narrow net external debt (the ratio of gross external debt
less official reserves and financial sector external assets to
current account receipts [CARs]) averaging 73.4% over 2015-2019.
External liquidity (measured by the ratio of gross external
financing needs to current account receipts and useable reserves)
will also remain a moderate 106.8% on average over the period.
S&P do not envisage a marked deterioration in Pakistan's external
financing from a shift in foreign direct investments or portfolio
equity investments, or from a reduction in disbursements from
donors.

The recent improvements in Pakistan's external debt dynamics have
eased the government's market access and funding costs.  However,
this could reverse with a weaker outlook for key trading partners,
higher oil prices, or elevated volatility in global financial
markets.

Pakistan's banking system appears sound, reflecting its high
profitability and strong capitalization.  A moderate nonperforming
loan ratio at 13% as of September 2014, and the industry's still-
developing risk assessment and prudential measures continue to
pose risks.

S&P regards the SBP's ability to support sustainable economic
growth while attenuating economic or financial shocks to be
broadly neutral to S&P's ratings.  This reflects its limited
independence and historical role in funding fiscal deficits
(albeit this has been declining).  The SBP has a lengthening
record in keeping inflation low, and in the use of market-based
instruments to conduct policy.  In S&P's opinion, a deeper and
more diversified financial and capital market would boost the
effectiveness of policy transmission and improve credit metrics.

OUTLOOK

The positive outlook reflects S&P's expectations of Pakistan's
improved economic growth prospects, fiscal and external
performance, and the supportive relationship of external donors
over the next 12 months.

S&P may raise its ratings on Pakistan if these factors occur
together with receding security risks and an improved business
environment:

   -- GDP growth continues to be better than S&P's expectation,
      exceeding its revised forecast of 4.6% over 2015-2017; or

   -- General government debt declines faster than S&P's
      projection due to fiscal outperformance; or

   -- Gains in Pakistan's external performance continue to
      support the accumulation of reserves.

S&P may revise the outlook back to stable if Pakistan's economic,
fiscal, and external performance weakens again.

In accordance with S&P's relevant policies and procedures, the
Rating Committee was composed of analysts that are qualified to
vote in the committee, with sufficient experience to convey the
appropriate level of knowledge and understanding of the
methodology applicable.  At the onset of the committee, the chair
confirmed that the information provided to the Rating Committee by
the primary analyst had been distributed in a timely manner and
was sufficient for Committee members to make an informed decision.

After the primary analyst gave opening remarks and explained the
recommendation, the Committee discussed key rating factors and
critical issues in accordance with the relevant criteria.
Qualitative and quantitative risk factors were considered and
discussed, looking at track-record and forecasts.

The committee agreed that economic, fiscal, and external rating
had improved.  All other key rating factors were unchanged.

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

RATINGS LIST

Ratings Affirmed; Outlook Action
                                        To                 From
Pakistan (Islamic Republic of)
Sovereign Credit Rating         B-/Positive/B      B-/Stable/B
Transfer & Convertibility Assessment   B-

Ratings Affirmed

Senior Unsecured                       B-
Short-Term Debt                        B

Second Pakistan International Sukuk Co. Ltd. (The)
Senior Unsecured                       B-



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


DONGKUK STEEL: Mulls Closing Down Another Plate Mill
----------------------------------------------------
Suk Gee-hyun at The Korea Herald reports that Dongkuk Steel Mill
said on May 5 that is considering closing down a shipbuilding
plate factory as part of its restructuring efforts.

According to the report, the company said in a regulatory filing
that the company is reviewing a plan to stop its factory operation
in Pohang, North Gyeongsang Province. The line has an annual
production capacity of 1.9 million tons, the report notes.

If the factory closes, it will follow the first plate mill's
closure in 2012, and only one plate mill with a 1.5 million-ton
capacity in Dangjin, South Chungcheong Province, will be left in
operation, the report discloses.

The Korea Herald relates that the move comes less than a month
after the company decided to sell its headquarters building in
Seoul to Samsung Life Insurance for KRW420 billion ($389 million)
to improve its financial status.

The report says Dongkuk had enjoyed high sales of plates in
thickness of 6-100 millimeters that are used for building offshore
plants and vessels, but has gradually lost ground due to
oversupply in the domestic market and low-cost Chinese products.

The sluggish shipbuilding market is another reason behind the
firm's struggle to keep the sale of its business on track, the
report relates citing industry watchers.

The Korea Herald, citing the company's earnings report, discloses
that Dongkuk Steel saw its sales slump 9.3 percent on-year to
reach KRW6.68 trillion, while logging KRW20.4 billion in operating
losses.

In January, Dongkuk absorbed its affiliate Union Steel to improve
its financial status and diversify the steelmaker's portfolio,
which covered both hot and cold rolled sheets, the report recalls.

But the company was recently hit by suspicions that its chairman
Chang Sae-joo siphoned about KRW20 billion from the company and
habitually engaged in illegal gambling, The Korea Herald notes.

The scandal has also cast doubts over the firm's mill construction
project in Brazil, in which Dongkuk invested some KRW862 billion
as a stepping stone for the company's revival, the report adds.

Dongkuk Steel Mill Co., Ltd (KRX:001230) is a Korea-based company
principally engaged in the manufacture of steel products. The
Company operates in four business divisions: steel,
transportation, trading and other.



POS-HIAL: Files For Court Receivership
--------------------------------------
Suk Gee-hyun at The Korea Herald reports that Pos-HiaL, an alumina
supplier in which POSCO has a 51 percent stake, filed for court
receivership last week, company officials said.

It is the first time in the steelmaker's 47-year history that one
of its affiliates has been put under court supervision, the report
notes.

Pos-HiaL was established in 2012 as a joint venture between POSCO
M-Tech, POSCO's raw materials arm, and alumina manufacturer KC
Corporation. The company, however, has faced continued losses due
to low demand and oversupply in the LED market, according to the
report.

The Korea Herald relates that Pos-HiaL said it has been suffering
from capital impairment, seeing a KRW15.4 billion ($14.2 million)
loss from its KRW20 billion capital base.

Last year, the company recorded KRW1.44 billion in sales while its
operating loss logged KRW6.75 billion. The firm's net loss during
the period was KRW11.8 billion, the report discloses.

An official from the company said POSCO would decide whether to go
through a workout program or liquidation depending on the court's
decision, the report states.

"Liquidation is one of the many options being considered. But
nothing has been decided yet," the official, as cited by The Korea
Herald, said.

The report says the consensus among market insiders, however, is
that the alumina and LED manufacturer will be liquidated due to
prolonged losses.

The Korea Herald notes that POSCO has been pushing for drastic
restructuring to revamp its business portfolio and boost its
fiscal soundness.

The report relates that the company went through 11 restructuring
processes last year, but it has been under pressure to take
stronger adjustments.

According to the report, market watchers said that for POSCO,
which is already being scrutinized for alleged corruption,
liquidating the subsidiary in a show of taking stronger
restructuring steps may be too great to pass.

The report say the prosecution has been expanding its
investigation into POSCO's embezzlement in overseas business
projects under the helm of former chairman Chung Joon-yang.
Prosecutors believe the company created a slush fund while
implementing engineering projects in Vietnam, the report relates.

Another speculation behind the expected liquidation is that
choosing to keep the subsidiary alive could result in a repeat of
the controversy surrounding POSCO Plantec, The Korea Herald says.

Since 2010, POSCO has injected KRW290 billion into POSCO Plantec,
in an attempt to keep the plant-building arm afloat.  However,
POSCO Plantec's deficits have only grown, attracting criticism,
the report notes.



                             *********

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

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

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


                            *********


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

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

Copyright 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,
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Information contained herein is obtained from sources believed
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                 *** End of Transmission ***