TCRAP_Public/151014.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                      A S I A   P A C I F I C

          Wednesday, October 14, 2015, Vol. 18, No. 203


                            Headlines


A U S T R A L I A

AUSTRALIA: Housing Bust Now The Greatest Recession Risk
CRUSADE ABS 2012-1: Fitch Affirms 'BBsf' Rating on Class E Notes
ETRES RESOURCES: First Creditors' Meeting Slated For Oct. 20
FLUTE NOMINEES: First Creditors' Meeting Set For October 21
RENEX HOLDINGS: First Creditors' Meeting Set For October 21

VERTICAL PLANNING: First Creditors' Meeting Set For Oct. 20


C H I N A

CHINA: Chance of Crash at Year-end at 20%, Says Commerzbank
KAISA GROUP: Bonds Jump on Onshore Lender Restructuring Deal


I N D I A

AMKETTE ANALYTICS: CRISIL Reaffirms B+ Rating on INR70MM Loan
ARYA EDUCATIONAL: CARE Assigns B+ Rating to INR9cr LT Loan
BAJAJ PROCESSORS: CRISIL Reaffirms B+ Rating on INR111.4MM Loan
BENITO CERAMIC: CRISIL Reaffirms B- Rating on INR50MM Term Loan
EDIZ CERAMIC: CRISIL Reaffirms B Rating on INR52.5MM Term Loan

GALA PULSE: CRISIL Reaffirms B+ Rating on INR200MM Cash Loan
GRANITE ZONE: CRISIL Reaffirms B+ Rating on INR40MM LT Loan
INDIABULLS REAL: Fitch Affirms 'B+' LT FC Issuer Default Rating
INDOMET STEEL: CARE Assigns B+ Rating to INR6.45cr LT Loan
JNSL FERRO: CRISIL Assigns B+ Rating to INR49MM Cash Loan

JK HITECH: CARE Assigns B+ Rating to INR11.61cr LT Loan
K. RAVINDRAN: CRISIL Ups Rating on INR230MM Cash Loan to B+
KAABA TRADING: CRISIL Reaffirms B Rating on INR63MM Cash Loan
KAMDHENU REALITIES: CRISIL Reaffirms B+ Rating on INR100MM Loan
KARTIKA ISPAT: CRISIL Cuts Rating on INR120MM Cash Loan to 'D'

KINGFISHER AIRLINES: CBI Raids Offices on Loan Default
LOTUS LANDMARKS: CRISIL Assigns 'B' Rating to INR80MM LT Loan
MACEDON VINIMAY: CRISIL Reaffirms B Rating on INR50MM Cash Loan
MCNALLY BHARAT: CARE Revises Constr. Contractor Grading to CCt-3
NAINITAL MOTORS: Ind-Ra Assigns 'IND BB+' Long-Term Issuer Rating

OM SAKTHI: CRISIL Reaffirms 'B' Rating on INR95MM Loan
P. C. INDUSTRIES: CRISIL Assigns B- Rating to INR55MM Cash Loan
PARMESHWARI SILK: CRISIL Assigns B+ Rating to INR220MM Loan
R. I. COTTON: CARE Reaffirms B+ Rating on INR16.56 cr LT Loan
S.R.K. FABRICS: CRISIL Assigns 'D' Rating to INR60MM Cash Loan

SAGGI ELECTRIC: CRISIL Lowers Rating on INR20MM Loan to B
SAKARDA SYNTHETICS: CRISIL Reaffirms B Rating on INR50MM Loan
SEVEN HILLS: Ind-Ra Assigns BB- Issuer Rating; Outlook Stable
SFPL CROP: CRISIL Reaffirms 'B' Rating on INR66.2MM Cash Loan
SGS MOTORS: Ind-Ra Assigns BB+ LT Issuer Rating; Outlook Stable

SHAH PULSE: CRISIL Reaffirms B+ Rating on INR250MM Cash Loan
SHIROLI BUDRUK: CRISIL Assigns 'B+' Rating to INR200MM Cash Loan
SHYAM ENTERPRISES: CRISIL Cuts Rating on INR223MM Loan to B+
SNB INFRASTRUCTURE: CRISIL Reaffirms 'D' Rating on INR200MM Loan
SRINIVASA RICE: CARE Assigns B Rating to INR6.80cr LT Loan

TRANS VOLT: CRISIL Assigns 'B' Rating to INR40.9MM LT Loan
TRIBHAWAN AND CO: CRISIL Assigns 'B' Rating to INR100MM Loan
TURBO CAST: CRISIL Reaffirms B+ Rating on INR58.5MM Term Loan
TUSHAR FABRICS: CRISIL Ups Rating on INR45MM Cash Loan to B+
VAIBHAV LAXMI: CARE Reaffirms B+ Rating on INR17cr Loan

VAIBHAV LAXMI IND.: CARE Reaffirms B/A4 Rating on INR18cr Loan
VENKATESWARA ENTERPRISES: CRISIL Rates INR5MM Cash Loan at B+
VIJAYASREE COTTON: CRISIL Reaffirms B Rating on INR50MM Loan
YAZDANI STEEL: CRISIL Reaffirms 'C' Rating on INR157.7MM Loan


P H I L I P P I N E S

LAND BANK: Fitch Affirms Long-Term IDR at 'BB+'


T H A I L A N D

THAILAND: Corporate Default Highlights Risks to Banks, Fitch Says


V I E T N A M

SAIGON THUONG: Moody's Puts B3 Issuer Rating on Review
VIETNAM: TPP Could Give Major Long-Term Growth Boost, Fitch Says


X X X X X X X X

* Asian Liquidity Stress Index Rises to 26.6%, Moody's Says


                            - - - - -


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


AUSTRALIA: Housing Bust Now The Greatest Recession Risk
-------------------------------------------------------
Mark Mulligan at The Sydney Morning Herald reports that house
prices are set for a 7.5% decline from March next year, with the
resulting slowdown hitting the broader economy and risking a
recession, economists have warned.

According to the report, several leading investment banks have
tipped that Australia's housing market, which has been a driver of
economic activity as mining has slowed, is close to peaking as
household budgets are stretched and supply begins to outstrip
demand.

SMH relates that although softening prices would make the market
more accessible to aspiring home owners, they could trap highly
leveraged buyers and push up unemployment as the sector cooled.

The report says Macquarie forecast in a research note on
October 12 that the nation was looking at a 7.5% reduction from
"peak to trough".

SMH relates that Credit Suisse goes a step further, warning that
property investment in Australia is "riskier than the equity
market", particularly in NSW.

"Home-buying conditions have deteriorated sharply," equity
analysts Damien Boey and Hasan Tevfik wrote, the report relays.
"Housing is no longer the safe haven asset relative to equities."

According to SMH, Bank of America Merrill Lynch economist Alex
Joiner said household debt measures had soared to their highest
ever levels, raising the risk of a "hard landing".

The dwelling price to income ratio is at "never before observed"
levels of five and a half times, and the household debt to gross
domestic product ratio is at a "record high" 133.6%, the report
says.

That level of debt coupled with a downturn in housing could
further crimp consumer spending and property investment once the
Reserve Bank of Australia was forced to tackle inflation by
lifting interest rates, says SMH.

SMH relates that Mr. Joiner said that while the chance of a "hard
landing" in the Chinese economy was small, a sharp decline in
demand for housing in overheated markets such as Melbourne and
Sydney was more probable and would drag the broader economy with
it.

"We are not forecasting collapse or the bursting of any perceived
bubble," Mr Joiner wrote in a note obtained by SMH.

"That said, it is not difficult to envisage a more hard landing
scenario in the property market.  This would clearly have a
greater negative macroeconomic impact channelled through
households and the residential construction cycle."


CRUSADE ABS 2012-1: Fitch Affirms 'BBsf' Rating on Class E Notes
----------------------------------------------------------------
Fitch Ratings has affirmed the ratings of 15 tranches from three
Crusade ABS Series transactions. The transactions are
securitisations of Australian auto receivables originated by
St.George Finance Limited.

The rating actions are listed below:

Crusade ABS Series 2012-1 Trust:
AUD328.7 million Class A affirmed at 'AAAsf'; Outlook Stable;
AUD26.3 million Class B affirmed at 'AAsf'; Outlook Stable;
AUD15.8 million Class C affirmed at 'Asf'; Outlook Stable;
AUD10.5 million Class D affirmed at 'BBBsf'; Outlook Stable; and
AUD9.7 million Class E affirmed at 'BBsf'; Outlook Stable.

Crusade ABS Series 2013-1 Trust:

AUD555 million Class A notes affirmed at 'AAAsf'; Outlook Stable;
AUD32.8 million Class B notes affirmed at 'AAsf'; Outlook Stable;
AUD24.6 million Class C notes affirmed at 'Asf'; Outlook Stable;
AUD19.7 million Class D notes affirmed at 'BBBsf'; Outlook Stable;
AUD11.5 million Class E notes affirmed at 'BBsf'; Outlook Stable;

Crusade ABS Series 2015-1 Trust:

AUD648 million Class A notes affirmed at 'AAAsf'; Outlook Stable;
AUD40 million Class B notes affirmed at 'AAsf'; Outlook Stable;
AUD29 million Class C notes affirmed at 'Asf'; Outlook Stable;
AUD25.5 million Class D notes affirmed at 'BBBsf'; Outlook Stable;
AUD16 million Class E notes affirmed at 'BBsf'; Outlook Stable;


KEY RATING DRIVERS

The affirmations reflect Fitch's view that the transactions have
performed within expectations since closing and in line with its
expectations of Australia's economic conditions. Total net losses
have been below or in line with Fitch's base cases to date and
excess spread has covered any losses incurred. The ratings also
reflect St.George Finance Limited's underwriting and servicing
capabilities, the quality of the collateral, and performance of
the underlying loans, which have remained in line with the
agency's expectations.

Crusade ABS Series 2015-1 Trust is currently within a 12-month
substitution period, which ends on the payment date in May 2016,
and to date, all principal proceeds have been allocated to
purchasing additional receivables or have been retained to
purchase additional receivables. Crusade ABS Series 2015-1 Trust's
arrears and losses are low given the transaction has been issued
recently in March 2015.

The substitution periods for Crusade ABS Series 2012-1 Trust and
Crusade ABS Series 2013-1 Trust have ended and the transactions'
pro-rata triggers have been satisfied, with the transactions
amortising pari passu across all notes, limiting the build-up of
credit enhancement.

At 31 August 2015, 30+days arrears for both transactions were
above Fitch's Dinkum ABS index of 1.34%.

Crusade ABS Series 2013-1 Trust: 30+days and 90+days delinquency
rates were 2.2% and 0.7% of the collateral pool, respectively, at
31 August 2015. Cumulative losses since closing have been in line
with expectations, totalling AUD5.7m. All losses have been covered
by recoveries or excess spread.

Crusade ABS Series 2012-1 Trust: 30+days and 90+day delinquency
rates were 3.3% and 1.2% of the collateral pool, respectively, at
31 August 2015. Cumulative losses since closing have been in line
with expectations, totalling AUD14.0m. All losses have been
covered by recoveries or excess spread.

RATING SENSITIVITIES

An unexpected increase in delinquencies, defaults and losses would
be necessary before any negative rating action would be
considered. An upgrade may be considered in the event that net
losses stabilise.

DUE DILIGENCE USAGE

No third-party due diligence was provided or reviewed in relation
to this rating action

DATA ADEQUACY

Fitch conducted a file review of 10 sample loan files focusing on
the underwriting procedures conducted by St.George Finance Limited
compared to its credit policy at the time of underwriting. Fitch
has checked the consistency and plausibility of the information
and no material discrepancies were noted that would impact Fitch's
rating analysis.


ETRES RESOURCES: First Creditors' Meeting Slated For Oct. 20
------------------------------------------------------------
Christopher John Palmer of O'Brien Palmer was appointed as
administrator of Etres Resources Limited on Oct. 9, 2015.

A first meeting of the creditors of the Company will be held at
the offices of O'Brien Palmer, Level 14, 9-13 Hunter Street, in
Sydney, Oct. 20, 2015, at 11:00 a.m.


FLUTE NOMINEES: First Creditors' Meeting Set For October 21
-----------------------------------------------------------
Petr Vrsecky and Glenn J. Franklin of PKF Melbourne were appointed
as administrators of Flute Nominees Pty. Ltd. on Oct. 9, 2015.

A first meeting of the creditors of the Company will be held at
PKF Melbourne, Level 13, 440 Collins Street, in Melbourne, on Oct.
21, 2015, at 10:00 a.m.


RENEX HOLDINGS: First Creditors' Meeting Set For October 21
-----------------------------------------------------------
Rahul Goyal, Richard Tucker and Craig Shepard of KordaMentha were
appointed as administrators of Renex Holdings (Dandenong) 1 Pty
Ltd, trading as Renex Industries, Renex Holdings (Dandenong) 2 Pty
Ltd, Renex Operations (Dandenong) Pty Ltd, Renex Technology Pty
Ltd and Renex Land (Dandenong) Pty Ltd on Oct. 9, 2015.

A first meeting of the creditors of the Company will be held at
KordaMentha's Boardroom, Level 24, 333 Collins Street, in
Melbourne, Oct. 21, 2015, at 12:00 p.m.


VERTICAL PLANNING: First Creditors' Meeting Set For Oct. 20
-----------------------------------------------------------
Richard Albarran and Cameron Shaw of Hall Chadwick were appointed
as administrators of Vertical Planning International Pty Ltd,
trading as Galaxy Displays, on Oct. 8, 2015.

A first meeting of the creditors of the Company will be held at
Level 11, 16 St Georges Terrace, in Perth, on Oct. 20, 2015, at
9:30 a.m.



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


CHINA: Chance of Crash at Year-end at 20%, Says Commerzbank
-----------------------------------------------------------
Lianting Tu at Bloomberg News reports that as a rout in Chinese
stocks this year erased $5 trillion of value, investors fled for
safety in the nation's red-hot corporate bond market. They may
have just moved from one bubble to another, the report says.

So said Commerzbank AG, which puts the chance of a crash by year-
end at 20 percent, up from almost zero in June, Bloomberg reports.
According to Bloomberg, Industrial Securities Co. and Huachuang
Securities Co. are warning of an unsustainable rally after bond
prices climbed to six-year highs and issuance jumped to a record.
The boom contrasts with caution elsewhere. A selloff in global
corporate notes has pushed yields to a 21-month high, and credit-
derivatives traders are demanding near the most in two years to
insure against losses on Chinese government securities, the report
relays.

Bloomberg notes that while an imminent collapse isn't yet the
base-case scenario for most forecasters, China's CNY42.2 trillion
($6.7 trillion) bond market is flashing the same danger signs that
triggered a tumble in stocks four months ago: stretched
valuations, a surge in investor leverage and shrinking corporate
profits. A reversal would add to challenges facing China's ruling
Communist Party, which has struggled to contain volatility in
financial markets amid the deepest economic slowdown since 1990,
according to Bloomberg.

"The Chinese government is caught between a rock and hard place,"
Bloomberg quotes Zhou Hao, a senior economist in Singapore at
Commerzbank, Germany's second-largest lender. "If it doesn't
intervene, the bond market will actually become a bubble. And if
it does, the market could crash the way the equity market did due
to fast de-leveraging."

Bloomberg says the slide in stocks is one reason why corporate
bonds have done so well, prompting a 91 percent jump in issuance
last quarter.  According to Bloomberg, many investors who sold
shares during the Shanghai Composite Index's 38.4 percent drop
from its June high have plowed the proceeds into debt, viewing the
market as a haven given its history of almost negligible defaults.
Five interest-rate cuts since November have also fueled gains as
the People's Bank of China seeks to revive growth with lower
borrowing costs, the report states.

Yields on top-rated corporate notes due in five years have
declined 79 basis points, or 0.79 percentage point, this year to
4.01 percent, Bloomberg discloses. The yield premium over similar-
maturity government securities has dropped to 97 basis points,
near the lowest since 2009.

By contrast, the yield on corporate notes globally has increased
26 basis points to 2.92 percent. Credit-default swaps on China's
sovereign debt jumped to a more than two-year high of 133 basis
points in September and were last at 113 basis points, according
to Bloomberg.

A reversal in the bond market would do more damage to China's
economy than the drop in shares and exacerbate capital flight from
the biggest emerging market, Bloomberg reports citing a worst-case
scenario projected by Banco Bilbao Vizcaya Argentaria SA. The
Spanish lender more than doubled its first-quarter profit by
selling holdings in a Chinese bank, Bloomberg says.

"The equity rout merely reflects worries about China's economy,
while a bond market crash would mean the worries have become a
reality as corporate debts go unpaid," Bloomberg quotes Xia Le,
the chief economist for Asia at Banco Bilbao, as saying. "A
Chinese credit collapse would also likely spark a more significant
selloff in emerging-market assets."

For all the concerns about a bond rout, default levels in China
have so far been remarkably low, thanks in part to government-
orchestrated bailouts for troubled firms, the report says. Just
four companies have defaulted on onshore bonds, including Shanghai
Chaori Solar Energy Science & Technology Co., which became the
first to renege on its debt in 2014, Bloomberg discloses.


KAISA GROUP: Bonds Jump on Onshore Lender Restructuring Deal
------------------------------------------------------------
David Yong and Lianting Tu at Bloomberg News report that Kaisa
Group Holdings Ltd.'s dollar bonds headed for the best rally in
six months on speculation a restructuring agreement with an
onshore lender will allow the Chinese developer to focus on
resolving a stalemate with offshore creditors.

The Shenzen-based developer signed an agreement with Bank of China
Ltd. to restructure debt at its Shanghai unit, the Securities
Daily reported on October 13, citing a person close to the
company, according to Bloomberg. The builder's projects in
Shanghai and Wuhan have resumed construction and sales, the report
said.

Kaisa's $800 million of 8.875 percent 2018 notes jumped 2.48 cents
to 54.92 cents on the dollar as of 9:44 a.m., Oct. 13, in Hong
Kong, according to Bloomberg-compiled prices. After a 3.66 cent
gain on October 13, the securities are set for the best two-day
advance since April. The company's $500 million of 10.25 percent
2020 notes also rose for a second day to 55.22 cents. Both notes
are trading at their highest levels since August, Bloomberg notes.

"The extension of onshore facilities means that Kaisa has
consolidated its banking relationship and is getting ready to
resume operations," Bloomberg quotes Henry Ng, a credit desk
analyst at Citic Securities International Co. in Hong Kong, as
saying. "The opportunity cost of a restructuring failure looks
higher. Offshore bondholders may be able to leverage on that to
get a better deal."

Bloomberg notes that Kaisa became the first Chinese developer to
default on dollar-denominated debt when it failed to pay the
coupon on two notes among its CNY65 billion ($10.3 billion) of
debt.  According to Bloomberg, the builder has been negotiating
with lenders to resolve sales that have been blocked at some of
its developments to ease cash flows. It has also been in talks
with offshore creditors since Sept. 21 to achieve a consensual
debt restructuring, it said in an Oct. 2 stock exchange filing,
Bloomberg relays.

Bloomberg relates that Zhou Ting, Kaisa's spokeswoman in Shenzhen,
said she couldn't immediately comment on the news report. A
Beijing-based spokesperson at Bank of China couldn't immediately
comment on the report.

Chairman and founder Kwok Ying Shing took back control of the
company after Sunac China Holdings Ltd. dropped its takeover plan
in May on finding Kaisa's net asset value was zero, the report
recalls. The stock has been suspended from trading in Hong Kong
since March 31, as the firm sought more time to publish its 2014
accounts, the report adds.

Given the latest restructuring progress onshore, an offer from
Kaisa has the potential of exceeding the 73 percent recovery rate
proposed by Sunac, Citic's Ng said.

"The fact that Kaisa has made progress with onshore creditors and
is slowly resuming sales is a positive sign for offshore holders,"
said Charles Macgregor, head of Asia high-yield research in
Singapore at Lucror Analytics Pte. "Ultimately, the company would
like to maintain good access to capital markets and we would hope
this would translate into a reasonable outcome for offshore
bondholders."

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.



=========
I N D I A
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AMKETTE ANALYTICS: CRISIL Reaffirms B+ Rating on INR70MM Loan
-------------------------------------------------------------
CRISIL's ratings on the bank facilities of Amkette Analytics
Limited (AAL) continues to reflect AAL's working capital intensive
operations and below average financial risk profile marked by
modest net worth, high total outside liabilities to tangible net
worth ratio and below-average debt protection metrics. These
rating weaknesses are partially offset by its promoters' extensive
industry experience and healthy supplier relationships.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Bank Guarantee        10        CRISIL A4 (Reaffirmed)
   Cash Credit           70        CRISIL B+/Stable (Reaffirmed)
   Letter of Credit      50        CRISIL A4 (Reaffirmed)

Outlook: Stable

CRISIL believes AAL will continue to benefit from its promoters'
extensive experience in the trading of scientific equipment and
balances. The outlook may be revised to 'Positive' if the
company's financial risk profile improves on a sustainable basis,
backed by healthy growth in scale of operations or any significant
capital infusion. Conversely, the outlook may be revised to
'Negative' in case AAL's financial risk profile, particularly
liquidity, weakens because of a decline in its cash accruals or
deterioration in its working capital management.

AAL was established as a private limited entity in October 2000 in
Mumbai by Mr. Manish Mehta and his brother Mr. Sanjay Mehta. It
was reconstituted as a limited company in 2003. AAL trades in
scientific instruments and balances like viscometers and color-
matching instruments.


ARYA EDUCATIONAL: CARE Assigns B+ Rating to INR9cr LT Loan
----------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Arya
Educational and Cultural Society.

                                Amount
   Facilities                (INR crore)   Ratings
   ----------                -----------   -------
   Long-term Bank Facility        9        CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of Arya Educational and
Cultural Society (AECS) is primarily constrained by project
implementation risk, competition from existing schools and
regulatory risk associated with the education sector. The
aforesaid constraints are partially offset by experienced &
qualified promoters; albeit limited experience of the members in
the education sector, association with reputed brand and buoyant
prospects of the K-12 segment in India. Going forward, AECS's
ability to successfully implement the project and derive benefit
from it and ability to attract & enroll students as envisaged
would be the key rating sensitivities.

Arya Educational and Cultural Society (AECS) was registered in
April 2015 under the Societies Registration Act, 1860 for
establishing and operating educational institute in Purnea, Bihar
with an objective to provide education services. AECS is setting
up a school up to VIth standard and has applied for a franchisee
with 'Delhi Public School Society, Delhi' (DPS) wherein the
society will manage the school in accordance with the guidelines
(relating to fees, infrastructure, teacher student ratio, faculty
etc.) issued by DPS and the day to day management of the school
will be looked after by the society.

AECS will pay INR1.20 crore to DPS as a franchisee fees (one-
time), besides which it will also pay a certain percentage of
the tuition fees annually to DPS. The school will be affiliated to
Central Board of Secondary Education (CBSE) and would commence its
first academic session (2016-17) up to Class VI with effect from
April 2016 and expansion up to standard XII will take place in the
subsequent years.


BAJAJ PROCESSORS: CRISIL Reaffirms B+ Rating on INR111.4MM Loan
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of Bajaj Processors
Limited (BPL) continue to reflect its exposure to intense
competition in the fragmented dyeing and processing segment, large
working capital requirement, and weak financial risk profile
because of high gearing. These weaknesses are partially offset by
its promoters' extensive industry experience.

                       Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bank Guarantee       5         CRISIL A4 (Reaffirmed)
   Cash Credit        100         CRISIL B+/Stable (Reaffirmed)
   Term Loan          111.4       CRISIL B+/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes BPL will continue to benefit over the medium term
from its promoters' extensive experience in the textile industry.
The outlook may be revised to 'Positive' if there is a significant
and sustained improvement in scale of operations and operating
margin leading to improved accrual, along with prudent working
capital management and stable financial risk profile. Conversely,
the outlook may be revised to 'Negative' if BPL reports
significantly low cash accrual on account of lower-than-expected
revenue or operating profitability, has a larger-than-expected
working capital cycle, or undertakes a sizeable debt-funded
capital expenditure programme, leading to deterioration in
financial risk profile.

Update
BPL reported net sales of INR580.1 million in 2014-15 (refers to
financial year, April 1 to March 31), down from INR653.7 million
in the previous year because of subdued demand. It reported profit
after tax of INR2.4 million for 2014-15 against INR1.8 million for
2013-14. Operating margin improved to 4.2 per cent from 3.1 per
cent on account of reduction in raw material cost because of
backward integration in 2014-15. The company continues to derive
most of its revenue from finished goods, but with stabilisation of
operations following backward integration, the contribution of
grey cloth will improve. CRISIL expects BPL's net sales to improve
by 15-20 per cent and operating margin in the range of 6-7 per
cent over the medium term.

BPL's gross current assets were at 158 days as on March 31, 2015,
led by large receivables of 102 days. Its liquidity is stretched,
marked by expected moderate cash accrual of INR20-30 million
against debt obligation of INR10.2 million and INR28.8 million in
2015-16 and 2016-17, respectively. Debt protection metrics remain
average, with net cash accrual to total debt (NCATD) ratio of 0.08
time and interest coverage ratio of 1.8 times for 2014-15. With
moderate operating profitability, CRISIL expects NCATD and
interest coverage ratios at 0.10-0.18 time and 2.0-2.4 times,
respectively, over the medium term.

BPL, based in Ahmedabad (Gujarat) and incorporated in 1979, is
promoted by the Bajaj family. The company dyes and processes grey
cloth and produces fabric for suiting and shirting, bed linen,
hosiery, and dress materials. It sells the fabric directly into
the market and also does jobwork for other players in the region.
It commenced manufacturing grey cloth in February 2015.


BENITO CERAMIC: CRISIL Reaffirms B- Rating on INR50MM Term Loan
---------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Benito Ceramic
Private Limited (BCPL) continues to reflect BCPL's modest scale of
operations in the highly competitive ceramics industry, below-
average financial risk profile because of high gearing and weak
debt protection metrics, and large working capital requirements.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit           20        CRISIL B-/Stable (Reaffirmed)
   Proposed Long Term
   Bank Loan Facility    30        CRISIL B-/Stable (Reaffirmed)
   Term Loan             50        CRISIL B-/Stable (Reaffirmed)

These rating weaknesses are partially offset by the extensive
industry experience of the company's promoters, and the proximity
of its manufacturing facilities to raw material and labour
resources.

Outlook: Stable

CRISIL believes that BCPL will benefit over the medium term from
its promoters' experience in the ceramics industry. The outlook
may be revised to 'Positive' if BCPL significantly improves its
scale of operations and profitability, and its financial risk
profile improves marked by reduction in working capital
requirements or substantial equity infusion. Conversely, the
outlook maybe revised to 'Negative' if the company's liquidity
deteriorates marked by lower than expected accruals or stretch in
its working capital cycle or substantial debt-funded capital
expenditure.

Update
BCPL, on a provisional basis, reported net sales of INR91.7
million for 2014-15 (refers to financial year, April 1 to
March 31) as against INR43.0 million reported for the previous
year. During 2014-15, due to operational issues, the operating
margin was a negative 36 per cent. However, with business
returning to normal, the margin is expected to improve in 2015-16.
Operations remained working capital intensive with gross current
assets of 360 days as on March 31, 2015. On account of cash losses
reported in the past couple of years, the financial risk profile
remains weak with a small net worth, high gearing, and weak debt
protection metrics. Liquidity remains stretched because of
negative cash accruals and high reliance on external short-term
borrowings. However, equity infusion of INR40.5 million and
unsecured loans of INR10 million during 2014-15, supported the
liquidity. CRISIL believes that BCPL's promoters will continue to
infuse funds in a timely manner to support its liquidity over
medium term.

BCPL reported a net loss of INR43.9 million on net sales of
INR91.7 million for 2014-15, as against a net loss of INR20.4
million on net sales of INR43.0 million for 2013-14.

BCPL, incorporated in 2011, is promoted by Morbi (Gujarat)-based
Mr. Bharatbhai Rajkotia and Mr. Kamleshbhai. The company
manufactures ceramic wall tiles at its facilities in Morbi.


EDIZ CERAMIC: CRISIL Reaffirms B Rating on INR52.5MM Term Loan
--------------------------------------------------------------
CRISIL's ratings on the bank facilities of Ediz Ceramic Pvt Ltd
(ECPL; formerly known as Florim Ceramic Pvt Ltd) continues to
reflect its start-up nature and modest scale of operations in the
highly competitive ceramic industry, and large working capital
requirement. These rating weaknesses are partially offset by the
promoters' extensive experience in the ceramics industry, and the
proximity of the company's manufacturing facilities to sources of
raw material and labour.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Bank Guarantee       10          CRISIL A4 (Reaffirmed)
   Cash Credit          27.5        CRISIL B/Stable (Reaffirmed)
   Term Loan            52.5        CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes ECPL will benefit over the medium term from the
promoters' extensive industry experience. The outlook may be
revised to 'Positive' if higher-than-expected accrual with a
significant increase in the revenue, improves the financial risk
profile, including liquidity. Conversely, the outlook may be
revised to 'Negative' in case of low cash accrual because of
reduced profitability, or weakening of the financial risk profile,
most likely because of a stretch in the working capital cycle or
any substantial debt-funded capital expenditure (capex).

Updates
The company commenced operations from May 2014 as against the
previous expectation of April 2014. The revenue stood at INR101.1
million in 2014-15 (refers to financial year, April 1 to
March 31), and operating profitability stood at 14.7 per cent and
cash accrual at INR5.8 million. The revenue was around INR70
million till the end of September 2015, and CRISIL expects the
revenue to be about INR150 million in 2015-16, with a marginal
improvement in the operating profitability.

The gearing stood at around 2.25 times as on March 31, 2015, owing
to a modest net worth (Rs.40.2 million) and debt-funded capex.
Despite the debt-funded capex plan and expectation of a marginal
increase in working capital debt, CRISIL expects the financial
risk profile to improve over the medium term on the back of steady
accretion to reserves. The debt protection metrics were modest,
with interest coverage and net cash accrual to total debt ratios
of 1.7 times and 0.07 times, respectively, in 2014-15.

The company has large working capital requirement because of gross
current assets of 319 days as on March 31 2015, resulting in
almost full utilisation of working capital limits. However, the
liquidity is supported by unsecured loans, amounting to INR35.2
million in 2014-15, extended by the promoters, and advances
received from customers. CRISIL believes ECPL will have accrual of
INR11.6 million in 2015-16, against a debt obligation of around
INR10 million during the same period.

Set up in May 2013, Florim Ceramic Pvt Ltd was promoted by the
Morbi (Gujarat)-based Kalaria family. It was renamed ECPL
following a management change in December 2014 post which Mr.
Bishan acquired the controlling stake. The company manufactures
ceramic wall tiles (largely 12*24, 12*18 and 12*12 sizes).

It had a profit after tax (PAT) of INR0.16 million against a net
sales of INR101.1 million in 2014-15.


GALA PULSE: CRISIL Reaffirms B+ Rating on INR200MM Cash Loan
------------------------------------------------------------
CRISIL's rating on the bank facility of Gala Pulse Mill (GPM; part
of the Gala group) continues to reflect the Gala group's below-
average financial risk profile marked by small net worth, high
total outside liabilities to tangible net worth (TOLTNW) ratio,
and weak debt protection metrics, and low operating margin on
account of its trading business. These rating weaknesses are
partially offset by the Gala group's established position in the
agricultural commodities trading business, especially trading of
de-oiled cakes and pulses.

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

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of GPM and Shah Pulse Mill (SPM). Both the
firms, together referred to as the Gala group, have a common
management, are in the same line of business resulting in business
synergies, and have financial linkages and fungible funds.

Outlook: Stable

CRISIL believes that the Gala group will continue to benefit from
the extensive experience of its promoter family in the
agricultural goods trading business. The outlook may be revised to
'Positive' in case of significant increase in profitability
resulting in higher than expected net cash accruals, efficient
working capital management resulting in improved liquidity, or
significant improvement in capital structure most likely driven by
substantial capital infusion by promoters resulting in improved
financial risk profile. Conversely, the outlook may be revised to
'Negative' if the group's working capital cycle lengthens,
impacting its liquidity, or in case of significant withdrawal of
funds by promoters, resulting in further weakening its capital
structure.

The Gala group trades in and processes various types of pulses and
agricultural goods, including peas, maize, moong, toor, toor dal,
bardana, and soya de-oiled cakes. Trading accounts for around 90
per cent of the group's revenue; processing, wherein the group
grinds dal, accounts for the balance 10 per cent.

Established in 1988, SPM is a proprietorship concern of Mr. Dilip
Shantilal Shah. In 1992, the Shah family established GPM, which is
engaged in the same line of business, with Mr. Suresh Shantilal
Shah (brother of Mr. Dilip Shantilal Shah) as proprietor.


GRANITE ZONE: CRISIL Reaffirms B+ Rating on INR40MM LT Loan
-----------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Granite Zone
India Private Limited (GZPL) continues to reflect GZPL's modest
scale of operations in the intensely competitive granite
processing industry, its large working capital requirements and
its below average financial risk profile, marked by modest net
worth. These rating weaknesses are partially offset by the
extensive experience of the company's promoters in the granite
industry.

                       Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Cash Credit           20       CRISIL B+/Stable (Reaffirmed)
   Long Term Loan        40       CRISIL B+/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that GZPL will continue to benefit over the medium
term from the extensive industry experience of its management. The
outlook may be revised to 'Positive' if GZPL scales up its
operations while maintaining its comfortable profitability,
leading to improvement in its financial risk profile. Conversely,
the outlook may be revised to 'Negative' if the company's
financial risk profile deteriorates because of reduced margins and
revenues, or large, debt-funded capital expenditure.

Set up in 2007, GZPL processes rough granite blocks into granite
slabs and tiles. The company is promoted by Mr Rameshwar Lal
Bhutra and Mr Devendra Kumar Soni.

GZPL, provisionally, reported a profit after tax of INR10.06
million on net sales of INR141.5 million for 2014-15 (refers to
financial year, April 1 to March 31), against a profit after tax
of INR2.9 million on net sales of INR114.5 million for 2013-14.


INDIABULLS REAL: Fitch Affirms 'B+' LT FC Issuer Default Rating
---------------------------------------------------------------
Fitch Ratings has affirmed India-based Indiabulls Real Estate
Limited's (IBREL) Long-Term Foreign-Currency Issuer Default Rating
(IDR) of 'B+'. The Outlook is Stable. The agency has also affirmed
the rating on the USD175m 10.25% senior notes due 2019 issued by
Jersey-based Century Limited at 'B+', with Recovery Rating of
'RR4'.

KEY RATING DRIVERS

Debt Reduction Measures: IBREL has raised funds that it plans to
use to reduce debt. IBREL's founder and controlling shareholder,
Sameer Gehlaut, in the first half of the financial year ending
March 2016 (FY16) infused equity of INR2.4bn via a preferential
share issue. Gehlaut also subscribed to INR0.8bn of convertible
warrants, which if converted will result in further equity
infusion of INR2.3bn in 1HFY17. In addition, the company could
sell land holdings to further deleverage.

Credit Metrics to Improve: Fitch expects IBREL's net debt to
reduce to around INR48bn by end-FY16 from INR55.4bn a year
earlier, and fall further thereafter. The agency expects IBREL's
net leverage (net debt/ adjusted inventory) to improve steadily to
around 55%, and contracted sales/gross debt to rise to around 0.8x
by FY17. Both ratios are likely to improve further in FY18 to
below 50% and around 1x respectively on a sustained basis
following a short-term deterioration that breached levels at which
Fitch would consider negative rating action. The company's
leverage increased during FY15 to 62% (FY14: 50%) while its
contracted sales/gross debt fell to 0.3x (FY14: 0.8x), mainly
driven by weak operations and higher net debt levels following the
purchase of properties in London and Mumbai.

Weak but Improving Conditions: The operating environment is
showing signs of improvement. IBREL's contracted sales were INR8bn
during 1QFY16 compared with INR5.5bn in the preceding quarter and
INR5.6bn a year earlier. During FY15, the company's sales fell to
INR20.3bn from INR24.3bn in FY14, and cash collection was weak at
INR9.1bn. Fitch, however, expects IBREL's cash collection to
nearly double during FY16, mainly driven by payments from projects
that are nearing completion. The company's EBITDA margin also
improved to 32% in 1QFY16 from 23.5% a year earlier.

Diversified Land Bank: IBREL has a land bank of about 7 million
square metres, which is sufficient to support project development
over the next six to seven years based on current plans. IBREL has
projects across India, with significant presence in the key
metropolitan areas of Mumbai, Delhi (NCR) and Chennai. The
residential projects also cover various categories from middle-
income to luxury. This diversity mitigates risks arising from
volatility in a particular category or location.

Risk of Delays at Gurgaon: Of the company's eight ongoing
residential projects, projects in Gurgaon, in the National Capital
Region (NCR), represent nearly 34% of total saleable area.
Projects in Gurgaon in general have been hampered by delays in
building plans and infrastructure development. Further slowdown in
demand has also driven up inventory levels in the area. However
should the infrastructure in the area progress, improved road
access to the area, lower interest rates, and captive market of
the NCR are likely to support revival in residential property
demand in the area.

Strong Long-Term Growth: Fitch expects the Indian real estate
market to expand strongly in the medium to long term, supported by
improving economic growth, limited supply of homes in the key
cities and rising income levels. Demand slowed significantly
during FY15 due to weak consumer sentiment, resulting in weak
sales and high inventory levels. Fitch expects the real estate
demand to pick up during 2016. The recent reduction in interest
rates by the central bank is also likely to support demand while
reducing costs for Indian real estate developers.

Regulatory Risks: The real estate business in India is largely
regulated by the local authorities with some approvals from the
state or central government required in some instances. Any delay
in approvals or change in regulations may impact the development
of IBREL's projects.

KEY ASSUMPTIONS

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

-- Strong growth in IBREL's cash collection during FY16
-- Net debt to reduce to below INR48bn in FY16 and continue
    falling over the medium term
-- No land purchases over the next two years
-- Contracted sales to increase steadily by around 20% from FY16
    onwards over the medium term
-- EBITDA margin of 30% or more over the medium term

RATING SENSITIVITIES

Negative: Future developments that may, individually or
collectively, lead to negative rating action include
-- EBITDA margin sustained below 25%
-- Net debt/ adjusted inventory sustained above 50%
-- Contracted sales/ gross debt sustained below 1x.

Positive: Future developments that may, individually or
collectively, lead to positive rating action include
-- Successful development of properties in London
-- Diversification of projects with no single project accounting
    for more than 10% of total sales


INDOMET STEEL: CARE Assigns B+ Rating to INR6.45cr LT Loan
----------------------------------------------------------
CARE assigns 'CARE B+' and 'CARE A4' ratings to the bank
facilities of Indomet Steel Industries Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities      6.45      CARE B+ Assigned
   Short-term Bank Facilities     0.53      CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Indomet Steel
Industries Private Limited (ISIPL) are primarily constrained on
account of weak financial risk profile marked by low profit
margins, leveraged capital structure and weak debt coverage
indicators coupled with presence in highly competitive and
fragmented steel ingots manufacturing industry. The ratings
are further constrained due to susceptibility of operating margins
to fluctuation in raw material prices.

The above constraints outweigh the benefits derived from the
promoters' experience in the steel ingot manufacturing and
increasing scale of operations.

Going forward, ISIPL's ability to increase its scale of operations
coupled with improvement in profit margins, capital structure and
debt coverage indicators are the key rating sensitivities.
Furthermore, ISIPL's ability to efficiently manage its working
capital requirement will also be crucial.

Incorporated in August 2015, ISIPL is engaged in manufacturing of
Steel Ingots out of steel scrap. ISIPL operates from its sole
manufacturing facility located in Babra - Gujarat and has an
installed capacity to manufacture 10,500 metric tones per annum
(MTPA) of Steel Ingots as on March 31, 2015. ISIPL generates
majority of its revenue from the domestic market and sources its
raw materials majorly from Alang (Gujarat).

During FY15 (refers to the period April 1 to March 31), ISIPL
reported a total operating income (TOI) of INR31.74 crore and
PAT of INR0.14 crore as against a TOI of INR24.80 crore and net
loss of INR0.32 crore during FY14. During 5MFY16 (Provisional),
ISIPL has achieved TOI of INR14.59 crore.


JNSL FERRO: CRISIL Assigns B+ Rating to INR49MM Cash Loan
---------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of J N S L Ferro Alloys (JFA).

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Term Loan            15         CRISIL B+/Stable
   Cash Credit          49         CRISIL B+/Stable
   Proposed Long        16         CRISIL B+/Stable
   Term Bank Loan
   Facility

The rating reflects JFA's modest scale of operations in
competitive and fragmented metal trading industry and its low
operating margin which are susceptible to fluctuations in traded
metal prices. The rating also factors in its below-average
financial risk profile owing to debt-funded capital expenditure
programme on construction of shopping mall which will start
operations in October 2015. These ratings weaknesses are mitigated
by its promoter's extensive industry experience and funding
support received from them.
Outlook: Stable

CRISIL believes JFA will continue to benefit from its promoter's
extensive industry experience and funding support from them. The
outlook may be revised to 'Positive' if the scale of operations
and cash accrual increase substantially. Conversely, the outlook
may be revised to 'Negative' if the financial risk profile weakens
due to large debt-funded capital expenditure programme or due to
lower-than-expected cash accrual or stretched working capital
cycle.

JFA, a proprietorship firm, was incorporated in 2006-07 (refers to
financial year, April 1 to March 31) by Mr. Lakesh Juneja. It
trades in various ferrous metals like hot-rolled coils/sheets,
cold rolled coils/sheets, structured steel products, stainless
steel products and metal scrap. JFA has also developed a shopping
mall in Ludhiana (Punjab) which is expected to commence operations
in October 2015.


JK HITECH: CARE Assigns B+ Rating to INR11.61cr LT Loan
-------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of JK Hitech
Ricemill Private Limited.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     11.61      CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of JK Hitech Rice Mill
Private Limited (JKH) is primarily constrained by its nascent
stage of operations in the highly fragmented and competitive agro
industry and volatility in profit margins subject to government
regulations. The rating is also constrained by seasonal nature of
availability of paddy resulting in high working capital intensity
and exposure to vagaries of nature.

The aforesaid constraints are partially offset by the experience
of the promoters in the agro industry and its proximity to major
paddy-growing areas enabling easy availability & logistic
advantage and subsidy entitlement under the Bihar Industrial
Incentive Policy.

Going forward, JKH's ability to achieve the envisaged level of
sales and profitability would be the key rating sensitivities.

JK Hitech Rice Mill Private Limited (JKH), was incorporated in
February 9, 2012 by Mr Jata Shankar Prasad and family based out of
Bihar, for the purpose of setting up a rice processing unit. The
company commenced operations in July 2, 2015 with paddy processing
capacity of 38,400 metric tonne per annum (MTPA). The milling unit
of the company is located at Raxaul in East Champaran disrict of
Bihar. The facilities were setup at an aggregate cost of INR17.12
crore, which was financed by way of equity of INR6.06 crore, debt
of INR9.48 crore and unsecured loans from the promoters' of
INR1.58 crore (sub-ordinated to bank facilities). Under the Bihar
Rice and Paddy Procurement (Levy) order the company has to sell
40% of the rice produced to Food Corporation of India (FCI) and
other related agencies and the rest to wholesalers, traders, etc.
across the country and also to Nepal. Till August 2015 (i.e,
M5FY16) the management has maintained to have achieved a turnover
of around INR4 crore.


K. RAVINDRAN: CRISIL Ups Rating on INR230MM Cash Loan to B+
-----------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
K. Ravindran (KR) to 'CRISIL B+/Stable' from 'CRISIL B/Stable',
and reaffirmed its rating on the short-term facility at 'CRISIL
A4'.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Bank Guarantee       20         CRISIL A4 (Reaffirmed)

   Cash Credit         230         CRISIL B+/Stable (Upgraded
                                   from 'CRISIL B/Stable')

The rating upgrade reflects CRISIL's belief that KR will maintain
its improved liquidity, reflected in adequate cash accrual of
INR21 million to meet debt obligation of INR14 million, over the
medium term.

The ratings continue to reflect KR's modest scale of operations
and large working capital requirements. These rating weaknesses
are partially offset by the extensive experience of KR's partners
in the civil construction segment.
Outlook: Stable

CRISIL believes KR will continue to benefit over the medium term
from promoters' extensive experience in the civil construction
industry. The outlook may be revised to 'Positive' if the firm
increases scale of operations and efficiently manages working
capital, or if it improves capital structure resulting in a better
financial risk profile. Conversely, the outlook may be revised to
'Negative' if KR's revenue and operating margins decline because
of delay in executing projects, deterioration in working capital
management weakens liquidity, or if the firm undertakes a large
debt-funded capital expenditure programme, resulting in weakening
of financial risk profile.

Set up in 1985 as a partnership firm, KR undertakes civil
contracts for the Government of Kerala. Its operations are managed
by managing partner, Mr. V Rajeendranath.


KAABA TRADING: CRISIL Reaffirms B Rating on INR63MM Cash Loan
-------------------------------------------------------------
CRISIL's rating on the bank facility of Kaaba Trading Private
Limited (KTPL) continue to reflect KTPL's average financial risk
profile marked by its small net worth, moderate total outside
liabilities to total net worth ratio, and average debt protection
metrics.

                     Amount
   Facilities      (INR Mln)    Ratings
   ----------      ---------    -------
   Cash Credit         63       CRISIL B/Stable (Reaffirmed)

The ratings of the company are also constrained on account of its
modest scale of operations, and its exposure to intense
competition in the cashew nuts trading business resulting in its
low profitability margins. These rating weaknesses are partially
offset by the extensive experience of KTPL's promoters in the
cashew nut industry.

Outlook: Stable

CRISIL believes that KTPL will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if there is a substantial and
sustained improvement in the company's profitability margins, or
there is a substantial improvement in its net worth on the back of
sizeable equity infusion from its promoters. Conversely, the
outlook may be revised to 'Negative' in case of a steep decline in
the company's profitability margins, or significant deterioration
in its capital structure caused most likely by a stretch in its
working capital cycle.

KTPL was set up in 2005 by Mr. Sheikh Yezdani and his family
members. The company trades in imported raw cashews nuts. It
imports raw cashew from Indonesia, Ghana, Ivory Coast, and Nigeri.
The company is based in Vishakhapatnam (Andhra Pradesh).


KAMDHENU REALITIES: CRISIL Reaffirms B+ Rating on INR100MM Loan
---------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Kamdhenu
Realities (KR) continues to reflect KR's offtake risks associated
with its ongoing residential project and susceptibility of KR's
operating performance to cyclicality in the real estate industry.
These rating weaknesses are mitigated by the partners' extensive
experience in real estate development.

                         Amount
   Facilities          (INR Mln)    Ratings
   ----------          ---------    -------
   Proposed Long Term     100       CRISIL B+/Stable (Reaffirmed)
   Bank Loan Facility

   Term Loan              100       CRISIL B+/Stable (Reaffirmed)
Outlook: Stable

CRISIL believes that KR will continue to benefit over the medium
term from its partners' extensive experience in the real estate
business. The outlook may be revised to 'Positive' if the firm
generates higher-than-expected cash flow from operations resulting
from improved advances from its ongoing project. Conversely, the
outlook may be revised to 'Negative' if KR reports significantly
lower-than-expected cash flow from operations, either because of
subdued response to its project or lower-than-envisaged flow of
advances, impacting its debt-servicing ability or if the debt
proposed to be availed for its future projects and the debt
servicing requirements therein are significant vis-a-vis the
operational cash flows from the projects.

Update
The firm has fully repaid the term loans availed on two of its
projects: Business Bay and Kamdhenu Aura. While, Business Bay
continues to witness slow bookings, KR has been able to rent-out
16 per cent of its total saleable area resulting in steady cash
flows. The second project, Kamdhenu Aura has seen healthy bookings
and, with construction being completed, CRISIL believes that
Kamdhenu Aura will generate a good amount of surplus over the
medium term.

KR has recently started its third project (residential) Kamdhenu
Oakland which has seen healthy bookings and advances. The firm is
contemplating to avail a term loan of INR70 million for the
project. CRISIL believes the surplus from the aforesaid project
and other projects would be sufficient to meet the debt
obligations of the Oakland Project.

At present, the firm has loan against property and car loans on
which currently there is an Equated Monthly Installment (EMI) of
INR1.38 million. CRISIL believes KR will generate adequate surplus
to meet the aforesaid obligations on time. Besides, the firm has
also let-out one of its plot to First Flight courier services at a
monthly rental of INR0.3 million per month which would support the
cash flow. As on March 31, 2015, the firm has cash and cash
equivalents of INR10.3 million.

KR was set up in 1985 as a partnership firm by Mr. Surinder
Sabhlok and family. The firm is a real estate developer with a
residential project 'Kamdhenu Aura' at Taloja in Navi Mumbai.
Besides, the firm has also completed another commercial project
'Business Bay' at Nerul, Navi Mumbai.


KARTIKA ISPAT: CRISIL Cuts Rating on INR120MM Cash Loan to 'D'
--------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Kartika Ispat Pvt Ltd (KIPL) to 'CRISIL D/CRISIL D' from 'CRISIL
BB-/Stable/CRISIL A4+'.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Bank Guarantee       11         CRISIL D (Downgraded from
                                   'CRISIL A4+')

   Cash Credit         120         CRISIL D (Downgraded from
                                   'CRISIL BB-/Stable')

   Term Loan            10.4       CRISIL D (Downgraded from
                                   'CRISIL BB-/Stable')

The ratings downgrade reflects instances of delay by KIPL in
servicing its debt amidst pressure on ingot price realisation; the
company has presently stopped production due to adverse market
conditions.

KIPL was incorporated in December 2010 by the Arya family of
Malegaon (Maharashtra). The company manufactures mild-steel ingots
at its plant in Malegaon.


KINGFISHER AIRLINES: CBI Raids Offices on Loan Default
------------------------------------------------------
Rajhkumar K Shaaw of Bloomberg News reports that India's federal
investigations agency searched the offices of Kingfisher Airlines
Ltd. and its owner Vijay Mallya in connection with alleged default
on a INR9 billion ($139 million) loan from IDBI Bank Ltd.

According to Bloomberg, the Central Bureau of Investigation
registered a case against Mr. Mallya, the now-defunct Kingfisher
Airlines, its chief financial officer A. Raghunathan and unknown
officials of IDBI Bank, the agency said in a statement.

Officials of IDBI "colluded" with Mallya and Raghunathan, and
sanctioned credit limits in "violation of banking norms,"
according to the statement cited by Bloomberg. The searches were
conducted at three places in Mumbai and one each in Bengaluru and
Goa, Bloomberg says.

"The company co-operated with the officials and provided the
necessary documents and will continue to offer co-operation,"
Bloomberg quotes UB Group spokesman Sumanto Bhattacharya as saying
in a text message. UB Group is controlled by Mallya.

"Several incriminating do`cuments found during searches are being
scrutinized," the CBI statement said, Bloomberg relays. "Further
investigation is in progress."

Liquor baron Mallya's Kingfisher Airlines was grounded in 2012
amid mounting debt. The shares of the airline were suspended from
trading in Mumbai in December 2014.

                     About Kingfisher Airlines

Headquartered in Mumbai, India, Kingfisher Airlines --
http://www.flykingfisher.com/-- formerly known as Deccan
Aviation Ltd., served about 35 domestic destinations with a fleet
of more than 40 aircraft, including Airbus jets and ATR 72
turboprops.

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 15, 2014, Bloomberg News said Kingfisher has grounded planes
since October 2012.  The airline lost its operating license in
January last year after failing to convince authorities it
has enough funds to restart flights.

The airline defaulted on payments to lessors, creditors and
airports as losses widened amid rising fuel costs and competition.

According to Bloomberg News, Mr. Mirpuri said in an e-mail on
January 13 the airline continues its efforts to recapitalize and
restart services.

As reported in the TCR-AP on May 18, 2015, CRISIL's ratings on
bank loan facilities of Kingfisher Airlines Ltd (KFAL) continue to
reflect delays by KFAL in servicing its debt; the delays have been
caused by the company's weak liquidity and continued losses at the
operating level. Losses in the past seven years have resulted in a
complete erosion of KFAL's net worth, leading to its weak
financial risk profile. Presently, the company does not carry out
any commercial operations.

                      Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          8940       CRISIL D (Reaffirmed)

   Funded Interest
   Term Loan            2260       CRISIL D (Reaffirmed)


   Long Term Loan       5970       CRISIL D (Reaffirmed)

   Rupee Term Loan     35270       CRISIL D (Reaffirmed)

   Short Term Loan       390       CRISIL D (Reaffirmed)

   Working Capital
   Term Loan            2990       CRISIL D (Reaffirmed)


LOTUS LANDMARKS: CRISIL Assigns 'B' Rating to INR80MM LT Loan
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facility of Lotus Landmarks (India) Pvt Ltd (LLIPL). The
rating reflects LLIPL's exposure to high funding risk for the
ongoing project. The rating also factors in vulnerability to
cyclicality inherent in the Indian real estate industry. These
weaknesses are partially offset by the promoter's extensive
industry experience.

                         Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Proposed Long Term      80        CRISIL B/Stable
   Bank Loan Facility

Outlook: Stable

CRISIL believes LLIPL will benefit over the medium term from its
promoter's extensive industry experience. The outlook may be
revised to 'Positive' if unit bookings and receipt of customer
advances are better than expected, leading to higher-than-expected
net cash flows. Conversely, the outlook may be revised to
'Negative' if time or cost overruns in the project or slower-than-
expected bookings lead to lower-than-expected cash inflows and
weakening of the financial risk profile, particularly liquidity.

Incorporated in 2007, LLIPL undertakes residential real estate
development in Pune and Amravati and has completed about 19
projects in these two cities. It is promoted by Mr. Satish Giri,
based in Pune and is currently undertaking the first phase of The
Lotus County project in Belgaum (Karnataka).


MACEDON VINIMAY: CRISIL Reaffirms B Rating on INR50MM Cash Loan
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of Macedon Vinimay Private
Limited (MVPL) continues to reflect MVPL's small scale and working
capital intensive nature of operations, and a below-average
financial risk profile, marked by small net worth, moderate
gearing, and weak debt protection metrics. These rating weaknesses
are partially offset by MVPL's healthy order book providing
revenue visibility over the medium term and the continued funding
support extended by its experienced promoters.

                       Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bank Guarantee        1        CRISIL A4 (Reaffirmed)
   Cash Credit          50        CRISIL B/Stable (Reaffirmed)
   Letter of Credit      9        CRISIL A4 (Reaffirmed)
   Term Loan            31.7      CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that MVPL's financial risk profile will continue
to remain constrained due its modest accruals, large working
capital requirements, and high debt repayment obligations. The
outlook may be revised to 'Positive' if the company registers
significantly higher-than-expected accruals, while reducing its
working capital cycle. Conversely, the outlook may be revised to
'Negative' in case of delays in funding support from the promoters
or pressure on profitability, or stretch in its working capital
cycle leading to further weakening of its liquidity.

Update
The revenues of the company registered a healthy75 per cent growth
to around INR296.2 million in 2014-15 (refers to financial year,
April 1 to March 31).The revenues are expected to register healthy
growth backed by healthy demand from company's end user industries
and stable orderbook. The company's operating margins increased by
around 143 basis points to 6.98 per cent in 2014-15due to scale up
of operations resulting in better fixed cost absorption. The
operating margins are expected to remain stable over the near to
medium term.

The company's operations are relatively highly working capital
intensive as reflected in its estimated gross current asset (GCA)
of around 319 days as on March 31, 2015; the GCA days have been at
similar levels in the past. These GCA days emanates from the
company's inventory levels of around 114 days and receivables
cycle of 149 days. As a result, the company's average bank limit
utilization has beenhigh at around 95 per cent, for the 12 months
ended March 2015. Also company has relied on supplier credit to
fund its high working capital requirements with creditor days of
around 216 as on March 31, 2015.

Company's net worth is moderate at around INR84.1 million, as on
March 31, 2015. The company has moderate gearing of 1.7 times as
on March 31, 2013, and weak debt protection metrics with interest
cover of 1.1 times and net cash accruals to total debt of 8 per
cent for 2014-15. Company's liquidity is also weak with term debt
repayments of around INR11 million in 2015-16, against which the
net cash accruals are expected to be tightly matched.

Promoted by the members of the Dhanuka family based in Kolkata
(West Bengal) in 1995, MVPL manufactures fibre reinforced plastic
(FRP)-based products primarily for the railways and the power
industries. The company manufactures FRP-based glass shutters,
window guides, window assembly, window seals, and trays for the
Railways and ladders, metres enclosures, cupboards, and panel
boxes for the power industry. MVPL also manufactures chutes for
the Railways.


MCNALLY BHARAT: CARE Revises Constr. Contractor Grading to CCt-3
----------------------------------------------------------------
CARE revises the construction contractor grading assigned to
Mcnally Bharat Engineering Company Limited.

Grading                  Grading     Remarks
-------                  -------     -------
Grading of construction   CCt 3-     Revised from CCt 2;
contractor                           Removed from credit watch

Rating Rationale

The revision in the construction contractor grading of McNally
Bharat Engineering Co. Ltd. (MBEL) takes into account the impact
of the deterioration in financial position on project execution
capability and ability to pay liquidated damages.

There was significant decline in profitability in FY15 (refers to
the period April 1 to March 31) and Q1FY16, elongation in
operating cycle and high debt level to finance the increased
working capital requirement.

The grading continues to draw strength from the long track record
of the company, experienced management, in-house design & drawing
and R&D department, established MIS system, well-defined
organisation structure, availability of captive equipment
manufacturing facility through a group company and proven project
execution capabilities.

The grading takes note of the acquisition of stake by EMC Ltd
(EMC) in MBEL and infusion of equity by EMC and the existing
promoters.

Ability of the company to make adequate investments in plant &
machinery in order to ensure adherence to quality standards as
well as timeliness of execution would be a grading sensitivity.

MBEL, incorporated in 1961 and based in Kolkata, is one of the
major engineering turnkey project execution companies of India
belonging to the B. M. Khaitan group. MBEL has a track record of
executing turnkey projects in different areas of its operations
like bulk material handling, ash handling, port handling, mineral
beneficiation plant, water management, road construction and
maintenance, structural fabrication, erection, piping, utilities,
etc.

There was equity infusion of INR102.5 crore in February, 2015 in
MBEL, of which EMC Ltd infused INR50 crore through a group
company. Further, in Q2FY16, the stake of EMC Ltd increased to
29.65% on preferential allotment of one crore shares aggregating
INR100 crore.

In FY15, MBEL reported net loss of INR114.22 crore (as against a
loss of INR72.49 crore in FY14) on operating income of INR2,170.11
crore (Rs.2,143.78 crore in FY14). As per the unaudited working
results for the quarter ended June 30, 2015, MBEL reported a net
loss of INR59.55 crore on operating income of INR468.16 crore.


NAINITAL MOTORS: Ind-Ra Assigns 'IND BB+' Long-Term Issuer Rating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Nainital Motors
Private Limited (NMPL) a Long-Term Issuer Rating of 'IND BB+'. The
Outlook is Stable. The agency has also assigned NMPL's bank loans
the following ratings:

                       Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
Fund-based working     140       LT 'IND BB+'/ Stable and
capital limit                    Short-term 'IND A4+'

Proposed term loan      20       LT 'Provisional IND BB+'/Stable

KEY RATING DRIVERS

The ratings reflect NMPL's moderate scale of operations with
revenue of INR1,381.01m according to the provisional financials
for 2015 (FY14: INR1,117.80m). EBIDTA margins are weak (FY15:
1.66%; FY14: 2.20%) due to the trading nature of NMPL's business.

The ratings, however, benefit from the fact that the cash flow
from operations have increased significantly to INR71.03m in FY15
(FY14: negative INR29.83m) due to an improvement in the working
capital cycle to 24 days (49 days). Also, credit metrics are
comfortable with interest coverage ratio improving to 3.1x in FY15
(FY14: 2.2x) and net leverage reducing to 2.9x (5.2x) due to a
decrease in short-term debt as NMPL's working capital cycle
improved.

The ratings benefit from the over a decade-long experience of
NMPL's directors in the automobile business.

RATING SENSITIVITIES

Negative: A decline in the EBITDA margins leading to deterioration
in the credit metrics could lead to a negative rating action.
Positive: Sustained revenue growth with an improvement in the
EBIDTA margins and credit metrics could lead to a positive rating
action.

COMPANY PROFILE

NMPL was incorporated in 2008. It is an authorised dealer of
Maruti Suzuki India Limited in Uttarakhand. Apart from the sale of
new cars, it provides car repair, auto finance, and car insurance
services.


OM SAKTHI: CRISIL Reaffirms 'B' Rating on INR95MM Loan
------------------------------------------------------
CRISIL's ratings on the bank loan facilities of Om Sakthi
Constructions (OSC) continue to reflect OSC's susceptibility to
intense competition in the civil construction industry due to the
tender-based nature of operations, and its large working capital
requirements. These rating weaknesses are partially offset by the
extensive industry experience of the promoters and a moderate
financial risk profile because of moderate gearing and debt
protection metrics, though constrained by a modest net worth.

                         Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Bank Guarantee          25        CRISIL A4 (Reaffirmed)
   Overdraft Facility      95        CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes OSC will continue to benefit over the medium term
from its healthy order book and the extensive industry experience
of its promoters. The outlook may be revised to 'Positive' in case
of a significant improvement in scale of operations, leading to
higher cash accruals and better liquidity. Conversely, the outlook
may be revised to 'Negative' if there is substantial debt-funded
capital expenditure, or revenue or profitability declines, or
promoters withdraw substantial capital, leading to deterioration
in the financial risk profile.

Set up in 2011 as a partnership firm, OSC undertakes civil
construction in the roads segment in Tamil Nadu and Puducherry.
The firm is promoted by Mr. V Kannan along with his family
members.


P. C. INDUSTRIES: CRISIL Assigns B- Rating to INR55MM Cash Loan
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL B-/Stable' rating to the bank
facilities of P. C. Industries (PCI). The rating reflects PCI's
weak financial risk profile, and the modest scale of, and working
capital intensity in, operations. These rating weaknesses are
partially offset by the extensive experience of PCI promoters in
the electrical industry.

                       Amount
   Facilities        (INR Mln)       Ratings
   ----------        ---------       -------
   Cash Credit          55          CRISIL B-/Stable (Assigned)
   Term Loan            19.9        CRISIL B-/Stable (Assigned)

Outlook: Stable

CRISIL believes that PCI will continue to benefit over the medium
term from its promoters' extensive experience in the electrical
industry. The outlook may be revised to 'Positive' if there is a
substantial improvement in revenue, operating margin, and capital
structure. Conversely the outlook may be revised to 'Negative' if
the financial risk profile weakens on account of lower-than-
expected profitability, significant debt-funded capital
expenditure, or deterioration in working capital management.

Established in 1996, PCI is proprietorship concern promoted by Mr.
Mayur Shah of Ahmedabad-Gujarat. PCI is into manufacturing of
electrical utilities such as switch gear, fuse gear, rewireable
kit-kat fuse, fuse link, fuse base, fuse fittings, fuse puller,
link disconnectors, bus bar support, cut-out, distribution box
assembly etc which are used in power transmission and distribution
(T&D), infrastructure, industrial and other purposes. The
operations of PCI are presently handled by Mr. Mayur Shah and his
sons Mr. Falun Shah and Mr. Honey Shah.

For 2014-15 (refers to financial year, April 1 to March 31), on
provisional basis, PCI reported net profit of INR 0.71 million on
total sales of INR 113.09 million, against net profit of INR1.15
million on total sales of INR 74.21 million in 2013-14.


PARMESHWARI SILK: CRISIL Assigns B+ Rating to INR220MM Loan
-----------------------------------------------------------
CRISIL has revoked the suspension of its rating on the bank
facilities of Parmeshwari Silk Mills Ltd (PSML) and has assigned
its 'CRISIL B+/Stable' ratings to the facilities. CRISIL had
suspended the rating on May 21, 2013, as PSML had not provided the
necessary information required for a rating review. The company
has now shared the requisite information, enabling CRISIL to
assign a rating to the bank facilities.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          220        CRISIL B+/Stable (Assigned;
                                   Suspension Revoked)

   Long Term Loan        50        CRISIL B+/Stable (Assigned;
                                   Suspension Revoked)

The rating reflects PSML's large working capital requirements and
its average financial risk profile because of high gearing. These
rating weaknesses are partially offset by the company's
established brand, Ramtex, and the extensive experience of the
promoters in the textile industry.

Outlook: Stable

CRISIL believes that PSML will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' in case of an improvement in
the capital structure, most likely through a substantial increase
in cash accrual, backed by improvement in the scale of operations
and working capital management, or through equity infusion.
Conversely, the outlook may be revised to 'Negative' if the
financial risk profile, particularly liquidity, deteriorates, most
likely due to a decline in revenue and profitability, or large
debt-funded capital expenditure, or an increase in working capital
requirement.

PSML was incorporated in 1993, promoted by the Ludhiana (Punjab)-
based Singh family as a closely held limited company. It
manufactures women's suiting and men's shirting. Mr. Jatinder, Pal
Singh, the key promoter, manages the operations.


R. I. COTTON: CARE Reaffirms B+ Rating on INR16.56 cr LT Loan
-------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
R. I. Cotton Pvt. Ltd.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     16.56      CARE B+ Reaffirmed
   Short-term Bank Facilities     2.25      CARE A4 Reaffirmed

Rating Rationale

The ratings assigned to the bank facilities of R. I. Cotton
Private Limited (RICPL) continue to remain constrained on
account of its thin profitability which is further susceptible to
volatile cotton prices. The ratings are further constrained on
account of its high leverage, working capital intensive
operations, impact of regulatory changes by the government for
cotton and its presence in a highly competitive and fragmented
cotton ginning business which entails low value addition.

The ratings, however, continue to take into consideration the vast
experience of the promoters in the cotton ginning industry along
with its presence in the cotton producing region of Gujarat.

RICPL's ability to increase its scale of operations along with
improvement in its profitability and efficient management of
working capital requirements would be the key rating
sensitivities.

Incorporated in June 2010, RICPL is a private limited company.
Promoted by the Patel family based out of Kadi (Gujarat), RICPL is
engaged in cotton ginning and pressing at its sole manufacturing
facility located at Kadi with an installed capacity of 22,500
Metric Tons per Annum (MTPA) as on March 31, 2015. Mr Niranjan R
Patel, key promoter and director, is actively involved in the
strategic and routine operations of the company.

RICPL belongs to the Vaibhav Laxmi Group (VLG), which has presence
across cotton processing value chain. VLG is primarily present in
cotton ginning , manufacturing, trading and exports of cotton
bales, cotton seeds, cotton seeds cakes through Vaibhav Laxmi
Exports Pvt. Ltd. (VLEPL; rated: CARE B+/CARE A4) and Vaibhav
Laxmi Industries (VLI; rated CARE B/CARE A4). VLG is also setting
up a spinning unit to produce cotton yarn through its group
concern Vaibhav Laxmi SpinningMills Ltd. (VLSML; CARE BB-/ CARE
A4).

As per the audited results for FY15 (refers to the period April 1
to March 31), RICPL earned a PAT of INR0.02 crore on a TOI
of INR90.48 crore as against a PAT of INR 0.06 crore on a TOI of
INR101.78crore in FY14.


S.R.K. FABRICS: CRISIL Assigns 'D' Rating to INR60MM Cash Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL D' rating to the long-term bank
facilities of S.R.K. Fabrics (SRK).

                          Amount
   Facilities           (INR Mln)      Ratings
   ----------           ---------      -------
   Term Loan                32         CRISIL D
   Cash Credit              60         CRISIL D
   Proposed Long Term
   Bank Loan Facility       33         CRISIL D

The rating reflects instances of delay by SRK in servicing its
debt; the delays have been caused by the firm's weak liquidity.
SRK also has a modest scale of operations and a below-average
capital structure. However, the firm benefits from its
proprietor's extensive experience in the fabric manufacturing
industry, and its moderate interest coverage ratio.

Established in 2008 and based in Ludhiana (Punjab), SRK
manufactures knitted fabrics. The firm has a manufacturing unit in
Ludhiana with a capacity of around 5 tonnes per day, and is owned
and managed by Mr. Sachin Kaushal.


SAGGI ELECTRIC: CRISIL Lowers Rating on INR20MM Loan to B
---------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Saggi Electric Company (SEC) to 'CRISIL B/Stable' from 'CRISIL
B+/Stable', while reaffirming its rating on the short-term
facility at 'CRISIL A4'.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Bank Guarantee        100       CRISIL A4 (Reaffirmed)
   Cash Credit            20       CRISIL B/Stable (Downgraded
                                    from 'CRISIL B+/Stable')

The rating downgrade reflects deterioration in SEC's business risk
profile because of a substantial decline in sales on account of
delays in order clearance and execution. The operating income
declined to INR19.4 million in 2014-15 (refers to financial year,
April 1 to March 31) from INR113.4 million in 2013-14. Delay in
timely realisation of receivables further increased the pressure
on the working capital management, resulting in highly utilised
bank lines with instances of over-utilisation. This led to high
interest cost, resulting in weakening of the financial risk
profile with interest coverage ratio at 1.13 times as against 1.99
times in 2014-15 and 2013-14 respectively. CRISIL believes that
SEC's credit risk profile will remain constrained over the medium
term by its volatile revenue and its working-capital intensive
operations.

The ratings reflect SEC's modest scale of operations, high
customer concentration in its revenue profile, and volatile
revenue due to the tender-based nature of its business. The
ratings also factor in the firm's below-average financial risk
profile because of weak debt protection metrics. These rating
weaknesses are partially offset by the promoter's experience in
the electrical turnkey solutions industry.
Outlook: Stable

CRISIL believes that SEC will remain exposed to risks related to
slowdown in industrial development and to the tender-based nature
of its business. However, its business risk profile shall continue
to find support from the extensive experience of its promoters.
The outlook may be revised to 'Positive' in case of a more-than-
expected increase in SEC's revenue and operating profitability, or
if it efficiently manages its working capital requirements,
leading to a better financial risk profile. Conversely, the
outlook may be revised to 'Negative' in case of lower-than-
expected accruals or any debt-funded capital expenditure, leading
to deterioration in the financial risk profile.

SEC, established as a partnership firm in 2002-03, provides
turnkey solutions as an electrical contractor in varied industrial
projects, primarily for the public sector. The firm is promoted
and managed by Mr. Yash Saggi along with his son Mr. Sabodh Saggi.

SEC is estimated to have had a book profit of INR1.6 million on an
operating income of INR19.4 million for 2014-15, against a book
profit of INR8.6 million on an operating income of INR113.4
million for 2013-14.


SAKARDA SYNTHETICS: CRISIL Reaffirms B Rating on INR50MM Loan
-------------------------------------------------------------
CRISIL has reaffirmed its ratings on the long-term bank facilities
of Sakarda Synthetics Pvt Ltd (SSPL) at 'CRISIL B/Stable' while
reassigning its ratings on the short-term facilities at 'CRISIL
A4'.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Bank Guarantee        1         CRISIL A4 (Reassigned)
   Cash Credit          50         CRISIL B/Stable (Reaffirmed)
   Term Loan            36.1       CRISIL B/Stable (Reaffirmed)

The rating continues to reflect SSPL's modest scale of operations
in the highly competitive textile industry, its large working
capital requirements, and weak financial risk profile because of
high gearing and average debt protection metrics. These rating
weaknesses are mitigated by the extensive industry experience of
SSPL's promoters.
Outlook: Stable

CRISIL believes that SSPL will benefit over the medium term from
its promoters' extensive industry experience. The outlook may be
revised to 'Positive' if the scale of operations and operating
margin improves leading to improved accrual or sizeable capital
infusion strengthens the financial risk profile. Conversely, the
outlook may be revised to 'Negative' in case of low accrual
because of reduced profitability, or weak financial risk profile,
because of stretched working capital cycle or large debt-funded
capital expenditure (capex) plans.

Update
SSPL, on a provisional basis, reported net sales of INR194.8
million in 2014-15 (refers to financial year, April 1 to March 31)
as against INR137.8 million in the previous year led by increased
capacity, improved quality and higher demand. SSPL's operating
margin was 11.6 per cent during 2014-15 as against 8.6 per cent in
the previous year on account of reduction in raw material price
led by the recent capex. CRISIL believes that with increase in
capacity and improved quality, SSPL will report moderate sales
growth of 15-20 per cent over the medium term and operating margin
will improve at 12-12.5 per cent over the medium term. SSPL's
gross current assets were at 232 days as on March 31, 2015 led by
high receivables of 134 days. SSPL's liquidity remains moderate,
because of expected sufficient cash accrual of INR11-18 million
against maturing debts of INR9.5-9.7 million in 2015-16 and 2016-
17; led by moderate accretion to reserve.

The company's debt protection metrics remain average with net cash
accrual to total debt (NCATD) ratio of 0.14 times and interest
coverage ratio of 2 times for 2014-15. CRISIL believes that SSPL's
NCATD and interest coverage ratios will improve to 0.2-0.3 times
and 2-2.3 times, respectively, over the medium term with moderate
level of operating profitability and reduced interest expense.

SSPL was incorporated in 1992. It is promoted by Mr. Sunil Jain,
Mr. Bherulal Jain, and Mr. Dilkush Dungerwal, who have over two
decades' experience in the textile industry. SSPL manufactures
grey fabric of cotton and synthetic yarn for suiting and shirting.

SSPL, on a provisional basis, reported a profit after tax (PAT) of
INR1.5 million on net sales of INR194.8 million for 2014-15 as
against a PAT of INR1.2 million on net sales of INR137.8 million
for 2013-14.


SEVEN HILLS: Ind-Ra Assigns BB- Issuer Rating; Outlook Stable
-------------------------------------------------------------
India Ratings and Research has assigned Seven Hills Paper Private
Limited (SHPPL) a Long-Term Issuer Rating of 'IND BB-'.  The
Outlook is Stable.  The agency has also assigned ratings to
SHPPL's bank loans as:

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
  Long-term loans        70        Assigned 'IND BB-'/Stable
  Fund-based             70        Assigned 'IND BB-'/Stable/
   Facilities                      'IND A4+'

KEY RATING DRIVERS

The ratings reflect SHPPL's small scale of operations and moderate
credit metrics.  Unaudited FY15 financials indicate revenue of
INR143 mil. (FY14: INR157 mil.), EBITDA margin of 23.6% (21.2%),
net leverage (Ind-Ra adjusted net debt/operating EBITDAR) of 5.9x
(6.3x) and EBITDA interest cover of 1.7x (1.9x).  The revenue
growth has been stifled on an unfavorable macroeconomic
environment.  Ind-Ra maintains a negative-to-stable outlook on the
paper industry.

The ratings also factor in SHPPL's tight liquidity position with
its fund-based working capital facilities being utilized at an
average of 97.8% during the 12 months ended August 2015.

The ratings are supported by the promoters' more than two decades
of operating experience in the paper manufacturing business.

RATING SENSITIVITIES

Positive: Substantial growth in the top line with an improvement
in the EBITDA margin leading to a sustained improvement in the
credit metrics could be positive for the ratings.

Negative: Deterioration in the EBITDA margin leading to sustained
deterioration in the credit metrics could be negative for the
ratings.

COMPANY PROFILE

SHPPL was established in 1989. The company manufactures and
supplies paper, paper boards, color boards, file boards, kraft
boards, grey boards, and kraft paper.


SFPL CROP: CRISIL Reaffirms 'B' Rating on INR66.2MM Cash Loan
-------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of SFPL Crop Life
Science Pvt Ltd (SFPL) continues to reflect below-average
financial risk profile because of modest net worth, and average
capital structure and debt protection metrics. The rating also
factors in large working capital requirement, small scale of
operations, susceptibility to risks related to the regulated
nature of India's complex fertilizer industry, and vulnerability
to monsoon. These weaknesses are partially offset by promoters'
extensive industry experience and funding support, and established
distribution and sales network.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit           66.2       CRISIL B/Stable (Reaffirmed)

For arriving at its rating, CRISIL has treated SFPL's unsecured
loans of INR50 million from parent Krishidhan Seeds Pvt Ltd (KSPL)
as neither debt nor equity as the loans are non-interest bearing
and have been subordinated to bank debt.
Outlook: Stable

CRISIL believes SFPL will continue to benefit over the medium term
from its promoters' extensive experience in seed trading and
fertilizer manufacturing businesses. The outlook may be revised to
'Positive' in case of significant ramp-up of operations and
improvement in profitability resulting in substantial cash
accrual, and thus, better liquidity. Conversely, the outlook may
be revised to 'Negative' if financial risk profile, especially
liquidity, deteriorates because of larger-than-expected working
capital requirement or pressure on cash accrual.

Update
During 2014-15 (refers to financial year, October 1 to
September 30), SFPL registered turnover of INR190 million,
marginally lower than the previous year because of less rainfall.
While 80 per cent of revenue came from sale of seed, the remaining
came from sale of fertilizers. Supported by its established brand
and distribution network, the company reported healthy
profitability of 10 per cent. Its operations remain working
capital intensive, with estimated gross current assets at 218 days
as on September 30, 2015, leading to moderately high bank limit
utilisation of 77 per cent during 2014-15.

The company had modest net worth of INR13.5 million and high
gearing of 3.35 times as on September 30, 2015. Debt protection
metrics remained weak, with interest coverage and net cash accrual
to total debt ratios at 1.6 times and 0.1 time, respectively, in
2014-15. Liquidity is constrained by modest cash accrual, expected
around INR10 million for 2015-16.

SFPL was incorporated in 1999 as Subhash Fertilizers Pvt Ltd and
was later renamed as SFPL. The company is a fully owned subsidiary
of KSPL, which produces and markets seeds for the commercial seed
market. SFPL manufactures nitrogen, phosphorus, and potassium
mixed fertilizers and plant nutrition products such as
micronutrients. It is the sole distributor of hybrid vegetable
seeds of group company Krishnadhan Vegetable Seeds India Pvt Ltd
across India.


SGS MOTORS: Ind-Ra Assigns BB+ LT Issuer Rating; Outlook Stable
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned S.G.S Motors Pvt.
Ltd. (SMPL) a Long-Term Issuer Rating of 'IND BB+'.  The Outlook
is Stable.  The agency has also assigned SMPL's bank facilities
these ratings:

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
  Fund-based             150       'IND BB+'/Stable
  working capital
  limits

  Non-fund-based          20       'IND A4+'
  working capital
  limit

KEY RATING DRIVERS

The ratings reflect SMPL's moderate financial profile.  According
to the provisional financials for FY15, SMPL reported revenue of
INR2,468.3 mil. (FY14: INR1,457.7 mil.), operating EBITDA margins
of 3.2% (3.4%), interest coverage (operating EBITDA/gross interest
expense) of 2.2x (1.8x) and net financial leverage (total adjusted
net debt/operating EBITDAR) of 4.3x (6x).

The ratings are constrained by the company's tight liquidity
position as reflected by its average maximum working capital
utilization of 96% during the 12 months ended August 2015.

The ratings benefit from the fact SMPL is the sole authorized
dealer of TATA Motors Ltd. for the latter's commercial vehicle
segment in Gwalior and six other surrounding locations in Madhya
Pradesh.  The ratings also benefit from the six decades of the
promoter's experience in the field of running vehicle showrooms
and service stations.

RATING SENSITIVITIES

Positive: Substantial revenue growth leading to a sustained
improvement in the credit metrics will be positive for the
ratings.

Negative: Sustained deterioration in the interest coverage on
revenue or margin contraction will be negative for the ratings.

COMPANY PROFILE

SMPL was incorporated as a partnership firm - SG Motors - in
August 1989 by the Sanghi Group of Indore which is engaged in
automobile dealership since 1954.  Later, it was converted into a
private limited company.


SHAH PULSE: CRISIL Reaffirms B+ Rating on INR250MM Cash Loan
------------------------------------------------------------
CRISIL's rating on the bank facilities of Shah Pulse Mill (SPM;
part of the Gala group) continues to reflect the Gala group's
below-average financial risk profile marked by small net worth,
high total outside liabilities to tangible net worth (TOLTNW)
ratio, and weak debt protection metrics, and low operating margin
on account of its trading business. These rating weaknesses are
partially offset by the Gala group's established position in the
agricultural commodities trading business, especially trading of
de-oiled cakes and pulses.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit           250       CRISIL B+/Stable (Reaffirmed)

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of SPM and Gala Pulse Mill (SPM). Both the
firms, together referred to as the Gala group, have a common
management, are in the same line of business resulting in business
synergies, and have financial linkages and fungible funds.
Outlook: Stable

CRISIL believes that the Gala group will continue to benefit from
the extensive experience of its promoter family in the
agricultural goods trading business. The outlook may be revised to
'Positive' in case of significant increase in profitability
resulting in higher than expected net cash accruals, efficient
working capital management resulting in improved liquidity, or
significant improvement in capital structure most likely driven by
substantial capital infusion by promoters resulting in improved
financial risk profile. Conversely, the outlook may be revised to
'Negative' if the group's working capital cycle lengthens,
impacting its liquidity, or in case of significant withdrawal of
funds by promoters, resulting in further weakening its capital
structure.

The Gala group trades in and processes various types of pulses and
agricultural goods, including peas, maize, moong, toor, toor dal,
bardana, and soya de-oiled cakes. Trading accounts for around 90
per cent of the group's revenue; processing, wherein the group
grinds dal, accounts for the balance 10 per cent.

Established in 1988, SPM is a proprietorship concern of Mr. Dilip
Shantilal Shah. In 1992, the Shah family established GPM, which is
engaged in the same line of business, with Mr. Suresh Shantilal
Shah (brother of Mr. Dilip Shantilal Shah) as proprietor.


SHIROLI BUDRUK: CRISIL Assigns 'B+' Rating to INR200MM Cash Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facility of Shiroli Budruk Krishak Seva Sahakari Sanstha Ltd
(SBKSSSL).  The rating reflects SBKSSSL's small scale of, and
geographic concentration in, operations, and exposure to risks
inherent in the co-operative societies sector. These rating
weaknesses are partially offset by the society's above-average
earnings and long track record, and the senior management team's
extensive experience.

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

Outlook: Stable

CRISIL believes that SBKSSSL will continue to benefit over the
medium term from its above-average earnings, and the extensive
experience of its senior management. The outlook may be revised to
'Positive' if the society significantly improves its market
position and resource profile while maintaining sound asset
quality and adequate capitalisation. Conversely, the outlook may
be revised to 'Negative' if the society's earnings and asset
quality weaken, constraining its capital position.

SBKSSSL is a primary agricultural credit co-operative society
based at Junnar (District Pune, Maharashtra), founded by Mr.
Nivrutti Sherkar in 1951. In 1975, the society received
sponsorship of Bank of India for financing purposes. Mr.
Satyasheel Sherkar is the society's current chairman. Its
operations-limited to 10 villages in Junnar Taluka-include
providing financial services to farmers. It provides loans for the
cultivation of crops, and for other agricultural and allied
activities, such as construction of wells and warehouses. It also
extends loans against commodities, and loans for poultry
businesses. In addition, the society provides seeds, fertilisers,
and pesticides to farmers and has its own warehouses where farmers
can store commodities.

For the 2014-15 (refers to financial year, April 1 to March 31),
SBKSSSL earned a PAT of INR11 million on a total income of INR27
million, compared to a net surplus of INR10 million on a total
income of INR27 million for the previous year.


SHYAM ENTERPRISES: CRISIL Cuts Rating on INR223MM Loan to B+
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Shyam Enterprises (SE) to 'CRISIL B+/Stable' from 'CRISIL BB-
/Stable'.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          223        CRISIL B+/Stable (Downgraded
                                   from 'CRISIL BB-/Stable')

The rating downgrade reflects significant deterioration in SE's
business risk profile following decline in operating revenue
during 2014-15 (refers to financial year, April 1 to March 31)
because of a fall in the price of skimmed milk powder (SMP),
leading to a cash loss. Although expected recovery in SMP price
will lead to moderate improvement in revenue and profitability;
working-capital-intensive operations will lead to a stretch in
liquidity, and hence, to weak financial risk profile over the
medium term

The rating reflects SE's weak financial flexibility because of
large working capital requirements; and susceptibility to
regulatory changes, risk of epidemics, and volatility in prices of
raw milk and end products. These weaknesses are partially offset
by strong procurement network and established market position in
the dairy products industry.
Outlook: Stable

CRISIL believes SE's operating income will increase over the
medium term because of expected recovery in prices and established
position in the dairy industry, but financial risk profile will
remain constrained by large working capital requirements during
the peak season. The outlook may be revised to 'Positive' in case
of more-than-expected increase in scale of operations and cash
accrual, and better working capital management, leading to
improvement in capital structure and debt protection metrics.
Conversely, the outlook may be revised to 'Negative' in case of
large debt-funded capital expenditure or significant pressure on
profitability, leading to weakening of capital structure.

SE was set up as a partnership firm in 1992 by Mr. Shyama Charan
and family members. The firm manufactures dairy products, such as
SMP, ghee, milk, and butter, which it markets under the Shyam
brand.


SNB INFRASTRUCTURE: CRISIL Reaffirms 'D' Rating on INR200MM Loan
----------------------------------------------------------------
CRISIL rating continues to reflect instances of delay by SNB
Infrastructure Private Limited (SNB) in servicing its debt
obligations and overutilsation of fund based facilities for more
than 30 days; the delays have been caused by the company's weak
liquidity driven by a stretch in its working capital cycle.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Bank Guarantee       200         CRISIL D (Reaffirmed)
   Cash Credit          140         CRISIL D (Reaffirmed)
   Proposed Bank
   Guarantee            100         CRISIL D (Reaffirmed)
   Proposed Cash
   Credit Limit          60         CRISIL D (Reaffirmed)

SNB's credit risk profile is constrained because of its large
working capital requirements and weak financial risk profile,
primarily liquidity. The ratings also reflect SNB's exposure to
cyclicality in the domestic investment scenario and intense
competition in the infrastructure and construction industry. These
rating weaknesses are partially offset by its promoter's extensive
experience of more than three decades in the construction business
and its track record of successful execution of past orders.

SNB was originally set up in 1977 as a partnership company named
Shyam Narayan & Brothers, and was reconstituted as a private
limited company with the current name with effect from October 1,
2009. The Company, based in Mumbai, is managed by Mr. Ram Narayan
Upadhyay and other Directors. SNB undertakes infrastructure-
related construction activities and earthwork projects for
government and private-sector entities.


SRINIVASA RICE: CARE Assigns B Rating to INR6.80cr LT Loan
----------------------------------------------------------
CARE assigns 'CARE B' rating to the bank facilities of Srinivasa
Rice Industry.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     6.80       CARE B Assigned

Rating Rationale

The rating assigned to the bank facilities of Srinivasa Rice
Industry (SRI) is constrained by limited track record and small
scale of operations, weak financial risk profile marked by
operational and cash losses, leveraged capital structure and thin
debt coverage indicators during FY15 (Provisional) [refers
to the period April 1 to March 31], presence in the highly
competitive rice milling industry and seasonal nature of
availability of paddy resulting in working capital intensive
nature of operations.

However, the rating is underpinned by the experience of partners
for more than a decade in the rice milling industry, locational
advantage due to easy availability of paddy and healthy demand
outlook of rice.

The ability of the firm to scale up its operations to turnaround
from net loss to net profit while managing its working capital
requirement efficiently are the key rating sensitivities.

Srinivasa Rice Industry (SRI) was established in 2013 as a
partnership firm. It was promoted by Mr M Surya Prabhakara Rao, Mr
M VenkataRatnam, Ms M Suji and Mr D Venkateswara Rao. SRI is
engaged in milling and processing of rice. The rice milling unit
of the company is located at East Godavari District, Andhra
Pradesh, with an installed capacity to process 15,400 metric tons
per annum (MTPA).

Apart from rice processing, the firm is also engaged in selling
by-products such as broken rice, husk and bran. SRI commenced
commercial operations from March 1, 2015.

The main raw material, paddy, is directly procured from local
farmers located in and around East Godavari district and the firm
sells rice and other by-products in the open markets of Andhra
Pradesh.

During FY15 (Provisional), SRI reported a net loss of INR0.05
crore on a total operating income of INR0.81 crore.


TRANS VOLT: CRISIL Assigns 'B' Rating to INR40.9MM LT Loan
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Trans Volt Engineering (TVE).

                          Amount
   Facilities           (INR Mln)       Ratings
   ----------           ---------       -------
   Proposed Long Term
   Bank Loan Facility      40.9        CRISIL B/Stable

   Cash Credit              5.0        CRISIL B/Stable

   Long Term Loan           4.1        CRISIL B/Stable

The rating reflects TVE's small scale of and working capital-
intensive operations in the highly fragmented electrical
transformer industry. The rating also factors in the below-average
capital structure because of small net worth. These weaknesses are
partially offset by the proprietor's extensive industry
experience, and a moderately high operating margin.
Outlook: Stable

CRISIL believes TVE will benefit over the medium term from its
proprietor's extensive industry experience. The outlook may be
revised to 'Positive' in case of significant and sustained
improvement in firm's revenue and profitability leading to large
cash accrual, or the proprietor infuses sizeable funds.
Conversely, the outlook may be revised to 'Negative' if the
financial risk profile, especially liquidity, weakens because of
low cash accrual or a stretch in the working capital cycle or any
large debt-funded capital expenditure.

TVE, established in 2008 as a proprietary firm by Mr. Anirudha
Chavan, manufactures radiators for electrical transformers. Its
manufacturing facility is located in Pirangut near Pune.


TRIBHAWAN AND CO: CRISIL Assigns 'B' Rating to INR100MM Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facility of Tribhawan and Co. (TAC).

                         Amount
   Facilities           (INR Mln)     Ratings
   ----------           ---------     -------
   Warehouse Receipts       100       CRISIL B/Stable


The rating reflects TAC's below-average financial risk profile
because of small net worth, high TOLTNW ratio and weak debt
protection metrics. The rating also factors in the firm's modest
scale of operations in the highly fragmented rice industry and
susceptibility to volatility in raw material prices. These
weaknesses are partially offset by its promoter's extensive
industry experience.
Outlook: Stable

CRISIL believes TAC 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 improves capital structure
either because of equity infusion or larger-than-expected cash
accrual backed by increase in scale of operations and better
working capital management. Conversely, the outlook may be revised
to 'Negative' if financial risk profile deteriorates on account of
decline in revenue and profitability or larger-than-expected debt-
funded capital expenditure, or if liquidity weakens significantly
on account of increase in working capital requirement.

TAC is a proprietorship firm promoted by Mr. Anil Jain. It trades
in paddy and rice (Basmati and Parmal), and has been in this
business for a few decades.

For 2014-15 (refers to financial year, April 1 to March 31), on a
provisional basis, TAC reported a book profit of INR0.6 million on
net sales of INR161.2 million; it had reported a book profit of
INR0.5 million on net sales of INR146.1 million for 2013-14.


TURBO CAST: CRISIL Reaffirms B+ Rating on INR58.5MM Term Loan
-------------------------------------------------------------
CRISIL has reaffirmed its 'CRISIL B+/Stable' ratings to the long-
term bank facilities of Turbo Cast India Private Limited (TCIPL).
The ratings reflect TCIPL's average financial risk profile because
of average debt protection metrics, modest scale of operations due
to start-up nature of operations and geographical concentration in
revenue profile. These rating weaknesses are partially offset by
its promoters' extensive experience in the industry.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit          15         CRISIL B+/Stable (Reaffirmed)
   Term Loan            58.5       CRISIL B+/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that TCIPL will continue to benefit over the
medium term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' in case of a significant
improvement in the scale of operations and profitability or
working capital management, resulting in a better financial risk
profile. Conversely, the outlook may be revised to 'Negative' in
case of a slowdown in top line growth, decline in profitability,
and deterioration in the capital structure or debt protection
metrics, or further stretch in the working capital cycle.

Incorporated in February 2013, TCIPL has set-up 225-tonnes per
annum investment castings unit at Rajkot (Gujarat). The company is
promoted by M. R N Mavani, who will oversee its overall
operations.


TUSHAR FABRICS: CRISIL Ups Rating on INR45MM Cash Loan to B+
------------------------------------------------------------
CRISIL's has upgraded its rating on the long-term bank facilities
of Tushar Fabrics to 'CRISIL B+/Stable' from 'CRISIL B/Stable',
while reaffirming its rating on the short-term facility at 'CRISIL
A4'.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit            45        CRISIL B+/Stable (Upgraded
                                    from 'CRISIL B/Stable')

   Letter of Credit       10        CRISIL A4 (Reaffirmed)

   Term Loan               6.2      CRISIL B+/Stable (Upgraded
                                    from 'CRISIL B/Stable')

The upgrade reflects improvement in Tushar Fabrics' business and
financial risk profiles because of an increase in revenue and
operating margin, and hence in liquidity. For the four years
through 2014-15 (refers to financial year, April 1 to March 31)
the firm achieved a compound annual growth rate of 26 per cent in
revenue to a provisional INR148.4 million in 2014-15. The growth
was driven by increase in capacity and moderate demand for its
products. The operating margin was of 5.7 per cent in 2014-15 as
against 4.7 per cent in the previous year; the improvement was due
to lower raw material cost. CRISIL believes that backed by stable
product demand, the firm will report moderate revenue growth of 10
per cent per annum, while the operating margin will remain at 5.8-
6 per cent, over the medium term.

The firm's financial risk profile has also improved because of
better gearing. The gearing reduced to 1.95 times as on March 31,
2015, from 3.27 times a year earlier due to infusion of equity of
INR7.4 million in 2014-15. The firm is expected to generate
sufficient cash accrual of INR3-4 million annually as against
annual repayment obligation of INR0.7-0.73 million, in 2015-16 and
2016-17. Promoters continues to support the working capital
requirements through unsecured loans, the balance of which stood
at INR5.25 million as on March 31, 2015, as against INR3.86
million a year earlier.

The ratings reflect Tushar Fabrics' working-capital-intensive
operations and below-average financial risk profile because of
modest debt protection metrics. These rating weaknesses are
partially offset by the extensive experience of the promoters in
the textile industry.

Outlook: Stable

CRISIL believes Tushar Fabrics will continue to benefit over the
medium term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if there is significant and
sustained improvement in revenue and profitability, while the
capital structure is maintained. Conversely, the outlook may be
revised to 'Negative' in case of a considerable decline in revenue
or in profitability margins, or a stretch in the working capital
cycle, or larger-than-anticipated debt-funded capital expenditure,
resulting in weakening of the financial risk profile.

Tushar Fabrics, formed in 2005 by Mr. Jatinbhai Madrasi and Mrs.
Vandanaben Madrasi, weaves and knits grey fabric out of viscose
and cotton yarn. The company has its facility at Surat (Gujarat).
The fabric produced is sold in the domestic market and is
primarily used for women's dress material.

For 2014-15, on a provisional basis, Tushar Fabrics reported a
profit before tax (PAT) of INR0.5 million on net sales of INR148.4
million; it had reported a PAT of INR0.6 million on net sales of
INR138.1 million for 2013-14.


VAIBHAV LAXMI: CARE Reaffirms B+ Rating on INR17cr Loan
-------------------------------------------------------
CARE assigns 'CARE B+' rating to the LT BANK facilities and
reaffirms the ST rating assigned to the bank facilities of
Vaibhav Laxmi Exports Pvt. Ltd.

                              Amount
   Facilities              (INR crore)    Ratings
   ----------              -----------    -------
   Long-term/Short-term         17        CARE B+/CARE A4
   Bank Facilities                        Assigned/Reaffirmed

   Short-term Bank
   Facilities                    3.50     CARE A4 Reaffirmed

Rating Rationale

The ratings assigned to the bank facilities of Vaibhav Laxmi
Exports Private Limited (VLEPL) continues to be constrained on
account of its thin profitability which is further susceptible to
volatile cotton prices. The ratings are further constrained on
account of its high leverage, working capital-intensive operations
and impact of regulatory changes by the government for cotton.

The ratings, however, continue to take into consideration the vast
experience of the promoters in the cotton ginning industry along
with its operational linkages with its group concerns.

VLEPL's ability to increase its scale of operations along with
improvement in its profitability and efficient management of
working capital requirements would be the key rating
sensitivities.

Incorporated in July 2010, VLEPL is a private limited company
promoted by the Patel family based out of Kadi (Gujarat). VLEPL is
engaged in exports of cotton bales primarily to countries like
China, Bangladesh, Pakistan and other Asian countries. VLEPL is an
ISO 9001:2008 certified company and government recognized Star
Export House. Mr Niranjan R Patel, key promoter and Director, is
actively involved in the strategic and routine operations of the
company.

VLEPL belongs to the Vaibhav Laxmi Group (VLG), which has presence
across cotton processing value chain. VLG is primarily present in
cotton ginning , manufacturing, trading and exports of cotton
bales, cotton seeds, cotton seeds cakes through R. I. Cotton Pvt.
Ltd. (RICPL; rated: CARE B+/CARE A4) and Vaibhav Laxmi Industries
(VLI; rated CARE B/CARE A4).

VLG is also setting up a spinning unit to produce cotton yarn
through its group concern Vaibhav Laxmi Spinning Mills Ltd.
(VLSML; CARE BB-/ CARE A4).

As per the audited results for FY15 (refers to the period April 01
to March 31), VLEPL earned a PAT of INR0.14 crore on a total
operating income (TOI) of INR84.16 crore as against a PAT of
INR0.32 crore on a TOI of INR228.67 crore in FY14.


VAIBHAV LAXMI IND.: CARE Reaffirms B/A4 Rating on INR18cr Loan
--------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Vaibhav Laxmi Industries.

                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank/Short-          18        CARE B/CARE A4
   term Bank Facilities                     Reaffirmed

Rating Rationale
The ratings continue to be constrained by Vaibhav Laxmi
Industries's (VLI) presence in cotton-ginning business, having
inherently thin profitability due to limited value addition, high
working capital intensity of its operations and its leveraged
capital structure and weak debt protection metrics. The ratings
are further constrained by susceptibility of its operating
margins to volatile cotton prices and government policies as well
as its constitution as a partnership concern with inherent risk of
capital withdrawal and limited access to funding.

The ratings, however, take comfort from the vast experience of the
partners in cotton ginning business and its strategic location in
the cotton-producing region of Gujarat.

The ability of VLI to increase its scale of operations while
efficiently managing its working capital requirements along with
improvement in its profitability and capital structure would be
the key rating sensitivities.

Constituted as a partnership firm in 1995 by the Patel family
based out of Kadi (Gujarat), Vaibhav Laxmi Industries (VLI) is
engaged in cotton ginning and pressing at its sole manufacturing
facility located at Kadi with an installed capacity of 450 Metric
Tons per Day (MTPD) as on March 31, 2015. Mr Niranjan R. Patel,
the Managing Partner, is actively involved in the strategic and
routine operations of the firm.

VLI belongs to the Vaibhav Laxmi Group (VLG), which has presence
across cotton processing value chain. VLG is primarily present in
cotton ginning , manufacturing, trading and exports of cotton
bales, cotton seeds, cotton seeds cakes through Vaibhav Laxmi
Exports Pvt. Ltd. (VLEPL; rated: CARE B+/CARE A4) and R. I. Cotton
Pvt. Ltd.(RICPL; rated CARE B+/CARE A4). VLG is also setting up a
spinning unit to produce cotton yarn through its group concern
Vaibhav Laxmi Spinning Mills Ltd. (VLSML; CARE BB-/ CARE A4).

As per the audited results for FY15 (refers to the period April 1
to March 31), VLI earned a PAT of INR0.15 crore (FY14: INR0.95
crore) on a total operating income of INR75.18 crore (FY14:
INR140.27 crore).


VENKATESWARA ENTERPRISES: CRISIL Rates INR5MM Cash Loan at B+
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Venkateswara Enterprises (Venkateswara).

                         Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Cash Credit             5         CRISIL B+/Stable
   Letter of Credit       95         CRISIL A4

The ratings reflect Venkateswara's below-average financial risk
profile marked by modest net worth and weak debt protection
metrics; the rating also factors the firm's small scale of
operations, in the intensively competitive trading industry. These
rating weaknesses are partially offset by proprietor's extensive
experience in the plywood and veneer trading industry.
Outlook: Stable

CRISIL believes Venkateswara will continue to benefit over the
medium term from proprietor's extensive industry experience. The
outlook may be revised to 'Positive' in case increase in scale of
operations and profitability leads to higher-than-expected net
cash accrual and adequate liquidity. Conversely, the outlook may
be revised to 'Negative' in case lower-than-expected cash accrual
or larger-than-expected working capital requirement puts pressure
on liquidity.

Set up as a proprietorship firm in 2006 by Mr. Devender Goel in
Chennai, Venkateswara trades in veneer and plywood.


VIJAYASREE COTTON: CRISIL Reaffirms B Rating on INR50MM Loan
------------------------------------------------------------
The rating continues to reflecs on the bank facility of Vijayasree
Cotton Syndicate (VCS's) modest scale of operations in the highly
fragmented cotton ginning industry and its modest financial risk
profile, marked by high gearing, small net worth, and weak debt
protection metrics. These rating weaknesses are partially offset
by its promoters' extensive industry experience and its
established relationships with key customers and suppliers.

                       Amount
   Facilities        (INR Mln)     Ratings
   ----------        ---------     -------
   Cash Credit            50       CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that VCS 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 leading to an improvement in
its liquidity and financial risk profiles. Conversely, the outlook
may be revised to 'Negative' if the firm undertakes any
aggressive, debt-funded expansions, or its revenue and
profitability decline substantially leading to weak financial risk
profile or liquidity.

Update
VCS has achieved moderate revenue growth of 11 per cent in 2014-15
(refers to financial year, April 1 to March 31) supported by
established relations with customers in Andhra Pradesh, while
operating margin remained stable at 3.4 percent. The sustenance of
operating margin despite reduced cotton prices and growth in
revenue on the back of leasing of bigger manufacturing unit
remains a key rating sensitivity factor.

VCS's working capital cycle shortened marked by gross current
assets (GCAs) reducing to 128 days as on 31st March, 2015 from 163
days a year ago due to inventory level reverting to historical
level of about 68 days from a peak level of 93 days during the
same period. The reduced working capital requirements supports
VCS's liquidity profile. The bank lines remain fully utilized in
the peak season but remain at an average 89 per cent for the last
12 months. VCS's gearing reduced due to lower working capital
requirements which resulted in lower reliance on external
borrowings. The working capital management and revenue growth over
the medium term will determine the liquidity profile over the
medium term and thus remain key rating sensitivity factors.

Established in 2007 as a proprietorship concern, VCS is engaged in
ginning and pressing of raw cotton; it sells cotton lint and
cotton seeds. The firm, promoted by Ms. S Jayasree, is based in
Guntur (Andhra Pradesh).

For 2014-15 (refers to financial year, April 1 to March 31), on a
provisional basis, VCS reported a profit after tax (PAT) of
INR2.24 million on net sales of INR262.7 million, against a PAT of
INR1.14 million on net sales of INR236.8 million for 2013-14.


YAZDANI STEEL: CRISIL Reaffirms 'C' Rating on INR157.7MM Loan
-------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Yazdani Steel
& Power Ltd (YSPL) continues to reflect YSPL's weak liquidity,
which resulted from low profitability and high interest and
finance charges, leading to negative cash accrual in 2014-15
(refers to financial year, April 1 to March 31). The profitability
is expected to improve with better capacity utilisation, thus
strengthening the business risk profile.

                       Amount
   Facilities        (INR Mln)      Ratings
   ----------        ---------      -------
   Cash Credit          157.7       CRISIL C (Reaffirmed)

   Funded Interest
   Term Loan             75.8       CRISIL C (Reaffirmed)

   Letter of Credit      42.6       CRISIL A4 (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility    76.7       CRISIL C (Reaffirmed)

   Term Loan            497.7       CRISIL C (Reaffirmed)

   Working Capital
   Term Loan            121.9       CRISIL C (Reaffirmed)

The financial risk profile is below average, because of high
gearing and weak debt protection metrics, and susceptible to
cyclicality in the steel industry. However, it benefits from
healthy operational efficiencies, supported by integrated
operations.

YSPL was incorporated in October 2003 as Dinabandhu Steel & Power
Ltd (DSPL) by the Sahoo family. DSPL was acquired by the Orissa-
based the Yazdani group in May 2011 and renamed as YSPL. YSPL
manufactures thermo-mechanically treated steel bars, mild steel
ingots and sponge iron.



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


LAND BANK: Fitch Affirms Long-Term IDR at 'BB+'
-----------------------------------------------
Fitch Ratings has revised the Outlooks on the Long-Term Issuer
Default Ratings (IDRs) of two Philippine government-owned banks
-- Land Bank of the Philippines (LBP) and Development Bank of the
Philippines (DBP) -- to Positive from Stable. At the same time,
the agency has affirmed the Long-Term IDRs on the banks at 'BB+'.
A full list of rating actions is provided at the end of the rating
action commentary.

The Outlooks have been revised following a revision in the
Philippines sovereign's Outlook to Positive from Stable on 24
September 2015, which takes into account the improvement in
Philippine governance standards and global competitiveness.

Falling public debt, and resilient economic growth and external
finances should at least help sustain the sovereign's ability to
support the banking sector. For more details on the Outlook
revision on the sovereign, see the rating action commentary "Fitch
Revises Outlook to Positive; Affirms at BBB-", dated 24 September
2015.

KEY RATING DRIVERS

VIABILITY RATINGS (VRs), IDRS, NATIONAL RATINGS, SUPPORT RATINGS
(SRs) AND SUPPORT RATING FLOORS (SRFs)
The Outlook revision on both banks' IDRs reflects Fitch's view of
improving sovereign ability to provide extraordinary support, if
needed. Therefore, the drivers of the banks' IDRs have switched
from their VRs to sovereign support. This is according to Fitch's
rating methodology, which takes the higher of the two.

The banks' VRs of 'bb+' reflect their moderate asset quality,
including loan books that are partly policy-oriented and highly
concentrated, and their satisfactory capitalisation, funding and
earning profiles.

The banks' SRs of '3' and SRFs at 'BB+' reflect Fitch's
expectations of a moderate probability of extraordinary government
support available to DBP and LBP, if needed. The two banks are
100% owned by the government and serve quasi-policy roles. They
are also important in the local banking system - we believe LBP
and DBP would be designated as domestic systemically important
banks (D-SIBs) due to their meaningful share of assets and
deposits in the Philippines.

However, the SRFs are one notch lower than the sovereign ratings -
the same as those of the three largest private commercial banks.
This is due to the DBP's and LBP's hybrid nature, as they are
subject to the same regulatory and prudential measures and apply
similar underwriting criteria to private commercial banks.

The National Ratings reflect the banks' creditworthiness relative
to the sovereign, which has not changed.

LBP is mandated to provide timely and adequate financial support
for agrarian reform and grant credit facilities to the
agricultural sector. DBP is mandated to provide medium- and long-
term credit facilities for priority sectors, such as
infrastructure, logistics, micro-enterprises and SMEs.

The proposed merger between these two banks has been halted as the
Senate has not taken legislative action on this front, while the
House of Representatives approved its version of the merger bill
in May 2015. The delay might imply that consolidation in the near
to medium term would be challenging considering the upcoming
presidential election in 2016. The merger was proposed in February
2015 to improve operating efficiency and economies of scale with a
larger balance-sheet capacity while removing their overlapping
policy functions.

A proposal to inject fresh capital of PHP20bn and PHP10bn into LBP
and DBP respectively in 2016 is making its way through the
legislative process. The amounts equate to about 4% of each bank's
risk-weighted assets, and will help the banks better comply with
higher capital requirements. Fitch believes that the banks would
have to maintain common equity Tier 1 (CET1) ratios above 10%-11%
in the medium term, including D-SIB charges of 1.5%-2.5%, which
will be phased in over 2017-2019.

SENIOR DEBT

The senior notes of DBP are rated the same as its Long-Term IDR.
This is because the notes constitute direct, unsubordinated and
senior unsecured obligations of the bank, and rank equally with
all its other unsecured and unsubordinated obligations.

LBP does not have any outstanding debt issues rated by Fitch.

RATING SENSITIVITIES

VIABILITY RATINGS (VRs), IDRS, NATIONAL RATINGS, SUPPORT RATINGS
(SRs) AND SUPPORT RATING FLOORS (SRFs)
Positive action on the banks' VRs could arise from better asset
quality, along with improvements in their franchises and risk
appetites over the medium term, as may occur if the banks were to
become more commercially oriented over time.

The banks' VRs could face pressure from sharply higher credit
losses leading to capital impairment, potentially due to state-
directed lending or a severe economic deterioration.

Changes to the sovereign's ability to provide support - as
indicated by the sovereign rating - as well as the government's
propensity to provide timely extraordinary support would likely
lead to corresponding changes to the ratings on LBP and DBP.

SENIOR DEBT
Any change in DBP's IDR would affect its issue ratings.

The rating actions are as follows:

LBP

Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook Revised
to Positive from Stable
Short-Term Foreign-Currency IDR affirmed at 'B'
Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook Revised to
Positive from Stable
National Long-Term Rating affirmed at 'AA+(phl)'; Outlook Stable
Viability Rating affirmed at 'bb+'
Support Rating affirmed at '3'
Support Rating Floor affirmed at 'BB+'

DBP

Long-Term Foreign-Currency IDR affirmed at 'BB+'; Outlook Revised
to Positive from Stable
Short-Term Foreign-Currency IDR affirmed at 'B'
Long-Term Local-Currency IDR affirmed at 'BB+'; Outlook Revised to
Positive from Stable
National Long-Term Rating affirmed at 'AA+(phl)'; Outlook Stable
Viability Rating affirmed at 'bb+'
Support Rating affirmed at '3'
Support Rating Floor affirmed at 'BB+'
Ratings on senior notes affirmed at 'BB+'



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


THAILAND: Corporate Default Highlights Risks to Banks, Fitch Says
-----------------------------------------------------------------
The largest Thai corporate default since the aftermath of the 1997
financial crisis will lead to more non-performing loans (NPLs) in
the Thai banking system and reflects risks to banks' performance
from the weak operating environment, Fitch Ratings says.

However, the impact of the default by a subsidiary of Sahaviriya
Steel Industries Public Company Limited (SSI) on banks' asset
quality is not out of line with previous expectations for the
sector, and does not necessarily point to further sharp
deterioration in the next several quarters.

SSI, one of Thailand's largest steel manufacturers, at the end of
September said it would shut steel-making operations at its United
Kingdom subsidiary and enter into financial restructuring talks
with creditors. The events led banks that extended loans to the
SSI group to classify them as non-performing. This has
particularly impacted two large Thai banks: Siam Commercial Bank
Public Company Limited (SCB; BBB+/Stable) and Krung Thai Bank
Public Company Limited (KTB; BBB/Stable), each of which has
exposure of around THB22bn to the SSI group.

While this increase in NPLs is sizeable, both banks' capital and
reserve coverage buffers remain within reasonable ranges for their
current ratings. In addition, SCB will book extraordinary
investment gains in 3Q15 (including the sale of a stake in Siam
Cement Public Company Limited) of around THB7bn-8bn that will
significantly moderate the impact of the additional provisioning
of around THB10bn-11bn related to SSI. KTB's Issuer Default Rating
is driven by sovereign support factors arising from its status as
the only state-owned commercial bank - such factors are unaffected
by the SSI group's default.

Large Thai corporates have increasingly engaged in foreign
acquisitions over the past five years, which expose them and their
banks to risks to which they are unaccustomed. However Fitch
believes that the SSI case is sufficiently distinctive (in terms
of business sector, geography, and borrower group) that it does
not have wider implications for asset quality across the Thai
large-corporate sector.

Fitch had factored into its ratings some deterioration in banks'
asset quality this year due to the weak operating environment. We
continue to expect further gradual deterioration in asset quality,
and rising banking sector NPLs, over the next 6-12 months. The
segment that faces the most downside risk is Thai SMEs, which are
vulnerable to the economic downturn and muted business sentiment.

Thai banks rated by Fitch have generally posted sound performance
over the past several years, during which they have been able to
improve their leverage and build up counter-cyclical general
provisions. This is reflected in the Stable Outlooks on the banks
currently under Fitch coverage.



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


SAIGON THUONG: Moody's Puts B3 Issuer Rating on Review
------------------------------------------------------
Moody's Investors Service has placed on review with direction
uncertain the ratings of Saigon Thuong Tin Commercial Joint-Stock
Bank (Sacombank), including the bank's long-term deposit and long
term issuer ratings of B3, the standalone baseline credit
assessment (BCA) and adjusted BCA of caa1, and counterparty risk
assessment of B2(cr).  The bank's short-term ratings and
counterparty risk (CR) assessment of Not Prime and Not Prime(cr)
were not affected by this action.

The review is driven by the announcement by Sacombank on Oct. 1,
2015 that it had completed the merger with Phuong Nam Commercial
Joint Stock Bank (Southern Bank; not rated).

RATINGS RATIONALE

The review with direction uncertain is driven by the uncertainty
of the impact of the merger on Sacombank's key financial
fundamentals and risk profile.  Following consolidation of
Southern Bank, Sacombank would increase its asset base by around
40%, which might lead to changes in its standalone risk profile.

Recent financial reports of Southern Bank are not publicly
available, hence it is impossible to assess at this stage the
financial standing of that bank, and the impact of the merger on
Sacombank.  Moody's understands that the asset quality of Southern
Bank is somewhat weaker than that of Sacombank, which could
potentially lead to a higher problem loans ratio for the enlarged
Sacombank.

The merger could also be negative for the capital buffer and
profitability of Sacombank.  According to Sacombank, the group's
post-merger equity to assets ratio will amount to 7.8% at the end
of 2015, which represents a decrease from 9% for Sacombank as of
June 2015.  The bank also estimates that post-merger profit before
tax as a share of assets and equity might decrease to 0.3% and
4.4%, respectively, from 1.2% and 12% for Sacombank in 2014.

During the ratings review, Moody's will consider the effects of
the merger on Sacombank's risk profile, with a focus on the
quality of new assets, capital adequacy, profitability, as well as
funding and liquidity.  Moody's will also analyze the growth and
development strategy of the bank.

The merger was executed through a share swap, whereby 0.75 share
of Sacombank was exchanged against 1 share of Southern Bank.

WHAT COULD CHANGE THE RATINGS UP/DOWN

A ratings downgrade could occur if Moody's determines that
Sacombank's risk profile is materially impaired by the merger,
leading to a significant erosion in asset quality, substantial
decrease in the tangible common equity to risk weighted assets
ratio, weaker profitability and/or pressured funding and liquidity
profiles.

During the review, Moody's will also explore the possible benefits
of the merger for Sacombank, namely in areas such as business
diversification, new revenue streams, as well as its enlarged
branch network.

The principal methodology used in these ratings was Banks
published in March 2015.

Taking into account the announcement, the affected ratings are:

Saigon Thuong Tin Commercial Joint-Stock Bank (Sacombank)

   -- The local currency and foreign currency long-term deposit
      ratings of B3; review with direction uncertain
   -- The local currency and foreign currency long-term issuer
      ratings of B3; review with direction uncertain
   -- The BCA and Adjusted BCA of caa1; review with direction
      uncertain
   -- The long-term counterparty risk assessment of B2(cr);
      review with direction uncertain
   -- The local currency and foreign currency short-term deposit
      ratings were affirmed at NP
   -- The local currency and foreign currency short-term issuer
      ratings were affirmed at NP

Headquartered in Ho Chi Mihn City, Vietnam, Sacombank had total
assets of VND211 billion (around USD9.5 billion) at end-June 2015.


VIETNAM: TPP Could Give Major Long-Term Growth Boost, Fitch Says
----------------------------------------------------------------
Vietnam could see a significant boost to long-term economic
growth, investment and exports, should the Trans-Pacific
Partnership (TPP) agreement drafted on 5 October be ratified, says
Fitch Ratings. Of the 12 countries that are party to the TPP,
models suggest Vietnam would see the biggest benefits in terms of
economic impact.

Vietnam could see a positive economic growth effect in excess of
10% over the 10 years to 2025 under the TPP agreement, according
to the estimates of one study by Petri, Plummer and Zhai. Fitch
believes that the agreement would have significant impact on two
key areas in Vietnam - trade and domestic economic policy.

The free trade elements of the TPP will lower tariff barriers,
giving Vietnam greater access to large consumer markets in the US,
Japan, Canada and Australia. TPP signatories accounted for 39% of
Vietnam's total exports and 23% of imports in 2014. The potential
positive effect on trade could be transformative, with the
aforementioned study estimating the TPP will boost Vietnam's
exports by over 37% over 10 years. Notably, Vietnam in August also
concluded the terms of a free trade deal with the European Union,
putting it on course to complete free trade agreements with three
of its four largest export destinations - the EU, Japan and the
US.

The most significant aspects of the TPP pertain to setting of
rules for future economic integration.

The agreement does much more than just lower tariff barriers - it
also aims to address wide-ranging barriers to trade by setting
rules governing intellectual property rights, business competition
policies including those related to state-owned enterprises,
public procurement policies, supra-national dispute resolution,
and labour standards. As such, the TPP has the potential to act as
a key policy anchor for structural reforms and economic
liberalisation that could bolster productivity and foreign
investment for Vietnam.

Vietnam already benefits from high GDP growth and stable FDI
inflows. GDP growth accelerated to 6.5% over the first three
quarters of 2015, implying a 3Q growth rate of 6.9% yoy versus
6.5% in 2Q. Strong and improving macroeconomic stability was a key
driver of Vietnam's upgrade to 'BB-' in November 2014.

But further upside for Vietnam's rating will likely continue to be
challenged by wide fiscal deficits and high public debt. Fitch
estimates the general government deficit will rise to 6.9% of GDP
in 2015 from 6.1% in 2014. Public debt levels (excluding
guarantees) have grown to 45% of GDP, though this is broadly in
line with the 'BB' peer median of 41%. External finances have been
a strength for Vietnam in recent years, but a pick-up in credit
growth thus far in 2015 has spurred demand for imports and
squeezed the trade account. Fitch estimates this will likely drag
the current account surplus to under 1% in 2015 from 5% in 2014.

Implementation risks could be significant as the TPP agreement
heads to national legislatures for ratification. Opposition in the
US from Congress and leading presidential candidates in the lead
up to the 2016 elections there could yet scupper or delay the TPP.
Within Vietnam, while ratification is more likely, there could be
difficulties in implementing some areas of structural reform.



===============
X X X X X X X X
===============



* Asian Liquidity Stress Index Rises to 26.6%, Moody's Says
-----------------------------------------------------------
Moody's Investor's Service says its Asian Liquidity Stress Index
rose to 26.6% in September, from 26.0% in August.  Its 12 month
trailing average is 23.6%.

The increase came as the number of rated high-yield companies with
weakest speculative-grade liquidity score (SGL-4) increased to 33
from 32 while the number of rated high-yield companies rose to 124
from 123.

The index -- which increases when speculative-grade liquidity
appears to decrease -- remains well below the record high of 37%
reached in December 2008 amid the global financial crisis.

No rated high-yield bonds were issued in September, the second
month with no recorded issuance since August 2013.  Asian high
yield issuance in 2015 has slowed to the lowest level since 2012.
Relatively small volume of maturing bonds, the opening up of
alternative onshore funding channels in China, slowing growth in
China's economy and the expected interest rate increase in the US
are muting demand for Asian high yield bonds, notes the rating
agency.

"Asian high yield corporate issuers greater reliance on
relationship banking that involves rolling over short-term and
uncommitted credit lines, weigh on regional liquidity, compared to
other major economic regions," says Brian Grieser, a Moody's Vice
President and Senior Analyst.

Grieser was speaking on the release of Moody's latest report on
the index, entitled "Asian Liquidity Stress Index".

Three of Moody's four sub-indices for North-Asian high-yield
issuers fell in September, but both South-Asian indices rose.

The Chinese sub-index decreased slightly to 28.1% from 28.6% as
the number of Chinese companies with SGL-4 scores stayed flat at
18, while the total number of high-yield Chinese companies
increased to 64 from 63.

The Indonesian sub-index increased to 20.8% from 16.7% for the
previous month, as the number of Indonesian companies with SGL-4
scores rose to 5 from 4 and the total number of high-yield
Indonesian companies remained at 24.

In addition, Moody's upgrade/downgrade ratio remained steady, as
it downgraded three high-yield issuers and upgraded three, closing
out Q3 2015 with a downgrade/upgrade ratio of 1.71x.  Across
Moody's portfolio of 124 rated high-yield issuers, the percentage
of negative leaning outlooks -- meaning ratings with either a
negative outlook or on review for downgrade -- increased to 28.2%
in September from 25.2% in August.



                             *********

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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without prior written permission of the publishers.
Information contained herein is obtained from sources believed
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mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
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                 *** End of Transmission ***