/raid1/www/Hosts/bankrupt/TCRAP_Public/151209.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, December 9, 2015, Vol. 18, No. 243
Headlines
A U S T R A L I A
AUSTRALIA: Senior Judges Call For Chapter 11-Style Bankruptcy
BLUE VAULT: First Creditors Meeting Set For Dec. 14
GUNNS LTD: Forest Contractors Call For Insolvency Law Changes
LANGTREE INFORMATION: First Creditors Meeting Set For Dec. 15
MIRABELA NICKEL: Administrators Seek Expressions of Interest
RADIO TACTICS: Placed in Administration
C H I N A
CHINA AUTOMATION: S&P Assigns 'B+' Rating to US$30MM Sr. Notes
H O N G K O N G
SINO PAYMENTS: Auditor Expresses Going Concern Doubt
I N D I A
AISWARYALAKSHMI GOLD: CRISIL Suspends B Rating on INR45MM Loan
AKASH PET: CRISIL Suspends B+ Rating on INR60MM LT Loan
BABITA SYNTHETICS: ICRA Suspends B- Rating on INR5cr Loan
BLA POWER: CARE Assigns 'B' Rating to INR12.50cr LT Loan
BRAND CONCEPTS: Fitch Assigns 'IND BB-' Long-Term Issuer Rating
CHAUDHARY INGOTS: CARE Revises Rating on INR11.50cr LT Loan to D
DEVAS ENGINEERING: CRISIL Suspends B- Rating on INR41.5MM Loan
DEWARS GARAGE: CRISIL Reaffirms 'B' Rating on INR100MM Loan
FAITH AUTOMATION: CARE Assigns 'B' Rating to INR3.90cr LT Loan
GLOBAL STEEL: CRISIL Cuts Rating on INR100MM Loan to D
GOLD PLUS: CARE Revises Rating on INR353.79cr LT Loan to BB-
GOLDSTAR POLYMERS: CRISIL Reaffirms B+ Rating on INR70MM Loan
JAI GURUDEV: CARE Assigns B+ Rating to INR5.40cr LT Loan
JCC INFRATECH: CARE Assigns B+ Rating to INR5.0cr LT Loan
KRISHNA ELECTRICAL: ICRA Suspends 'B' Rating on INR12.05cr Loan
MEGH & AMI: ICRA Assigns B+ Rating to INR7.50cr Cash Loan
NAVKAR SUGARS: CRISIL Assigns B+ Rating to INR52.5MM Cash Loan
P.G. ENTERPRISES: ICRA Cuts Rating on INR10.30cr Loan to D
PARAS SEEDS: CARE Assigns B+ Rating to INR10cr LT Loan
PATIKARI POWER: ICRA Revises Rating on INR28.87cr Loan to 'C'
PLATINUM ALLOYS: ICRA Suspends D Rating on INR23.70cr Term Loan
R.K. HOTELIERS: Fitch Puts 'IND B+' LT Issuer Rating on Watch Neg
S.B. SAHOO: ICRA Suspends B+ Rating on INR7.0cr Cash Credit
SE FORGE: CARE Revises Rating on INR392.65cr LT Loan From D
SEKO BEC: CRISIL Ups Rating on INR40MM Cash Loan to B
SHAKTI POLYTUBE: ICRA Suspends 'B' Rating on INR9.58cr Loan
SHIV-OM SULZ: CARE Reaffirms B+ Rating on INR7.07cr LT Loan
SHREE GAJANAN: CRISIL Cuts Rating on INR50MM Cash Loan to B+
SHREE NAKODA: ICRA Reaffirms 'B' Rating on INR1.0cr Cash Loan
SSV SPINNERS: CARE Reaffirms B+ Rating on INR39.70cr LT Loan
SUBH LAXMI: CARE Assigns B+ Rating to INR9.22cr LT Loan
TECHNOBIT INDUSTRIES: CARE Assigns 'B' Rating to INR7.32cr Loan
TORNADO MOTORS: CRISIL Cuts Rating on INR170MM Cash Loan to D
TRIDENT SUGARS: ICRA Reassigns 'C' Rating to INR28cr Cash Loan
VAISHNAVI LIFE: ICRA Assigns 'B' Rating to INR6.50cr Term Loan
VANSHIKA SUGAR: ICRA Assigns 'B' Rating to INR14.50cr Loan
VICHITRA CONSTRUCTIONS: ICRA Assigns C Rating to INR5.0cr Loan
VISION PIPES: ICRA Suspends 'D' Rating on INR13.50cr Loan
J A P A N
ASAHI MUTUAL: Fitch Affirms BB+ IFS Rating; Outlook Stable
TOSHIBA CORP: Face Biggest Fine by Japan's Financial Regulator
TOSHIBA CORP: Shareholders Sue Former Execs Over Cooked Books
N E W Z E A L A N D
YOGHURT STORY: Faces Charges Over False Health Claims
S O U T H K O R E A
STX OFFSHORE: Set to Get KRW450BB Financial Aid From Creditors
X X X X X X X X
ASIA: Fitch Says Growth to Normalize, Not Collapse Amid Pressures
- - - - -
=================
A U S T R A L I A
=================
AUSTRALIA: Senior Judges Call For Chapter 11-Style Bankruptcy
-------------------------------------------------------------
The Australian reports that Australia's strict corporate laws
stifle risk-taking by directors and encourage them to tip
companies into insolvency rather than trade out of difficulty,
senior judges say.
Victorian Supreme Court judge Ross Robson also called for an
Australian version of US Chapter 11 bankruptcy rules, which allow
management to remain in control of troubled companies, the report
says.
According to the Australian, Justice Robson said Australian
regulators had lost sight of the original purpose of allowing
companies to be formed: "to enable businessmen to undertake a
risky venture without putting their own private wealth at risk".
"Directors are under a responsibility to take calculated risks if
they didn't take risks and just put their money in government
bonds, they'd be failing in their duty," the report quotes Justice
Robson as saying at a Governance Institute conference in
Melbourne. "That's my basic bugbear, that the regulations are
tending to stifle directors taking calculated risks. I'm not
talking about reckless risks, I'm talking about the risks that are
involved in any venture."
The Australian relates that Justice Robson said those who were
responsible for collapses involving dishonesty should be punished
but "in doing so and passing regulations we should not be stifling
the taking of risk".
"The problem with our corporations law at the moment is that if
there is some risk of insolvency then the directors really have to
just give up and have to hand over to the administrators, which is
nearly the death knell of the company.
"There should be some encouragement of the directors to take steps
to try to save the company."
The Australian relates that Justice Jennifer Davies, who joined
the Federal Court from the Victorian Supreme Court in 2013, said
she hoped politicians could reach a "compromise" allowing troubled
companies to restructure.
According to the report, the Productivity Commission considered
the issue in a review of insolvency law this year, but in its
March draft report stopped short of recommending a full Chapter
11-style regime.
It handed its final report to the Turnbull government on September
30 but it has yet to be tabled in parliament, the report notes.
"There are sound policy reasons for the insolvent provisions but
on the other hand I agree with Justice Robson that it really does
stifle the corporate world," The Australian quotes Justice Davies
as saying. "It was a few years ago, I think, Delta Airlines went
into Chapter 11 just before Christmas and everything continued
operating . . . I thought that was marvellous."
BLUE VAULT: First Creditors Meeting Set For Dec. 14
---------------------------------------------------
Andrew John Spring of Jirsch Sutherland was appointed as
administrator of Blue Vault Digital Pty Ltd on Dec. 2, 2015.
A first meeting of the creditors of the Company will be held at
Jirsch Sutherland, Level 27, 259 George Street, in Sydney, on Dec.
14, 2015, at 2:00 p.m.
GUNNS LTD: Forest Contractors Call For Insolvency Law Changes
-------------------------------------------------------------
Alexandra Blucher at ABC News reports that Australia's peak forest
contractor lobby wants Federal Industry and Innovation Minister
Christopher Pyne to include changes to preferential payments in
his push for company law overhaul.
ABC News says the liquidators of Gunns Limited have taken action
against forestry contractors to recoup millions of dollars for
company creditors.
According to the report, the Australian Forest Contractors
Association (AFCA) has sent a letter to Mr Pyne asking for
preferential payment changes to be included in an insolvency law
review.
AFCA wants monthly payments under a contract excluded as
preferential payments, the report relates.
ABC News says Mr Pyne had previously declared insolvency laws
would be included in an innovation policy statement expected to be
released next month.
The Federal Government has signalled that there will be proposed
tax and corporate law changes in next month's innovation and
science agenda, to help encourage more investment in new ventures,
ABC News states.
The report relates that the association wrote to Mr Pyne that
contractors were being sued because any payments made six months
prior to a company becoming insolvent could be scrutinised and
clawed back under current preference payment law.
According to ABC News, AFCA director Phillip Dohnt said many
contractors were not aware that Gunns was insolvent.
"The law is wrong, it needs a big review, and the Honourable
Christopher Pyne hopefully will take that into account," the
report quotes Mr. Dohnt as saying.
"If we have a contract and that company does go into liquidation,
that contract has legitimate payment clauses in it which should be
recognised.
"In other words, most contractors have in their contracts that
they will get paid within 30 days of the end of month, that to me
is a legitimate payment and it shouldn't be seen as a preferential
payment."
ABC News relates that Mr Dohnt said liquidator PPB Advisory was
arguing that their members should have known that Gunns was
operating insolvent between July 6 and September 21.
But he said PPB's Advisory's own report on Gunns in February 2013
could not identify a specific date that the company became
insolvent, the report relays.
"With all the information they had, they still couldn't actually
define a date, they suggested there could be four different dates,
and yet the unsecured creditors without any financial information
prior to them going into liquidation should have known," Mr Dohnt,
as cited by ABC News, said. "It's just ridiculous."
ABC News relates that in the letter, AFCA wrote that contractors
had been penalised on the premise that because they made enquiries
about outstanding payments in the last six months prior to Gunns'
insolvency, they should have suspected the company was insolvent
and should have stopped all trading.
But Mr Dohnt said that they were assured that it was a cashflow
problem.
"There was definitely cash flow issues, but a lot of businesses
have cash flow businesses . . . but that doesn't mean they are
insolvent," ABC quotes Mr. Dohnt as saying. "Gunns had the
backing of their financiers . . . and most contractors were
getting constant reassurance from the senior managers at Gunns
that they were going to trade out of their issues."
ABC News notes that Mr Dohnt's contracting business LV Dohnt and
Company was a chipping contractor for Gunns and is being sued for
AUD2.8 million and costs, which he said could send him out of
business.
He said AFCA wanted the law changed so that receiving monthly
payments under a contract in the future were not included as
preferential payments under insolvency law, the report adds.
The Innovation Minister's office has referred the matter to
Assistant Treasurer Kelly O'Dwyer, who said a review is looking at
whether current insolvency arrangements are appropriate or
discouraging entrepreneurs, ABC News reports.
About Gunns
Based in Launceston, Australia, Gunns Limited (ASX:GNS) --
http://www.gunns.com.au/-- was an hardwood and softwood forest
products company. It operated within three segments: Forest
products, Timber products and Other activities. Gunns has about
645 employees in Tasmania, Victoria, South Australia and Western
Australia.
On Sept. 25, 2012, the directors of Gunns Limited and its 35
entities, and the responsible entity of Gunns Plantations Limited
appointed Ian Carson, Daniel Bryant and Craig Crosbie of PPB
Advisory as Voluntary Administrators. KordaMentha has also been
appointed Receivers and Managers.
The appointment came after Gunns failed to secure an equity
investor amid high debt and a prolonged trading halt, The
Australian reported.
Gunns was placed into liquidation in March 2013.
LANGTREE INFORMATION: First Creditors Meeting Set For Dec. 15
-------------------------------------------------------------
Michael Slaven and Aaron Torline of Ernst & Young were appointed
as administrators of Langtree Information Management Pty Ltd on
Dec. 3, 2015.
A first meeting of the creditors of the Company will be held at
Ernst & Young, Level 11, 121 Marcus Clarke Street, in Canberra, on
Dec. 15, 2015, at 10:30 a.m.
MIRABELA NICKEL: Administrators Seek Expressions of Interest
------------------------------------------------------------
Cliff Sanderson at Dissolve.com.au reports that expressions of
interest are sought for the purchase of Mirabel Nickel Limited.
The sale includes the opportunity to own "one of the worlds
largest" open-pit nickel sulphide mines in Bahia, Brazil, the
report says.
Dissolve.com.au relates that investment highlights include assets
that produce high quality metal concentrate through a nickel
flotation processing factory, an efficient production process and
significant ore reserves and resources.
The sale is under instruction from receivers KordaMentha, the
report notes.
Martin Bruce Jones and Darren Gordon Weaver of Ferrier Hodgson
were appointed as administrators of Mirabela Nickel Limited and
Mirabela Investments Pty Ltd on Sept. 24, 2015.
RADIO TACTICS: Placed in Administration
---------------------------------------
Stephen Wesley Hathway -- stephen.hathway@helmadvisory.com.au --at
Helm Advisory was appointed as administrator of Radio Tactics
Australia Pty Ltd on Dec. 7, 2015.
=========
C H I N A
=========
CHINA AUTOMATION: S&P Assigns 'B+' Rating to US$30MM Sr. Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' long-term
issue rating and 'cnBB' long-term Greater China regional scale
rating to the issue of US$30 million senior unsecured notes due
2018 that China Automation Group Ltd. (B+/Stable/--; cnBB/--) will
unconditionally guarantee.
China Automation will maintain its obligation as a guarantor in a
default or event of default until payment of notes in a full and
timely manner. Tri-Control Automation Co. Ltd., an offshore
subsidiary of China Automation, will issue the notes. The issue
rating on the notes is subject to S&P's review of the final
issuance documentation and will be based on its assumption that
the bond issuance will be successfully completed.
S&P has equalized the rating on the notes to the long-term
corporate credit rating on China Automation. Structural
subordination risks are mitigated by a number of factors,
including the group's diverse assets and businesses. China
Automation will primarily use the net proceeds from the notes to
partially redeem its outstanding US$72 million senior unsecured
notes due April 20, 2016.
The corporate credit rating on China Automation reflects S&P's
view of the company's high client concentration in the
petrochemical business and its aggressive debt leverage position,
intensifying competition, and volatility in the industry's capital
expenditure cycle.
In S&P's opinion, the company has shown commitment to early redeem
and refinance its outstanding senior unsecured notes due April 20,
2016. Although management has a clear timeline to secure funding
for the refinancing and repayment of its notes, S&P believes the
company is still exposed to some execution risk. In S&P's base-
case scenario, it believes China Automation could maintain
sufficient liquidity after the completion of the bond issuance and
subsequent bank refinancing. S&P expects the company to repay
partially the outstanding US$72 million senior unsecured notes
before the end of 2015. If any of the company's refinancing plans
fail, S&P expects its liquidity to be greatly strained.
S&P could lower the corporate credit rating and issue rating if:
(1) China Automation's proceeds from refinancing (i.e., the bond
issuance and bank borrowings) are substantially lower than S&P
anticipated; or (2) the refinancing is significantly delayed, such
that the short-term sources of liquidity are materially lower than
the company's liquidity uses over the coming six months. If S&P
believes liquidity conditions are very tight for repayment of the
senior unsecured notes maturing on April 20, 2016, S&P would also
revise its liquidity assessment to "weak" from "less than
adequate."
================
H O N G K O N G
================
SINO PAYMENTS: Auditor Expresses Going Concern Doubt
----------------------------------------------------
Sadler, Gibb & Associates, LLC, in a May 19, 2015 letter to the
Board of Directors of Sino Payments, Inc., expressed substantial
doubt about the company's ability to continue as a going concern.
The firm audited the sheets of the company as of December 31, 2013
and the related statements of operations, stockholders' equity
(deficit) and cash flows for the year ended.
Sadler Gibb noted that the company had accumulated losses of
$1,409,796 from inception up through December 31, 2013 "which
raises substantial doubt about its ability to continue as a going
concern."
"The company has no generated significant revenues since inception
and is unlikely to generate significant revenue or earnings in the
immediate or foreseeable future," Sino Payments President and CEO
Kenneth Tan and Secretary, Treasurer, and Principal Financial
Officer Bella Tsang, in a regulatory filing with the U.S.
Securities and Exchange Commission on November 3, 2015, said.
"The continuation of the company as a going concern is dependent
upon the continued financial support from its shareholders, the
ability of the company to obtain necessary equity financing to
continue operations, and the attainment of profitable operations.
"As at December 31, 2013, the company has not generated any
revenues and has accumulated losses totaling $1,409,796 since
inception. These factors raise substantial doubt regarding the
company's ability to continue as a going concern."
"Our Auditors included in the accompanying financial statements
for fiscal year 2014 a going concern qualification due to
accumulated losses, limited revenues and need for additional,
possibly ongoing funding to sustain operations," Mr. Tan and Ms.
Tsang said.
"As such, our company may fail if there is continuation of
sustained losses, a failure to attain increased revenues and
profitability, and/or a need to receive additional funding to
sustain operations and such financing is not available when needed
and on affordable terms and conditions."
"We believe that our cash on hand and cash flow from operations
will meet our expected capital expenditure and working capital
requirements for the next 12 months. However, we may in the future
require additional cash resources due to changed business
conditions, implementation of our strategy to expand our
production capacity, sales, marketing and branding activities or
other investments or acquisitions we may decide to pursue," Mr.
Tan and Ms. Tsang pointed out.
"If our own financial resources are insufficient to satisfy our
capital requirements, we may seek to sell additional equity or
debt securities or obtain credit facilities. The sale of
additional equity securities could result in dilution to our
stockholders.
The incurrence of indebtedness would result in increased debt
service obligations and could require us to agree to operating and
financial covenants that would restrict our operations.
Financing may not be available in amounts or on terms acceptable
to us, if at all. Any failure by us to raise additional funds on
terms favorable to us, or at all, could limit our ability to
expand our business operations and could harm our overall business
prospects."
The company had a net income of $455,945 for the year ended
December 31, 2014, compared to a net loss $208,614 for the year
ended December 31, 2013. At December 31, 2014, the company had
total assets of $2,591,432, total liabilities of $1,995,149, and
total stockholders' equity of $596,283.
A full-text copy of the company's annual report is available for
free at: http://tinyurl.com/zha4fu7
A full-text copy of the company's quarterly report for the quarter
ended June 30, 2014, is available for free at:
http://tinyurl.com/jj96nru
Based in Kowloon, Hong Kong, Sino Payments, Inc. is primarily
engaged in providing credit and debit card processing services to
multinational retailers in Asia. The company is also involved in
the systems development and information technology business of
Value Exchange Int'l. (China) Limited.
=========
I N D I A
=========
AISWARYALAKSHMI GOLD: CRISIL Suspends B Rating on INR45MM Loan
--------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Aiswaryalakshmi Gold and Diamonds (AGD).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 45 CRISIL B/Stable
Proposed Long Term
Bank Loan Facility 8 CRISIL B/Stable
Term Loan 7 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by AGD
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, AGD is yet to
provide adequate information to enable CRISIL to assess AGD's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
AGD, set up in 2013 is involved in gold jewellery retailing. The
daily operations of the firm are managed by Dr. Ramachandran K,
Ms. Aiswarya Ram and Mrs. Sreekala T P.
AKASH PET: CRISIL Suspends B+ Rating on INR60MM LT Loan
-------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of Akash
Pet Containers Pvt Ltd (APCPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 27 CRISIL B+/Stable
Long Term Loan 33 CRISIL B+/Stable
Proposed Cash
Credit Limit 5 CRISIL B+/Stable
Proposed Long Term
Bank Loan Facility 60 CRISIL B+/Stable
The suspension of rating is on account of non-cooperation by APCPL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, APCPL is yet to
provide adequate information to enable CRISIL to assess APCPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
APCPL was incorporated in 2011 as MRVS Containers Pvt Ltd and was
subsequently renamed as APCPL. The company manufactures
Polyethylene Terephthalate (PET) bottles for liquor industry and
is promoted by Mr. Manicka Sundaram and his elder sister Mrs.
Indira Arumuga.
BABITA SYNTHETICS: ICRA Suspends B- Rating on INR5cr Loan
---------------------------------------------------------
ICRA has suspended the [ICRA]B- rating assigned to the INR5.00
Crore fund based facility of Babita Synthetics Private Limited.
The suspension follows ICRA's inability to carry out a rating
surveillance in the absence of the requisite information from the
company.
BLA POWER: CARE Assigns 'B' Rating to INR12.50cr LT Loan
--------------------------------------------------------
CARE assigns CARE B rating to bank facilities of BLA Power Private
Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 12.50 CARE B Assigned
Rating Rationale
The rating assigned to BLA Power Private Limited is constrained by
short track record of operations, lack of PPA for offtake of 65%
of power generation, project execution risk, weak financial
profile marked by restructuring of its loans (under CDR) in FY15,
absence of long term arrangement for sourcing of coal, volatility
in input prices and susceptibility in the realisation of power
tariff. The rating, however derive strength from experience of the
promoters, PPA for offtake of 35% of power with Government of
Madhya Pradesh and MP Power Transmission Company Limited.
The ability of the company to ensure timely commissioning of
proposed capacity expansion and derive desired benefits
thereof; securing long term coal supply or linkage along with
execution of PPA for 65% of the capacity, future trend in
realisation vis-…-vis price of key raw materials forms the key
rating sensitivities.
BLA Power Pvt Ltd (BLA) promoted by BLA Power Holdings Pvt Ltd and
belonging to the BLA group, was incorporated in 2006 for the
purpose of setting up a coal-based power project. The project was
conceived to set up a 90MW merchant power plant at Gadarwara in
Madhya Pradesh in two phases of 45MW each. The first phase of the
project with installed capacity of 45 MWbecame operational from
April 2012 with a delay of around 9 months with an estimated cost
of INR350 crore financed by debt of INR230 crore and equity of
INR120 crore.
The company is currently in the process of setting up 2nd unit of
45MWat the existing site in continuation to Phase-I. The 2nd unit
was expected to be commissioned in March 2014. However, with delay
in implementation of common modules with unit I, cost overrun and
subsequent delay in financial closure of the same, the
commissioning of the second unit has been pushed to FY16. The
estimated cost for the 2nd phase is INR387.51 crore which is
proposed to be funded by debt of INR270.86 crore and promoter's
contribution of INR116.65 crore.
During FY15 (refers to the period April 01 to March 31), BLA
incurred a loss of INR20.32 crore on total income of INR117.77
crore. The company had applied for restructuring of its loans
(under CDR) which has been approved in FY15 with effect from
April 1, 2014.
BRAND CONCEPTS: Fitch Assigns 'IND BB-' Long-Term Issuer Rating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Brand Concepts
Pvt. Ltd. (BCPL) a Long-Term Issuer Rating of 'IND BB-'. The
Outlook is Stable.
KEY RATING DRIVERS
The ratings reflect BCPL's moderate financial profile in FY15
after it incurred EBITDA losses in FY14. BCPL reported revenue of
INR387 million in FY15 (FY14: INR281 million), operating EBITDA
margin of 11.4% (negative 3.9%), interest coverage (operating
EBITDA/gross interest expense) of 1.5x (negative 0.3x) and net
financial leverage (adjusted net debt/operating EBITDAR) of 3.7x
(78x). The ratings also factor BCPL's tight liquidity position as
reflected by its near full working capital limit utilisation
during the 12 months ended October 2015.
The ratings are supported by BCPL owning an exclusive license to
sell branded small leather goods and travel bags all over the
country. Also, the promoter of the company has over 10 years of
experience in the same line of business.
RATING SENSITIVITIES
Positive: Improvements in the overall credit profile could lead to
positive rating action.
Negative: Deterioration in the EBITDAR interest coverage will be
negative for the ratings.
COMPANY PROFILE
Incorporated in 2007 BCPL sells branded goods all over the
country. It also has its own brands namely Sugarush in the ladies
handbags category and The Vertical in travel bags and small
leather goods categories.
CHAUDHARY INGOTS: CARE Revises Rating on INR11.50cr LT Loan to D
----------------------------------------------------------------
CARE revises ratings assigned to bank facilities of Chaudhary
Ingots Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 11.50 CARE D Revised from
CARE BB-
Rating Rationale
The revision in the rating assigned to the bank facilities of
Chaudhary Ingots Private Limited (CIPL) takes into account the
delays in debt servicing due to stretched liquidity position.
CIPL, based in Muzaffarnagar, Uttar Pradesh, was set up in
November 2001, by Mr Yatendra Singh Panwar, Mr Narendra Panwar and
Mr Ashok Sharma. CIPL is primarily engaged in the manufacturing of
mild steel ingots and by-products, namely, runners and risers.
Mild steel ingots produced by CIPL find application in rolling
mills to manufacture steel sheets, channels, bars and plates which
are ultimately used in construction and infrastructure industry.
70% of ingots supplied to rolling mills are consumed by secondary
manufacturers and re-rollers to manufacture thermo-mechanically-
treated (TMT) bars for construction industry. CIPL procures raw
material in the form of sponge iron, pig iron, mild steel scrap,
silico manganese and carbon from domestic players such as Monnet
Ispat & Energy Limited, Tata Metaliks Limited, and manufactures
ingots in different sizes, which are further categorized based on
their carbon content. CIPL sells all its products in the domestic
market primarily in the three states, namely, Uttar Pradesh,
Punjab and Rajasthan.
DEVAS ENGINEERING: CRISIL Suspends B- Rating on INR41.5MM Loan
--------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Devas Engineering Systems Pvt Ltd (Devas).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 90 CRISIL B-/Stable
Letter of credit &
Bank Guarantee 50 CRISIL A4
Proposed Term Loan 41.5 CRISIL B-/Stable
Term Loan 18.5 CRISIL B-/Stable
The suspension of ratings is on account of non-cooperation by
Devas with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, Devas is yet to
provide adequate information to enable CRISIL to assess Devas's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
Incorporated in 2011, Devas manufactures spares for bulk material
handling equipment. The company also undertakes turnkey projects
that include design, manufacture, erection, and commissioning of
bulk material handling equipment. Its day-to-day activities are
managed by managing director Mr. D P Sadhu.
DEWARS GARAGE: CRISIL Reaffirms 'B' Rating on INR100MM Loan
-----------------------------------------------------------
CRISIL's ratings on the bank facilities of Dewars Garage Ltd (DGL)
continue to reflect its weak financial risk profile marked by high
total outside liabilities to tangible net worth ratio, and weak
debt protection metrics. The ratings also reflect its exposure to
intense competition in the automobile dealership business and
stretched liquidity. These rating weaknesses are partially offset
by the extensive experience of its promoters and moderate scale of
operations.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 100 CRISIL B/Stable (Reaffirmed)
Inventory Funding
Facility 130 CRISIL A4 (Reaffirmed)
Letter of Credit 20 CRISIL A4 (Reaffirmed)
Term Loan 50 CRISIL B/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes DGL will continue to benefit over the medium term
from the promoters' extensive business experience and established
relationship with principal Maruti Suzuki India Ltd (MSIL; rated
CRISIL AAA/Stable/CRISIL A1+). The outlook may be revised to
'Positive' in case a substantial increase in scale of operations
and cash accrual, aided by prudent working capital management or
significant capital infusion by the promoters leads to a
substantial improvement in its financial risk profile particularly
capital structure and liquidity. Conversely the outlook may be
revised to 'Negative' in case the financial risk profile
deteriorates owing to low income and accrual, or a stretch in
working capital cycle or a large debt-funded capital expenditure.
Incorporated in 1956, DGL is an authorised dealer of MSIL
passenger cars in Kolkata (West Bengal) since 1995. Mr. Sudhir
Jhunjhunwala, Mr. Rohit Kedia, Mrs. Sarojini Sengupta and Mr.
Mudit Kumar are the directors of the company.
FAITH AUTOMATION: CARE Assigns 'B' Rating to INR3.90cr LT Loan
--------------------------------------------------------------
CARE assigns 'CARE B/CARE A4' ratings to bank the facilities of
Faith Automation Systems and Tooling Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank Facilities 3.90 CARE B Assigned
Short term Bank Facilities 1.50 CARE A4 Assigned
Rating Rationale
The ratings assigned to the bank facilities of Faith Automation
Systems and Tooling Private Limited (FASTPL) are constrained on
account of its modest scale of operations with short track record,
weak financial risk profile marked by low revenue and
profitability, moderate capital structure and working capital
intensive nature of operations.
The rating however gains strength from the technical experience of
the promoters, moderate outstanding order book position providing
near term revenue visibility, reputed clientele and locational
advantage in the form of proximity to clientele base.
The ability of the company to increase scale of operations and
improve profitability while managing working capital efficiently
are the key rating sensitivities.
FASTPL is based out of Bhosari, Pune, Maharashtra and was
incorporated inMay, 2013. The commercial operations of the
company commenced from July 2014. The company is engaged in
providing automation and tooling for automobile sector clients.
The company is primarily a turnkey solution provider for
automotive weld lines -- both manual and robotic, material
handling systems and conveyor belt system. The range of services
include process planning, mechanical and automation designs,
manufacturing assembly and certification, automation and robot
planning and onsite installation of systems. The company caters
primarily to the domestic market while the overseas market
contributed around 2% of the total sales in FY15 (refers to the
period April 1 to March 31). The company is promoted by Mr Nilesh
Pandhare, Mr Rajshekhar Sattigeri, Mr Ramdas Gopale and Mr Kedar
Joshi who are the Directors of the company.
GLOBAL STEEL: CRISIL Cuts Rating on INR100MM Loan to D
------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Global Steel Company (GSC) to 'CRISIL D/CRISIL D' from 'CRISIL B-
/Stable/CRISIL A4'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 10 CRISIL D (Downgraded from
'CRISIL A4')
Letter of Credit 20 CRISIL D (Downgraded from
'CRISIL A4')
Long Term Loan 30 CRISIL D (Downgraded from
'CRISIL B-/Stable')
Overdraft Facility 100 CRISIL D (Downgraded from
'CRISIL B-/Stable')
The downgrade reflects instances of delay by GSC in servicing debt
because of weak liquidity driven by stretch in working capital
cycle.
GSC has weak financial risk profile because of small networth,
high gearing, and weak debt protection metrics. It has modest
scale of operations and large working capital requirement.
However, the firm benefits from its promoter's extensive
experience in the pre-engineered structures segment.
GSC, set up as a proprietorship firm in 2009 by Mr. Rishi Agarwal,
manufactures pre-engineered structures for the infrastructure
industry. It is based in Hyderabad.
GOLD PLUS: CARE Revises Rating on INR353.79cr LT Loan to BB-
------------------------------------------------------------
CARE revises/reaffirms the ratings assigned to the bank facilities
of Gold Plus Glass Industries Ltd.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 353.79 CARE BB- Revised from
CARE B
Short-term Bank Facilities 37.50 CARE A4 Re-affirmed
Rating Rationale
The revision in ratings assigned to the bank facilities of GPGIL
takes into account redemption of preference capital through issue
of fresh preference shares, continued profitable scale-up of
operations during H1FY16 (Unaudited, refers to the period
April 1 to Sept 30) due to significant improvement in
profitability margin. The ratings also take into account the
strength derived from the experienced promoters and GPGIL's
established position in the float glass manufacturing industry.
Further, ratings are constrained on account of energy intensive
operations and exposure to volatility in raw material price cost
coupled with highly competitive nature of the industry. The
ratings also consider the proposed capital expenditure plans which
is at an initial stage of development.
Going forward, sustained profitable scale-up of operations and
further improvement in the overall gearing levels shall be
the key rating sensitivities.
Gold Plus Glass Industry Ltd, incorporated in December 2005 as a
Public Limited company, commenced its full fledged operations in
January 2009 by setting-up a Float glass manufacturing unit of 460
MT per day capacity at Roorkee (Uttarakhand). The current product
mix of the company comprises of float glass, mirror glass,
reflective glass and frosted glass at the Roorkee unit and
automotive toughened glass, automotive laminated glass, insulating
glass and printed glass at Haryana and Himachal Pradesh units. The
end-products are mainly used by the construction and auto
industry.
GPGIL achieved a total operating income of INR467 cr in FY15 (PY:
INR448 cr) with a PBILDT margin of 19.16% (PY: 10.93%) and PAT
margin of 3.19% (PY: Net losses of INR12 cr). As per provisional
results for H1FY16, GPGIL reported operating income of INR225 cr
and PBILDT margin of 25.83% and PAT margin of 12.07%.
GOLDSTAR POLYMERS: CRISIL Reaffirms B+ Rating on INR70MM Loan
-------------------------------------------------------------
CRISIL ratings on the bank loan facilities of Goldstar Polymers
Limited (GPL) continues to reflect modest scale of operations,
below average financial risk profile marked by modest net worth
and subdued debt protection metrics, and working capital intensive
operations. These rating weaknesses are partially offset by its
promoters' extensive experience in the industry and its
established customer base.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 2.5 CRISIL A4 (Reaffirmed)
Cash Credit 70 CRISIL B+/Stable (Reaffirmed)
Proposed Cash
Credit Limit 20 CRISIL B+/Stable (Reaffirmed)
Proposed Bank
Guarantee 20 CRISIL B+/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes that GPL will continue to benefit over the medium
term from the extensive industry experience of the promoters and
its established customer relationships. The outlook may be revised
to 'Positive' if the company generates significant and sustained
improvement in revenues and margins leading to overall improvement
in financial risk profile. Conversely, the outlook may be revised
to 'Negative 'in case there is significant decline in GPL's
revenues or profitability or if it undertakes any large debt
funded capex or faces any significant working capital stretch
leading to deterioration in financial risk profile.
GPL was incorporated in 1999 by Mr. Prem Saraogi and his family
members. The company is engaged in manufacturing of high density
polyethylene (HDPE) containers used in pharmaceutical, and
petroleum industry. GPL's manufacturing facility is located in
Daman.
JAI GURUDEV: CARE Assigns B+ Rating to INR5.40cr LT Loan
--------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Jai
Gurudev Ginning and Pressing Industries.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank Facilities 5.40 CARE B+ Assigned
Rating Rationale
The rating assigned to the bank facilities of Jai Gurudev Ginning
and Pressing Industries (JGGPI) is tempered by relatively small
scale and short track record of operations, small networth base
along with low profit margins owing to presence in lowest segment
of textile value chain, leveraged capital structure and weak debt
coverage indicators and working capital intensive nature of
operations. The rating is further constrained by susceptibility of
margins to fluctuations in cotton prices and seasonality
associated with cotton availability, presence in fragmented
industry with susceptibility to government regulations and
partnership nature of business constitution.
The rating, however, considers the benefits derived from the
promoters' experience, locational advantage and support
from the group company.
The ability of JGGPI to increase its scale of operations with
improvement in profit margins and capital structure along with
effective management of working capital cycle are the key rating
sensitivities.
Established in April 2013 by Mr Chandrashekhar Thote, Mr Sachin
Kawale and Mrs Sharada Thote, JGGPI is engaged into cotton ginning
& pressing. The key raw material, ie, raw cotton is also sourced
from local market (farmers). The promoters through another
company, namely, Jai Gurudev Krishi Kendra (JGKK) were into the
business of trading of sowing seeds/fertilizers/pesticides & other
allied products and has dealership of various seed & fertilizer
companies. The firm earns the major part of their revenue from
cotton bales (65% of the total revenue in FY15 [refers to the
period April 1 to March 31]) which is sold to traders and textile
mills and around 35% of JGGPI revenue is generated from sale of
cotton seed to oil mills. JGGPI's plant is located at Kalamb,
Yavatmal, Maharashtra, and runs in three shifts in a day in the
season which fall during October to June.
During FY15, JGGPI reported an operating income of INR17.40
(vis-a-vis INR14.05 crore in FY14) and PAT of INR 0.03 crore (vis-
a-vis INR0.06 crore in FY14). Furthermore, during H1FY16, the firm
had posted an operating income of INR8.67 crore and PBT of INR0.04
crore.
JCC INFRATECH: CARE Assigns B+ Rating to INR5.0cr LT Loan
---------------------------------------------------------
CARE assigns 'CARE B+' and 'CARE A4' ratings to bank facilities of
JCC Infratech Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank Facilities 5.00 CARE B+ Assigned
Short term Bank Facilities 6.75 CARE A4 Assigned
Rating Rationale
The ratings assigned to the bank facilities of JCC Infratech
Private Limited (JCC) are primarily constrained by small scale of
operations with low net worth base, concentrated order book
position, leveraged capital structure, presence in highly
competitive and fragmented nature of the industry and dependence
on construction and infrastructure sector.
The rating constraints are partially offset by support from the
experienced management and moderate profitability margins.
Going forward, the ability of JCC to stabilize its scale of
operations while sustaining its profitability margins and
improving the capital structure shall be the key rating
sensitivities. Furthermore, the ability to successfully
execute the orders within envisioned time and cost shall also be
crucial.
Haryana-based JCC was incorporated in 2011 and currently being
promoted by Mr Shekher Jain, Mr Nirjhar Jain and Mrs Shikha Jain.
The company is a grade "A" contractor which undertakes civil
construction contracts for state governments. The company receives
the orders mainly through tenders and the tenure of the contracts
range from 6 - 12 months. The firm procures raw materials, ie,
grits, stones, etc, from private dealers. Additionally, the
equipment's and machines are owned by the company. The company
took over the business operations of Jayana Construction Company
on April 1, 2014. Jayana Construction Company is a proprietorship
concern established in 1982.
JCC reported a PBILDT of INR1.88 crore and PAT of INR0.45 crore on
a total operating income of INR23.64 crore in FY15 (refers to the
period April 1 to March 31) as against PBILDT of INR0.05 crore on
a total operating income of INR0.39 crore in FY14. The company has
achieved sales of INR10.06 (as per unaudited results) crore till
Sept. 30, 2015.
KRISHNA ELECTRICAL: ICRA Suspends 'B' Rating on INR12.05cr Loan
---------------------------------------------------------------
ICRA has suspended [ICRA]B rating assigned to the INR12.05 Crores
fund based facilities and INR3 crore long term non fund based
facilities and [ICRA]A4 rating assigned to INR29.00 crore short
term non fund based facilities of Krishna Electrical Industries
Limited. The suspension follows ICRA's inability to carry out a
rating surveillance in the absence of the requisite information
from the company.
MEGH & AMI: ICRA Assigns B+ Rating to INR7.50cr Cash Loan
---------------------------------------------------------
ICRA has assigned the long term rating of [ICRA]B+ to the Rs.7.50
crore cash credit facility of Megh & Ami Exports Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based limits-
Cash Credit 7.50 [ICRA]B+; assigned
Fund Based limits
(Sub-Limit of cash
credit limit)
PC/PCFC/FDBN/DP/PSCFC 3.50 [ICRA]A4; assigned
ICRA has also assigned the short term rating of [ICRA]A4 to the
Rs.3.50 crore short term fund based facilities which are sublimits
of cash credit facility.
The assigned ratings factor in Megh & Ami Exports Private
Limited's (MAEPL) low profitability margins on account of the
limited value addition in the fabrics trading business. The
ratings also factor in MAEPL's limited track record of operations
and intense competition from organised and unorganised players in
a highly fragmented industry thereby limiting its pricing power.
The rating however takes into consideration MAEPL's satisfactory
financial risk profile characterized by comfortable capital
structure and low working capital intensity. Further, ICRA draws
comfort from the management's extensive experience in the textile
trading segment.
Megh & Ami Exports Private Limited (MAEPL) was established as a
private limited company in July 1995 and started operations in
2011. The company is promoted by Mr. Gurdeep Arora and Mr. Gurdeep
Arora. The company is engaged in the trading of fabric and various
types of readymade garments. The warehouse is located in Navi
Mumbai, near Jawaharlal Nehru Port Trust (JNPT).
Recent Results:
The company reported a net profit of INR0.52 crore on an operating
income of INR30.29 crore in FY15.
NAVKAR SUGARS: CRISIL Assigns B+ Rating to INR52.5MM Cash Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the bank
facilities of Navkar Sugars (NS). The ratings reflect NS's below-
average financial risk profile because of a modest net worth, weak
interest coverage ratio.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 52.5 CRISIL B+/Stable
Proposed Long Term
Bank Loan Facility 17.5 CRISIL B+/Stable
The ratings also factors in a modest scale of operations in the
highly fragmented and competitive sugar trading industry. These
rating weaknesses are partially offset by the extensive industry
experience of the firm's proprietor and the funding support.
Outlook: Stable
CRISIL believes that the NS will continue to benefit over the
medium term from its proprietor's extensive industry experience.
The outlook may be revised to 'Positive' in case of a significant
and sustained increase in revenue along with better margins and
capital structure. Conversely, the outlook may be revised to
'Negative' in case of a significant decline in revenue or margins
and a stretched working capital cycle, resulting in weak
liquidity.
NS is a proprietorship concern established in 1986 by Mr.
Nemichand Mutha. The firm is engaged in trading of sugar. The
office of the firm is located in Navi Mumbai.
P.G. ENTERPRISES: ICRA Cuts Rating on INR10.30cr Loan to D
----------------------------------------------------------
ICRA has downgraded the long term rating assigned to the INR10.30
crore term loan facility and INR1.70 crore unallocated limits of
P.G. Enterprises from [ICRA]B to [ICRA]D. The rating continues to
remain Suspended.
The revision in ratings factor in the recent instances of delays
in servicing of interest on term loans to the bank.
P.G. Enterprises is a partnership firm engaged in development of
residential space. The firm is a part of Makwana Group of
companies based in Mumbai.
PARAS SEEDS: CARE Assigns B+ Rating to INR10cr LT Loan
------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Paras
Seeds Corporation.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank Facilities 10 CARE B+ Assigned
Rating Rationale
The rating assigned to the bank facilities of Paras Seeds
Corporation (PSC) is primarily constrained on account of
fluctuating total operating income (TOI) and profit margins,
moderate capital structure, weak debt coverage indicators
and moderate liquidity position. The rating is also constrained on
account of PSC's presence in highly fragmented and competitive
cotton ginning and pressing industry with limited value addition,
seasonality associated with raw material availability, exposure to
any changes in government policies, susceptibility of its profit
margins to volatility in raw material prices and partnership
nature of constitution restricting its financial flexibility.
The rating, however, take comfort from the experience of the
promoters into the cotton ginning and pressing industry along with
location advantage on account of presence of PSC within cotton
producing hub of Gujarat.
The ability of PSC to increase its scale of operations,
improvement in profit margins, capital structure along with better
working capital management are the key rating sensitivities.
Idar-based (Gujarat) PSC was established in April 2007 as a
partnership firm by Mr Niranjan Patel, Mr Bharat Patel, Mr Dhaval
Patel and Ms Savita Patel. All partners jointly look after day-to-
day activities of PSC. PSC is into the business of cotton ginning
and pressing and seed processing. The partners of PSC are also
associated with Jaymala Spintex Limited which is engaged in the
manufacturing of cotton yarn and Bhoomi Bio Seeds Limited which is
into packaging, trading, research and production of seeds and
other ancillary services.
During FY15, PSC reported PAT of INR0.08 crore on a TOI of
INR51.34 crore as against PAT of INR0.79 crore on a TOI of
Rs.67.22 crore during FY14. During H1FY16 (provisional), PSC has
achieved a turnover of INR8 crore.
PATIKARI POWER: ICRA Revises Rating on INR28.87cr Loan to 'C'
-------------------------------------------------------------
ICRA has revised the rating assigned to the INR28.87 cr term loans
and INR6.64 cr unallocated limits of Patikari Power Private
Limited from [ICRA]B- to [ICRA]D and then revised it to [ICRA]C.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Term Loan 28.87 [ICRA]C revised from
[ICRA]B- to [ICRA]D and
further revised to
[ICRA]C
Unallocated 6.64 [ICRA]C revised from
[ICRA]B- to [ICRA]D and
further revised to
[ICRA]C
The rating downgrade to [ICRA]D factors in the delays in debt
servicing by Patikari Power Private Limited during March 2015 on
account of cash flow mismatch. Subsequently though the company has
been servicing the loans timely. ICRA has further revised the
rating from [ICRA]D to [ICRA]C. The rating is constrained by
stretched liquidity position of the company during months of weak
generation, low tariff level, and high hydrological risk (as the
PPA does not have a deemed generation clause in case of factors of
loss of generation due to shortage of water, silting, etc ). While
the company has a firm off take arrangement with HPSEB for a
period of 35 years, and the project has limited demand risk due to
energy deficit in northern India. Nevertheless, since the revenues
are directly linked to unit sales, company will remain susceptible
to cash flow mismatches in years of weak generation on account of
limited cushion available between the cash accruals and debt
repayments of the company. ICRA will continue to monitor
developments on the recovery of outstanding dues from Himachal
Pradesh State Electricity Board (HPSEB) totaling ~INR10cr on
account of revision in tariff by 27 paise from COD till
31.03.2014.
Patikari Power Private Limited (PPPL) is an IPP promoted by the
Asian Infrastructure Group. The company operates a 16 MW run of
the river hydel power plant which utilizes the water of Bakhli
Khad, a tributary of river Beas in district Mandi of Himachal
Pradesh. The major shareholders are: Asian Genco Pte Ltd,
Singapore (50%); Avanti and Associates (42%) & Sainj Hydro Power
Pvt. Ltd. (9%).
Asian Genco is a 100% subsidiary of Asian Infrastructure Pte. Ltd.
(AIL), Singapore. Asian Infrastructure Pte. Limited, is a
Singapore based infrastructure Development Company with
investments in power generation assets, fuel sourcing and services
business in India. AIL has a current portfolio size of about 3,984
MW (mix of hydro, thermal, renewable generation assets including
Teesta-III, largest Public Private Partnership (PPP) project in
India) in India, with an estimated total capital outlay of about
INR220 billion. Its portfolio has a mix of projects which are
commissioned, under development and under construction.
Recent Results:
PPPL reported a net profit of INR0.61 crore on an operating income
of INR14.14 crore for FY2015 as against a net profit of INR0.50
crore on an operating income of INR14.8 crore in FY2014.
PLATINUM ALLOYS: ICRA Suspends D Rating on INR23.70cr Term Loan
---------------------------------------------------------------
ICRA has suspended the [ICRA]D rating assigned to the INR23.70
crore term loan and INR14.50 crore cash credit facilities of
Platinum Alloys Private Limited. The suspension follows ICRA's
inability to carry out a rating surveillance in the absence of the
requisite information from the company.
R.K. HOTELIERS: Fitch Puts 'IND B+' LT Issuer Rating on Watch Neg
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has placed R.K. Hoteliers &
Developers Pvt Ltd's (R.K. Hoteliers) Long-Term Issuer Rating of
'IND B+' on Rating Watch Negative (RWN). The Outlook was Stable.
The agency has also placed the company's INR400 million term
loan's 'IND B+' rating on RWN.
KEY RATING DRIVERS
The rating action follows the alleged corruption charges on, and
the arrest of, one or more group promoters, the likely
reputational damage to the group's brands, and the substantial
key-man risk involved. R.K. Hoteliers is a part of a larger R. K
Group, having a strong presence in hotel and hospitality segment
through its initiatives namely COMESUM, Meals on Wheels, and Dial
Trip/Delhi Darshan. The group also has six operational hotels
including Fortune Inn Grazia Noida & Ghaziabad, Courtyard by
Marriott, Ahmedabad and Royal Orchid Central Grazia, Mumbai.
Ind-Ra expects to resolve the Negative Watch when more clarity
emerges about the magnitude of the impact on the company's
business, and ultimately, its cash flows. The agency expects the
group's brand image and reputation with regulators and consumers
nationwide to be seriously undermined by this crisis although the
magnitude and length of the operational and financial effect is
difficult to assess at this stage.
COMPANY PROFILE
R.K. Hoteliers was incorporated in 2007 by Sharan Bihari Agrawal.
The company is setting up a five-star hotel in Raipur,
Chhattisgarh and has tied-up with Marriot International Inc. and
the hotel will be operating under Marriot's strongly recognised
Courtyard brand.
S.B. SAHOO: ICRA Suspends B+ Rating on INR7.0cr Cash Credit
-----------------------------------------------------------
ICRA has suspended the [ICRA]B+ rating assigned to the INR7.00
crore cash credit facility of S.B. Sahoo & Co. Pvt. Ltd. The
suspension follows ICRA's inability to carry out a rating
surveillance in the absence of the requisite information from the
company.
SE FORGE: CARE Revises Rating on INR392.65cr LT Loan From D
-----------------------------------------------------------
CARE revises the ratings assigned to the bank facilities of
SE Forge Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 392.65 CARE BBB- Revised
from CARE D
Short-term Bank Facilities 96.00 CARE A3 Revised from
CARE D
Rating Rationale
The revision in the ratings assigned to the bank facilities of SE
Forge Limited (SEFL) takes into account clearance of all the
bank loan overdues along with substantial reduction in debt level
upon infusion of significant funds by Suzlon Energy Ltd. and
improvement in operational performance in H1FY16. Revision in the
ratings also takes into account improved liquidity profile of
SEFL's parent, SEL(rated, CARE BBB-/CARE A3) along with commitment
for significant rise in product off-take strengthening the revenue
visibility of SEFL.
The ratings continue to derive strength from established presence
of the parent in the business for more than a decade, strategic
importance of SEFL for the group's business and improved business
outlook for wind power projects. The ratings are however
constrained by stressed capital structure of SEFL upon heavy
losses during past, significantly high cost of borrowings,
continued cash losses since inception of the company, high
dependence on Suzlon group and wind energy sector.
SEFL's ability to improve its scale of operations and
profitability along-with diversifying its customer base within
wind energy sector as well as in non-wind energy sector, exit from
Corporate Debt Restructuring (CDR) arrangement within the
envisaged time frame, reduction in cost of borrowings and need-
based financial support from parent shall be key rating
sensitivities.
SEFL, incorporated in July 2006, is a wholly-owned subsidiary of
Suzlon Energy Ltd. (SEL). SEFL was established by SEL as a
backward integration to its Wind Turbine Generators (WTGs) design
and manufacturing facilities. SEFL is engaged in the business of
manufacturing Iron Castings and Forged products, primarily used as
components in the WTGs and other related equipments. SEFL has a
Forging unit at Vadodara in Gujarat and a Foundry unit at
Coimbatore in Tamil Nadu, both situated in high-tech engineering
Special Economic Zones (SEZs).
There has been improvement in liquidity position of SEFL during
H1FY16. SEL has infused around INR300 crore in SEFL by
Nov. 7, 2015 to completely pay off Working Capital Term Loans
(WCTL) & Funded Interest Term Loans (FITL) from banks of around
INR200 crore, clearing all overdues and balance to be utilised to
meet working capital requirement of SEFL.
During FY15, SEFL reported a total operating income of INR177.26
crore (FY14: INR130.33 crore) with a net loss of INR181.49 crore
(FY14: Net loss of INR143.14 crore). As per provisional results
for H1FY16, SEFL reported a total operating income of INR177.43
crore with a net loss of INR37.14 crore.
SEKO BEC: CRISIL Ups Rating on INR40MM Cash Loan to B
-----------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
Seko Bec Private Limited (SBPL; formerly known as Borewell
Equipment Co Private Limited) to 'CRISIL B/Stable' from 'CRISIL B-
/Stable, and reaffirmed its rating on the company's short-term
bank facilities at 'CRISIL A4'
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 15 CRISIL A4 (Reaffirmed)
Cash Credit 40 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
Letter of Credit 30 CRISIL A4 (Reaffirmed)
Proposed Cash
Credit Limit 5 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
The rating upgrade reflects the improvement in SBPL's business
risk profile driven by a sustained increase in its scale of
operations, while maintaining its profitability margins. The
upgrade also reflects the increase in the company's net-worth,
which has enhanced its financial flexibility, and the subsequent
improvement in its capital structure. CRISIL believes that SBPL
will sustain the improvement in its financial risk profile over
the medium term supported by consistent growth in its net worth
and absence of large debt-funded capital expenditure (capex)
programme.
SBPL's revenue registered a year-on-year growth of 38 per cent to
INR224 million in 2014-15 (refers to financial year, April 1 to
March 31), and its operating profit margin were relatively stable
at 7.0 per cent. The revenue growth was driven by addition of new
customers, and increase in business from existing customers. The
company has sustained is healthy revenue growth in the current
financial year, and registered revenues of INR195 million in the
first half of 2015-16.
The company's net-worth increased to INR52 million as on
March 31, 2015 from INR30 million as on March 31, 2014 on the back
of moderate accretion to reserves. Consequently, its gearing
declined to 1.6 times as on March 31, 2015 from 2.6 times as on
March 31, 2014. The gearing is expected to further decline to
around 1.3 times as on March 31, 2016 supported by consistent
growth in its net worth and the absence of large debt-funded
capex.
The ratings reflect SBPL's modest scale of operations in the
intensely competitive drilling equipment industry, and the
company's large working capital requirements. The ratings of the
company are also constrained on account of its below-average
financial risk profile marked by its small net-worth, moderate
gearing, and below average debt protection metrics. These rating
weaknesses are partially offset by the extensive experience of
SBPL's promoters in the drilling equipment manufacturing business.
Outlook: Stable
CRISIL believes that SBPL 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 sustained
improvement in its working capital cycle, or there is a
substantial increase 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.
SBPL was set up in 1979 by Mr. Kesava Rao, Mr. Ramachandra Rao,
and their family members. The company manufactures drilling
equipment used for construction, quarrying, mining, and wells. It
is based in Hyderabad, Telangana.
SHAKTI POLYTUBE: ICRA Suspends 'B' Rating on INR9.58cr Loan
-----------------------------------------------------------
ICRA has suspended [ICRA]B rating assigned to the INR9.58 Crore
fund based facilities and [ICRA]A4 rating assigned to INR2.00
crore short term non fund based facilities of Shakti Polytube
Private Limited.The suspension follows ICRA's inability to carry
out a rating surveillance in the absence of the requisite
information from the company.
SHIV-OM SULZ: CARE Reaffirms B+ Rating on INR7.07cr LT Loan
-----------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Shiv-Om Sulz Fab Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 7.07 CARE B+ Reaffirmed
Rating Rationale
The rating continues to remain constrained on account of
relatively modest scale of operations of Shiv-Om Sulz Fab
Private Limited (SFPL) in the highly competitive and fragmented
textile industry and its financial risk profile marked by
moderate profitability, weak solvency position and working capital
intensive nature of operations. The rating, further, continues to
remain constrained on account of the susceptibility of the
company's profitability to fluctuations in the raw material
prices.
The rating, however, continues to draw strength from the long-
standing experience of the promoters with its established track
record of operations of more than a decade in the industry and
location advantage by way of proximity to the raw material as well
as customers due to its presence in the textile cluster, Bhilwara
(Rajasthan).
SFPL's ability to increase its scale of operations while improving
profitability in light of the volatile raw material prices and
improvement in the solvency position as well as efficient
management of working capital shall be the key rating
sensitivities.
Bhilwara-based SFPL was initially incorporated in the name of BSM
Suitings Private Limited in 1999 by Mr Sheo Ratan Sadan along with
his sons, Mr Vinit Kumar Bubna and Mr Amit Bubna. However, in
2002, the name of the company changed to its current form.
SFPL is primarily engaged in the business of manufacturing of
cotton grey fabrics and outsources the processing work required
for the manufacturing of cotton finished fabrics on job work basis
to the nearby process house located at Bhilwara. Furthermore, the
company does trading of cotton grey and finished fabrics as well
as undertakes job work activity for other textile players. The
manufacturing facility of SFPL is located at Bhilwara with total
of 75 looms having an installed capacity of 60 lakh meters per
annum (LMPA) as on March 31, 2015. The company caters to domestic
market and sells its products through the network of its agents
located all over India under the brand name "Silver Ox". It
procures yarn, key raw material, from the local Bhilwara market
and nearby areas.
During FY15 (refers to the period April 1 to March 31), SFPL has
reported a total operating income of INR23.90 crore (FY14:
INR23.62 crore), with a PAT of INR0.12 crore (FY14: INR0.25
crore).
SHREE GAJANAN: CRISIL Cuts Rating on INR50MM Cash Loan to B+
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Shree Gajanan Fiber Private Limited (SGFPL) to 'CRISIL
B+/Stable' from 'CRISIL BB-/Stable'
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 50 CRISIL B+/Stable (Downgraded
from 'CRISIL BB-/Stable')
Proposed Long Term 15 CRISIL B+/Stable (Downgraded
Bank Loan Facility from 'CRISIL BB-/Stable')
Term Loan 5 CRISIL B+/Stable (Downgraded
from 'CRISIL BB-/Stable')
The downgrade reflects expected pressure on SGFPL's business over
the medium term due to depressed demand and reduced availability
of cotton on account of low rainfall. Turnover declined to INR137
million in 2014-15 (refers to financial year, April 1 to March 31)
from INR407 million in 2013-14. In 2015-16, Maharashtra witnessed
rain deficit of over 32 per cent, which will to lead to lower
cotton output, constraining growth of players such as SGFPL.
Furthermore, low cotton price because of reduced demand from China
will restrict profitability. Increase in cotton output and pick-up
in demand will remain key rating sensitivity factors for SGFPL.
The rating reflects modest scale of operations in the highly
competitive and fragmented cotton-ginning industry, and
susceptibility of profitability to volatility in cotton prices and
to regulatory changes. These weaknesses are partially offset by
promoters' extensive experience in the cotton industry.
Outlook: Stable
CRISIL believes SGFPL will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if the company scales up
operations substantially while improving profitability and
maintaining working capital cycle. Conversely, the outlook may be
revised to 'Negative' in case of lower-than-expected revenue or
profitability, or significant stretch in working capital cycle,
impacting financial risk profile.
Incorporated in 2007, SGFPL is promoted by Mr. Ashok Chaudhari and
his family members. The company gins and presses cotton, and
commenced operations in 2009 at its unit in Nandurbar
(Maharashtra). The Chaudhari family has been engaged in the
agricultural commodities business for three decades through group
entities.
SHREE NAKODA: ICRA Reaffirms 'B' Rating on INR1.0cr Cash Loan
-------------------------------------------------------------
ICRA has reaffirmed the long-term rating of [ICRA]B assigned to
the INR1.00 crore fund-based bank facilities of Shree Nakoda
Global Ltd. Also, ICRA has reaffirmed the short-term rating of
[ICRA]A4 assigned to the INR14.00 crore non-fund based bank
facilities of SNGL.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund-Based Limits
(Cash Credit) 1.00 [ICRA]B (reaffirmed)
Non-Fund Based
Limits 14.00 [ICRA]A4 (reaffirmed)
The ratings take into consideration the long track record of
SNGL's promoters in the steel sector, which helps secure business
for the company. However, the ratings are constrained by SNGL's
weak financial risk profile as reflected by a high gearing and
depressed levels of debt coverage indicators, SNGL's relatively
small size of operations at present, the ongoing slowdown in the
steel industry and the cyclicality associated with the steel
industry, which is likely to keep its profitability and cash flows
volatile in future.
The company was incorporated in January 1993 by the Raipur,
Chattisgarh based Shree Nakoda Group, promoted by Mr. Virendra
Goel. The operations of the company are being managed by his
younger brother, Mr. Surendra Goel and Mr. R. K. Agarwal. The
company is involved in trading of various steel products such as
plates, sheets etc. and minerals.
Recent Results
In 2014-15, as per the audited financial statements, SNGL reported
an operating income of INR100.41 crore and net profits of INR0.27
crore, as against an operating income of INR127.46 crore and a net
profit of INR0.33 crore in 2013-14.
SSV SPINNERS: CARE Reaffirms B+ Rating on INR39.70cr LT Loan
------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
SSV Spinners Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term Bank Facilities 39.70 CARE B+ Reaffirmed
Rating Rationale
The rating assigned to the bank facilities of SSV Spinners Private
Limited (SSV) continues to remain constrained by its short track
record of operation, moderate scale of operations and
susceptibility of the profit margins to the fluctuation in
raw material prices. The rating also factors in weakening of
capital structure and decline in profit margins during FY15
(refers to the period April 1 to March 31). The rating, however,
derives strength from experience of the promoters in the cotton
yarn business and improvement in operating cycle as on March 31,
2015.
The ability of the company to improve its profitability in light
of stiff competition, improve capital structure and effectively
manage its working capital are the key rating sensitivities.
SSV was incorporated by Mr Venkateswara Rao (Managing Director)
and Ms Subhashini (Director) in February 2011. The company is
engaged in spinning mill business with installed capacity of
16,320 spindles per annum. The company commenced its business
operations from late November 2013 at its unit located at
Mahabubnagar District, Telangana.
During FY15, SSV reported a PAT of INR0.03 crore on a total
operating income of INR59.76 crore as against a PAT of INR0.15
crore on a total operating income of INR14.79 crore in FY14.
SUBH LAXMI: CARE Assigns B+ Rating to INR9.22cr LT Loan
-------------------------------------------------------
CARE assigns 'CARE B+' ratings to the bank facilities of Subh
Laxmi Cotton Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 9.22 CARE B+ Assigned
Rating Rationale
The rating assigned to the bank facilities of Subh Laxmi Cotton
Private Limited (SLCPL) is primarily constrained on account
of its short track record of operations with relatively small
scale of operations in the highly competitive and fragmented
cotton ginning & pressing industry and its financial risk profile
marked by thin profitability, weak solvency and stressed
liquidity position. The rating is, further, constrained on account
of vulnerability of margins to fluctuation in the raw material
prices.
The rating, however, favourably takes into account the experience
of the promoters in the cotton ginning & pressing industry with
favourable industry outlook. The rating, further, derives strength
from financial support provided by the promoters.
The ability of the company to increase its capacity utilization of
ginning & pressing unit with increase in scale of operations
alongwith improvement in profitability margin and improvement in
solvency position are the key rating sensitivities.
Nagaur (Rajasthan) based, Subh Laxmi Cotton Private Limited
(SLCPL) was incorporated in FY13 (FY refers to the period from
April 1 to March 31) by Mr. Dharmendra Kumar Maheshwari and Mr
Birendra Kumar Tapariya with an objective to set up greenfield
unit of cotton ginning & pressing with an installed capacity of
6000 Metrics Tonne Per Annum (MTPA).
SLCPL completed its green-field project for establishment of
cotton ginning & pressing unit and started commercial production
from November 2013. It incurred total cost of INR4.81 crore
towards the project funded through term loans of INR2 crore, share
capital of INR0.01 crore and remaining through unsecured loans.
The company sells cotton bales as well as cotton seeds in Gujarat
and Rajasthan.
During FY15 (refers to the period April 1 to March 31), SLCPL has
reported a total operating income of INR48.67 crore (FY14:
INR14.84 crore) with a PAT of INR0.22 crore (FY14: INR0.01 crore).
TECHNOBIT INDUSTRIES: CARE Assigns 'B' Rating to INR7.32cr Loan
---------------------------------------------------------------
CARE assigns 'CARE B' and 'CARE A4' rating to the bank facilities
of Technobit Industries Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term Bank Facilities 7.32 CARE B Assigned
Long term/Short-term Bank 2.10 CARE B/CARE A4
Facilities Assigned
Rating Rationale
The ratings assigned to the bank facilities of Technobit
Industries Private Limited (TIPL) is primarily constrained on
account of risk associated with implementation and stabilization
of largely debt funded project, susceptibility of margins to
volatility of raw material prices and exchange rate fluctuations.
However, the ratings derive strength from the experience of the
promoters in the related industry.
TIPL's ability to stabilize its business operations by commencing
commercial production within specified timeline and establishing
customer base would be key rating sensitivity. Furthermore,
achieving envisaged level of sales and profitability in volatile
rawmaterial pricing scenario and highly competitive industry would
also remain crucial.
Baroda-based (Gujarat) TIPL was incorporated in August 2015 as a
private limited company by Mr Ashokkumar Chaudhary, Mrs Bhumika
Chaudhary, Mr Sureshbhai Chaudhary, Mr Devarsh M. Pandya, and Miss
Mira D Pandya (Badiyani) with the main object to manufacture
petrochemicals products like bitumen road emulsions, industrial
asphalt and other products of bitumen emulsion. TIPL is expecting
to commence manufacturing activity from January 2016. TIPL
will import bitumen 60/70 grade (key raw material) majority from
Iran and to some extent from domestic suppliers. The products
manufactured by the company will find its applications in road
construction & repairing, construction of water tank and bridges.
TORNADO MOTORS: CRISIL Cuts Rating on INR170MM Cash Loan to D
-------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Tornado Motors Pvt Ltd to 'CRISIL D/CRISIL D' from 'CRISIL
B+/Stable/CRISIL A4'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 130 CRISIL D (Downgraded from
'CRISIL A4')
Cash Credit 170 CRISIL D (Downgraded from
'CRISIL B+/Stable')
The rating downgrade reflects delays of over 30 consecutive days
by Tornado in servicing its debt repayment obligation. The delays
have been caused by weak liquidity due to stretch in working
capital cycle.
The ratings reflect Tornado's exposure to intense competition in
the automobile dealership industry. These rating weakness is
partially offset by its promoters' extensive industry experience.
Tornado, incorporated in September 2010, is promoted by Mr.
Jitendra Pal Singh Chadha, and his wife, Mrs. Amanpreet Chaddha.
The company is an authorised dealer of Volkswagen passenger
vehicles, and has one showroom and workshop in Mumbai
(Maharashtra).
TRIDENT SUGARS: ICRA Reassigns 'C' Rating to INR28cr Cash Loan
--------------------------------------------------------------
ICRA has reassigned the long term rating to [ICRA]C from [ICRA]B
(SO) to INR3.95 crore term loans and INR28.00 crore cash credit
facilities of Trident Sugars Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Term Loan 13.95 [ICRA]C; Reassigned from
[ICRA]B (SO)
Cash Credit 28.00 [ICRA]C; Reassigned from
[ICRA]B (SO)
The letters SO in parenthesis suffixed to a rating symbol stands
for Structured Obligation. An SO rating is specific to the rated
issue, its terms, and its structure. SO ratings do not represent
ICRA's opinion on the general credit quality of the issuers
concerned.
The rating revision factors in the deterioration in the financial
profile of the guarantor, Rajshree Sugars and Chemicals Limited on
account of losses at cash level in the consolidated entity due to
low sugar realizations coupled with relatively high sugarcane
costs. ICRA notes that there has been a delay in servicing of the
debt obligations by RSCL. The ratings continue to be constrained
by the exposure of the company's business to agro-climatic risks
and regulatory intensity of the sugar industry. ICRA has taken a
consolidated view on RSCL and TSL.
Trident Sugars Limited commenced its operation as a cooperative
mill and was acquired by Ganapati Sugar Mills in 2002. TSL was
subsequently acquired by RSCL in 2006 and now is a 100% subsidiary
of RSCL. The standalone sugar mill of TSL is located in Zaheerabad
Tq. of Andhra Pradesh.
Recent Results
At a consolidated level, the company reported operating income of
INR710.64 crore and net loss of INR65.68 crore in FY15.
VAISHNAVI LIFE: ICRA Assigns 'B' Rating to INR6.50cr Term Loan
--------------------------------------------------------------
ICRA has assigned a long-term rating of [ICRA]B to the INR6.50
crore long-term term loan and the INR0.10 long-term fund based
limits of Vaishnavi Life Care Private Limited. ICRA has also
assigned a short-term rating of [ICRA]A4 to the INR3.43 crore
short-term, non-fund based limits of VLCPL. The short-term, non-
fund based limits are sub-limits of the long-term term loan
limits.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-Term-Term Loan 6.50 [ICRA]B Assigned
Long-Term Fund Based 0.10 [ICRA]B Assigned
Short-Term - Non-
Fund Based (3.43) [ICRA]A4 Assigned
The ratings are constrained by the company's nascent stage of
operations, which commenced in November 2015, restricting
operational and financial flexibility. ICRA notes VLCPL's high
reliance on long-term debt to partly fund the substantial capital
expenditure incurred, resulting in significant repayment
obligations in the near to medium term. The rating considers the
exposure to market risk for the diagnostic-cum-polyclinic center,
given the highly competitive and fragmented nature of the industry
with a number of small players and new entrants. ICRA also takes
note of the delay in delivery of the MRI machine, which has led to
a delay in marketing and launch of operations, and in turn led to
reschedulement of the repayment schedule of the term loan.
The ratings favorably take into account the strong promoter group
and their well established relationships with doctors and
institutions due to their long standing experience and track
record in the healthcare industry.
The rating factors in the collaborations made by the company with
reputed hospitals in the vicinity for referral cases and the
initiatives of the promoters to tie-up with hotels, corporate,
schools and colleges for regular health checkups that are expected
to provide revenue visibility and develop VLCPL's brand image.
ICRA factors in the advantageous location of the healthcare centre
in a populated residential locality of Bangalore, and its
proximity to several commercial hubs of the city. In addition, the
rating considers the strong clinical team at the center led by
trained professionals, well developed infrastructure with latest
technology and machines, and the strong growth prospects of the
medical diagnostics industry.
The ability of the diagnostic-cum-polyclinic centre to operate at
optimum capacity, generate strong cash flows to meet the debt
servicing obligations in a timely manner, while establishing and
enhancing VLCPL's brand image, will be critical to developing
sound operational and financial metrics in the near term.
Vaishnavi Life Care Private Limited was incorporated as a private
limited company in December 2014, with Mr. Sriram Gowda and Mr.
Siddalingappa Shivakumar as the founder directors, who have been
involved in the healthcare industry for more than two decades. The
company began operations in November 2015, with a diagnostic-cum-
polyclinic center, Image Diagnostics, located at HBR Layout,
Bangalore, Karnataka. The healthcare center provides radiology and
pathology diagnostic services, along with an Out Patient
Department (OPD) in the polyclinic. The total project cost of
setting up the centre was INR11.37 crore, which was funded through
a mix of term loan from the bank, unsecured loans and promoter
contribution.
VANSHIKA SUGAR: ICRA Assigns 'B' Rating to INR14.50cr Loan
----------------------------------------------------------
ICRA has assigned its long term rating of [ICRA]B to the INR14.50
crore pledge limits, INR12.00 crore term loan and INR10.00 crore
unallocated fund based limits of Vanshika Sugar and Power
Industries Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Pledge Limits 14.50 [ICRA]B; Assigned
Term Loan 12.00 [ICRA]B; Assigned
Unallocated Fund-
based Limits 10.00 [ICRA]B; Assigned
ICRA's ratings take into account the weak economic outlook for the
Indian sugar industry on account of surplus finished goods stock
resulting in subdued realizations over the near term. Further,
with an increase in the Fair and Remunerative Price (FRP) in
January 2015, the profitability and debt coverage metrics of the
sugar mills will continue to be under stress over the near term.
The ratings also factors in VSPIL's relatively modest capacity
resulting in limited economies of scale. ICRA ratings also take
note of the vulnerability of the sugar business to agro-climatic
risks and cyclicality associated with it; the risk gets further
amplified by the company's lack of forward integration. However,
the ratings favourably factor in the experience of the promoters
in the industry, the measures taken by the Government of India
(GOI) for the revival of the industry, the company's comfortable
capital structure and the favourable location of the plant. ICRA
has also taken note of various measures undertaken by GoI,
including increase in import duty on sugar, increased emphasis on
exports and increased level of ethanol blending in petrol, the
impact of these measures on sugar prices will be a key
monitorable.
Going forward, VSPIL's ability to increase its scale of operations
along with an improvement in profitability levels while
maintaining optimum working capital intensity will be the key
rating sensitivities.
VSPIL, incorporated in 2012, manufactures white crystal sugar,
along with by-products. The company's cane processing plant in
Narsinghpur, Madhya Pradesh has an installed capacity of 2,500
tonnes of cane crushed per Day (TCD) and commenced commercial
production from November 2014.
Recent Results
The company reported a net profit of INR0.04 crore on an operating
income of INR5.28 crore in FY15 (with operations for part of the
year, from November 21, 2014).
VICHITRA CONSTRUCTIONS: ICRA Assigns C Rating to INR5.0cr Loan
--------------------------------------------------------------
ICRA has assigned its long term rating of [ICRA]C to the INR12.0
crore bank limits of Vichitra Constructions Private Limited(VCPL).
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based Limits 5.0 [ICRA]C; assigned
Proposed Fund
Based Limits 1.0 [ICRA]C; assigned
Non-Fund Based
Limits 2.0 [ICRA]C; assigned
Proposed Non-Fund
Based Limits 4.0 [ICRA]C; assigned
ICRA's rating takes into account VCPL's elongated working capital
cycle due to high receivable levels, which has resulted in a
stretched liquidity position as reflected in the full utilization
of its working capital limits. The liquidity stretch had resulted
in delays in debt servicing in the past. The rating is also
constrained by the company's weak coverage indicators (DSCR of
1.0x in FY15 and 0.74 x in the previous year). The rating also
factors in the decline in the company's operating scale in FY14
and FY15, given the funding constraints.
The rating however, derives comfort from the long standing
experience and track record of the promoters in the industry and
the adequate manpower and equipment resource base available with
the company. Further, the rating takes into account VCPL's healthy
operating margins and its adequate revenue visibility over the
medium term, with order book/operating income ratio of 2.5x, as on
October 31, 2015. ICRA also takes note of the low geographic and
client concentration risk to which the company is exposed, and
also the established client base of the company resulting in
repeat orders.
Going forward, the company's ability to demonstrate a track record
of timely debt servicing, driven by a sustained improvement in its
liquidity position as well as revive its revenue growth and
coverage indicators; will be the key rating sensitivities.
Incorporated in 1989, VCPL has been promoted by Mr. R.N. Aggarwal
and Mr. R.A. Aggarwal. The company is involved in the laying and
construction of gas and HDPE pipelines and laying of optic fibre
cables. Its operations are well diversified in Gujarat, Punjab,
Haryana, Rajasthan and Maharashtra. The company's major clients
include Gujarat Gas Limited, Bharat Sanchar Nigam Ltd (BSNL),
Public health engineering Department (PHED) etc.
Recent Results
In FY15, VCPL generated a Profit after Tax (PAT) of INR0.01 crore
on an operating income of INR24.57 crore, as compared to a PAT of
INR1.02 crore on an operating income of INR27.39 crore in the
previous year. The company reported, on a provisional basis,
revenues of INR13.0 crore for H1, FY16.
VISION PIPES: ICRA Suspends 'D' Rating on INR13.50cr Loan
---------------------------------------------------------
ICRA has suspended the long term rating of [ICRA]D assigned to the
INR13.50 crore cash credit limits and 0.50 crore term loans of
Vision Pipes Private Limited. ICRA has also suspended the short
term rating of [ICRA]D assigned to the INR11.00 crore non fund
based limits of VPPL. The suspension follows ICRA's inability to
carry out rating surveillance in the absence of requisite
information from the company.
=========
J A P A N
=========
ASAHI MUTUAL: Fitch Affirms BB+ IFS Rating; Outlook Stable
----------------------------------------------------------
Fitch Ratings has conducted its peer review committee on nine
Japanese life insurers, including Asahi Mutual Life Insurance Co.
(Asahi Life). The agency has affirmed its Insurer Financial
Strength (IFS) Rating at 'BB+', with a Stable Outlook.
KEY RATING DRIVERS
The rating is based on Asahi Life's steadily improving capital
adequacy and financial leverage as well as its resilient insurance
underwriting, supported by a strategic focus on the profitable
"third" (health) sector.
Its statutory solvency margin ratio (SMR) had risen to 667.9% by
end-September 2015 from 609.1% a year earlier, due mainly to its
increased unrealised gains on securities and its accumulated
capitalisation and reserves. Furthermore, financial leverage had
declined to 40.6% from 43.5% a year earlier, due to its
strengthened capitalisation.
Nevertheless, Asahi Life's capital position is weak in comparison
with its peers' average SMR of more than 900%. In addition, Asahi
Life's negative spread burden of JPY33.1bn in the first half of
the financial year ending March 2016 (1HFYE16) (1HFYE15:
JPY35.9bn) is large, and continues to offset gains from better-
than-projected mortality and morbidity rates. However, Fitch
expects Asahi Life's negative spread burden to gradually shrink as
a consequence of gradually declining average guaranteed yields
over the medium term.
The underwriting business has been stable due to an effective
focus on the third sector. The core profit margin remained
adequate at 7.6% in 1HFYE16 from 5.5% a year earlier. Annual
premiums of in-force policies in this segment increased by 2.7%
yoy in 1HFYE16, due partly to effective sales promotions via non-
traditional channels. Fitch believes that efforts in marketing
third-sector products via several non-traditional channels, such
as telephone marketing, are likely to further enhance strength in
this segment.
RATING SENSITIVITIES
Key rating triggers for an upgrade would include: a further
strengthening of capitalisation, and a decline in financial
leverage to below 35%, on a sustained basis. Growth in the third-
sector business and reduction in the surrender and lapse rates of
the death-protection products would also be viewed positively by
Fitch.
Key rating triggers for a downgrade would include: a major erosion
of capitalisation, or increase in financial leverage to above 45%;
significant deterioration in profitability such as the core profit
margin to below 5%, on a sustained basis, would also put the
rating under pressure.
TOSHIBA CORP: Face Biggest Fine by Japan's Financial Regulator
--------------------------------------------------------------
Pavel Alpeyev and Takashi Amano at Bloomberg News report that
Toshiba Corp. plans to restructure its operations and sell
additional assets after Japan's securities regulator recommended
fining the company about JPY7.37 billion ($60 million) for
falsifying earnings, the largest financial penalty ever sought by
the watchdog.
Toshiba misled investors by filing false financial statements for
several periods including 2012 and 2013, Bloomberg says citing
Japan's Securities and Exchange Surveillance Commission.
Bloomberg relates that the commission is still considering whether
to recommend penalties against former top company executives,
people familiar with the matter have said.
According to Bloomberg, President Masashi Muromachi, who took over
as the scandal unfolded this year, apologized at a press
conference in Tokyo, promising to take steps to overhaul
operations and prevent future wrongdoing. He said the company will
detail a restructuring plan by Dec. 31 and is considering selling
its personal computer and appliance businesses, the report relays.
"I will implement no-holds-barred structural reforms," Bloomberg
quotes Mr. Muromachi as saying. "The company will do its utmost to
prevent this from happening again."
Bloomberg states that Toshiba, which makes nuclear power plants,
semiconductors, washing machines, TVs and laptop computers, is
embroiled in Japan's biggest accounting scandal since Olympus
Corp., a camera maker that admitted in 2011 to irregularities that
totaled about $1.7 billion. Toshiba has lost about 40 percent of
its value since disclosing an internal probe on
April 3 and has set aside JPY8.4 billion to cover possible fines
in the case, the report notes.
Bloomberg notes that former presidents Hisao Tanaka, Norio Sasaki
and Atsutoshi Nishida resigned in July and the company has cut
executive pay, trimmed its workforce and revamped its board amid a
scandal that widened repeatedly as more irregularities were
uncovered. Toshiba also faces lawsuits from shareholders.
The report says the company has said it is suing the three former
chief executive officers and two former chief financial officers,
seeking 300 million yen of damages. It said Oct. 1 it had
identified 30 more executives involved in the accounting scandal
and would punish them, while allowing them to keep their jobs,
Bloomberg relays.
"Changing CEOs doesn't mean Toshiba has improved," Bloomberg
quotes Mitsushige Akino, executive officer at Ichiyoshi Asset
Management Co. in Tokyo, which doesn't hold the company's shares,
as saying. "It could take five to 10 years to regain trust from
investors."
Regulators have yet to announce results of probes seeking evidence
for possible criminal prosecutions of former executives, including
the three ex-presidents who quit the company after investigators
concluded they caused subordinates to falsify results, adds
Bloomberg.
This case is "extremely regrettable," a government spokesman,
Yoshihide Suga, said in Tokyo, Bloomberg relays. "It's important
that Toshiba rebuilds its corporate structure and makes proper
efforts to prevent a recurrence."
About Toshiba Corp.
The Troubled Company Reporter-Asia Pacific, citing Reuters,
reported on July 22, 2015, that an independent investigation said
in a report on July 21 that Toshiba Corp. overstated its operating
profit by JPY151.8 billion ($1.22 billion) over several years in
accounting irregularities involving top management.
The investigating committee said in a report filed by Toshiba to
the Tokyo Stock Exchange that Toshiba President and Chief
Executive Hisao Tanaka and his predecessor, Vice Chairman Norio
Sasaki, were aware of the overstatement of profits and delay in
reporting losses in a corporate culture that "avoided going
against superiors' wishes," according to Reuters.
The TCR-AP, citing Bloomberg News, reported on July 22, 2015, that
Toshiba Corp. President Hisao Tanaka and two other executives quit
to take responsibility for a $1.2 billion accounting scandal that
caused the maker of nuclear reactors and household appliances to
restate earnings for more than six years.
Norio Sasaki, the vice chairman, and Atsutoshi Nishida, a former
president who was serving as adviser, also resigned, the Tokyo-
based company said July 21, more than two months after announcing
it was investigating possible accounting irregularities, according
to Bloomberg.
On Nov. 12, 2015, the TCR-AP reported that Moody's Japan K.K. has
downgraded the issuer rating and long-term senior unsecured bond
ratings of Toshiba Corporation to Baa3 from Baa2, as well as its
subordinated debt rating to Ba2 from Ba1. Moody's has also changed
the rating outlook to negative from stable. At the same time,
Moody's has downgraded Toshiba's short-term rating to Prime-3 from
Prime-2.
Toshiba Corporation (TYO:6502) -- http://www.toshiba.co.jp/-- is
a Japan-based manufacturer involved in five business segments.
The Digital Products segment offers cellular phones, hard disc
devices, optical disc devices, liquid crystal televisions, camera
systems, digital versatile disc (DVD) players and recorders,
personal computers (PCs) and business phones, among others. The
Electronic Device segment provides general logic integrated
circuits (ICs), optical semiconductors, power devices, large-scale
integrated (LSI) circuits for image information systems and liquid
crystal displays (LCDs), among others. The Social Infrastructure
segment offers various generators, power distribution systems,
water and sewer systems, transportation systems and station
automation systems, among others. The Home Appliance segment
offers refrigerators, drying machines, washing machines, cooking
utensils, cleaners and lighting equipment. The Others segment
leases and sells real estate.
TOSHIBA CORP: Shareholders Sue Former Execs Over Cooked Books
-------------------------------------------------------------
The Japan Times reports that a group of Toshiba Corp. shareholders
sued the embattled company and its former executives, seeking
about JPY300 million in damages for the losses incurred after the
firm's stock price plunged over illicit accounting practices.
The report relates that in the first group lawsuit filed against
Toshiba, 50 shareholders from 15 prefectures filed for damages
with the Tokyo District Court against three former presidents and
two chief financial officers.
According to the report, the plaintiffs, whose claims range from
JPY170,000 to more than JPY10 million, said in their complaint
that they would not have bought the shares had they known about
the fraudulent accounting spanning nearly seven years.
"If the damage to shareholders is not repaired in a case like
this, confidence in the Japanese securities market will be lost,"
the report quotes lead lawyer Takahisa Sano as saying at a news
conference.
Toshiba has revised downward its profits from April 2008 to
December 2014 after admitting they were inflated by a total
JPY224.8 billion on a pretax basis, the report says. The company's
stock price dropped JPY180 per share by late last month from May
levels before the scandal was revealed, the complaint, as cited by
the report, said.
According to lawyers for the plaintiffs, other shareholders are
planning similar moves with courts in the cities of Osaka and
Fukuoka before the year's end, while a second round of such
lawsuits is expected to be filed in March, The Japan Times
relates.
The report says the total number of plaintiffs could rise to
around 1,000.
About Toshiba Corp.
The Troubled Company Reporter-Asia Pacific, citing Reuters,
reported on July 22, 2015, that an independent investigation said
in a report on July 21 that Toshiba Corp. overstated its operating
profit by JPY151.8 billion ($1.22 billion) over several years in
accounting irregularities involving top management.
The investigating committee said in a report filed by Toshiba to
the Tokyo Stock Exchange that Toshiba President and Chief
Executive Hisao Tanaka and his predecessor, Vice Chairman Norio
Sasaki, were aware of the overstatement of profits and delay in
reporting losses in a corporate culture that "avoided going
against superiors' wishes," according to Reuters.
The TCR-AP, citing Bloomberg News, reported on July 22, 2015, that
Toshiba Corp. President Hisao Tanaka and two other executives quit
to take responsibility for a $1.2 billion accounting scandal that
caused the maker of nuclear reactors and household appliances to
restate earnings for more than six years.
Norio Sasaki, the vice chairman, and Atsutoshi Nishida, a former
president who was serving as adviser, also resigned, the Tokyo-
based company said July 21, more than two months after announcing
it was investigating possible accounting irregularities, according
to Bloomberg.
On Nov. 12, 2015, the TCR-AP reported that Moody's Japan K.K. has
downgraded the issuer rating and long-term senior unsecured bond
ratings of Toshiba Corporation to Baa3 from Baa2, as well as its
subordinated debt rating to Ba2 from Ba1. Moody's has also changed
the rating outlook to negative from stable. At the same time,
Moody's has downgraded Toshiba's short-term rating to Prime-3 from
Prime-2.
Toshiba Corporation (TYO:6502) -- http://www.toshiba.co.jp/-- is
a Japan-based manufacturer involved in five business segments.
The Digital Products segment offers cellular phones, hard disc
devices, optical disc devices, liquid crystal televisions, camera
systems, digital versatile disc (DVD) players and recorders,
personal computers (PCs) and business phones, among others. The
Electronic Device segment provides general logic integrated
circuits (ICs), optical semiconductors, power devices, large-scale
integrated (LSI) circuits for image information systems and liquid
crystal displays (LCDs), among others. The Social Infrastructure
segment offers various generators, power distribution systems,
water and sewer systems, transportation systems and station
automation systems, among others. The Home Appliance segment
offers refrigerators, drying machines, washing machines, cooking
utensils, cleaners and lighting equipment. The Others segment
leases and sells real estate.
====================
N E W Z E A L A N D
====================
YOGHURT STORY: Faces Charges Over False Health Claims
-----------------------------------------------------
John Anthony at Stuff.co.nz reports that two companies have
appeared in court facing charges relating to allegedly promoting
frozen yoghurt products which did not contain yoghurt and making
false health claims.
Yoghurt Story New Zealand and Frozen Yoghurt appeared in Auckland
District Court facing charges brought by the Commerce Commission,
the report says.
According to the report, Yoghurt Story New Zealand was put into
receivership in August and is 100 per cent owned by Frozen Yoghurt
whose sole director is Taewoon Son.
Stuff.co.nz says the charges relate to allegedly promoting frozen
yoghurt products which did not contain yoghurt and for allegedly
making false claims about the health benefits of a product on the
Yoghurt Story website.
Yoghurt Story's website says it has stores in Auckland, Whangarei,
Wellington, Hamilton, Mt Maunganui, Christchurch, Dundedin, Nelson
and Queenstown as well as international stores.
The report notes that the charges fall under the Fair Trading Act
for making false or misleading representations and engaging in
conduct which is liable to mislead the public.
Because the matter was before the court the commission was unable
to comment further, adds Stuff.co.nz.
====================
S O U T H K O R E A
====================
STX OFFSHORE: Set to Get KRW450BB Financial Aid From Creditors
--------------------------------------------------------------
Yonhap News Agency reports that STX Offshore & Shipbuilding Co., a
midsize local shipyard, is likely to receive financial aid of
KRW450 billion (US$385 million) from its creditors soon, industry
sources said on Dec. 8.
According to the report, sources said the creditors, led by the
state-run Korea Development Bank (KDB), will decide this week on
whether to salvage the shipbuilder from a liquidity shortage.
Local lenders' exposure to STX Offshore & Shipbuilding stood at
KRW4.29 trillion at the end of September, with KDB extending the
largest amount of loans totaling KRW1.89 trillion, Yonhap
discloses.
Yonhap says STX Shipbuilding's labor union has agreed on a massive
job reduction in return for the financial aid.
STX Shipbuilding has been under control by its creditors since
2013 in line with a protracted slump in the shipbuilding sector,
the report notes.
Yonhap adds that the creditors had provided over KRW4 trillion to
the shipyard, but it is still reeling from losses. Last year, the
shipyard suffered an operating loss of KRW314 billion, the report
discloses.
===============
X X X X X X X X
===============
ASIA: Fitch Says Growth to Normalize, Not Collapse Amid Pressures
-----------------------------------------------------------------
Emerging Asia's real GDP growth should slow to 6.3% in 2016 as
regional economic pressures continue to add to a challenging
outlook, says Fitch Ratings. That said, effective policy responses
and sovereign buffers should provide a degree of protection, and
the slowdown is better understood as a normalisation of growth
rates and not an uncontrolled collapse. A hard landing in China is
unlikely, and growth in India and in ASEAN should pick up. We
forecast emerging Asia as remaining the fastest-growing emerging
markets region in 2016.
Fitch's latest Global Economic Outlook, published yesterday,
forecasts global growth to pick up slightly in 2016. Issues linked
to lacklustre trade and investment growth remain. But major
advanced economies such as the US, Eurozone, UK and Japan seem to
have emerged relatively unscathed from the slowdown in key
emerging markets in 2015. We forecast global growth to accelerate
to 2.6% in 2016 and 2.7% in 2017, from 2.3% in 2015.
In Asia-Pacific, the outlook remains challenging with added
economic pressures from the continued slowdown in China's growth,
sluggish global trade growth, and an expected rise in US rates and
resulting dollar strength. The expected slowdown in emerging Asia,
however, is likely to be driven almost entirely by China. Fitch
forecasts Indian growth to accelerate to 8% in the fiscal year
ending March 2017, while emerging Asia excluding China and India
should grow by 5.2% in 2016, up from 5% in 2015.
One potential downside risk to regional growth could come from
high private-sector debt, which is still rising. Four Asian
emerging markets have the highest ratios of bank private-sector
credit to GDP of any Fitch-rated emerging markets - China,
Malaysia, Thailand and Vietnam. Upward pressure on regional
interest rates stemming from the US may weigh on domestic demand
in more indebted economies.
Fitch maintains its view that the China slowdown is part of a
broader structural adjustment necessary to achieve a more
sustainable growth pattern. The data thus far from 2015 supports
this picture, with weak exports and investments being offset by
relatively robust consumption and a solid labour market.
Importantly, the scenario of a very sharp slowdown in Chinese
growth following the financial market volatility in the summer has
not played out. This has reinforced the view that China is likely
to muddle through during its structural-adjustment process - and
avoid a hard landing.
The Chinese authorities maintain significant resources and
capacity to avoid a disorderly deceleration. Fitch has raised its
forecast 2017 growth rate for China to 6% from 5.5%, based on the
latest Five-Year Plan which suggests a growth target of 6.5% for
2016-2020.
More broadly in Asia, sovereign rating outlooks are mostly stable
despite the general outlook and mounting regional pressures. The
risks of a financial crisis akin to 1997 are significantly
mitigated. External balance sheets are stronger in the region;
sovereigns rely less on foreign-currency funding than in 1996; and
most countries now also benefit from flexible exchange-rate
regimes.
Macroeconomic policy responses thus far have also helped to buffer
credit profiles. This is especially the case in Indonesia and
Malaysia, which stand out as relatively more exposed to external
risk factors than other major economies in the region such as the
Philippines and Vietnam.
Fitch Ratings' latest economic forecasts and outlook can be found
in the "Global Economic Outlook" report, published on 7 December,
on www.fitchratings.com or by clicking on the link below.
*********
Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication. Prices reported are not intended to reflect actual
trades. Prices for actual trades are probably different. Our
objective is to share information, not make markets in publicly
traded securities. Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind. It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.
A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets. A company may establish reserves on its balance
sheet for liabilities that may never materialize. The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, and Peter A. Chapman,
Editors.
Copyright 2015. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
TCR-AP subscription rate is US$775 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each. For subscription information, contact
Peter Chapman at 215-945-7000 or Nina Novak at 202-362-8552.
*** End of Transmission ***