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08.11.2007
Credit-Rating: Promekonombank`s upcoming bond issue assigned uaBBB-
Credit-Rating, a nationally recognized credit rating agency in Ukraine has today assigned a long-term credit rating of uaBBB- (uaBBB minus) to UAH25m 5-year registered coupon bonds (B series) to be issued by Donetsk-based Promekonombank OJSC (`Bank`). In the course of analysis Credit-Rating considered Bank`s financial statements for 2002-2006 and 1H2007 as well as other inside information furnished by the Bank.
An obligor or a debt liability with uaBBB credit rating is characterized with the SUFFICIENT creditworthiness as compared to other Ukrainian obligors or debt liabilities. This level of creditworthiness is affected by adverse changes in commercial, financial and economic conditions. The plus (+) or minus (-) modifier denotes rating`s relative status within major categories.
Factors maintaining the credit rating
- The majority of Bank`s key figures remain on adequate level for the national banking system.
- The Bank`s assets and liabilities are balanced by their redemption terms.
- The Bank`s resources are diversified on primary customers, in fact less than 20 per cent of the customer deposit portfolio account for 10 biggest depositors.
Factors constraining the credit rating
- The Bank`s loan portfolio is concentrated on certain borrowers, in fact 43.3 per cent of the customer loan portfolio account for 20 biggest borrowers.
- The Bank`s expansion has been lower than the country`s average over the past few years.
- Bank`s exposure to loss of its market share provided that big systemic banks increase their share on the market.
Information on all credit ratings assigned in accordance with the Ukrainian national scale may be found in REUTERS, BLOOMBERG and FTN MONITOR information systems.
For further information, please contact:
Information and analytic department
Sergey Rozumyak +38 044 490 25 50
SRozumyak@credit-rating.com.ua
