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09.02.2009
Credit-Rating places City of Kramatorsk’s rating on RWL
Credit-Rating, a nationally recognized credit rating agency in Ukraine has today announced that it placed on Rating Watch List (RWL) the long-term credit rating assigned to the city of Kramatorsk and its UAH15m issue of coupon bonds (series 1-A). The outlook on the rating has been changed to negative from stable.
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.
Negative outlook indicates that there is a possibility to downgrade the rating in the course of the year, on condition that negative tendencies are retained and current risks are realized.
These rating actions were prompted by opacity with regard to timely coupon payments on the 1 st coupon period of 1-A series citys bonds. According to the information Credit-Rating has at its disposal, the city has necessary amount of funds, albeit being currently in negotiations with the principal bondholder on deferment of payments due to technical reasons.
The removal of the ratings from the RWL and their further revision are contingent upon extent of citys timely and full meeting its obligations on the bond issue, taking into account mutual arrangements with the bondholders on framework of payments.
The Rating Watch List intends for informing the financial market participants about possible changes of ratings in short-term prospective. The rating placed on RWL denotes that Credit-Rating is currently considering its change as a result of events or ongoing negative trends, which may negatively affect creditworthiness of a ratings bearer.
Information on all credit ratings assigned in accordance with the National Rating Scale may be found in Credit-Ratings corporate web-site www.credit-rating.ua, as well as in REUTERS and BLOOMBERG information systems.
For more information, please contact:
Information and analytic department
Sergey Rozumyak +38 044 490 25 50
SRozumyak@credit-rating.ua
Denis Rudenko
DRudenko@credit-rating.ua
