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02.04.2010
Credit-Rating upgrades Agroprodukt LLC’s bonds to uaBB
Credit-Rating, a nationally recognized credit rating agency in Ukraine has today announced that it upgraded to uaBB from uaB- (uaB minus) the long-term credit rating assigned to registered coupon bonds (series A) issued by Odessa-based Agroprodukt LLC (‘issuer’ or ‘company’). The outlook on the rating is stable. The amount of the issue is UAH65m. The company’s principal activity is trading with foodstuff products. To revise the rating Credit-Rating considered issuer’s financial statements for 2009 and its other inside information.
An obligor or a debt liability with uaBB credit rating is characterized with the LOWER THAN SUFFICIENT creditworthiness as compared to other Ukrainian obligors or debt liabilities. This level of creditworthiness is strongly affected by adverse changes in commercial, financial and economic conditions.
Stable outlook indicates that there are no anticipated reasons to change the rating in the course of the year.
Factors maintaining the credit rating
- The issuer enjoys backing from Imexbank PJSC (agreement of guarantee);
- Availability of facilities that enable the issuer to produce agricultural products.
Factors constraining the credit rating
- Issuer’s considerable debt burden.
- Issuer’s insignificant experience in production of agricultural produce.
- Issuer’s vulnerability to changes in the state agricultural policy and significant impact of seasonality factors on issuer’s activities.
Information on all credit ratings assigned in accordance with the National Rating Scale may be found in REUTERS and BLOOMBERG information systems.
For more information, please contact:
Information and analytic
department
Sergey Rozumyak +38044490 25 50
SRozumyak@credit-rating.com.ua
Denis
Rudenko
DRudenko@credit-rating.ua
