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12.07.2006
uaB credit rating assigned to upcoming bond issue of PE "TRANSFAVORIT", Ltd
Today independent rating agency Credit-Rating announced the granting of a long-term uaB credit rating to the registered interest-bearing bond issue by PC Transfavorit (Lviv region) in the amount of UAH 2 million with a circulation period of 3 years. The companys main activity is freight service throughout Ukraine.
Factors supporting the credit rating's level:
- growth of the Issuers assets during 2005 1st quarter 2006 by 4 times to UAH 1601.8 thousand and owned capital by 30 times to UAH 609.1 thousand;
- growing demand for goods and services of PC Transfavorit due to the increase of volumes of road building and repairs in the Western region of Ukraine;
- in the period of seasonal decline in demand for building materials transportation services the Issuer transports other kinds of cargo.
Factors restricting the credit rating's level:
- the companys limited working experience (since Jun. 2004) which complicates the forecast of the companys development for the period of bond issue;
- irregular monetary receipts due to the seasonal character of the operation by PC Transfavorit;
- as of 01.04.2006 the uncovered loss was UAH 20.1 thousand;
- most of the companys property is mortgaged under bank credits;
- the volume of the scheduled issue exceeds the companys assets by 25%, the owned capital by 3.3 times as of 01.04.2006.
For more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
