print
17.04.2007
Credit rating to bond issue by «AVTOKOM» LLC upgraded to uaB-
"Credit-Rating", a nationally-recognized credit rating agency in Ukraine has today upgraded to uaB- (uaB minus) from uaCCC+ (uaCCC plus) the long-term credit rating assigned to registered housing bonds (A-W) series by Yalta-based "AVTOKOM" LLC ("the Issuer" or "the company") for the amount of UAH 30m with the 2 Ѕ-year original maturity. The main company`s activity is investment and construction. Today the company constructs a health centre in Crimea (in the borough of Gaspra). To revise the rating the agency used Issuer`s financial statements for 4Q06 and 2006 full year as well as other inside information furnished by the company.
The uaB issue rating reflects higher default possibility than of the uaBB rating, though in this case the obligor`s capacity is adequate to pay its obligations in the Ukrainian financial market environment. This debt liability is more affected by the adverse changes in business, financial and economic conditions than debt liabilities with higher ratings. That may negatively affect the obligor`s capacity and willingness to fully and timely pay interest and principal on obligations. The "+" and "-" modifiers denote rating`s relative status within major categories.
In the course of the rating upgrade procedure the agency took into account Issuer`s capital investments in the mentioned project rising from UAH 748.2K to UAH 5.96m over 2006. Its construction readiness by 2006 May-end amounted to 65-70%.
Information on all the credit ratings assigned in accordance with the Ukrainian national scale may be found in the 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
