Tuesday, Aug 10, 2004
MARC has placed the ratings in respect of PHSSB’s RM698 million BaIDS on rating watch as PHSSB has breached its covenanted debt-to-equity ratio of 1.85 times based on its audited accounts for financial year ended 31 December 2003.
The RM698 million BaIDS is made up of five tranches of which four tranches are bank guaranteed. The bank guaranteed tranches carry ratings of AAAID(bg) (Triple A, Islamic Debt, Bank Guaranteed) for tranche I (RM370 million); AID(bg) (Single A, Islamic Debt, Bank Guaranteed) for tranche II (RM50 million) and A+ID(bg) (Single A Plus, Islamic Debt, Bank Guaranteed) for tranche III (RM80 million) and IV (RM168 million). The fifth tranche (RM30 million) carries a rating of BBB-ID (Triple B Minus, Islamic Debt) reflecting the stand alone rating of PHSSB.
The annual rating review exercise is presently in progress and MARC will continue to monitor the company’s actions to remedy the said breach.
The RM698 million BaIDS is made up of five tranches of which four tranches are bank guaranteed. The bank guaranteed tranches carry ratings of AAAID(bg) (Triple A, Islamic Debt, Bank Guaranteed) for tranche I (RM370 million); AID(bg) (Single A, Islamic Debt, Bank Guaranteed) for tranche II (RM50 million) and A+ID(bg) (Single A Plus, Islamic Debt, Bank Guaranteed) for tranche III (RM80 million) and IV (RM168 million). The fifth tranche (RM30 million) carries a rating of BBB-ID (Triple B Minus, Islamic Debt) reflecting the stand alone rating of PHSSB.
The annual rating review exercise is presently in progress and MARC will continue to monitor the company’s actions to remedy the said breach.