MARC has placed the ratings of PRI’s RM40.0 million Islamic Commercial Paper/Medium Term Note Issuance Programme on MARCWatch Developing with immediate effect. The rating action follows from PRI’s recent acquisition of the Royal Mint of Malaysia Sdn Bhd (RMM), and information that RMM’s RM46 million Murabahah Multi Option Notes issuance facility (the facility), which is not rated by MARC, is lead arranged and underwritten by Abrar. Abrar had on 29 December 2006 made tender abortion announcements over BNM’s Fully Automated System for Tendering (FAST) in relation to selected commercial paper ratings.

MARC is concerned that the roll-over of RMM’s facility due on the 29 January 2007 may be affected by the closure of Abrar. MARC will continue to monitor the resolution of Abrar by the Central Bank, and will advise the market as soon as the rating impact of Abrar’s closure on PRI  becomes clear.