PACRA UPGRADES RATINGS OF

CRESCENT LEASING CORPORATION LTD. (CRESLEASE)

 

Lahore: November 18, 2002

The Pakistan Credit Rating Agency (PACRA) has upgraded the long-term entity rating of Crescent Leasing Corporation Limited to "A+" (Single A plus) and maintained short-term entity rating at "A1" (Single A one). These ratings denote a low expectation of credit risk and strong capacity of the company to meet financial obligations in a timely manner. The entity ratings are applicable to senior unsecured creditors of the company. As a consequence of the entity rating upgrade, the rating of Secured TFCs (First Tranche) amounting to Rs. 261.79 mln has also been upgraded to "AA-" (Double A minus).

While upgrading the ratings, PACRA has taken cognisance of the improving trend in performance emanating from growing asset base, maintained asset quality and improved risk absorption capacity. The ratings also recognise the availability of diversified funding sources, ample borrowing capacity and adequate liquidity of the company. In PACRA's opinion, in the absence of any unforeseen events, the positive developments are likely to be sustained.