A CRISIL Rating Reflects CRISIL

8/2/2019 A CRISIL Rating Reflects CRISIL

http://slidepdf.com/reader/full/a-crisil-rating-reflects-crisil 1/14

ASSIGNMENT ON

“CREDIT RATING AGENCY:CRISIL

AND ITS RATINGS OF 30 COMPANIES”

NAME: PRIYA H. UTTANI

ROLL NO.: 8

CLASS: MBA SEM 4(GIA)

SUBJECT: SECURITY ANALYSIS ANDPORTFOLIO MANAGEMENT

BATCH: 2010-2012

GUIDE: Dr. B.C.AJMERA

SUBMITTED TO: DEPT. OF BUSINESSADMINISTRATION



INTRODUCTION

A CRISIL rating reflects CRISIL's current opinion on the relative likelihood of timely payment of

interest and principal on the rated obligation. It is an unbiased, objective, and independent opinionas to the issuer's capacity to meet its financial obligations.

So far, CRISIL has rated 30,000 debt instruments, covering the entire debt market.

The debt obligations rated by CRISIL include:

Non-convertible debentures/bonds/preference shares

Commercial papers/certificates of deposits/short-term debt Fixed deposits

Loans

Structured debt

CRISIL Ratings' clientele includes all the industry majors - 23 of the BSE Sensex constituentcompanies and 39 of the NSE Nifty constituent companies, accounting for 80 per cent of the equity

market capitalisation, are CRISIL's clients.

CRISIL's credit ratings are

An opinion on probability of default on the rated obligation Forward looking

Specific to the obligation being rated

But they are not

A comment on the issuer's general performance

An indication of the potential price of the issuers' bonds or equity shares Indicative of the suitability of the issue to the investor

A recommendation to buy/sell/hold a particular security

A statutory or non-statutory audit of the issuer An opinion on the associates, affiliates, or group companies, or the promoters, directors, or

officers of the issuer

CRISIL ratings are based on a robust and clearly articulated analytical framework, which ensures

comprehensiveness, standardisation, comparability, and effective communication of the ratingsassigned and of every timely rating action. The assessment is based on the highest standards of

independence and analytical rigour.



CRISIL rates a wide range of entities, including:

Industrial companies

Banks Non-banking financial companies (NBFCs)

Infrastructure entities Microfinance institutions

Insurance companies Mutual funds

State governments

Urban local bodies

CRISIL uses simple alphanumeric symbols to convey credit ratings. CRISIL assigns credit ratings

to debt obligations on three basic scales: the long-term scale, the short-term scale, and the fixed

deposit scale. To illustrate, CRISIL's long-term credit rating scale and the description associatedwith each category on the rating scale is given below:

Symbol

(Rating

category).

Description (with regard to the likelihood of meeting the

debt obligations on time)

AAA Highest Safety

AA High Safety

A Adequate Safety

BBB Moderate Safety

BB Inadequate Safety

B High Risk

C Substantial Risk

D Default

CRISIL's Core Businesses

Ratings

Global Research & Analytics: (Irevna, Pipal Research)

Research



Capital Markets

Infrastructure Advisory

CRISIL Risk Solutions

CRISIL Rating Process

CRISIL's ratings process is designed to ensure that all ratings are based on the highest

standards of independence and analytical rigour.

From the initial meeting with the management to the assignment of the rating, the rating

process normally takes three to four weeks. However, CRISIL has sometimes arrived atrating decisions in shorter timeframes, to meet urgent requirements. The process of rating

starts with a rating request from the issuer, and the signing of a rating agreement. CRISILemploys a multi-layered, decision-making process in assigning a rating.



A detailed flow chart of CRISIL's rating process is as below:



Corporate Credit Rating Scale:

CCR AAA

("CCR Triple A")

A 'CCR AAA' rating indicates Highest degree of strength with regard

to honoring debt obligations.

CCR AA

("CCR Double A")

A 'CCR AA' rating indicates High degree of strength with regard to

honoring debt obligations.

CCR AA 'CCR A' rating indicates Adequate degree of strength with regard

to honoring debt obligations.

CCR BBBA 'CCR BBB' rating indicates Moderate degree of strength with

regard to honoring debt obligations.

CCR BBA 'CCR BB' rating indicates Inadequate degree of strength withregard to honoring debt obligations.

CCR BA 'CCR B' rating indicates High Risk and greater susceptibility with

regard to honoring debt obligations.

CCR CA 'CCR C' rating indicates Substantial Risk with regard to honoring

debt obligations.

CCR DA 'CCR D' rating indicates that the entity is in Default of some or allof its debt obligations.

CCR SD

A 'CCR SD' rating indicates that the entity has Selectively Defaulted

on a specific issue or class of debt obligations, but will continue to

meet its payment obligations on other issues or classes of debt

obligations.

Note:

CRISIL may apply '+' (plus) or '-' (minus) modifiers for ratings from

'CCR AA' to 'CCR C' to reflect comparative standing within thecategory.



Allahabad Bank

Rating Outstanding as on 24-Jan-2012

Industry : Banks

Instrument Category Rating Rating

Outlook

Instrument

Details

Long Term CRISIL AA+ Stable view

Short Term CRISIL A1+ view

Raymond Apparel Limited


Industry : Specialty Retail


Outlook

Instrument

Details

Long Term CRISIL A+ Stable

Reliable Autotech Pvt. Ltd.

Rating Outstanding as on 24-Jan-2012Industry : Auto Components


Outlook

Instrument

Details

Long Term CRISIL B Stable view

Short Term CRISIL A4 view

Reliance Capital LtdRating Outstanding as on 24-Jan-2012

Industry : Non Banking Financial Company

Instrument Category Rating RatingOutlook

InstrumentDetails


http://latestpr%28%27allahabadbank_08dec11.htm%27%29/

http://www.crisil.com/Crisil/ratings/company_fact_sheet.jsp?ID=ALLHBAN


http://latestpr%28%27raymond-apparel_18oct10.htm%27%29/

http://latestpr%28%27reliable-autotech_13may11.htm%27%29/

http://www.crisil.com/Crisil/ratings/company_fact_sheet.jsp?ID=RATPL


http://www.crisil.com/Crisil/ratings/company_fact_sheet.jsp?ID=RELCAPI

http://latestpr%28%27allahabadbank_08dec11.htm%27%29/



http://latestpr%28%27raymond-apparel_18oct10.htm%27%29/

http://latestpr%28%27reliable-autotech_13may11.htm%27%29/






Structured Obligation CRISILAAA(SO)

view

Ranbaxy Laboratories Ltd

Rating Outstanding as on 24-Jan-2012Industry : Pharmaceuticals


InstrumentDetails

Short Term CRISIL A1+

Reliance Fabrications Private Limited


Industry : Machinery

Instrument Category Rating RatingOutlook InstrumentDetails

Long Term CRISIL B+ Stable view


KANSAI NEROLAC PAINTS LIMITED

Rs.600 Million Cash Credit CRISIL AAA/Stable (Reaffirmed)

Rs.100 Million Non-Convertible Debenture Issue CRISIL AAA/Stable (Reaffirmed)

Rs.300 Million Commercial Paper Programme CRISIL A1+ (Reaffirmed)

ABC Paper Limited


Industry : Paper & Forest Products


Outlook

Instrument

Details

Long Term CRISIL BBB- Negative view


Rating Rationales




http://latestpr%28%27reliancefabricationspvtltd_14sep11.htm%27%29/

http://www.crisil.com/Crisil/ratings/company_fact_sheet.jsp?ID=GDS17983


http://latestpr%28%27abc-paper_30dec10.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ABCPAP



http://latestpr%28%27reliancefabricationspvtltd_14sep11.htm%27%29/



http://latestpr%28%27abc-paper_30dec10.htm%27%29/





Adani Power Limited


Industry : Independent Power Producers & Energy Traders


InstrumentDetails

Long Term CRISIL A- Stable view

Ashok Leyland Ltd.


Industry : Automobiles


Outlook

Instrument

Details

Long Term CRISIL AA- Stable view


V Mart Retail Limited


Industry : Specialty Retail


Outlook

Instrument

Details

Long Term CRISIL BBB Stable view


Reliance Infrastructure Limited


Industry : Electric Utilities


InstrumentDetails

Long Term CRISIL AA+ Negative view


http://latestpr%28%27adani-power_30jun11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ADPOPL

http://latestpr%28%27ashokleylandltd_09dec11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ASHLEYL


http://latestpr%28%27v-mart-retail_03jan11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=VMRLTD

http://latestpr%28%27relianceinfrastructureltds_20dec11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=BSES

http://latestpr%28%27adani-power_30jun11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ADPOPL

http://latestpr%28%27ashokleylandltd_09dec11.htm%27%29/



http://latestpr%28%27v-mart-retail_03jan11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=VMRLTD

http://latestpr%28%27relianceinfrastructureltds_20dec11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=BSES



Reliance Jute Mills (International) Limited


Industry : Textiles- Apparel & Luxury Goods


InstrumentDetails

Long Term CRISIL BB Stable view


Reliance Industries Limited


Industry : Oil Gas & Consumable Fuels


Outlook

Instrument

DetailsLong Term CRISIL AAA Stable view


Reliance Ports And Terminals Limited


Industry : Transportation Infrastructure


Outlook

Instrument

Details

Long Term CRISIL AAA Stable view

CRISIL AAA view


Remsons Industries Ltd.


Industry : Auto Components


InstrumentDetails

Long Term CRISIL BB ^ Stable view

Short Term CRISIL A4+ ^

http://latestpr%28%27reliance-jute-mills-international_09jun11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=GDS17990


http://latestpr%28%27reliance-inds_01mar11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=RELIANC

http://latestpr%28%27reliance-ports-terminals_24jun11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=RPRTL


http://latestpr%28%27remsonsindustriesltd_08dec11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=REMINDU

http://latestpr%28%27reliance-jute-mills-international_09jun11.htm%27%29/



http://latestpr%28%27reliance-inds_01mar11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=RELIANC




http://latestpr%28%27remsonsindustriesltd_08dec11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=REMINDU



Reliance Ports And Terminals Limited


Industry : Transportation Infrastructure


InstrumentDetails


CRISIL AAA view


Reliance Utilities and Power Private Limited


Industry : Independent Power Producers & Energy Traders


InstrumentDetails


Religare Securities Limited


Industry : Broking Company


InstrumentDetails


HDFC Bank Ltd.


Industry : Banks


Outlook

Instrument

Details


Structured Obligation CRISIL

AAA(SO)

view

CRISIL

AAA(SO) prov.

view




http://latestpr%28%27reliance-utilities-power_09mar11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=RUPLTD

http://latestpr%28%27hdfc-bank_13dec10.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=HDFBANK






http://latestpr%28%27reliance-utilities-power_09mar11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=RUPLTD

http://latestpr%28%27hdfc-bank_13dec10.htm%27%29/






Governance and ValueCreation Rating

CRISIL GVCLevel 1

HDFC Securities LimitedRating Outstanding as on 25-Jan-2012



InstrumentDetails



ICICI Bank LimitedRating Outstanding as on 25-Jan-2012

Industry : Banks


Outlook

Instrument

Details

Long Term CRISIL AAA view

CRISIL AAA Stable view

Structured Obligation CRISIL

AAA(SO) prov.

view

CRISILAAA(SO)

Stable view

CRISIL

AAA(SO)

view

CRISIL AA+

(SO)

view

CRISIL AA(SO) view

CRISIL BBB+

(SO)

view

CRISIL

BBB(SO) prov.

view

CRISIL D(SO) view

CRISIL A1+

(SO) prov.

view













http://latestpr%28%27hdfcsecuritiesltd_11aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=HDFCSECL

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ICICIBLTD

http://latestpr%28%27icici-bank_29dec10.htm%27%29/



http://latestpr%28%27icici-bank_15nov06.htm%27%29/









http://latestpr%28%27hdfcsecuritiesltd_11aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=HDFCSECL


http://latestpr%28%27icici-bank_29dec10.htm%27%29/



http://latestpr%28%27icici-bank_15nov06.htm%27%29/











CRISIL A1+(SO)

view

ICICI Securities LimitedRating Outstanding as on 25-Jan-2012



InstrumentDetails



IDBI Bank Limited


Industry : Banks


Outlook

Instrument

Details


CRISIL AA Stable view

Fixed Deposit FAAA Stable view


Structured Obligation CRISIL A1+(SO)

view

ING Vysya Bank Limited


Industry : Banks


Outlook

Instrument

Details

Long Term CRISIL AA Stable view

Fixed Deposit FAAA ^ Stable view


Tata Capital Housing Finance Limited


Industry : Housing Finance Company

Instrument Category Rating Rating Instrument




http://latestpr%28%27icicisecuritiesltd_19aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=ICICIBSL


http://latestpr%28%27idbibankltd_21oct11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=IDBIBNK







http://latestpr%28%27ingvysyabankltd_02aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=INGGR




http://latestpr%28%27icicisecuritiesltd_19aug11.htm%27%29/

















Outlook Details



Tata Motors Limited


Industry : Automobiles


Outlook

Instrument

Details

Long Term CRISIL AA- Stable view

http://latestpr%28%27tata-capital-housing-finance_22jul11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=TCHFL

http://latestpr%28%27tatamotorsltd_09aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=TELCO

http://latestpr%28%27tata-capital-housing-finance_22jul11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=TCHFL

http://latestpr%28%27tatamotorsltd_09aug11.htm%27%29/

http://www.crisil.com/ratings/company_fact_sheet.jsp?ID=TELCO

Date post:	06-Apr-2018
Category:	Documents
Upload:	mahesh-sanga
View:	218 times
Download:	0 times

A CRISIL Rating Reflects CRISIL

Documents