OREANDA-NEWS. On 06 March 2009 Credit-Rating, a nationally recognized credit rating agency in Ukraine announced that it assigned a long-term credit rating of uaCCC to registered housing bonds (series A, B) issued by Dnepropetrovsk-based Dnipro-Invest-Bud LLC (`issuer` or `company`). The amount of the issue is UAH24.1m due Feb. 10, 2012. The company`s principal activity is investing and construction. Today the company constructs a residential complex located in the city of Dnepropetrovsk. In the course of analysis Credit-Rating considered issuer`s financial statements for 2005-2007 and 9M2008 and its other inside information furnished by the company.

An obligor or a debt liability with uaCCC credit rating is characterized with the VERY LOW creditworthiness as compared to other Ukrainian obligors or debt liabilities. There is a default possibility.

Factors maintaining the credit rating

The issuer is associated with legally informal group of companies, which management has necessary experience in construction sector.

Factors constraining the credit rating

Ongoing negative trends in Ukraine`s real estate sector, under which the access to funding is limited.

The construction of a residential complex located 1A, Pikhtovy Lane, Dnepropetrovsk, which premises to redeem the bond issue, is currently on the initial stage.

The issuer does not have experience in redemption of housing bonds.

The amount of the bond issue of UAH24.1m is in excess of issuer`s assets of UAH9.2m and equity of UAH9m as of Sep. 30, 2008.

High specific gravity of non-specialized assets (investments in securities and authorized stocks of other companies), which size was recorded at 89.6% of assets as of Sep. 30, 2008.

Instability in legislation and tax environment controlling both the construction industry and project financing.