OREANDA-NEWS. On 06 March 2008 Credit-Rating, a nationally recognized credit rating agency in Ukraine announced that it assigned a long-term credit rating of uaB+ (uaB plus) to UAH69m 6-year registered housing bonds (C-G series) to be issued by Simferopol-based Nord-service-shipping LLC (`Issuer` or `company`). The company`s principal activity is investing and construction. Today the company constructs two 9-storied residential buildings, and is poised to build a multi-sectional residential building in the city of Simferopol. In the course of analysis Credit-Rating considered Issuer`s financial statements for 2002-2006 and 9M2007 as well as other inside information furnished by the company.

An obligor or a debt liability with uaB credit rating is characterized with the LOW creditworthiness as compared to other Ukrainian obligors or debt liabilities. This level of creditworthiness is extremely susceptible to adverse changes in commercial, financial and economic conditions. The plus (+) or minus (-) modifier denotes rating`s relative status within major categories.

Factors maintaining the credit rating The Issuer enjoys experience in investment and construction, in fact the Issuer as a customer is currently completing construction of two residential buildings located 23 and 25, Kamskaya st., city of Simferopol, which construction readiness makes up over 80 percent as at 2008-beginning. Growth in prices and demand for real estate in the city of Simferopol.

Factors constraining the credit rating The Issuer does not have experience in housing bonds redemption. The construction of the multi-sectional residential building located between Rostovskaya and Kamskaya streets of the city of Simferopol, which premises are to redeem the upcoming bond issue. The size of the upcoming issue of UAH69m exceeds Issuer`s asset balance of UAH19.6m and equity of UAH5.9m as of Sep. 30, 2007. Instability in legislation and tax environment controlling both the construction industry and project financing.