OREANDA-NEWS. On 17 March 2009 Credit-Rating, a nationally recognized credit rating agency in Ukraine announced that it placed on Rating Watch List (`RWL`) with negative outlook the following ratings: the long-term credit ratings of uaBBB assigned to Kirovogradoblenergo OJSC and its two issues of coupon bonds (series A and B) for the overall amount of UAH125m; the long-term credit ratings of uaBBB+ assigned to Sevastopolenergo OJSC and its two issues of coupon bonds (series A and B) for the overall amount of UAH110m; and the long-term credit rating of uaBBB assigned to Zhytomyroblenergo OJSC`s issue of coupon bonds (series B) for the amount of UAH100m.

These rating actions have been prompted by uncertainty regarding restructuring obligations on the coupon bonds offered for repayment on March 2, 2009, specifically on Kirovogradoblenergo OJSC`s series B bonds, Sevastopolenergo OJSC`s series B bonds, and Zhytomyroblenergo OJSC`s series B bonds.

The negative outlook indicates that the ratings may be lowered in scale in case the issuers fail to reach agreement on restructuring obligations on the bonds offered for repayment on March 2, 2009, which were issued by Kirovogradoblenergo OJSC`s (series B), Sevastopolenergo OJSC`s (series B), and Zhytomyroblenergo OJSC`s (series B).

The ratings` removal from RWL and their further revision are directly contingent upon conditions of the agreements reached with the bondholders and timely repayment of the obligations in future.

The guarantor to all of three mentioned bond issues is Hotel Premier Palace OJSC.

An obligor or a debt liability with uaBBB credit rating is characterized with the SUFFICIENT creditworthiness as compared to other Ukrainian obligors or debt liabilities. This level of creditworthiness is affected by adverse changes in commercial, financial and economic conditions.

Negative outlook indicates that there is a possibility to downgrade the rating in the course of the year, on condition that negative tendencies are retained and current risks are realized.

The Rating Watch List intends for informing the financial market participants about possible changes of ratings in short-term prospective. The rating placed on RWL denotes that Credit-Rating is currently considering its change as a result of events or ongoing negative trends, which may negatively affect creditworthiness of a rating`s bearer.