OREANDA-NEWS. National Rating Agency has affirmed its national scale ‘A’ credit rating on Businovsky Meat-Processing Plant OJSC (BMPP).

The rating is supported by the company’s high-quality assets, evaluated at market value, steadily growing income from its assets, good liquidity and financial strength metrics, comfortable debt maturity profile (long tenure of debt financial instruments), zero exchange risk, transparent ownership structure, as well as owners with a capacity and capability to provide extraordinary support.

The rating is constrained by the company’s increased debt leverage, asset and funding base concentration in a single business segment and negative financial result for 1Q 2014. We note the downward pressure on BMPP’s earnings coming from the comprehensive renovation project under which the company is setting up a 3PL logistics complex.