OREANDA-NEWS. National Rating Agency has withdrawn its credit rating on VEKASTROY LLC. Due to expiry of the contract and the company's decision to stop participating in the rating process. On withdrawal, VEKASTROY LLC has been assigned an exit rating of 'A' on the national scale. The company was assigned NRA's first-time 'A' credit rating on Oct. 24, 2014.

The assigned exit rating reflects VEKASTROY's 2014 operating cash flow, which show that the financial forecast is consistent with the Investment Contract, upon which NRA made its decision about the company's sources of funds being sufficient to cover its current liabilities. NRA also notes the company's strong beneficial owners, capable of providing a timely and adequate support in the case of distress.

These strengths are offset by the low share of equity in the company's funding mix and VEKASTROY's moderately high debt, volatile financial flows and the resultant volatility of VEKASTROY's financial performance. In addition, the rating is pressured by the general macroeconomic risks. NRA emphasizes that it has stopped its regular surveillance of CES due to expiry of its obligations under the rating contract. In this connection, the absence of CES's up-to-date financials has been viewed as a risk factor - in much the same way as the above-mentioned rating weaknesses. Therefore, NRA assesses VEKASTROY's performance based on the company's 1H2015 financials, which, in our opinion, are in line with the 'BBB+' rating.