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28.12.2010
Credit-Rating takes rating actions on Illichivske ST OJSC
Credit-Rating, a nationally recognized credit rating agency in Ukraine has today announced that it assigned a long-term credit rating of uaBBB+ (uaBBB plus) with stable outlook to Kiev-based Illichivske ST OJSC (‘company’ or ‘insurer’). Credit-Rating has also assigned to the company its insurer strength rating of uaAinz. In the course of the rating procedure Credit-Rating considered company’s financial statements for 2006-2009 and 9M2010, and its other inside information.
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. A plus "+" and a minus "-" signs indicate intermediary categories compared to the standard categories (grades).
Stable outlook indicates that there are no anticipated reasons to change the rating in the course of the year.
The strength of insurance companies bearing uaAins rating is high, with their capacity, reputation and loyalty to customers being higher than those of Ukrainian companies assigned lower ratings, though they are more vulnerable to impact of adverse commercial, financial and economic factors than the companies bearing uaA+ins rating. The probability of failure to timely make insurance payments/repay cumulated insurance amounts is lower than those in insurance companies with lower ratings.
Factors maintaining the credit rating
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Rising amount and retaining balance of attracted insurance premiums in the crisis environment
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Comparatively low level of reserves for claimed but not paid losses.
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Sufficient diversification of the company’s assets that represent insurance reserves.
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High liquidity and solvency ratios.
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Acceptable diversification of the company’s bank deposits.
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No debt burden.
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Company’s information openness and transparency.
Factors constraining the credit rating
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Necessity in changing company’s equity structure and decreased amount of investments in securities.
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Rising ratio of aggregated loss.
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The company’s performance efficiency indicators are highly dependant upon transactions with securities.
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Impact of adverse factors on the financial market, which may weigh on the company’s figures.
Information on all credit ratings assigned in accordance with the National Rating Scale may be found in THOMSON REUTERS and BLOOMBERG information systems.
For more information, please contact:
Department of
Information and Communications
Sergey Rozumyak +38044490 25
50
SRozumyak@credit-rating.com.ua
Denis
Rudenko
DRudenko@credit-rating.ua
