November 08, 2013

Mumbai

Allevard IAI Suspensions Private Limited

Ratings Suspended

Total Bank Loan Facilities Rated	Rs.170 Million
Long-Term Rating	Suspended
Short-Term Rating	Suspended

(Refer to Annexure 1 for details on facilities)

CRISIL has suspended its ratings on the bank facilities of Allevard IAI Suspensions Private Limited (AISPL). The suspension of ratings is on account of non-cooperation by AISPL with CRISIL's efforts to undertake a review of the ratings outstanding. Despite repeated requests by CRISIL, AISPL is yet to provide adequate information to enable CRISIL to assess AISPL’s ability to service its debt. The suspension reflects CRISIL's inability to maintain a valid rating in the absence of adequate information. CRISIL considers information availability risk as a key credit factor in its rating process and non-sharing of information as a first signal of possible credit distress, as outlined in its criteria ‘Information Availability Risk in Credit Ratings’

About the Company

Incorporated in April 2010, AISPL is engaged in manufacturing stabiliser bars for four-wheelers. AISPL is a joint venture between Allevard Rejna Autosuspensions S A (Allevard Rejna) of France and promoters of Imperial Auto Industries Ltd (IAI) of India, with Allevard Rejna holding 51 per cent of the equity share capital. IAI of India started manufacturing stabiliser bars in January 2009 under IAI Suspensions Pvt Ltd. IAI Suspensions Pvt Ltd set up a plant with capacity of manufacturing 0.15 million stabiliser bars per annum. AISPL was formed, and took over the operations of IAI Suspensions Pvt Ltd, in April 2010. AISPL’s ongoing capex of about Rs.250 million, funded by term debt of Rs.140 million, is towards expansion if its capacity to 0.6 million stabiliser bars per annum.

Annexure 1 - Details of various bank facilities

Current facilities			Previous facilities
Facility	Amount (Rs. Million)	Rating	Facility	Amount (Rs. Million)	Rating
Cash Credit	18	Suspended	Cash Credit	18	CRISIL B-/Stable
Letter of credit & Bank Guarantee	10	Suspended	Letter of credit & Bank Guarantee	10	CRISIL A4
Proposed Long-Term Bank Loan Facility	2	Suspended	Proposed Long-Term Bank Loan Facility	2	CRISIL B-/Stable
Term Loan	140	Suspended	Term Loan	140	CRISIL B-/Stable
Total	170	--	Total	170	--

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Last updated: May, 2013

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November 08, 2013	http://www.crisil.com