20000311

KASB&Co rated

A, A1

RECORDER REPORT

KARACHI: Pakistan Credit Rating Agency (Pacra) has assigned 'A' (single A) long-term and 'A 1' (A one) short term entity ratings to Khadim Ali Shah Bukhari and Company Limited (KASB&Co).

The assigned ratings denote a high credit quality with low expectation of credit risk and a strong capacity for timely payment of financial obligations. These ratings are applicable to the senior unsecured creditors of the company.

While assigning the ratings, Pacra has taken note of KASB's "conscious management strategy of risk reduction through increasing focus on relatively low risk business actitvities". In addition, "improved performance and substantial enlargement of equity base increases the risk absorption capacity of the company and enhances the cushion for unsecured creditors".