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: CRISIL Ratings - Rangara Industries Private Limited :

April 09, 2010 Mumbai

CRISIL downgrades rating on RANGARA INDUSTRIES to C

Rs.400 Million Term Loan Facilities Rs.40 Million Cash Credit Facilities C (Downgraded from BB+/Stable) C (Downgraded from BB+/Stable)

CRISIL has downgraded its rating on Rangara Industries Pvt Ltds (RIPLs) long-term bank facilities to C from BB+/Stable. The downgrade reflects instances of delays in debt servicing by RIPL in the recent past; the delays were caused by weak liquidity. The rating continues to reflect RIPLs small scale of operations, highly leveraged capital structure, large working capital requirements, and susceptibility to economic cycles. These weaknesses are partially offset by RIPLs track record of about 30 years in the crane leasing industry and the steady improvement in its profitability. About the Company RIPL (formerly, Seeta Lifters Pvt Ltd) was established by Mr. Noorali Rangara in 1965; the company was initially into trading and distribution of tyres. In 1978, the company diversified into hiring and operating cranes and excavators. RIPL is presently a mid-sized player in the crane and excavator leasing industry, which is an unorganised market dominated by large players such as Sanghvi Movers Ltd and ABG Infralogistics Ltd. The company has offices in Mumbai, Dubai, and Muscat. For 2008-09 (refers to financial year, April 1 to March 31), RIPL reported a net profit of Rs.43 million on net sales of Rs.294 million, against a net profit of Rs.33 million on net sales of Rs.273 million for 2007-08. Media Contacts Mitu Samar Head, Market Development & Communications CRISIL Limited Tel: +91-22- 3342 1838 Email: msamar@crisil.com Tanuja Abhinandan Market Development & Communications CRISIL Limited Tel: +91-22-3342 1818 Email: tabhinandan@crisil.com Note: This rating rationale is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating rationale may be used by you in full or in part without changing the meaning or context thereof but with due credit to CRISIL. However, CRISIL alone has the sole right of distribution of its rationales for consideration or otherwise through any media including websites, portals etc. CRISIL Complexity Levels are assigned to various types of financial instruments. The CRISIL Complexity Levels are available on www.crisil.com/complexity-levels. Investors are advised to refer to the CRISIL Complexity Levels for instruments that they propose to invest in. Investors can also call the CRISIL Helpline at +91 22 3342 3047 / + 91 22 3342 3064 with queries on specific instruments. CRISIL is India's leading Ratings, Research, Risk and Policy Advisory company. CRISIL leverages its core strengths of credibility and analytical rigour to deliver opinions and solutions, that help clients mitigate and manage their business and financial risks, make markets function better, and help shape public policy. For more information, visit www.crisil.com. Disclaimer: A CRISIL rating reflects CRISIL's current opinion on the likelihood of timely payment of the obligations under the rated instrument and does not constitute an audit of the rated entity by CRISIL. CRISIL ratings are based on information provided by the issuer or obtained by CRISIL from sources it considers reliable. CRISIL does not guarantee the completeness or accuracy of the information on which the rating is based. A CRISIL rating is not a recommendation to buy, sell, or hold the rated instrument; it does not
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Analytical Contacts Pawan Agrawal Director - CRISIL Ratings Tel: +91-22-3342 3301 Email: pagrawal@crisil.com Amod Khanorkar Head - CRISIL Ratings Tel: +91-22-3342 3068 Email: akhanorkar@crisil.com

CRISIL Rating Desk Tel: +91-22-3342 3047 / 3342 3064 Email: CRISILratingdesk@crisil.com

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based. A CRISIL rating is not a recommendation to buy, sell, or hold the rated instrument; it does not comment on the market price or suitability for a particular investor. All CRISIL ratings are under surveillance. Ratings are revised as and when circumstances so warrant. CRISIL is not responsible for any errors and especially states that it has no financial liability whatsoever to the subscribers / users / transmitters / distributors of this product. CRISIL Ratings rating criteria are generally available without charge to the public on the CRISIL public web site, www.crisil.com. For the latest rating information on any instrument of any company rated by CRISIL, please contact CRISIL RATING DESK at CRISILratingdesk@crisil.com, or at (+91 22) 3342 3000. April 09, 2010 http://www.crisil.com

: CRISIL Ratings - Rangara Industries Private Limited :

www.crisil.com/Ratings/RatingList/RatingDocs/rangara-inds_09apr10.htm?cn=RANGIPL

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