MUMBAI, Dec 2: Credit Rating Information Services of India Ltd (Crisil) has downgraded the fixed deposit programme of Subhash Arora investments (Pvt) Ltd to FB+ from the earlier FA-. The downgrade reflects a steep fall in the market value of the company's investment portfolio.

The company is primarily engaged in maintaining an equity stake in the HCL group for promoter Subhash Arora. Crisil has also downgraded Key Corp Ltd's fixed deposit programme from FA- to FB+ on account of the high risk associated with the unremunerative investments in past, significant fall in the market value of its investment portfolio, low operating margins coupled with high reliance on borrowings to fund its growth.

The double A minus (AA-) rating assigned to the Rs 104.45-crore NCD issue of Apollo Tyres was reaffirmed, while the company's Rs 50-crore CP programme has been assigned the highest rating of P1+. The Rs 15-crore CP programme of Airfreight Ltd has also been assigned P+ rating.

It has meanwhile, assigned Double A plus (AA+) to the Rs 60-crore non-convertible debenture issue of ICI India Ltd. The rating reflects the strong market position of the company in most products manufactured by them, a Crisil press release stated.

Hindustan Zinc's fixed deposit programme was upgraded from FAA to FAA+ and the company's Rs 50-crore short-term deposit programme has been given P1 rating. Crisil has assigned ratings to debt instruments of ten corporates in the week ended December 2, 1997.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.