Press Release

JCR-VIS Maintains Entity Ratings of Saudi Pak Leasing Company Limited at A-/A-2

Karachi, August 7, 2008: JCR-VIS Credit Rating Company Limited has maintained the entity ratings of Saudi-Pak Leasing Company Limited (SPLC) at ‘A-/A-2’ (Single A Minus/A-Two) and rating of outstanding TFC-1 at ‘A’ (Single A).

Recent developments on the economic front have made the operating environment challenging, particularly for secondary market borrowers. SPLC carries considerable price risk on its books on account of exposure to the local stock markets and recent downturn has eroded the carrying value of securities, resulting in reduced net worth. The company had been operating with high debt leverage while portfolio quality indicators had started showing signs of weakening in FY07, with these trends having persisted in the out-going year, requiring additional provisioning charge. In view of this, Outlook on the ratings has been revised to ‘Negative’. External capital injection would be required to maintain the risk profile of the institution and ratings will be reviewed if any developments take place on this front.

For further information on this rating announcement, please contact Ms. Sabeen Saleem (Ext: 510) or Ms. Sobia Maqbool (Ext: 506) at 5311861-70 or fax to 5311873.




Safdar Kazi
Director

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS , the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2008 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .