Press Release

JCR-VIS Revises Long Term Entity Rating of Grays Leasing Limited to BBB-

Karachi, January 5, 2010: JCR-VIS Credit Rating Company Limited has revised the medium to long term entity rating of Grays Leasing Limited (GLL) from ‘BBB’ (Triple B) to ‘BBB-’ (Triple B Minus), while short term rating has been maintained at ‘A-3’ (A-Three). Outlook on the rating continues to be ‘Negative’.

This rating action has been taken on account of increased delinquencies and the resulting pressure on liquidity. Given the difficult economic conditions, core business activities of GLL have reduced significantly while availability of funds remained scarce for the entire sector. Despite a small right issue in FY09, growing losses in the last two years have resulted in substantial capital erosion. While the company has continued to service obligations and a small profit was also posted in the 1st quarter of the current financial year, external capital is required to allow the company to recover business and ensure timely payment of obligations on an ongoing basis.

For further information on this rating announcement, please contact Mr. Safdar Kazi (Ext: 501) or Ms. Sabeen Saleem (Ext: 510) at 35311861-70 or fax to 35311873.


Faheem Ahmad
President & CEO

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 2010 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .