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Hindustan Sanitaryware rating downgraded

The rating company ICRA has downgraded the rating assigned to the INR 45 crore non-convertible debenture programme of Hindustan Sanitaryware and Industries (HSI) of India from LAA, indicating high saf…

The rating company ICRA has downgraded the rating assigned to the INR 45 crore non-convertible debenture programme of Hindustan Sanitaryware and Industries (HSI) of India from LAA, indicating high safety to LA plus, indicating adequate safety. ICRA has however reaffirmed the highest safety rating of A1 plus assigned to the INR 25 crore commercial paper programme of the company. The rating takes into account deterioration in the performance of HSI in 2000-01 on account of the decline in sanitaryware volumes, increase in input costs and inability of HSI to fully pass on the same to the consumers resulting in lower operating margins.

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