TRIS Rating Co., Ltd. has placed the company rating of Seamico Securities PLC (ZMICO) on CreditAlert with “developing” implication, following ZMICO’s shareholder meeting that was held on 18 April 2007. ZMICO’s current controlling shareholder has not yet been formally disclosed. At the meeting, the shareholders voted to pay an unexpected-high dividend, which negatively affects the company’s leverage. In addition, four out of 11 of its board members, including the Chairman of the Board, decided not to be candidates for reappointment. These issues create uncertainty about the company’s financial policies and business model in the future.
The current rating of ZMICO assigned by TRIS Rating is “BBB”. The rating of ZMICO could be lowered if the company applies more aggressive financial policies by continuing to pay out significant amount of dividend to shareholders. However, the rating could be affirmed if the company’s financial profile can be sustained as expected and the company can maintain its market position in the very intense competitive environment in the securities business.
TRIS Rating said that it will review the rating of ZMICO as soon as more information regarding the company’s business profile and financial policy is available, and will announce the rating to the public. -- End
Seamico Securities PLC (ZMICO)
Company Rating: BBB
CreditAlert Designation: Developing
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Copyright 2007, TRIS Rating Co., Ltd. All rights reserved. Any unauthorized use, disclosure, copying, republication, further transmission, dissemination, redistribution or storing for subsequent use for any purpose, in whole or in part, in any form or manner or by any means whatsoever, by any person, of the credit rating reports or information is prohibited. The credit rating is not a statement of fact or a recommendation to buy, sell or hold any debt instruments. It is an expression of opinion regarding credit risks for that instrument or particular company. The opinion expressed in the credit rating does not represent investment or other advice and should therefore not be construed as such. Any rating and information contained in any report written or published by TRIS Rating has been prepared without taking into account any recipient’s particular financial needs, circumstances, knowledge and objectives. Therefore, a recipient should assess the appropriateness of such information before making an investment decision based on this information. Information used for the rating has been obtained by TRIS Rating from the company and other sources believed to be reliable. Therefore, TRIS Rating does not guarantee the accuracy, adequacy, or completeness of any such information and will accept no liability for any loss or damage arising from any inaccuracy, inadequacy or incompleteness. Also, TRIS Rating is not responsible for any errors or omissions, the result obtained from, or any actions taken in reliance upon such information.
The current rating of ZMICO assigned by TRIS Rating is “BBB”. The rating of ZMICO could be lowered if the company applies more aggressive financial policies by continuing to pay out significant amount of dividend to shareholders. However, the rating could be affirmed if the company’s financial profile can be sustained as expected and the company can maintain its market position in the very intense competitive environment in the securities business.
TRIS Rating said that it will review the rating of ZMICO as soon as more information regarding the company’s business profile and financial policy is available, and will announce the rating to the public. -- End
Seamico Securities PLC (ZMICO)
Company Rating: BBB
CreditAlert Designation: Developing
----------------------------------------------------------
Copyright 2007, TRIS Rating Co., Ltd. All rights reserved. Any unauthorized use, disclosure, copying, republication, further transmission, dissemination, redistribution or storing for subsequent use for any purpose, in whole or in part, in any form or manner or by any means whatsoever, by any person, of the credit rating reports or information is prohibited. The credit rating is not a statement of fact or a recommendation to buy, sell or hold any debt instruments. It is an expression of opinion regarding credit risks for that instrument or particular company. The opinion expressed in the credit rating does not represent investment or other advice and should therefore not be construed as such. Any rating and information contained in any report written or published by TRIS Rating has been prepared without taking into account any recipient’s particular financial needs, circumstances, knowledge and objectives. Therefore, a recipient should assess the appropriateness of such information before making an investment decision based on this information. Information used for the rating has been obtained by TRIS Rating from the company and other sources believed to be reliable. Therefore, TRIS Rating does not guarantee the accuracy, adequacy, or completeness of any such information and will accept no liability for any loss or damage arising from any inaccuracy, inadequacy or incompleteness. Also, TRIS Rating is not responsible for any errors or omissions, the result obtained from, or any actions taken in reliance upon such information.