ICRA puts LML's preference capital instrument on rating watch

New Delhi, Mar 13 (UNI) Credit rating agency ICRA today put the LBB rating assigned to the Rs 1,25 crore preference share capital programme of LML Ltd (LML) on rating watch with developing implications, following a lockoutat its Kanpur factory.

The lockout has been declared by the management following labour unrest over compensation.

ICRA will announce the final rating after evaluating the impact of these developments on the operating and financial risk profile of the company.

The LBB rating indicates inadequate-credit-quality rating assigned by ICRA. The rated instrument carries high credit risk.

During the 18 month period ended March 2005, LML reported a turnover of Rs 597 crore and a net loss of Rs 95.6 crore.

UNI RA SR KN1726