 |
|||
|
|
|||
Affirmed AA-/Stable and J-1+ on sr.debts and CP of Daibiru | Jan 29, 2010 |
Issuer: Daibiru Corporation (8806)
<*On May 21,2010,assigned AA- rating to bonds no.11(Issues Amount:Y15 billion,Issue Date:May 28,2010, Due Date:May 28,2020,Coupon Rating:1.398%) and bonds no.12(Issues Amount:Y5 billion,Issue Date:May 28,2010, Due Date:May 27,2022,Coupon Rating:1.652%)>
JCR has affirmed the AA-/Stable, preliminary AA-, AA- and J-1+ ratings on senior debts, shelf registration, bonds and CP program of the issuer, respectively.
Senior debts: AA-/Stable
Shelf Registration: preliminary AA-
Maximum: Y50 billion
Valid: two years effective from February 27, 2009
Issues Amount(bn) Issue Date Due Date Coupon Rating
bonds no.7 Y10 Mar. 22, 2004 Mar. 20, 2014 1.76% AA-
bonds no.8 Y15 Mar. 11, 2005 Mar. 11, 2015 1.59% AA-
bonds no.9 Y15 Sept. 29, 2006 Sept. 30, 2016 2.07% AA-
bonds no.10 Y10 Sept. 16, 2009 Sept. 13, 2019 1.673% AA-
CP: J-1+
Maximum: Y20
Backup Line: 0%
<Rationale>
Daibiru Corporation is a real estate company that is affiliated with Mitsui O.S.K. Lines. Its consolidated operating income for FY 2009 ending March 31, 2010 is expected to drop 8.9% year-on-year to 9.1 billion yen owing to the increasing start-up costs for the buildings, which were completed during the fiscal year, in addition to the drop in the rent revenue associated with renovation, although new buildings boosted the earnings. Although JCR considers it necessary to keep in mind that the vacancy rates of its properties in Tokyo area are increasing, the full-year operation of the Tosabori Daibiru Building will enable the Company to maintain a satisfactory level of earnings for FY2010 ending March 31, 2011. It retains a relatively good financial structure. However, the interest-bearing debt has been on the rise in recent years and the debt level is expected to remain high because the Company will start investments in the Nakanoshima Daibiru Building West and other properties. JCR considers that the Company can curb the increase in the interest-bearing debt to a certain degree by way of the cash flow to be generated and that there will be little concern over the deterioration in the financial structure going forward.
<*On May 21,2010,assigned AA- rating to bonds no.11(Issues Amount:Y15 billion,Issue Date:May 28,2010, Due Date:May 28,2020,Coupon Rating:1.398%) and bonds no.12(Issues Amount:Y5 billion,Issue Date:May 28,2010, Due Date:May 27,2022,Coupon Rating:1.652%)>
JCR has affirmed the AA-/Stable, preliminary AA-, AA- and J-1+ ratings on senior debts, shelf registration, bonds and CP program of the issuer, respectively.
Senior debts: AA-/Stable
Shelf Registration: preliminary AA-
Maximum: Y50 billion
Valid: two years effective from February 27, 2009
Issues Amount(bn) Issue Date Due Date Coupon Rating
bonds no.7 Y10 Mar. 22, 2004 Mar. 20, 2014 1.76% AA-
bonds no.8 Y15 Mar. 11, 2005 Mar. 11, 2015 1.59% AA-
bonds no.9 Y15 Sept. 29, 2006 Sept. 30, 2016 2.07% AA-
bonds no.10 Y10 Sept. 16, 2009 Sept. 13, 2019 1.673% AA-
CP: J-1+
Maximum: Y20
Backup Line: 0%
<Rationale>
Daibiru Corporation is a real estate company that is affiliated with Mitsui O.S.K. Lines. Its consolidated operating income for FY 2009 ending March 31, 2010 is expected to drop 8.9% year-on-year to 9.1 billion yen owing to the increasing start-up costs for the buildings, which were completed during the fiscal year, in addition to the drop in the rent revenue associated with renovation, although new buildings boosted the earnings. Although JCR considers it necessary to keep in mind that the vacancy rates of its properties in Tokyo area are increasing, the full-year operation of the Tosabori Daibiru Building will enable the Company to maintain a satisfactory level of earnings for FY2010 ending March 31, 2011. It retains a relatively good financial structure. However, the interest-bearing debt has been on the rise in recent years and the debt level is expected to remain high because the Company will start investments in the Nakanoshima Daibiru Building West and other properties. JCR considers that the Company can curb the increase in the interest-bearing debt to a certain degree by way of the cash flow to be generated and that there will be little concern over the deterioration in the financial structure going forward.
Back To Top