Unsolicited Ratings

§  Overview:

An unsolicited rating is issued without a formal request from the entity being rated and typically without full access to confidential internal information. The methodology for unsolicited ratings, therefore, emphasizes transparency, conservatism and reliance on publicly available data, ensuring that the assigned ratings maintain credibility, analytical rigor and fairness despite the absence of direct engagement with the issuer. This document outlines the guiding principles, data sources, analytical approaches and specific adjustments used by National Credit Ratings Limited (NCRL) when assigning unsolicited ratings.

§  Sources of Information

Since no cooperation from the issuer is guaranteed, NCRL relies on:

ü Audited financial statements (Annual reports, Quarterly reports)

ü Regulatory filings (BB, BSEC, Stock Exchanges, etc.)

ü Press releases and investor presentations

ü Industry publications and market intelligence

ü News reports

ü Public sector or governmental databases (If available)

§  Analytical Framework

The methodology for an unsolicited rating mirrors that of solicited ratings, with necessary adjustments for the level of information available. The analysis follows corporate rating methodology up to the availability of information.

§  Dealing with Limited Information

In unsolicited ratings conservative assumptions may be applied to account for uncertainty. Where data gaps exist, NCRL compares the target entity to similar companies (operating in the same sector, similar size, etc.), apply industry averages or peer medians for missing financial metrics.

§  Rating Committee Process

§  The draft analysis is presented to a rating committee.

§  The committee discusses assumptions, risks and data gaps.

§  The final rating decision reflects the collective judgment considering limited data risks.

§  Surveillance and Monitoring

§  Ratings are reviewed periodically.

§  Monitoring is based on fresh publicly available data.

§  Ratings may be upgraded, downgraded, placed on watch, or withdrawn if information flow materially changes.

§  Disclosure

It is clearly disclosed that:

§  The rating is unsolicited.

§  The issuer did not participate or cooperate.

§  The information used was solely public or otherwise specified.

Any limitations due to lack of issuer interaction are transparently stated.