Hayleys MGT under rating watch

Fitch Ratings Lanka yesterday placed Hayleys MGT Knitting Mills Plc’s (HMGT) National Long-term rating of ‘BBB+(lka)’ on Rating Watch Negative (RWN).

The rating action reflects Fitch’s view that HMGT’s recent industry trends, financial results and corporate announcements in November and December 2010 on provisions made with regard to inventory and accounts receivables may warrant a negative rating action.

Fitch will resolve the rating watch following the conclusion of the ongoing review.