Rating Symbols & Definition

Rating Symbols & Definition
Bank Loan Ratings

A. Rating Symbols and Definitions for Long /Medium Term Debt Instruments

Symbols Rating Definition
CARE AAA Instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk.
CARE AA Instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.
CARE A Instruments with this rating are considered to have adequate degree of safety regarding timely servicing of financial obligations. Such instruments carry low credit risk.
CARE BBB Instruments with this rating are considered to have moderate degree of safety regarding timely servicing of financial obligations. Such instruments carry moderate credit risk.
CARE BB Instruments with this rating are considered to have moderate risk of default regarding timely servicing of financial obligations.
CARE B Instruments with this rating are considered to have high risk of default regarding timely servicing of financial obligations.
CARE C Instruments with this rating are considered to have very high risk of default regarding timely servicing of financial obligations.
CARE D Instruments with this rating are in default or are expected to be in default soon

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AA to CARE C. The modifiers reflect the comparative standing within the category.

Rating Outlook

The rating outlook can be ‘Positive’, ‘Stable’ or ‘Negative’.
A ‘Positive’ outlook indicates an expected upgrade in the credit ratings in the medium term on account of expected positive impact on the credit risk profile of the entity in the medium term.
A ‘Negative’ outlook would indicate an expected downgrade in the credit ratings in the medium term on account of expected negative impact on the credit risk profile of the entity in the medium term.
A ‘Stable’ outlook would indicate expected stability (or retention) of the credit ratings in the medium term on account of stable credit risk profile of the entity in the medium term.

A. Rating Symbols and Definitions for Short Term Debt Instruments

Symbols Rating Definition
CARE A1 Instruments with this rating are considered to have very strong degree of safety regarding timely payment of financial obligations. Such instruments carry lowest credit risk.
CARE A2 Instruments with this rating are considered to have strong degree of safety regarding timely payment of financial obligations. Such instruments carry low credit risk.
CARE A3 Instruments with this rating are considered to have moderate degree of safety regarding timely payment of financial obligations. Such instruments carry higher credit risk as compared to instruments rated in the two higher categories.
CARE A4 Instruments with this rating are considered to have minimal degree of safety regarding timely payment of financial obligations. Such instruments carry very high credit risk and are susceptible to default.
CARE D Instruments with this rating are in default or expected to be in default on maturity.

Modifier {"+" (plus)} can be used with the rating symbols for the categories CARE A1 to CARE A4. The modifier reflects the comparative standing within the category.

Collective Investment Scheme Rating

Collective Investment Scheme - Symbols and Definition

CARE 1 (CIS)

High Investment Grades

Schemes carrying this rating are considered to be very strong, with high likelihood of achieving their objectives and meeting the obligations to investors.
CARE 2 (CIS) Schemes carrying this rating are considered to be strong, with adequate likelihood of achieving their objectives and meeting the obligations to investors. They are rated lower than CARE 1 (CIS) rated schemes because of relatively higher risk.
CARE 3 (CIS)

Investment Grades

Such schemes are considered to have adequate strengths for achieving their objectives and meeting the obligations to investors. They are considered to be investment grade.
CARE 4 (CIS)

Speculative Grades

Schemes carrying this rating are considered to have inadequate capability to achieve their objectives and meet the obligations to investors. They are considered to be of speculative grade.
CARE 5 (CIS)

Speculative Grades

Such schemes are considered weak and are unlikely to achieve their objectives and meet their obligations to investors. They have either failed or are likely to do so in the near future.
Construction Grading

Grading Of Project Developer -Symbols and Definition

Grade / Symbol Explanation
CD1 Competence in project management and arranging adequate funding for the project is very high.
CD2 Competence in project management and arranging necessary funding is high, though marginally lower than CD1 category.
CD3 Backing for the project either in terms of project management or arranging funding is moderate. Assumptions that do not materialise may have a greater impact as compared to the developers graded higher.
CD4 Backing for the project either in terms of project management or arranging funding is inadequate. Assumptions that do not materialise may have a greater impact as compared to the developers graded higher.
CD5 Track record in managing and completing projects is poor.

Grading Of Project Consultants - Symbols and Definition

Symbols Rating Definition
CC1 Technical, design and engineering strengths are very high. Ability to pay liquidated damages in the event of non-conformance to contractual obligations is very high.
CC2 Technical, design and engineering strengths are high but marginally lower than CC1 category. Ability to pay liquidated damages in the event of non- conformance to contractual obligations is high.
CC3 Technical, design and engineering strengths are moderate. Ability to pay liquidated damages in the event of non-conformance to contractual obligations is moderate. Assumptions that do not materialise may have a greater impact as compared to the consultants graded higher.
CC4 Technical, design and engineering strengths are inadequate. Ability to pay liquidated damages in the event of non-conformance to contractual obligations is low. Assumptions that do not materialise may have a greater impact as compared to the consultants graded higher.
CC5 Technical, design and engineering strengths are poor. The consultant has been unable to deliver as per contractual requirements.

Grading Of Construction Contractor -Symbols and Definition

Grade / Symbol Explanation
CCt1 Project execution capabilities are very high. Ability to pay liquidated damages for non-conformance to contractual obligations and to complete the project as per schedule and without any time overruns is very high.
CCt2 Project execution capabilities are high. Ability to pay liquidated damages for non-conformance to contractual obligations and to complete the project as per schedule and without any time overruns is high, though marginally lower than CCt1 category.
CCt3 Project execution capabilities are moderate. Ability to pay liquidated damages for non-conformance to contractual obligations and to complete the project as per schedule and without any time overruns is moderate. Contract completion can be affected by any adverse changes in the industry prospects. Assumptions that do not materialise may have a greater impact as compared to the contractors graded higher.
CCt4 Project execution capabilities are inadequate. Ability to pay liquidated damages for non-conformance to contractual obligations and to complete the project as per schedule and without any time overruns is inadequate. Contract completion can be affected by any adverse changes in the industry prospects. Assumptions that do not materialise may have a greater impact as compared to the contractors graded higher.
CCt5 Project execution capabilities are poor.

Grading Of Project -Symbols and Definition

Grade / Symbol Explanation
CP1 Very good project. All project risks have been identified and measures taken to contain these risks. Likelihood of project implementation as per schedule is the highest.
CP2 Good project. Likelihood of project implementation as per schedule is high though marginally lower than CP1 category.
CP3 Moderate project. The project risks are moderate and any change in assumptions or external factors can have an adverse bearing on timely project completion. Assumptions that do not materialise may have a greater impact as compared to the projects graded higher.
CP4 Weak project. Risk factors are high. Probability of adherence to project schedules is negligible. Assumptions that do not materialise may have a greater impact as compared to the projects graded higher.
CP5 Poor project. Chance of project failure is high.

CARE assigns '+' or '-' sign may be shown after the assigned grading to indicate the relative position within the band covered by the grading symbol.

Corporate Governance Rating

Corporate Governance Rating (CGR) - Rating Symbols and Definition

Symbols Definition
CARE CGR 1 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders highest comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGR 2 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders high level of comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGR 3 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders adequate level of comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGR 4 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders moderate level of comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGR 5 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders inadequate level of comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGR 6 In CARE's opinion, the company has adopted corporate governance practices which would provide its stakeholders poor level of comfort on the degree of corporate governance. CARE's CGR rating is however not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.

CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position within the band covered by the rating symbol.

Corporate Governance & Value Creation (CGV) Rating - Rating Symbols and Definition

Symbols Rating Definition
CARE CGV 1 The entity is placed in the highest category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGV 2 The entity is placed in the high category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGV 3 The entity is placed in the adequate category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGV 4 The entity is placed in the moderate category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGV 5 The entity is placed in the inadequate category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.
CARE CGV 6 The entity is placed in the poor category in terms of its ability to optimise value creation for all its stakeholders in conjunction with Corporate Governance practices. CARE's CGV rating is not a certificate on statutory compliance and is not a recommendation to buy or sell securities issued by the entity.

CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position within the band covered by the rating symbol.

Debt instruments Rating

Credit Rating of Debt instruments - Rating Symbols and Definition

Long / Medium-term Instruments (NCD/FD/CD/SO/CPS/RPS/L)

Symbols Rating Definition
CARE AAA Instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk.
CARE AA Instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.
CARE A Instruments with this rating are considered to have adequate degree of safety regarding timely servicing of financial obligations. Such instruments carry low credit risk.
CARE BBB Instruments with this rating are considered to have moderate degree of safety regarding timely servicing of financial obligations. Such instruments carry moderate credit risk.
CARE BB Instruments with this rating are considered to have moderate risk of default regarding timely servicing of financial obligations.
CARE B Instruments with this rating are considered to have high risk of default regarding timely servicing of financial obligations.
CARE C Instruments with this rating are considered to have very high risk of default regarding timely servicing of financial obligations.
CARE D Instruments with this rating are in default or are expected to be in default soon.

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AA to CARE C. The modifiers reflect the comparative standing within the category.

Rating Outlook

The rating outlook can be ‘Positive’, ‘Stable’ or ‘Negative’.
A ‘Positive’ outlook indicates an expected upgrade in the credit ratings in the medium term on account of expected positive impact on the credit risk profile of the entity in the medium term.
A ‘Negative’ outlook would indicate an expected downgrade in the credit ratings in the medium term on account of expected negative impact on the credit risk profile of the entity in the medium term.
A ‘Stable’ outlook would indicate expected stability (or retention) of the credit ratings in the medium term on account of stable credit risk profile of the entity in the medium term.

Short-term Instruments (NCD/FD/SO/CPS/RPS/L)

Symbols Rating Definition
CARE A1 Instruments with this rating are considered to have very strong degree of safety regarding timely payment of financial obligations. Such instruments carry lowest credit risk.
CARE A2 Instruments with this rating are considered to have strong degree of safety regarding timely payment of financial obligations. Such instruments carry low credit risk.
CARE A3 Instruments with this rating are considered to have moderate degree of safety regarding timely payment of financial obligations. Such instruments carry higher credit risk as compared to instruments rated in the two higher categories.
CARE A4 Instruments with this rating are considered to have minimal degree of safety regarding timely payment of financial obligations. Such instruments carry very high credit risk and are susceptible to default.
CARE D Instruments with this rating are in default or expected to be in default on maturity.

Modifier {"+" (plus)} can be used with the rating symbols for the categories CARE A1 to CARE A4. The modifier reflects the comparative standing within the category.

NCD Non Convertible Debenture
FD Fixed Deposit
CD Certificate of Deposit
SO Structured Obligations
CPS Convertible Preference Shares
RPS Redeemable Preference Shares
L Loans
Edu Grade

CARE Edu Grade - Symbols and Definition

Grading of Management Courses

CARE would adopt an eight-point scale for grading on the scale of A*** to B; with A*** being the highest and B being the lowest grade. Grading will be assigned on two levels A) National Level and B) State level. National level grading will benchmark the institutes against institutes on all-India basis while the state-level grading would exhibit the standing of the institute at the state level.

CARE Edu Grade Grid
A*** A** A* A B*** B** B* B
National Level Grade
State Level Grade

Grading of Engineering Courses

CARE would adopt an eight-point scale for grading on the scale of A*** to B; with A*** being the highest and B being the lowest grade.

CARE Edu Grade Grid
A*** A** A* A B*** B** B* B
Grade Assigned
Energy Service Companies Grading

Grading of Energy Service Companies - Symbols and Definition

Grading Definition
Grade 1 Very high ability to carry out energy efficiency audits and implement energy- saving projects.
Grade 2 High ability to carry out energy efficiency audits and implement energy-saving projects.
Grade 3 Good ability to carry out energy efficiency audits and implement energy-saving projects.
Grade 4 Below-average ability to carry out energy efficiency audits and implement energy-saving projects.
Grade 5 Poor ability to carry out energy efficiency audits and implement energy-saving projects.
Equi Grade

CARE Equi Grade - Symbols and Definition

Fundamental Grade

CARE Fundamental Grade Definition
5/5 Strong Fundamentals
4/5 Very Good Fundamentals
3/5 Good Fundamentals
2/5 Modest Fundamentals
1/5 Weak Fundamentals

Valuation Grade

CARE Valuation Grade Definition
5/5 4/5 Considerable Upside Potential (>25% from CMP)
3/5 Moderate Upside Potential (10-25% from CMP)
2/5 1/5 Fairly Priced (+/- 10% from CMP)
CMP - Current Market Price Moderate Downside Potential (Negative 10-25 from CMP)
Considerable Downside Potential (25% from CMP)
Insurance Claims Paying Ability Rating

Claims Paying Ability Rating - Rating Symbols and Definition

Symbols Rating Definition
Secure grades
CARE AAA (In) Insurers have the highest financial strength to meet policy holders obligations. The impact of any adverse business and economic factors on the claims paying ability of these insurers is minimal.
CARE AA (In) Insurers have high financial strength to meet policy holders obligations. They are rated lower than CARE AAA insurers because of somewhat lower margins of protection. Insurers in this category, differ only marginally from the CARE AAA insurers.
CARE A (In) Insurers have adequate financial strength to meet policy holders obligations. Assumptions that do not materialise may have a greater impact, as compared to the higher rated categories, on the claims paying ability.
CARE BBB (In) Insurers have moderate financial strength to meet policy holders obligations. Adverse changes in business and economic conditions are more likely to weaken the claims-paying ability of the insurers.
Vulnerable grades
CARE BB (In) Insurers have inadequate financial strength to meet policy holders obligations. While, the current obligations of the policy holders are being met, these Insurers are highly susceptible to adverse changes in business and economic conditions.
CARE B (In) Insurers have weak financial strength and their ability to meet policy holders obligations is low.
CARE C (In) Insurers have poor financial strength and their ability to meet policy holders obligations is extremely low.
CARE D (In) Such insurers are in the lowest category. They are in default on their policy holders obligations and are or are likely to be placed under supervision of the insurance regulator.

CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position within the band covered by the rating symbol.

IPO Grading

IPO Grading - Grading Symbols and Definition

Symbols Definition
5 Strong fundamentals
4 Above-average fundamentals
3 Average fundamentals
2 Below-average fundamentals
1 Poor fundamentals
Issuer Rating

Issuer Rating - Rating Symbols and Definition

Symbols Rating Definition
CARE AAA (Is) Issuers with this rating are considered to offer the highest degree of safety regarding timely servicing of financial obligations. Such issuers carry lowest credit risk.
CARE AA (Is) Issuers with this rating are considered to offer high degree of safety regarding timely servicing of financial obligations. Such issuers carry very low credit risk.
CARE A (Is) Issuers with this rating are considered to offer adequate degree of safety regarding timely servicing of financial obligations. Such issuers carry low credit risk.
CARE BBB (Is) Issuers with this rating are considered to offer moderate degree of safety regarding timely servicing of financial obligations. Such issuers carry moderate credit risk
CARE BB (Is) Issuers with this rating are considered to offer moderate risk of default regarding timely servicing of financial obligations.
CARE B (Is) Issuers with this rating are considered to offer high risk of default regarding timely servicing of financial obligations.
CARE C (Is) Issuers with this rating are considered to offer very high risk of default regarding timely servicing of financial obligations.
CARE D (Is) Issuers with this rating are in default or are expected to be in default soon.

CARE's Issuer Rating (CIR) reflects the overall credit risk of the issuer. The rating scale has been aligned with the long-term instrument rating scale ranging from AAA(Is) (Highest Safety) to D(Is) (Default). 'Is' suffix indicates 'Issuer Rating'

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AA (Is) to CARE C (Is). The modifiers reflect the comparative standing within the category.

Rating Outlook

The rating outlook can be ‘Positive’, ‘Stable’ or ‘Negative’.
A ‘Positive’ outlook indicates an expected upgrade in the credit ratings in the medium term on account of expected positive impact on the credit risk profile of the entity in the medium term.
A ‘Negative’ outlook would indicate an expected downgrade in the credit ratings in the medium term on account of expected negative impact on the credit risk profile of the entity in the medium term.
A ‘Stable’ outlook would indicate expected stability (or retention) of the credit ratings in the medium term on account of stable credit risk profile of the entity in the medium term.

Maritime Training Courses Grading

Grading of Maritime Training Courses - Symbols and Definition

These gradings are on a scale of 1 to 5 as notified by the Directorate General of Shipping, GoI (Government of India)

Grading Definition
Grade 1 Outstanding
Grade 2 Very Good
Grade 3 Good
Grade 4 Satisfactory
Grade 5 Below grading standards
MFI Grading

MFI Grading - Symbols and Definition

Grading Definition
MFI 1 Highest
MFI 2+
MFI 2
MFI 3+
MFI 3
MFI 4+
MFI 4
MFI 5 Lowest

* There is no individual definition for each grading

Mutual Fund Credit Quality Rating

Fund Credit Quality Rating - Rating Symbols and Definition

Long Term Debt Mutual Fund Schemes

Symbols Rating Definition
CARE AAAmfs Schemes with this rating are considered to have the highest degree of safety regarding timely receipt of payments from the investments that they have made.
CARE AAmfs Schemes with this rating are considered to have the high degree of safety regarding timely receipt of payments from the investments that they have made.
CARE Amfs Schemes with this rating are considered to have the adequate degree of safety regarding timely receipt of payments from the investments that they have made.
CARE BBBmfs Schemes with this rating are considered to have the moderate degree of safety regarding timely receipt of payments from the investments that they have made.
CARE BBmfs Schemes with this rating are considered to have moderate risk of default regarding timely receipt of payments from the investments that they have made.
CARE Bmfs Schemes with this rating are considered to have high risk of default regarding timely receipt of timely receipt of payments from the investments that they have made.
CARE Cmfs Schemes with this rating are considered to have very high risk of default regarding timely receipt of timely receipt of payments from the investments that they have made.

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AAmfs to CARE Cmfs. The modifiers reflect the comparative standing within the category.

Short Term Debt Mutual Fund Schemes

Symbols Rating Definition
CARE A1mfs Schemes with this rating are considered to have very strong degree of safety regarding timely receipt of payments from the investments that they have made.
CARE A2mfs Schemes with this rating are considered to have strong degree of safety regarding timely receipt of payments from the investments that they have made.
CARE A3mfs Schemes with this rating are considered to have moderate degree of safety regarding timely receipt of payments from the investments that they have made.
CARE A4mfs Schemes with this rating are considered to have minimal degree of safety regarding timely receipt of payments from the investments that they have made.

Modifier {"+" (plus)} can be used with the rating symbols for the categories CARE A1mfs to CARE A4mfs. The modifier reflects the comparative standing within the category.

CARE's fund quality rating is not a recommendation to purchase, sell, or hold a security/ fund. It neither comments on the current market price or suitability for a particular investor nor on the prospective performance of the fund with respect to appreciation, volatility of net asset value (NAV), or yield of the fund. The ratings do not address the funds ability to meet the payment obligations to the investors.

NSIC SSI Rating

NSIC- CARE SSI Rating - Rating Symbols and Definition

Symbols Rating Definition
SE 1A Highest Performance capability; High Financial strength. Prospects of performance are the highest and the entity has high capacity to meet its financial obligations.
SE 1B Highest Performance capability; Moderate Financial strength. Prospects of performance are the highest. However, the entity has moderate capacity to meet its financial obligations.
SE 1C Highest Performance capability; Low Financial strength. Prospects of performance are the highest. However, the entity has low capacity to meet its financial obligations.
SE 2A High Performance capability; High Financial strength. Prospects of performance are high and the entity has high capacity to meet its financial obligations.
SE 2B High Performance capability; Moderate Financial strength. Prospects of performance are high. However, the entity has moderate capacity to meet its financial obligations.
SE 2C High Performance capability; Low Financial strength. Prospects of performance are high. However, the entity has low capacity to meet its financial obligations.
SE 3A Moderate Performance capability; High Financial strength. Prospects of performance are moderate. However, the entity has high capacity to meet its financial obligations.
SE 3B Moderate Performance capability; Moderate Financial strength. Prospects of performance are moderate and the entity has moderate capacity to meet its financial obligations.
SE 3C Moderate Performance capability; Low Financial strength. Prospects of performance are moderate. However, the entity has low capacity to meet its financial obligations.
SE 4A Weak Performance capability; High Financial strength. Prospects of performance are weak. However, the entity has high capacity to meet its financial obligations.
SE 4B Weak Performance capability; Moderate Financial strength. Prospects of performance are weak. However, the entity has moderate capacity to meet its financial obligations.
SE 4C Weak Performance capability; Low Financial strength. Prospects of performance are weak and the entity has low capacity to meet its financial obligations.
SE 5A Poor Performance capability; High Financial strength. Prospects of performance are poor. However, the entity has high capacity to meet its financial obligations.
SE 5B Poor Performance capability; Moderate Financial strength. Prospects of performance are poor. However, the entity has moderate capacity to meet its financial obligations.
SE 5C Poor Performance capability; Low Financial strength. Prospects of performance are poor and the entity has low capacity to meet its financial obligations.
Performance of Parallel Marketers of LPG and SKO

Performance Rating of Parallel Marketers of LPG and SKO - Symbols and Definition

These ratings are on a scale of 1 to 4 as notified by Government of India.

Grading Definition
Grade 1 Good
Grade 2 Satisfactory
Grade 3 Low Risk
Grade 4 High Risk
Recovery Rating

Recovery Rating - Rating Symbols and Definition

Recovery Rating (RR) Indicative Recovery Expected Definition
RR 1+ 150% and above The RR1+ rating represents that the estimated present value of outstanding SRs* would be above 150% of the face value of outstanding SRs issued.
RR 1 >100 upto150% The RR1 rating represents that the estimated present value of outstanding SRs would be above 100% and upto 150% of the face value of outstanding SRs issued.
RR 2 >75 upto 100% The RR2 rating represents that the estimated present value of outstanding SRs would be above 75% and upto 100% of the face value of outstanding SRs issued.
RR 3 >50 upto 75% The RR3 rating represents that the estimated present value of outstanding SRs would be above 50% and upto 75% of the face value of outstanding SRs issued.
RR 4 >25 upto 50% The RR4 rating represents that the estimated present value of outstanding SRs would be above 25% and upto 50% of the face value of outstanding SRs issued.
RR 5 0 upto 25% The RR5 rating represents that the estimated present value of outstanding SRs would be upto 25% of the face value of outstanding SRs issued.

*SR: Security Receipts

Shipyard Grading

Shipyard Grading - Symbols and Definition

Symbols Definition
Grade 1 Highest Financial Strength
Grade 2 High Financial Strength
Grade 3 Adequate Financial Strength
Grade 4 Moderate Financial Strength
Grade 5 Inadequate Financial Strength
Grade 6 Weak Financial Strength
Grade 7 Poor Financial Strength
Grade 8 Lowest Financial Strength
SME Rating

SME - Rating Symbols and Definition

SME scale Rating Definition
1 The level of creditworthiness of an SME, adjudged in relation to other SMEs is the Highest
2 The level of creditworthiness of an SME, adjudged in relation to other SMEs is High
3 The level of creditworthiness of an SME, adjudged in relation to other SMEs is Above Average
4 The level of creditworthiness of an SME, adjudged in relation to other SMEs is Average
5 The level of creditworthiness of an SME, adjudged in relation to other SMEs is Below Average
6 The level of creditworthiness of an SME, adjudged in relation to other SMEs is Inadequate
7 The level of creditworthiness of an SME, adjudged in relation to other SMEs is Poor
8 The level of creditworthiness of an SME, adjudged in relation to other SMEs is the Lowest. Such entities may also be in default
Solar Energy Grading

CARE - MNRE Solar Energy Grading Symbols (For System Integrator - Thermal / RESCO)

Financial Strength
High Moderate Low
Performance Capability Highest SP 1A SP 1B SP 1C
High SP 2A SP 2B SP 2C
Moderate SP 3A SP 3B SP 3C
Weak SP 4A SP 4B SP 4C
Poor SP 5A SP 5B SP 5C

CARE - MNRE Solar Energy Grading Symbols (For System Integrator - Photovoltaic)

Financial Strength
Highest High Moderate Weak Very Weak
Performance Capability Highest SP 1A SP 1B SP 1C SP 1D SP 1E
High SP 2A SP 2B SP 2C SP 2D SP 2E
Moderate SP 3A SP 3B SP 3C SP 3D SP 3E
Weak SP 4A SP 4B SP 4C SP 4D SP 4E
Poor SP 5A SP 5B SP 5C SP 5D SP 5E
Urban Local Bodies Municipal Bonds

Urban Local Bodies/Municipal Bonds - Symbols and Definition

Urban Local Bodies/Municipal Bonds - Symbols and Definition

Symbols Rating Definition
CARE AAA Instruments with this rating are considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk.
CARE AA Instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.
CARE A Instruments with this rating are considered to have high degree of safety regarding timely servicing of financial obligations. Such instruments carry very low credit risk.
CARE BBB Instruments with this rating are considered to have moderate degree of safety regarding timely servicing of financial obligations. Such instruments carry moderate credit risk.
CARE BB Instruments with this rating are considered to have moderate risk of default regarding timely servicing of financial obligations.
CARE B Instruments with this rating are considered to have high risk of default regarding timely servicing of financial obligations.
CARE C Instruments with this rating are considered to have very high risk of default regarding timely servicing of financial obligations.
CARE D Instruments with this rating are in default or are expected to be in default soon.

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AA to CARE C. The modifiers reflect the comparative standing within the category.

Short-term Instruments (NCD/FD/SO/CPS/RPS/L)

Symbols Rating Definition
CARE A1 Instruments with this rating are considered to have very strong degree of safety regarding timely payment of financial obligations. Such instruments carry lowest credit risk.
CARE A2 Instruments with this rating are considered to have strong degree of safety regarding timely payment of financial obligations. Such instruments carry low credit risk.
CARE A3 Instruments with this rating are considered to have moderate degree of safety regarding timely payment of financial obligations. Such instruments carry higher credit risk as compared to instruments rated in the two higher
CARE A4 I ategories. cnstruments with this rating are considered to have minimal degree of safety regarding timely payment of financial obligations. Such instruments carry very high credit risk and are susceptible to default.
CARE D Instruments with this rating are in default or expected to be in default on maturity.

Modifier {"+" (plus)} can be used with the rating symbols for the categories CARE A1 to CARE A4. The modifier reflects the comparative standing within the category.

NCD Non Convertible Debenture
FD Fixed Deposit
CD Certificate of Deposit
SO Structured Obligations
CPS Convertible Preference Shares
RPS Redeemable Preference Shares
L Loans
Urban Local Bodies under JNNURM

Urban Local Bodies under JNNURM - Symbols and Definition

Symbols Rating Definition
CARE AAA (Is) Issuers with this rating are considered to offer the highest degree of safety regarding timely servicing of financial obligations. Such issuers carry lowest credit risk.
CARE AA (Is) Issuers with this rating are considered to offer high degree of safety regarding timely servicing of financial obligations. Such issuers carry very low credit risk.
CARE A (Is) Issuers with this rating are considered to offer adequate degree of safety regarding timely servicing of financial obligations. Such issuers carry low credit risk.
CARE BBB (Is) Issuers with this rating are considered to offer moderate degree of safety regarding timely servicing of financial obligations. Such issuers carry moderate credit risk.
CARE BB (Is) Issuers with this rating are considered to offer moderate risk of default regarding timely servicing of financial obligations.
CARE B (Is) Issuers with this rating are considered to offer high risk of default regarding timely servicing of financial obligations.
CARE C (Is) Issuers with this rating are considered to offer very high risk of default regarding timely servicing of financial obligations.
CARE D (Is) Issuers with this rating are in default or are expected to be in default soon.

CARE's Issuer Rating (CIR) reflects the overall credit risk of the issuer. The rating scale has been aligned with the long-term instrument rating scale ranging from AAA(Is) (Highest Safety) to D(Is) (Default). 'Is' suffix indicates 'Issuer Rating'

Modifiers {"+" (plus) / "-"(minus)} can be used with the rating symbols for the categories CARE AA (Is) to CARE C (Is). The modifiers reflect the comparative standing within the category.

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