Sub.: Credit Rating action by CARE Ratings - Completely Unjustified and inappropriate

There has not been any adverse change in the Company's operational parameters from the time of the last rating action, just 5 weeks ago

We hereby inform that CARE Ratings (CARE) has revised its rating to rating to BBB+ (credit watch with developing implications) for Company's long-term debt programme, market linked debentures, subordinated debt and non-convertible debentures (NCDs) public issue and to BBB (credit watch with developing implications) for upper Tier-II NCDs. CARE has stated this action is primarily due to revision of rating of the parent company, Reliance Capital Limited.

The Company considers the above rating action completely unjustified and inappropriate. There has not been any adverse change in the Company's operational parameters from the time of the last rating action, just 5 weeks ago.

Kindly inform your members accordingly.