Beleaguered Reliance Communications banking on Aircel, Brookfield deal proceeds to avoid NPA tag— सविस्तर माहितीसाठी इकॉनॉमिक टाइम्स मधील बातमी वाचावी.

The plight of Reliance CommunicationsBSE -0.58 % is more serious than what credit rating agencies believe. The Anil Ambani-owned mobile phone operator has defaulted on its loan servicing obligations with more than 10 local banks, some of whom have categorised the exposure as “special mention account” in their asset books. SMA assets are loans where the interest payment from a borrower is overdue: if a loan isn’t serviced within 30 days after falling due, it’s marked as SMA 1and if unpaid for 60 days or more, it’s classified as SMA 2. The loan becomes non-performing asset (NPA) – which requires a bank to provide for the loan and take a knock on profitability – if interest is unpaid for 90 days. Loans to the telco have been redflagged as either SMA1 or SMA2 by at least 10 lenders in India, a bank official told ET. A few banks will have to treat the account as an NPA after a fortnight, said another banker.

via Anil Ambani: Beleaguered Reliance Communications banking on Aircel, Brookfield deal proceeds to avoid NPA tag – The Economic Times