Fitch rates MRV Engenharia A+(bra)

Fitch Ratings said it assigned a long-term national scale rating of A+(bra) to MRV Engenharia e Participacoes SA.

The outlook is negative.

The agency said the company has been efficient in maintaining a sustainable growth of its activities with high margins in its projects and preserved low leverage and moderate liquidity. The rating also considers MRV's long-standing specialization in residential projects for the low-income segment and the satisfactory access to appropriate funding sources for the development of its projects, the limited exposure to homebuyer risk and the geographically diversified land bank, Fitch said.

The negative outlook reflects the rating action taken by Fitch for the overall homebuilding sector on Jan. 21, reflecting the expectation that homebuilders in Brazil will face a challenging operating environment as well as significant financial pressures in 2009 and 2010.

The total debt-to-EBITDA ratio was 1.6 times in 2008.

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