MIRA
INFORM REPORT
|
Report Date
: |
2nd
May 2006 |
IDENTIFICATION
DETAILS
|
Name : |
ABS INDIA PRIVATE LIMITED |
|
|
|
|
Formerly
Known As : |
ALCATEL
BUSINESS SYSTEMS (INDIA) PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
# 49, 100 Feet
Road, Koramangala IV Block, Bangalore – 560034, Karnataka, India |
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|
Financial : |
31.03.2003 |
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Country : |
India |
|
|
|
|
Financials
(as on) : |
31.03.2003 |
|
|
|
|
Date of
Incorporation : |
01st December, 1995 |
|
|
|
|
Com. Reg.
No.: |
08-19296 |
|
|
|
|
TAN No.: (Tax
Deduction & Collection Account No.) |
BLRA03906A |
|
|
|
|
PAN No.: (Permanent
Account No.) |
AABCA8841P |
|
|
|
|
Legal Form : |
Private limited liability company |
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Line of
Business : |
Importers,
Exporters and Traders of all types of EPABX systems, spares call- center /
voip products and Communication
systems etc. |
RATING & COMMENTS
|
MIRA’s
Rating : |
B |
RATING
|
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable
& favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average/normal. |
Small |
|
Maximum
Credit Limit : |
|
|
|
|
|
Status : |
Usually |
|
|
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Payment
Behaviour : |
Usually Correct
|
|
|
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Litigation : |
Clear |
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Comments : |
The company has
substantial accumulated losses. Profit margin is insignificant. Payments are
correct and as per commitment. The company can
be considered for against fully safe
and secured trade terms and conditions. |
LOCATIONS
|
Registered
Office/ Head Office: |
# 49, 100 Feet
Road, Koramangala IV Block, Bangalore – 560034, Karnataka, India |
|
Tel. No.: |
91-80-25536114/
6159/ 1665 |
|
Fax No.: |
91-80-25536338 |
|
Website : |
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|
Area : |
6000 Sq. ft |
|
Location : |
Rented |
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|
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Branches : |
Located at : Chennai, Hyderabad & Mumbai |
DIRECTORS
|
Name : |
Mr. V. Pradeep |
|
Designation
: |
Chairman- Cum
-Managing Director |
|
Address : |
3495, 16th
Main, HAL 2 Stage, Bangalore – 560038, Karnataka, India |
|
Date of
Appointment : |
20th
May, 2002 |
|
|
|
|
Name : |
Mr. Sunil Arora |
|
Designation
: |
Director –
Marketing |
|
Address : |
Vars Ville,
Flat C 1, Part 2, 13th Main, HAL 2 Stage, Bangalore – 560034,
Karnataka, India. |
|
Date of
Appointment : |
23rd
May, 2002 |
|
|
|
|
Name : |
Mr. Parswa Nath |
|
Designation
: |
Director –
Finance |
|
Address : |
815 – C, 17F.,
1st Main, V Block, Koramangala, Bangalore 560034 |
|
Date of
Appointment : |
23rd
May, 2002 |
MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
|
P S P Business
Systems Private Limited |
14841350 |
|
Nominees of PSP |
10 |
BUSINESS DETAILS
|
Line of
Business : |
Importers,
Exporters and Traders of all types of EPABX systems, spares call- center /
voip products and Communication
systems etc. |
|
|
|
|
Export To : |
Asian Markets |
|
|
|
|
Imports from
: |
Europe &
Far East |
|
|
|
|
Terms : |
|
|
Selling : |
L/C, Credit
(15-60 days), Contract and Deferred Payment Terms |
|
|
|
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Purchasing : |
60 day Credit /
30 Days Credit |
GENERAL INFORMATION
|
Suppliers : |
Alcatel
Group, Worldwide |
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|
|
|
No. of
Employees : |
Total 120 : Technical 80 + Others 40 |
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Bankers : |
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Facilities : |
Secured as in 31/03/2003 Vehicle Loans Taken From Bank Rs. 2.072 millions |
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Banking Relations : |
Unknown |
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Auditors : |
Arthur Andersen
& Associates Chartered Accountants |
|
Address: |
108,
Radhakrishnan Salai, Mylapore, Chennai – 600 004, Tamil Nadu, India |
|
|
|
|
Associates : |
Alcatel Business Systems, France |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs. 10/- each |
Rs. 150.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
1484130 |
Equity Shares |
Rs.10/- each |
Rs. 14.841 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
Efforts are continue for latest financial and it available, it
would be supplemented soon.
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2003 |
31.03.2002 (15 Month) |
31.12.2000 (12 Month) |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share
Capital |
148.413 |
148.410 |
148.410 |
|
|
3] Reserves
& Surplus |
87.036 |
87.040 |
79.430 |
|
|
4) Adv. against
share capital |
0.000 |
0.000 |
1.550 |
|
|
4] (Accumulated
Losses) |
(38.904) |
(68.070) |
(190.370) |
|
NETWORTH
|
196.545 |
167.380 |
39.020 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured
Loans |
2.072 |
0.000 |
5.630 |
|
|
2] Unsecured
Loans |
-- |
0.000 |
0.000 |
|
TOTAL
BORROWING
|
2.072 |
0.000 |
5.630 |
|
|
DEFERRED TAX
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
TOTAL
|
198.617 |
167.380 |
44.650 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
7.214 |
4.900 |
7.410 |
|
Capital work-in-progress
|
|
0.000 |
0.000 |
|
|
|
|
|
|
|
INVESTMENT
|
0.711 |
0.000 |
0.000 |
|
DEFERREX TAX ASSETS
|
2.458 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
5.748
|
7.580
|
9.440 |
|
|
Sundry Debtors
|
85.200
|
78.520
|
70.470 |
|
|
Cash & Bank Balances
|
160.788
|
146.970
|
1.880 |
|
|
Other Current Assets
|
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances
|
13.141
|
11.660
|
12.880 |
Total Current Assets
|
264.877 |
244.730
|
94.670 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
47.168
|
50.870
|
46.090 |
|
|
Provisions
|
29.475
|
31.380
|
11.340 |
Total Current Liabilities
|
76.643 |
82.250
|
57.430 |
|
Net
Current Assets
|
188.234 |
162.480
|
37.240 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
198.617 |
167.380 |
44.650 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2003 |
31.03.2002 (15 Month) |
31.12.2000 (12 Month) |
Sales Turnover [including other income]
|
248.981 |
452.420 |
285.400 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
56.031 |
147.820 |
9.650 |
Provision for Taxation
|
20.459 |
10.670 |
0.160 |
Profit/(Loss) After Tax
|
35.572 |
137.150 |
9.490 |
|
|
|
|
|
Export Value
|
15.758 |
4.996 |
-- |
|
|
|
|
|
Forex Commission
|
30.193 |
40.912 |
18.410 |
|
|
|
|
|
Import Value
|
79.290 |
122.380 |
93.760 |
|
|
|
|
|
Total Expenditure
|
NA |
304.600 |
275.750 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2003 |
31.03.2002 (15 Month) |
31.12.2000 (12 Month) |
PAT / Total Income
|
(%)
|
14.287 |
30.31
|
3.32 |
|
|
|
|
|
|
Net Profit Margin
(PBT/Sales) |
(%) |
34.718 |
32.67
|
3.38 |
|
|
|
|
|
|
Return on Total Assets
(PBT/Total
Assets} |
(%) |
20.355 |
59.21
|
9.45 |
|
|
|
|
|
|
Return on Investment (ROI)
(PBT/Networth) |
|
0.285 |
0.88
|
0.24 |
|
|
|
|
|
|
Debt Equity Ratio
(Total
Liability/Networth) |
|
0.400 |
0.49
|
1.61 |
|
|
|
|
|
|
Current Ratio
(Current
Asset/Current Liability) |
|
3.455 |
2.97
|
1.64 |
LOCAL AGENCY FURTHER INFORMATION
History
Subject was
incorporated in 1st December 1995 at Bangalore in Karnataka under
the name of Style of Alcatel Business Systems (India) Private Limited having
Company Registration No. 08/ 19296 and become public limited from 15th January 1997. It was reconverted
to private limited w.e.f 23rd May 2002.
Name changed to
present (ABS India Private Limited)
from 4th December 2002.
The subject was
incorporated as a joint venture between Alcatel Business System, France (ABSF)
& United Telecom Limited (UTL) with equity participation of 51:49, with
technical know-how of ABSF
ABSF required the
49 % holding of UTL and making 100% subsidiary of ABSF.
The company
commenced manufacturing in 1996, but suspended the activities due to
unfavourable market conditions.
After
liberalisation of import policy, company started importing EPABX to cater the
domestic market requirements.
ABSF involves in
restructuring its global operations, pending which manufacturing operations
continue to be suspended in India
The company became
deemed public limited liability company limited w. e. f. 15th
January 1997 and converted into Private Limited Company w. e. f. 23rd
May 2002
During 2001-02,
the ABSF transferred the equity to the residents shareholders with the approval
from the requisite statutory authorities.
Subsequent to the
transfer of shares the name of the company was changed as present name w. e. f.
5th December 2002.
Subject also engaged in the indenting agency business for Alcatel
business systems, France.
Subject has no manufacture, collaboration of agency held.
Subject also had manufacturing activity as well from 1996; but due to poor market
conditions, the manufacturing activity was suspended during about 1998-99
It is in trade terms with :-
Ż
Alcatel
Business Systems, France
Ż
Alcatel
Business Systems Networks, U.K.
Ż
Alcatel
Internationals AG
Ż
Alcatel
Internationals (R & D)
Ż
Alcatel
India Limited
Ż
Alcatel
Vacuum Technology
AS PER WEBSITE
Long-term success in the competitive communication industry takes
the talent and dedication of many people, and at ABS India we have the best in
the industry. It also takes the leadership of a visionary and experienced
management team. With more than 500 man-years of combined experience in the
communication domain, ABS India's management team is eminently qualified.
Its laders know what it takes to develop quality products and
dependable business relationships required by enterprises. Years of pioneering
experience has given ABS India's management team a comprehensive technology vision
as well as an end-to-end understanding of the strategic business needs of its
customers. Like all ABS India employees, ABS India's leaders consider
themselves an integral part of each customer's long-term success.
V Pradeep
Chairman & Managing Director
ABS India Pvt Ltd
Personal
Profile
Visvanathan Pradeep has a Bachelors Degree in Electronics &
Telecommunication Engineering. He has over 23 years of experience in the
Telecom Enterprise Business Segment.
Professional Career
Visvanathan Pradeep is the Chairman & Managing Director of ABS India. He
heads a 120 member team spread across 5 cities with Regional offices in Delhi,
Mumbai, Chennai, Hyderabad & Bangalore.
Prior to this assignment he was the Chief Operating Officer & Director
Indian Subcontinent of Alcatel Business System India, which was a 100%
subsidiary of Alcatel France. He has been associated with Alcatel’s Enterprise
division in India from its inception and was the Country Manager responsible
for building the Sales, Marketing & Service Network in the South Asia
Region for the Alcatel’s Enterprise Solutions.
Sunil Arora
Director – Sales & Marketing
ABS India Pvt Ltd
Personal
Profile
Sunil Arora is an Electronics & Communications Engineer from Birla
Institute of Technology, Mesra, Ranchi. Has rich experience in Sales, Marketing
& Management.
Professional Career
He has been in Telecom industry for over 17 years. He carries rich & vast
experience in Enterprise Business segment.
Mr. Sunil Arora is Director – Sales & Marketing ABS India Pvt Ltd,
responsible for Enterprise Business for Indian sub-continent, which includes
Sri Lanka, Bangladesh, Maldives, Nepal & Bhutan. Before becoming Director –
Sales & Marketing, ABSI India Pvt Ltd, Mr. Arora held key positions in
organisations like Alcatel Business Systems India Pvt Ltd & HCL Ltd.
His last assignment was as Country Sales Manager for Alcatel Business Systems
India Pvt. Ltd., where his contribution to the business growth was widely
recognized and appreciated. He was also awarded “Performance of the Year Award
in 1999” for his outstanding contribution for the growth of Alcatel Enterprise
business in the Asia Pacific Region.
Prior to Alcatel, he spent almost 9 years with HCL Limited in various
capacities in different parts of India. He won numerous performance recognition
awards during his career with HCL for his outstanding achievements and
excellence shown in the various assignments handled.
Parswanath
Director – Finance
ABS India Pvt Ltd
Personal
Profile
Parswanath born in 1959 has done masters in commerce. Has vast experience of
over 20 years, worked in various Capacities in Corporate Finance, Accounting,
Treasury Management, Taxation, Legal, supply chain management and HR functions.
Professional Career
Parswanath is the Director - Finance in ABS India. Presently he is responsible
for Corporate Finance, Accounting, Treasury Management, Taxation and Legal
activities of the Company.
Prior to joining ABS India Board, Parswanath had worked in Alcatel Business
System India between 1996 – 2002 in the capacity of Financial Controller -
India and Indian subcontinent. In Alcatel he was responsible for Corporate
Finance, Accounting, Treasury Management, Taxation, Supply chain
management, Legal and HR activities.
Customers
Providing
Compelling Value Propositions With Tremendous Improvements in
Business Efficiencies.
In a world where effective
communication networks are becoming an everyday necessity, constant endeavors
to offer what the customer needs, is the key to ABS India's success. ABS India
believes in providing compelling value propositions with tremendous
improvements in business efficiencies to all its customers.
The fundamental goal of ABS India is to fulfill all the communication needs of
its customer's, from basic phone services to the most sophisticated
communications networks.
ABS India has served a range of enterprise communication needs, and has to its
credit the best names, across segments, as satisfied customers.
Customers Include:
|
|
ABS India's expertise in the Call center space with over 4000
agents includes major installations for prestigious clients like:
- JET AIRWAYS [Reservation & Enquiry at all airports and city
offices]
- BHARATI GROUP [For both basic and cellular operations]
- COMPUTER ASSOCIATES [For their Outsourced Call center]
- CUSTOMERASSET.COM [For their Outsourced Call center]
Archives
» ABS India pact with Alcatel
» ABS India ties-up with Alcatel to widen its solutions
portfolio
» Top
Dogs buy out Alcatel's Indian arm
ABS India pact with Alcatel
Deccan Herald, 4 July 2003
ABS India, leading enterprise
communication solution provide has signed a agreement with Alcatel India for
marketing Alcatel’s latest state-o- the-art Wide Area Networks(WAN) range of
solutions in the Indian sub-continent. WAN portfolio from Alcatel would
compliment ABS India’s current enterprise product portfolio, a company
statement said. With this agreement, ABS India would be providing solutions to
enterprise with multi service switches, voice and data multiplexers, XDXL
(Extended digital Line Subscriber Line) and Network Management Systems, it
said.
ABS India ties-up with
Alcatel to widen its solutions portfolio
Silicon India, 4 July 2003
ABS India, an enterprise
communication solution provider, today announced that it has signed an
agreement with Alcatel India for marketing Alcatel’s latest state-of-the-art
Wide Area Network (WAN) range of solutions in the Indian sub-continent. The WAN
portfolio of solutions from Alcatel would complement ABS India’s current enterprise
product portfolio. ABS India with this agreement would be providing solutions
to enterprises with multi service switches, voice and data multiplexers, XDSL
(Extended Digital Subscriber Line) and network management system. ABS India
would be also providing installation and support for these WAN solutions. These
products would be targeted at contact centers, IT companies, utilities like
large oil companies and large corporates within India and the sub-continent,
which include Srilanka, Maldives, Nepal and Bangladesh.
Top Dogs buy out Alcatel's
Indian arm
Economic Times, New Delhi, 9
December 2002
In a unique case of local
management buyout of a MNC's Indian Subsidiary, the $25-billion French telecom
major Alcatel's division, Alcatel Business Systems, has been brought out in
India by the senior Indian managemnt. Alcatel Business Systems India Pvt. Ltd.,
one of the many Alcatel divisions that have operations in India, was a 100% arm
of Alcatel Business Systems in France. Post-buyout, however, Alcatel doesn't
hold any stake in the unit, which has been renamed as ABS India Pvt. Ltd.
The senior management, which includes MD V Pradeep, director(sales and
marketing), Sunil Arora and Director (finance) Parswanath, now own the company.
Both FIPB and RBI approvals have been obtained for the deal. Alcatel Business
Systems global turnover is around $5 billion. The Indian division of Alcatel
Business systems has a turnover of Rs 45 crore.
The whole process of buyout was hand-held and supported by Alcatel's exclusive
partner in various networking equipment like LAN switches, WAN equipment and
EPABX systems. However, the company is free to deal with other companies
products in non-competing areas.
The decision of the local management to buy out the Alcatel parent came when
Alcatel decided that it was going to prune back the international arms of its
business solutions division.
In Europe, for instance, Alcatel Business Systems has sold its 17 subsidiaries
to one company, Platinum Equity. Says Alcatel Business Systems' Asian director
Philippe Chadoin, " In the enterprise space, if you want to get market
reach in different countries, one needs to hire a lot of people in the sales,
pre-sales and service space, and that costs a lot of money. And so Alcatel Business
Systems decided to hire business partners in various countries, rather than be
stuck with Alcatel's own employees. In the case of business partners, we can
change them after a period of time if we are not satisfied with their
performance."
Important
Training at ABS
Given that the telephone continues
to play a major role in the sales cycle, it is not surprising that your
communications system is one of the most important assets your organisation
has, after the people that it employs.
Technological developments that exist today can handle the most sophisticated
telecommunication tasks, but without the right level of skills or knowledge,
organisations may not realise the full potential of a chosen solution, where it
is only as effective as the people that use it.
With this understanding, ABS India imparts quality, cost-effective training
courses designed to help organisations not only adapt to changing environments,
but also deliver greater returns from their investments in both people and
communication systems.
ABS India also continues to support its innovative projects with training
program opportunities provided for its personnel to acquire different visions,
skills and technical knowledge. Thus, throughout the year, ABS India personnel
are provided with the opportunity to participate in several training programs.
CMT REPORT
[Corruption, Money laundering & Terrorism]
The Public Notice information has been collected from various
sources including but not limited to: The Courts, India Prisons Service, Interpol,
etc.
1] INFORMATION ON DESIGNATED PARTY
No
records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject
is or was the subject of any formal or informal allegations, prosecutions or
other official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No
records exist to suggest that the property or assets of the subject are derived
from criminal conduct or a prohibited transaction.
4] Record on Financial Crime :
Charges or
conviction registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l Anti-Money
Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available information
exist that suggest that subject or any of its principals have been formally
charged or convicted by a competent governmental authority for any financial
crime or under any formal investigation by a competent government authority for
any violation of anti-corruption laws or international anti-money laundering
laws or standard.
8] Affiliation with Government :
No record exists to
suggest that any director or indirect owners, controlling shareholders,
director, officer or employee of the company is a government official or a family
member or close business associate of a Government official.
9] Compensation Package :
Our market survey revealed
that the amount of compensation sought by the subject is fair and reasonable
and comparable to compensation paid to others for similar services.
10] Press Report :
No press reports / filings exists on the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 44.90 |
|
UK Pound |
1 |
Rs. 81.88 |
|
Euro |
1 |
Rs. 56.47 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE
INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE
DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT
ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT
FACTORS |
YES/NO |
YES |
|
TOTAL |
|
36 |
This
score serves as a reference to assess SC’s credit risk and to set the amount of
credit to be extended. It is calculated from a composite of weighted scores
obtained from each of the major sections of this report. The assessed factors
and their relative weights (as indicated through %) are as follows:
Financial
condition (40%) Ownership background
(20%) Payment record
(10%)
Credit history (10%) Market trend (10%) Operational
size (10%)
RATING
|
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses
an extremely sound financial base with the strongest capability for timely
payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses
adequate working capital. No caution needed for credit transaction. It has
above average (strong) capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial
& operational base are regarded healthy. General unfavourable factors
will not cause fatal effect. Satisfactory capability for payment of interest
and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable
& favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average/normal. |
Small |
|
11-25 |
Ca |
Adverse
factors are apparent. Repayment of interest and principal sums in default or
expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute
credit risk exists. Caution needed to be exercised |
Credit not
recommended |