MIRA
INFORM REPORT
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Report Date : |
23.08.2007 |
IDENTIFICATION DETAILS
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Name : |
S M S EXPORTS |
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Registered Office : |
W – 8, Okhla Industrial Area, Phase – II, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
1990 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELS24631F |
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PAN No.: [Permanent
Account No.] |
AABFS9700Q |
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Legal Form : |
Partnership Concern with an Unlimited Liability of the Partners. |
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Line of Business : |
Manufacturers and Exporter of Women’s Wear such as Blouses, Skirts,
Tunics and Other Dresses. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 36000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed concern having satisfactory
track. Partners are reported as experienced and respectable businessmen. Trade
relations are reported as fair. Business is active. Payments are usually
correct and as per commitments. The concern can be considered normal for business dealings at usual
trade terms and condition. |
LOCATIONS
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Registered Office : |
W – 8, Okhla Industrial Area, Phase – II, |
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Tel. No.: |
91-11-41709345 / 41610945 |
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Mobile No.: |
91-9810037048 |
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Fax No.: |
91-11-41709344 |
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E-Mail : |
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Area : |
250 sq. mtr. |
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Location : |
Owned |
PARTNERS
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Name : |
Mr. H R Sahni |
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Designation : |
Partner |
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Date of Birth/Age : |
58 Years |
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Qualification : |
Graduate |
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Experience : |
27 Years |
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Name : |
Mr. H R Sahni and other Members of the family |
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Designation : |
Partner |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporter of Women’s Wear such as Blouses, Skirts,
Tunics and Other Dresses. |
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Products : |
Ø
Yarn Dyed Fabrics Ø
Woven Checks And Strips Ø
Dobby Checks Ø
Woolen Fabrics Ø
Self Textured Weaves Ø
Loom Checks Ø
Moss Crepe Strips Ø
Grey Fabrics Ø
Milange Fabrics Ø
Rayon Fabrics Ø
Polyester Ø
Viscose Ø
Velvet Ø
Poly Viscose Ø
Twill Ø
Denim Fabrics Ø
Moss Crepe Checks Ø
Linen Fabrics |
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Exports : |
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Products : |
Ø
Yarn Dyed Fabrics Ø
Woven Checks And Strips Ø
Dobby Checks Ø
Woolen Fabrics Ø
Self Textured Weaves Ø
Loom Checks Ø
Moss Crepe Strips Ø
Grey Fabrics Ø
Milange Fabrics Ø
Rayon Fabrics Ø
Polyester Ø
Viscose Ø
Velvet Ø
Poly Viscose Ø
Twill Ø
Denim Fabrics Ø
Moss Crepe Checks Ø
Linen Fabrics |
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Countries : |
USA, UK, Sweden, Norway, France, Italy, Japan, Australia, New Zealand,
Netherlands, Switzerland, Canada, Denmark, Germany |
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Terms : |
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Selling : |
L/C / Cash / Credit |
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Purchasing : |
Cash / Credit |
PRODUCTION STATUS
Capacity to increase production by 30%
GENERAL INFORMATION
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Suppliers : |
Own manufacturing, purchase of raw material of raw material from open
market |
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No. of Employees : |
35 |
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Bankers : |
ICICI Bank Limited, |
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Banking
Relations : |
Satisfactory |
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Memberships : |
AEPC |
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Associates/Subsidiaries : |
Weavers Activities: Manufacturers and
Exporter of Women’s Wear such as Blouses,
Skirts, Tunics
and Other Dresses. STO: Rs. 80.000
millions Employees: 30 |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 9.000 millions |
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Borrowed : |
-- |
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Total : |
Rs. 9.000 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
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31.03.2007 |
31.03.2006 |
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Sales Turnover |
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125.000 |
110.000 |
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Profit/Loss for the year |
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12% |
12% |
Expected Sales (2008) : Rs. 250.000 millions for both the companies
LOCAL AGENCY FURTHER INFORMATION
About Them
With impeccable quality garments that are the perfect fusion of style and
ethnicity, subject, have become the most preferred company satisfying the
specific requirements of a wide spectrum of customers. Attractive designs,
finest quality fabrics and competitive rates are the major elements that have
endowed them with great reputation and a dominant position. This global repute
has established them as one of the most distinguished manufacturers and exporters of Women's Wear such as Blouses, Skirts, Tunics and Other Dresses.
They have an attractive range of products to satisfy the variegated needs of
their patrons. While manufacturing their products, they pay special attention
to various aspects such as color schemes, durable fabrics and other similarly
significant aspects. With an annual turnover of US$ 4,00,000 (approx.), the
company exports its collection of ladies readymade garments to the markets of USA, UK, Sweden, Norway, France, Italy,
Japan, Australia, New Zealand, Netherland, Switzerland, Canada, Denmark,
Germany and Canada.
S.M.S. Exports is a Govt. recognized export house based in
Their Sister Concern
Subject has a sister concern by the name of Weaver's
Their
They offer a scintillating range of products at the most affordable rates to the
customers. Their impressive range of women's wear includes:
Ø Blouses
Ø Skirts
Ø Tops
Ø Tunics
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Other
Dresses.
Their Quality
Superior quality with complete customer satisfaction is the buzzword at subject. On the quality matter, the company follows a set of rules, majorly to keep the products under constant observation during their process of development. Their products are stylish following the new trends with easy and comfortable to wear fabrics. Their experienced and skillful designers remain updated of new trends and fashion to cope up with the global market challenge. To remain abreast with the latest trends in the fashion world, sample development is done by a team of professionals and experienced people with a flair for new styles and fashions. They also lay special care on the procurement of raw materials and ensure that they are sourced from reputed and well established vendors.
Their Infrastructure
Their manufacturing practices and techniques have surpassed others, while
giving them a leading edge. They have a sound infrastructure equipped with
modern machines and state of the art technology. The latest equipment and tools
enable them to manufacture the best quality products following current market
trends. Going by those trends, they possess a modern and spacious warehouse,
which has the capability to execute bulk amount of products as per changing
requirements of the customers. Their wide distribution network and excellent
transport facilities ensure them of safe, smooth and prompt delivery of products.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.86 |
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1 |
Rs.81.62 |
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Euro |
1 |
Rs.55.38 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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45 |
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 EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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