MIRA INFORM REPORT
|
Report
Date : |
10.02.2007 |
IDENTIFICATION
DETAILS
|
Name : |
RICO AUTO INDUSTRIES LIMITED |
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Registered
Office : |
69 K.M.
Stone, Delhi-Jaipur Highway, Mohindergarh, Dharuhera, District Rewari- 122
106, Haryana |
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Country
: |
India |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
08.03.1983 |
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Com.
Reg. No.: |
05-23187 |
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CIN
No.: [Company
Identification No.] |
L34300HR1983PLC023187 |
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TAN
No.: [Tax
Deduction & Collection Account No.] |
RTKR01725D |
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Legal
Form : |
A public limited liability company. The company's shares are listed on the
Stock Exchanges |
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Line
of Business : |
Manufacturing
of auto components for two-wheelers rear and front wheel hubs, clutches,
brake systems, engine housings, crank housings, etc. |
RATING & COMMENTS
|
MIRA’s
Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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Maximum
Credit Limit : |
USD
8750000 |
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Status
: |
Satisfactory |
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Payment
Behaviour : |
Usually
Correct |
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Litigation
: |
Clear |
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Comments
: |
Subject is a well – established company having
satisfactory track. Trade relations are fair. Payments are correct and as per
commitments. The company can be considered good for any normal business
dealings at usual trade terms and conditions. |
LOCATIONS
|
Registered
Office : |
69 K.M.
Stone, Delhi-Jaipur Highway, Mohindergarh, Dharuhera, District Rewari- 122
106, Haryana, India. |
|
Tel.
No.: |
91-1283-42411-42417
(7 Lines) |
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Fax
No.: |
91-1283-42418 |
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E-Mail
: |
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Website
: |
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Head/Corporate
& Factory Office : |
38 K.M. Stone, Delhi-Jaipur Highway, Khandsa, Gurgaon- 122
001, Haryana, India |
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Tel.
No.: |
91-124-6372911 / 6373212 |
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Fax
No.: |
91-124-6372913 / 3359 |
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E-Mail
: |
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Factory
1 : |
69 K.M. Stone, Delhi-Jaipur Highway, Mohindergarh,
Dharuhera, District Rewari- 122 106, Haryana. |
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Tel. No.: |
91-1283-42411-42417 (7 Lines) |
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Fax
No.: |
91-1283-42418 |
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E-Mail
: |
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agroils division |
Silor Road, Kota-Jaipur Highway, Bundi - 323 001,
Rajasthan |
DIRECTORS
|
Name : |
Mr.
Chandra Mohan |
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Designation
: |
Chairman |
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|
Name : |
Mr. Anup
Singh |
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Designation
: |
Director |
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Name : |
Mr.
Prof. V K Bhalla |
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Designation
: |
Director |
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Name : |
Mr.
Kanwal Monga |
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Designation
: |
Director |
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Name : |
Mr.
Amarjit Chopra |
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Designation
: |
Director |
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|
Name : |
Mr. John
T Sheffler |
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Designation
: |
Director |
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Name : |
Mr. Dr.
Ashok Seth |
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Designation
: |
Director
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Name : |
Mr.
Rakesh Kapur |
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Designation
: |
Director |
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|
Name : |
Mr. B M
Jhamb |
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Designation
: |
Company
Secretary |
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|
Name : |
Mr. Arun
Kapur |
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Designation
: |
Joint
Managing Director |
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Date
of Birth/Age : |
51 Years |
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Qualification
: |
B.A. |
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Experience
: |
29 Years |
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Date
of Appointment : |
01st
May, 1985 |
|
Last
Employment |
St
Manager Rico Industries, Ludhiana |
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|
|
|
Name : |
Mr.
Arvind Kapur |
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Designation
: |
Managing Director |
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Date
of Birth/Age : |
54 Years |
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Qualification
: |
B.sc President, Management
Program from Havard Business School USA |
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Experience
: |
35 Years |
|
Date
of Appointment : |
16th December, 1984 |
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Last
Employment |
Partner Rico Industries,
Ludhiana |
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|
|
|
Audit
Committee |
Mr. Anup
Singh Chairman Mr.
Prof. V K Bhalla Mr.
Amarjit Chopra |
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|
|
|
Shareholders' Grievance
Committee |
Mr. Anup
Singh Chairman Mr.
Prof. V K Bhalla Mr.
Amarjit Chopra Mr.
Rakesh Kapur |
|
Designation
: |
|
|
Remuneration
Committee |
Mr. Anup
Singh Chairman Mr.
Kanwal Monga Mr.
Amarjit Chopra |
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Date
of Birth/Age : |
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|
Senior
Executives |
Mr. O P
Aggarwal Mr. R S
Kundi Mr. N K
Sethi Mr. G S
Bisht Mr. R M
Sabbarwal Mr.
Rajiv Bajaj Mr. Dr.
S Chithambaram Mr.
Arvind Sharma Mr. S K
Jain Mr. K G
Ahuja Mr.
Surendra Singh Mr.
Vivek Hazari Mr. Anuj
Singhal Ms
Shikha Kapur Mr.
Rajiv Miglani Mr.
Rakesh Nagpal |
KEY EXECUTIVES
|
Name : |
Mr. B.M.
Jhamb |
|
Designation
: |
Company
Secretary |
|
Address
: |
Rico Auto
Industries Limited, 38KM, Stone, Delhi-Jaipur Highway, Gurgaon-122001,
Haryana, India |
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Tel.
No.: |
91-124-2824221/
2824000 |
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Fax
No.: |
91-124-2824200 |
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E-Mail
: |
MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
Percentage of Holding |
|
Promoters |
|
|
|
Indian
Promoters |
54767130 |
44.68 |
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|
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Non Promoter’s Holding |
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|
|
Mutual Funds and UTI |
10544934 |
8.60 |
|
Banks,
Financial Institutions, Insurance Companies |
8350 |
0.01 |
|
Fils |
27032889 |
22.05 |
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Others |
|
|
|
Private
Corporate Bodies |
3924852 |
3.20 |
|
Indian
Public |
19418052 |
15.84 |
|
NRIs/OCBs |
1473793 |
1.20 |
|
Total |
122585000 |
100.00 |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturing
of auto components for two-wheelers rear and front wheel hubs, clutches,
brake systems, engine housings, crank housings, etc. |
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Products
: |
v Automotive Parts v Components
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PRODUCTION STATUS
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Particulars |
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Licensed Capacity |
Installed Capacity |
Actual Production |
Auto division
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Auto
Parts |
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|
13437763 nos. |
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Generator
Parts |
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|
47632 nos. |
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Dies
& Moulds |
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|
230 nos. |
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Others |
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|
68188 nos. |
Agro division
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Solvent
Extraction |
|
150000 Tpa |
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Refined
Vegetable Oil |
|
15000 Tpa |
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Soyabean |
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500 Tpd |
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Mustard
Cake |
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400 Tpd |
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Refined
Oil |
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50 Tpd |
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Solvent
Oil - Soyabean Mustard |
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848.870 MT -- |
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Deoiled
Cake – Soyabean Mustard |
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27948.367 MT 1938.855 MT |
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Refined
Oil - Soyabean |
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|
5208.53 MT |
GENERAL INFORMATION
|
Suppliers
: |
v
Hero
Honda Motors Limited, India v
Hindalco,
India v
Balco,
India v
Nalco,
India v
FCC
Company Limited, Japan v
China
Hu-Nun Enterprises, Hong Kong |
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Customers
: |
v
General
Motors, USA v
Eaton,
UK v
Cummins,
UK v
Cummins,
USA v
Matsusaka
Engineering Company Limited, Japan. v
Maruti
Udyog Limited, India v
Shriram
Honda Power Equipments Limited, India v
Hero
Honda Motors Limited, India v
Kinetic
Honda Motors Limited, India v
Amtek
Auto Limited, India v
GE
Motors Limited, India v
Aaress
Auto Private Limited v
Bansal
Precision Screws Private Limited v
Global
Machine and Tool Company v
JMK
Soni Exports Private Limited v
Nipman
Fasteners Industries Private Limited v
Onasis
Auto Products Private Limited v
Pagan
Paints & Chemical Private Limited v
Sidhartha
Tools Private Limited v
SPL
Engineers Private Limited v
Weldo
Technology Private Limited |
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No. of
Employees : |
1800 |
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Bankers
: |
v
State Bank of India v
ICICI Bank Limited v
Standard Chartered Bank v
Citibank N.A. v
IDBI Bank Limited v
UTI Bank Limited v
HDFC Bank Limited v
HSBC Bank Limited v
Deutsche Bank AG v DBS Bank
Limited |
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Facilities : |
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Banking Relations : |
Good |
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Auditors
: |
Gupta
Vigg & Company Chartered
Accountants, New Delhi, India |
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|
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Associates/Subsidiaries
: |
v
Rico
Daewoo Precision Industries Limited v
FCC
Rico Limited v
Inapex
Limited v
Rico
Castings Limited, Ludhiana, Punjab v
Rico
Auto Industries Inc. USA v
Rico
Auto Industries (UK) Limited Subsidiaries: v
Rico
Softtech Limited v Rico Auto Industries Inc., USA |
|
|
|
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Joint
Venture : |
FCC Rico
Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
25,00,00,000 |
Equity Shares |
Rs. 1/- Each |
Rs. 250.000 Millions |
|
5000000 |
Redeemable
Preference Shares |
Rs. 10 each |
Rs. 50.000 millions |
|
|
Total |
|
Rs. 300.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
122585000 |
Equity Shares |
Rs. 1/- Each |
Rs. 122.600 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share
Capital |
122.600 |
107.170 |
107.170 |
|
|
2]
Warrants |
21.000 |
0.000 |
0.000 |
|
|
3]
Reserves & Surplus |
2085.000 |
862.805 |
682.157 |
|
|
4]
(Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
2228.600 |
969.975 |
789.327 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
|
1171.316 |
653.734 |
|
|
2]
Unsecured Loans |
|
273.382 |
82.048 |
|
TOTAL
BORROWING
|
1360.200 |
1444.698 |
735.782 |
|
|
DEFERRED
TAX LIABILITIES |
277.500 |
237.639 |
160.138 |
|
|
|
|
|
|
|
TOTAL
|
3886.300 |
2652.312 |
1685.247 |
|
|
|
|
|
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APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
3048.300 |
2307.551 |
1328.904 |
|
Capital work-in-progress
|
268.100 |
54.702 |
236.572 |
|
|
|
|
|
|
|
INVESTMENT
|
42.400 |
42.442 |
100.717 |
|
DEFERREX TAX ASSETS
|
0.000 |
|
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
424.600
|
252.648 |
151.079 |
|
|
Sundry Debtors
|
801.000
|
899.854 |
649.038 |
|
|
Cash & Bank Balances
|
19.000
|
12.023 |
10.443 |
|
|
Other Current Assets
|
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances
|
329.100
|
202.295 |
219.055 |
Total Current Assets
|
1573.700
|
1366.820 |
1029.615 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
1087.000
|
999.297 |
902.948 |
|
|
Provisions
|
|
122.201 |
115.418 |
Total Current Liabilities
|
1087.000
|
1121.498 |
1018.366 |
|
Net
Current Assets
|
486.700
|
245.322 |
11.249 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
20.800 |
2.295 |
7.805 |
|
|
|
|
|
|
|
TOTAL
|
3866.300 |
2652.312 |
1685.247 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
7726.800 |
6936.724 |
5980.937 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
486.900 |
496.296 |
462.007 |
Provision for Taxation
|
157.800 |
143.960 |
163.814 |
Profit/(Loss) After Tax
|
329.100 |
352.336 |
298.193 |
|
|
|
|
|
Export Value
|
859.200 |
332.568 |
144.404 |
|
|
|
|
|
Import Value
|
700.100 |
835.998 |
485.809 |
|
|
|
|
|
Total Expenditure
|
6908.000 |
6198.558 |
5371.256 |
QUARTERLY
RESULTS
|
PARTICULARS |
30.06.2006 1st Quarter |
30.09.2006 2nd Quarter |
31.12.2006 3rd Quarter |
|
Sales Turnover |
1873.100 |
1860.200 |
1966.800 |
|
Other Income |
10.700 |
74.500 |
11.600 |
|
Total Income |
1883.800 |
1934.700 |
1978.400 |
|
Total Expenditure |
1654.700 |
1680.700 |
1754.600 |
|
Operating Profit |
229.100 |
254.000 |
223.800 |
|
Interest |
26.000 |
36.900 |
47.600 |
|
Gross Profit |
203.100 |
217.100 |
176.200 |
|
Depreciation |
94.900 |
99.600 |
114.800 |
|
Tax |
41.700 |
[8.400] |
31.900 |
|
Reported PAT |
69.900 |
97.500 |
38.000 |
200606 Quarter 1 –
Net Sales Includes Domestic Sales Rs.1605.00 million Export
Sales Rs.268.10 million Expenditure Includes (Increase) / Decrease in Stock in
Trade Rs.(20.60) million Consumption of Raw Materials Rs.1230.90 million Staff
Cost Rs.142.60 million Other Expenditure Rs.299.20 million Tax Includes
Provision for Fringe Benefit Tax Rs 1.30 million Current Tax Rs.40.40 million
Deferred Tax (Liability/Asset) Rs.(3.40)million Extraordinary Items Indicates
Forex Derivatives Loss EPS is Basic Status of Investor Complaints for the
quarter ended June 30, 2006 Complaints Pending at the beginning of the quarter
05 Complaints Received during the quarter 07 Complaints disposed off during the
quarter 11 Complaints unresolved at the end of the quarter 01 1. The above
Unaudited result and Consolidated Financial Results were reviewed by the Audit
Committee and thereafter were approved and taken on record by the Board of
Directors in their meeting held on July 27, 2006. 2. As per provisions of
AS-17, the revenue / profit generated by BPM Division is less than 10% of the
total revenue profit of the Company, therefore it is non-reportable segment.
200609 Quarter 2 –
Net Sales Includes Domestic Rs.1579.50 million Export
Rs.280.70 million Expenditure Includes (Increase)/Decrease in stock in Trade
Rs.(20.90) million Consumption of Raw Material Rs.1202.00 million Staff Cost
Rs.152.90 million Other expenditure Rs.339.30 million Tax Includes Provision
for Fringe Benefit Tax Rs.1.90 million Current Tax Rs.(10.30)million Deferred
Tax Rs.28.40 million Extraordinary Items Indicates Forex Derivatives Loss EPS
is Basic Status of Investor Complaints for the quarter ended September 30, 2006
Complaints Pending at the beginning of the quarter 01 Complaints Received
during the quarter 05 Complaints disposed off during the quarter 05 Complaints
unresolved at the end of the quarter 01 1. The above Unaudited result and
Consolidated Financial Results were reviewed by the Audit Committee and
thereafter were approved and taken on record by the Board of Directors in their
meeting held on October 31, 2006. 2. The Limited Review as required under
clause 41 of the listing agreement has been completed by the statutory
auditors. The Limited Review for the quarter ended September 30, 2006 does not
have any impact on the above results. 3. As per provisions of AS-17, the
revenue / profit generated by BPM Division is less than 10% of the total
revenue profit of the Company, therefore it is non-reportable segment.
200612
Quarter 3 –
Net Sales Includes Domestic Rs 1652.70 million
Export Rs 314.10 million Expenditure Includes (Increase)/Decrease in stock in
Trade Rs (48.40) million Consumption of Raw Material Rs 1315.70 million Staff
Cost Rs 160.30 million Other expenditure Rs 322.40 million Tax Includes
Provision for Previous year's Income tax Written Back Rs (0.30)million Fringe
Benefit Tax Rs 2.50 million Current Tax Rs 29.70 million Deferred Tax Rs
(8.50)million Extraordinary Items Indicates Forex Derivatives Loss EPS is Basic
Status of Investor Complaints for the quarter ended December 31, 2006
Complaints Pending at the beginning of the quarter 01 Complaints Received
during the quarter 07 Complaints disposed off during the quarter 07 Complaints
unresolved at the end of the quarter 01 1. The above Unaudited Results and
Consolidated Financial Results were reviewed by the Audit Committee and thereafter
were approved and taken on record by the Board of Directors in their meeting
held on January 29, 2007. 2. The Limited Review as required under clause 41 of
the Listing Agreement has been completed by the Statutory Auditors. The Limited
Review for the quarter ended December 31, 2006 does not have any impact on the
above results. 3. As per provisions of AS-17, the revenue/profit generated by
BPM Division is less than 10% of the total revenue / profit of the Company;
therefore it is non-reportable segment. 4. During the quarter, 3000000 Warrants
allotted to the Promoter Group have been converted into the equal number of
equity shares of Re 1/- each at a premium of Rs 66/- per share (already
received Rs 7/-per warrant alongwith application) and the balance amount of Rs
60/- per equity share aggregating to Rs 180 million collected from Allottees
against the allotment of 3000000 equity shares have been utilised in full for
the purpose it was raised. The paid-up share capital has increased to Rs
125585000/- after this allotment. 5. For establishing manufacturing facilities,
the Company has purchased: i. In the State of Tamil Nadu approx. 25 acres of
land in SIPCOT Industrial Growth Centre, Oragadam, Chennai. ii. In the State of
Uttarakhand approx. 16.5 acres of land in Eldeco Sidcul Industrial Park at
Sitarganj.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt
Equity Ratio |
0.88 |
1.24 |
1.03 |
|
Long Term
Debt Equity Ratio |
0.61 |
0.82 |
0.51 |
|
Current
Ratio |
0.82 |
0.73 |
0.69 |
|
TURNOVER
RATIOS |
|
|
|
|
Fixed
Assets |
1.99 |
2.54 |
3.15 |
|
Inventory
|
22.53 |
34.08 |
41.24 |
|
Debtors |
8.97 |
8.88 |
11.17 |
|
Interest
Cover Ratio |
7.28 |
8.94 |
10.49 |
|
Operating
Profit Margin (%) |
11.75 |
11.64 |
11.05 |
|
Profit
Before Interest and Tax Margin (%) |
7.40 |
8.12 |
8.57 |
|
Cash
Profit Margin (%) |
8.87 |
8.64 |
7.49 |
|
Adjusted
Net Profit Margin (%) |
4.52 |
5.12 |
5.01 |
|
Return on
Capital Employed (%) |
18.94 |
28.43 |
36.48 |
|
Return on
Net Worth (%) |
21.70 |
40.05 |
42.91 |
STOCK PRICES
|
Face Value |
Rs.10/- |
|
High |
Rs.92.00/- |
|
Low |
Rs.89.50/- |
LOCAL AGENCY FURTHER INFORMATION
History:
Rico
Auto Industries (RAI), incorporated in Mar.1983, was converted into a public
limited company in Apr.1985. RAI manufactures auto components for two-wheelers
rear and front wheel hubs, clutches, brake systems, engine housings, crank
housings, etc. It has also diversified into the production of gears and oil
pumps for Maruti and gear shift drums for two-wheelers and installed pressure
die casting machines to manufacture diesel generating sets, engine frames and
housings.
RAI came out with a public issue of equity shares and NCDs with warrants and
had financed the same for manufacturing and machining facilities for
graded/spheroidal graphite machines, iron castings with automatic disamatic
mould line with CNC machining facilities, and an installed capacity of 12,000
tpa for such castings in 1993.
The subsidiaries of RAI are Rico Auto Industries (UK) Ltd and Rico Auto
Industries Inc., USA.
RAI is moving towards QS 9000 accreditation. Company has entered into JV
agreement with Daewoo Precision Industries (DPL), Korea, for OE supplies.
Company has another joint venture with FCC Co. Ltd the largest manufacturers of
clutches in Japan.
The company has proposed to form an independent project to manufacture Dies
& Moulds under name of Rico Dies & Moulds Private Limited, the proposal
has twin objective of becoming self-dependent for quality dies and moulds and
to reduce the development time for new components.
Rico Agroils Limited (RAL) was merged with the company from Jan.1999. In
1999-2000, production capacities both at Dharuhera and Gurgaon plants were
expanded by investment of Rs. 280 millions.
The Company plans to amalgamate Rico Softech Limited, a wholly owned subsidiary
of RAL with itself on approval of Shareholders, creditors and other statutory
authorities. The company has merged Rico Softech Limited a wholly owned
subsidiary with itself with effect from 1st April 2004. Further it is also
decided to sell its Agro Division at Bundi Rajasthan on Jan 14, 2004. The
company has also disposed off its Agro unit at Silor Road, Bundi Rajasthan to
Adani Wilmer Limited during 2004-05 for a consideration of Rs.78.3
millions.
Further the company has sold its 605000 equity shares of Hankook Motors Limited
which were entirely written off during the 2004-05 and received a full
consideration amount of Rs.0.060 millions.
During 2004-05 the company has planned to set up two new plants one each at
Bangalore (Karnataka) and at Manesar (Haryana) to cater the needs of domestic
and international OEMs.
The company’s fixed assets include Land, Land (Leasehold),
Buildings, Furniture and Fixtures, Plant and Machinery, Office equipment and
Vehicles.
FINANCIAL RESULTS
The turnover of their Company grew by 11 % from Rs.6936.7
millions in the previous year to Rs.7726.8 millions in the year under report.
Their Company has earned a Profit before Interest, Depreciation and Tax (PBIDT)
of Rs.896.3 millions which represents an increase of 10% over the previous
year's PBIDT of Rs.815.6 millions.
OUTLOOK FOR CURRENT YEAR
The Un-audited Financial Results for the quarter ended
30.06.2006, already announced, shows a turnover of Rs.2143.7 millions and PBIDT
of Rs.231.7 millions for the first quarter of the current year against a
turnover of Rs.1879.4 millions and PBIDT of Rs.217.1 millions of the
corresponding quarter of the previous year, recorded an improvement both in
turnover and PBIDT by 14% and 6% respectively. Their Directors are confident of
improving the margin during the remaining part of the year.
RESERVES
The reserves of their Company after proposed appropriations
shall stand at Rs.2085 millions (including Rs.1017.4 millions received as
premium on the allotment of preferential shares) as against Rs.862.8 millions
in the previous year.
EXPORT
The export turnover of their Company during the period under
review was Rs.889.7 millions recording a growth of 106%. The export turnover
includes sale to Wholly Owned Subsidiaries amounting to Rs.392.1 millions as
against Rs.224.3 millions in the previous year. During the quarter ended 30th
June, 2006 of current year export turnover was Rs.268.1 millions as against
Rs.193.9 millions in the corresponding quarter of the previous year. Further
details as regards efforts of their Company on this front have been dealt with
in the Management Discussion and Analysis section of this report.
DIVIDEND
Their Directors have recommended a Dividend @ 100% i.e.
Rupee 1/- per Equity Share of Rupee l/- each for the financial year 2005-06,
amounting to Rs.139.8 millions including dividend tax of Rs.17.2 millions on
the enhanced equity share capital of Rs.122.6 millions as against a dividend of
same percentage i.e. Rs.1/- per Equity Share of Rs.1/- each aggregating to
Rs.122.2 millions including dividend tax of Rs.15 millions in the previous year
on the equity share capital of Rs.107.2 millions.
Website Details :
RICO’s BPM division enables companies to generate value for
their customers and employees through the application of its customer &
employee care services. Its solutions offer a high-tech, human-touch approach
that couples highly skilled customer service representatives with advanced
information management technologies & superior business processes.
Business Process Management
RICO’s Engineering Services division focuses on CAD, CAM,
CAE, tool & product design, and also takes on full-service product design
and development projects which include: concept design, simulation, tool
design, and prototyping, all the way up to developing a robust manufacturing
solution. RICO’s key strength is its ability to execute global projects,
offering world-class solutions at competitive costs and faster turn-around
times.
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.44.06 |
|
UK Pound |
1 |
Rs.86.34 |
|
Euro |
1 |
Rs.57.46 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP
CAPITAL |
1~10 |
5 |
|
OPERATING
SCALE |
1~10 |
5 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT
LINES |
1~10 |
5 |
|
--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 |
YES |
|
--OTHER
MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
46 |
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 |