MIRA
INFORM REPORT
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Report Date : |
16.07.2007 |
IDENTIFICATION DETAILS
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Name : |
PAXAR INDIA PRIVATE LIMITED |
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Formerly Known As : |
MANDHANA
BORNEMANN INDUSTRIES PRIVATE LIMITED |
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Registered Office : |
90/91, 7th
Main, 3rd Phase, Peenya Industrial Area, |
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Country : |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
07.01.2000 |
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Com. Reg. No.: |
08-26195 |
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CIN No.: [Company
Identification No.] |
U18101KA2000PLC026195 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRM02265E |
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Legal Form : |
Private Limited
Liability Company |
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Line of Business : |
Providing innovative
merchandising systems for the retail and apparel industry. |
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 1000000 |
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Status : |
Good |
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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 company having fine track. Financial position is good. Trade relations are fair. Payments are usually correct and as per
commitments. The company is doing very
well. It can be
considered good for any normal business dealings at usual trade terms and
conditions. |
LOCATIONS
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Registered Office : |
90/91, 7th
Main, 3rd Phase, Peenya Industrial Area, |
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Tel. No.: |
91-80-251370400 |
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Fax No.: |
91-80-251370600 |
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E-Mail : |
info@mbil.com |
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Website : |
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Overseas Offices: |
Paxar Corporation 105 Corporate Park Drive Telephone +1 800 33PAXAR (72927) Fax +1 914 696 4128 E-mail info@paxar.com Paxar Canada, Inc.
L1W 3V6 Telephone : +1 905 839 8057 Fax +1
905 839 8169 E-mail : sales@paxarcanada.ca
Paxar do Brasil Ltd. Rod. Salto do Norte CEP 89066-010 Telephone+1 55 47 3231 0800 Fax +1 55 47 3338 2255 Email info@paxar.com
Paxar de Colombia S.A. Carrera 50 FF Nro. 7 sur-31 A.A. 6985 Telephone+1 57 4 361 2299 Fax +1 57 4 285 9966 Email info@paxar.com
Paxar de Mexico Av. Lazaro Cardenas Norte No. 551 Col. Nueva Industrial Deleg. 07700 Telephone +1 52 55 5999 7800 Fax +1 52 55 5586 3766 Email info@paxar.com Paxar 1, Avenue Louisin-Bobet Telephone +33 1 45 14 67 00 Fax +33 1 48 76 52 41 E-mail info@paxar-emea.com Paxar Central Europe GmbH Harkortstrasse 20 Telephone +49 700 72927238 Fax +49 700 72927329 E-mail info@paxar.de
Paxar Italia Srl Via B Telephone +39 059 697 266 Fax +39 059 640 006 Paxar Tekstil Urunleri Sanayi ve Ticaret
A.S. Telephone +90 212 393 3000 Fax +90 212 321 3614 E-mail info@paxar-emea.com Paxar UK Ltd Bar Code
& Pricing Solutions
CM20 2BN Telephone +44 (0)1279 786000 Fax +44 (0)1279 786100 E-mail info@paxar-emea.com |
DIRECTORS
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Name : |
Mr. Nitin
Mandhana |
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Designation : |
Managing Director
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Address : |
323 Embassy
Woods, |
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Date of Birth/Age : |
B. Com |
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Qualification : |
17 years |
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Experience : |
22.11.1967 |
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Date of Appointment : |
29.09.1988 |
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Name : |
Mr. Narayandas
Mandhana |
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Designation : |
Director |
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Address : |
Lotus Court, ‘A’
Wing, 12Q Dr. Annie Beasant, Road, Worli, Mumbai – 400018, |
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Date of Birth/Age : |
16.04.1943 |
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Date of Appointment : |
07.08.1992 |
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Name : |
Mr. Govindlal
Mandhana |
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Designation : |
Director |
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Address : |
Shri Vishnu
Bunglow, Lale Plot, Near Venkatesh Mandir, Sangli – 400026, |
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Date of Birth/Age : |
22.09.1936 |
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Date of Appointment : |
02.09.2003 |
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Name : |
Mr. Gerhard
Bornemann |
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Designation : |
Director |
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Address : |
Schmiedesh 5 D
45549, |
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Date of Birth/Age : |
25.09.1939 |
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Date of Appointment : |
18.05.1996 |
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Name : |
Mr. George
Bornemann |
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Designation : |
Director |
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Address : |
Am Wichelavsberg,
42275, |
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Date of Birth/Age : |
29.08.1969 |
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Date of Appointment : |
18.05.1996 |
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Name : |
Mr. Frank Fischer |
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Designation : |
Director |
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Address : |
Mibelungenster,
25 42653, |
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Date of Birth/Age : |
31.05.1952 |
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Date of Appointment : |
18.05.1996 |
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Name : |
Mr. Jairaj
Balakrishna Naidu |
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Designation : |
Director |
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Address : |
Q1, Sacred |
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Date of Appointment : |
01.12.2005 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. Shashikant
Govindlal Mandhana |
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60000 |
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Mr. Nitin
Narayanda Mandhana |
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40000 |
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Mr. Govindlal
Chhaganlal Mandhana |
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55000 |
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Mr. Narayandas
Chhaganlal Mandhana |
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135000 |
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Mr. Prakash
Govindlal Mandhana |
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60000 |
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Mr. Prakash
Govindlal Mandhana [HUF] |
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10000 |
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Smt. Neeta
Prakash Mandhana |
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30000 |
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Smt. Kavita
Shashikant Mandhana |
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25000 |
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Smt. Sneha Ashok
Mandhana |
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30000 |
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Mr. Ashok
Govindlal Mandhana |
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60000 |
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Mr. Govindlal
Chhaganlal Mandhana |
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5000 |
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Smt. Leelabai
Govindlal Mandhana |
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25000 |
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Smt. Nirmala
Narayandas Mandhana |
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30000 |
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Mr. Narayandas
Chhaganlal Mandhana [HUF] |
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35000 |
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Mr. Govindlal
Chhaganlal Mandhana |
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15000 |
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Mr. Shashikant
Govindlal Mandhana [HUF] |
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5000 |
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Mr. Nitin
Narayandas Mandhana [HUF] |
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145000 |
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Ms. Niharika
Shashikant Mandhana |
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5000 |
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Mr. Ashok
Govindlal Mandhana |
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2500 |
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Mr. Abhijeet
Ashok Mandhana |
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7500 |
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Mr. Sidhant
Shashikant Mandhana |
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5000 |
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Smt. Savita Nitin
Mandhana |
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15000 |
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Paxar Central
Europe GmbH |
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800000 |
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TOTAL |
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1600000 |
BUSINESS DETAILS
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Line of Business : |
Providing
innovative merchandising systems for the retail and apparel industry. |
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Products : |
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PRODUCTION STATUS
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Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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Woven Labels |
Nos. |
N.A. |
210000000 |
161604752 |
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Hang Tag |
Nos. |
N.A. |
80000000 |
79702916 |
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Printed Labels |
Nos. |
N.A. |
125000000 |
138565858 |
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Bar Code |
Nos. |
N.A. |
37500000 |
31621239 |
GENERAL INFORMATION
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No. of Employees : |
About 150 |
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Bankers : |
Corporation Bank,
Industrial Finance Branch, Scotia Bank State Bank of |
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Facilities : |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
Dagaliya &
Company Chartered
Accountants, |
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Address : |
‘L’ Block, |
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Tel. No.: |
91-80-22236783/4 |
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Mobile No.: |
91-80-22213203 |
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Fax No.: |
dagliyaysd@vsnl.net |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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1600000 |
Equity Shares |
Rs. 10.00 each |
Rs. 16.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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1600000 |
Equity Shares |
Rs. 10.00 each |
Rs. 16.000 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
No Subsequent financials are available from
any sources. Management remained non-co-operative during current investigation.
ABRIDGED BALANCE SHEET
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SOURCES OF FUNDS |
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31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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16.000 |
16.000 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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244.298 |
177.111 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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260.298 |
193.111 |
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LOAN FUNDS |
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1] Secured Loans |
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37.428 |
55.554 |
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2] Unsecured Loans |
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0.000 |
0.000 |
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TOTAL BORROWING |
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37.428 |
55.554 |
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DEFERRED TAX LIABILITIES |
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42.404 |
40.845 |
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TOTAL |
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340.130 |
289.510 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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200.155 |
210.237 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.004 |
0.004 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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80.676 |
69.132 |
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Sundry Debtors |
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71.145 |
56.973 |
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Cash & Bank Balances |
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59.092 |
7.802 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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16.288 |
25.816 |
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Total
Current Assets |
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227.201 |
159.723 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities and Provisions |
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87.230 |
80.454 |
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Total
Current Liabilities |
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87.230 |
80.454 |
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Net Current Assets |
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139.971 |
79.269 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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340.130 |
289.510 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
|
31.03.2005 |
31.03.2004 |
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Sales Turnover [Including other Income] |
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492.551 |
359.149 |
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Profit/(Loss) Before Tax |
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115.978 |
44.999 |
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Provision for Taxation |
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48.791 |
14.555 |
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Profit/(Loss) After Tax |
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67.187 |
30.444 |
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Export Value |
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41.993 |
16.613 |
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Import Value |
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63.545 |
66.214 |
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Total Expenditure |
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352.675 |
291.556 |
KEY RATIOS
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PARTICULARS |
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31.03.2005 |
31.03.2004 |
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PAT / Total Income |
(%) |
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13.64 |
8.47 |
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Net Profit Margin (PBT/Sales) |
(%) |
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23.54 |
12.12 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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27.13 |
12.16 |
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Return on Investment (ROI) (PBT/Networth) |
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0.44 |
0.23 |
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Debt Equity Ratio (Total Liability/Networth) |
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0.47 |
0.70 |
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Current Ratio (Current Asset/Current Liability) |
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2.60 |
1.98 |
LOCAL AGENCY FURTHER INFORMATION
FINANCIAL RESULTS:
The directors are pleased
to inform that the company has once again registered substantial increase in
turnover by Rs. 146.400 millions as compared to previous year. The company registered sales of Rs. 487.000
millions as against Rs. 340.600 millions during the previous year. The profits for the year before depreciation
and taxation have been recorded at Rs. 136.000 millions as against Rs. 61.500
millions during the previous year.
Profit after tax of Rs. 67.200 millions together with Rs. 155.000
millions of the previous balance is carried to Balance Sheet.
FUTURE PROSPECTS
The company in the
coming year has set aggressive but achievable goals for the coming three years
with plans to outsource capacities and establish wide distribution network.
FIXED ASSETS:
v
Land
v
v
Air
Conditioner
v
Plant
& Machinery
v
Electrical
Installation
v
Furniture
& Fixtures
v
Computer
Software
v
Office
Equipment
v
Motor
Car & Vehicles
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Name of the company |
MANDHANA BORNEMANN INDUSTRIES PRIVATE LIMITED |
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Presented By |
MANDHANA BORNEMANN INDUSTRIES PRIVATE LIMITED and Corporation Bank Industrial Finance Branch, |
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1) Date and description of instrument creating the change |
08.04.2004 [Eight day of April, 2004] – Regd. On 13.05.2004 [D. No. 37] Common Deed of Hypothecation of Movables/Assets/Debts |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 71.323 millions [Hypo of stock/ bookdebts –cum-FCDL] Rs. 30.000 millions with a sublimit of Rs. 2.500 millions at Yeshwanthpur Branch, Term Loan : Rs. 31.323 millions Inland / Import LC-cum-BG Rs. 10.000 millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
a. Hypothecation of entire current assets by way of exclusive first charge b. Exclusive first charge on the entire movable fixed assets [excluding vehicles] of the company [present & future] for term loan and continuing charge on the same for the working capital credit limits |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of interest : CC - @ 10.5% p.a. i.e. @ COBAR TL - @ 10.5% p.a. Being 0.5% below COBAR Margin – 25% on stocks & book debts Repayment – Repayable in 22 monthly installments comprising first 3 monthly installments of Rs. 1.800 millions each; next 18 monthly installments of Rs. 1.400 millions each and last installments of Rs. 0.723 million |
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5) Name and Address and description of the person entitled to the charge. |
Corporation Bank Industrial Finance Branch, |
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6) Date and brief description of instrument modifying the charge |
7.10.2004 [Seventh day of October, 2004] No Instrument – Letter Regarding Deposit of Title Deeds Letter re : Revision of Credit Limits [Both the above pertain to the same charge] |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
By the above, the amount secured by charge stands revised from Rs. 84.555 millions to Rs. 80.955 millions [CC Hyp. Rs. 45 millions & BG Rs. 10 millions renewed at the existing level; TL Rs. 29.555 millions now reviewed at the revised level of Rs. 25.955 millions. By the above, the company has extended additional security
of its immovable property viz. all that part and parcel of Industrial lands
bearing Plot No. 90 & 91, Situate at 7th Main, Peenya
Industrial area, III Phase, Peenya, Bangalore – 560058, [Formed out of lands
at Sy. Nos. 145, 146 & 147 of |
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Name of the company |
MANDHANA BORNEMANN INDUSTRIES PRIVATE LIMITED |
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Presented By |
MANDHANA BORNEMANN INDUSTRIES PRIVATE LIMITED and Corporation Bank Industrial Finance Branch, |
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1) Date and description of instrument creating the change |
08.04.2004 [Eight day of April, 2004] – Regd. On 13.05.2004 [D. No. 37] Common Deed of Hypothecation of Movables/Assets/Debts |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 71.323 millions [Hypo of stock/ book debts –cum-FCDL] Rs. 30.000 millions with a sub limit of Rs. 2.500 millions at Yeshwanthpur Branch, Term Loan : Rs. 31.323 millions Inland / Import LC-cum-BG Rs. 10.000 millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
a. Hypothecation of entire current assets by way of exclusive first charge b. Exclusive first charge on the entire movable fixed assets [excluding vehicles] of the company [present & future] for term loan and continuing charge on the same for the working capital credit limits |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of interest : CC - @ 10.5% p.a. i.e. @ COBAR TL - @ 10.5% p.a. Being 0.5% below COBAR Margin – 25% on stocks & book debts LC/BG – Cash margin 10% Repayment – Repayable in 22 monthly installments comprising first 3 monthly installments of Rs. 1.800 millions each; next 18 monthly installments of Rs. 1.400 millions each and last installments of Rs. 0.723 million |
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5) Name and Address and description of the person entitled to the charge. |
Corporation Bank Industrial Finance Branch, |
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6) Date and brief description of instrument modifying the charge |
14.06.2004 [Fourteenth day of June, 2004] supplemental Common Deed of Hypothecation of Movables/assets/debts |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
By the above, the amount secured by charge stands increased from Rs. 71.323 millions to Rs. 84.555 millions [CC Hyp. Rs. 45 millions [Enhanced from Rs. 30.000 millions; TL Rs. 29.555 millions now reviewed at the revised level ; Import / Inland and Letter of Credit cum Bank Guarantee Rs. 10 millions [renewed] |
Website details
attached:
Profile
Paxar Corporation is a global leader in providing innovative
merchandising systems for the retail and apparel industry.
At
Paxar they design and manufacture tickets, tags and labels, and they
provide the technology—including the printers, software control systems and
necessary supplies—for retail product identification. Their customers
include the world's major retailers, branded apparel companies and contract
manufacturers.
Their focus is on working with their customers and adding value for them
in everything they do: they help build their brands, manage their data and
distribute their merchandise throughout the supply chain.
Chances are on any given day, you
are wearing a garment that has a Paxar designed label, or that was marked with
a Paxar ticket or tag. Chances are the garment was protected with one of
their security solutions or price marked in the retail store with their labelers.
Or, it was rushed from the point of manufacture to the point of purchase via
Subject's tracking and data management technology. Chances are,
you've been touched by Subject today.
History
A
Family Business Gets Underway
Subject has a long,
rich history of growth, innovation and timely response to industry trends.
While the company has divisions dating back as far as the late 1800's, the
central Paxar story begins in 1918 with the launch of Meyer Tag and Label
Company in
During the 1960’s, as more and more retailers began to adopt self-service
product packaging, Subject began a secondary, carded visual packaging business
in response. In 1969, it changed its name to Packaging Systems Corporation and
became a publicly held company.
Innovation Leads to Growth
The manufacture of
apparel tags and labels continued to prosper. This was in part driven by
changes in textile legislation, which required clothing to be labeled with
fiber content and care instructions. The opportunities for further growth were
evident, and the company began working on a revolutionary, high-speed printing
technique that would help label manufacturers effectively comply. In 1971,
Subject introduced its first patented printing system called Fasco™, which
increased label printing output dramatically. Importantly, this new technology
positioned the company to become the dominant printed label supplier to apparel
manufacturers in the
As other countries passed similar labeling laws, Subject’s Fasco technology was
licensed to printing companies in Europe, Asia and
Acquisitions
Expand Product Breadth and Global Reach
In 1987, an
important strategic decision was made to alter the company’s business course.
The carded visual packaging division was sold and resources were reallocated to
growing the company’s tag and label business. At this time also, the company’s
name was changed to Subject.
Following this important milestone, Subject opened its first European
operations in England, Germany and Italy and an era of rapid growth ensued
worldwide as the company sought to position itself as the vendor of choice for
apparel companies and retailers. Over the next 17 years, businesses were
acquired and companies established in Asia, Europe, the Middle East and Africa,
Latin America and North America.
Subject’s product and service offering also expanded to include woven labels,
bar code products, graphic tags, soft apparel labeling, including transfers,
and more. New electronic printing systems were engineered such as the
high-performance Monarch® series of bar code printers and a ground breaking
apparel labeling system called LOKPRINT™. Just-in-time delivery options were
enhanced; on-line services were introduced; and niche-retail labeling
opportunities explored in areas as diverse as security labeling and food safety
management.
Adding Value for Its Customers
Today, the company
delivers a broad range of products and services. For example, it’s
comprehensive offering of printers, software and supplies places Subject at the
forefront of helping customers utilize RFID technology. Simultaneously, the
company is dedicated to helping its customers develop viable, distinctive
brands through the design and manufacture of a full complement of merchandising
products.
While its footprint has grown considerably, subject’s reason for being in
business remains the same. This 88-year old company with revenues of $809
million in 2005 remains focused on fully servicing its customers wherever in
the world they may be.
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
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 40.37 |
|
|
1 |
Rs. 82.18 |
|
Euro |
1 |
Rs. 55.67 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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
|
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 |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|