MIRA
INFORM REPORT
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Report Date : |
28.07.2007 |
IDENTIFICATION DETAILS
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Name : |
AMAR RADIO CORPORATION |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
1968 |
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Legal Form : |
Partnership concern with an unlimited liability of the partners. |
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Line of Business : |
Importers and Distributors of electric components. |
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 120000 |
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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 conditions. |
LOCATIONS
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Registered
Office/ Head Office / Warehouse / Godown : |
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Tel. No.: |
91-80-22220547 |
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Fax No.: |
91-80-22218520 |
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E-Mail : |
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Website : |
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Area : |
12000 Sq. fts. |
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Location : |
Owned |
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Corporate Office : |
K. K. Building No. 134 – 135, |
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Branch Office : |
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Tel. No.: |
91-44-28416351 |
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Fax No.: |
91-44-28592912 |
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E-Mail : |
PARTNERS
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Name : |
Mr. Mahesh Chawla |
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Designation : |
Managing Partner |
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Name : |
Mr. Amar Chawla |
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Designation : |
Partner / Chief Executive Officer |
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Name : |
Mr. Narayan Chawla |
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Designation : |
Partner |
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Name : |
Mr. Vinod Chawla |
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Designation : |
Partner |
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Name : |
Mr. Shyam Chawla |
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Designation : |
Partner |
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Name : |
Mrs. Lajwanthi Chawla |
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Designation : |
Partner |
BUSINESS DETAILS
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Line of Business : |
Importers and Distributors of electric components. |
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Products : |
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Brands : |
v
ALCON v
BOURNS v
ELCOM v
FCI v
KELTRON v
ODU v
SUNON v
AMPHENOL v
CDIL v
EDAC v
EUPEC v
GILARD v
SCHURTER v
WALSIN |
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Exports : |
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Countries : |
Asian Countries |
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Imports : |
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Countries : |
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Terms : |
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Selling : |
L/C, Credit upto 90 days |
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Purchasing : |
L/C, Credit (3 days – 60 days) |
GENERAL INFORMATION
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Suppliers : |
v
OEN India Limited ( v
FCI ( v
Amphenol Interconnect India Private Limited v
Sunon Electric Company ( v
v
ODU ( v
EDAC ( v
Walsin Electric Company ( |
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Customers : |
v
American Power Conversion ( v
HCL Limited ( v
TVS Electronics Limited ( |
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No. of Employees : |
50 (Production / Technical: 30; Other: 20) |
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Bankers : |
Andhra Bank |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
N. N. Swamy Associates Chartered Accountants |
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Address : |
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Associates/Subsidiaries : |
Alltrnoix |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 30.000 millions |
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Borrowed : |
- |
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Total : |
Rs. 30.000 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
263.600 |
202.400 |
155.500 |
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Profit Before Tax |
Not Finalized |
16.100 |
5.800 |
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Profit After Tax |
Not Finalized |
10.500 |
3.500 |
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Export Value |
2.300 |
0.800 |
Negligible |
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Import Value |
70.700 |
56.800 |
43.500 |
Average Value of Inventories At Any Given Time: About Rs. 30.000
millions
LOCAL AGENCY FURTHER INFORMATION
Website details attached:
Subject distributes and
markets electronic components all over
Started way back in 1968, they are well connected with various sectors
and have established a comprehensive market coverage having representation in
all the southern states.
They are a major player in the electronic distribution industry and with
a wide range of product portfolio they cater to a wide customer base.
Their commitment to customer satisfaction is demonstrated through their
highly motivated and competent team and proven track record of excellent on
time and logistical services.
They source and maintain inventory, provide special logistical
arrangements for delivery and offer buffer stocking programs.
They act as the extended sales and marketing arm of their principles and
suppliers to physically serve their customers always striving to quickly and
efficiently satisfy customer's everyday growing demands for new products and
technologies. They also seek to have excellent business cooperation with their
suppliers.
Their perseverance, ethical practices and commitment towards offering
only the best have earned the trust of their principles, business partners and
most of all their customers. As they moved forward into the future, they also
prepare their core employees to be suitably trained to meet the stringent
demands in this era of competition. Going forward, they pledge to give their
best in terms of value and customer satisfaction.
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. 40.48 |
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1 |
Rs. 82.59 |
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Euro |
1 |
Rs. 55.55 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
8 |
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PAID-UP CAPITAL |
1~10 |
6 |
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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 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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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 |
NO |
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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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52 |
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/normal. |
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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