MIRA INFORM
REPORT
|
Report
Date : |
20.06.2007 |
IDENTIFICATION DETAILS
|
Name : |
TONERLINE LIMITED |
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Registered
Office : |
B – 1,
Chandra Bhawan, |
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Country
: |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
22.10.1996 |
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CIN
No.: |
U30007DL1996PLC082787 |
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Com.
Reg. No.: |
55-82787 |
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TAN
No.: (Tax
Deduction & Collection Account No.) |
DELTO3569G |
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PAN
No.: [Permanent
Account No.] |
AAACT4374M |
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|
Legal
Form : |
A Closely Held Public Limited Liability Company |
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Line
of Business : |
Company is engaged in trading of Toner Cartridges &
all kinds of Laser, Fax, Inkjet consumables for offices, Digital Printing,
Prepress needs & in recharging Industry and operates on the fundamental
philosophy of commitment to the customer and the product quality |
RATING & COMMENTS
|
MIRA’s
Rating : |
B |
RATING
|
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight
in credit consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
|
Maximum
Credit Limit : |
USD 5000 |
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Status
: |
Moderate |
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Payment
Behaviour : |
Slow but
Correct |
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Litigation
: |
Clear |
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Comments
: |
Subject is a small company having mediocre performance and
financial status. Trade relations are fair. Payments are slow but correct. The company can be considered normal for business dealings
at usual trade terms and conditions with slight caution. |
LOCATIONS
|
Registered
Office : |
B – 1,
Chandra Bhawan, |
|
Tel.
No.: |
91-11-26466665/26416337/26239337/51607707
[3 lines] |
|
Fax
No.: |
91-11-26224185 |
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E-Mail
: |
|
|
Website
: |
DIRECTORS
|
Name : |
Ms. Rachna Agarwal |
|
Designation
: |
Director |
|
Address
: |
205, |
|
Date
of Appointment : |
22.10.1996 |
|
|
|
|
Name : |
Mr. Harsh Kumar Agarwal |
|
Designation
: |
Director |
|
Address
: |
205, |
|
Date
of Birth/Age : |
27.03.1946 |
|
Date
of Appointment : |
22.10.1996 |
|
|
|
|
Name : |
Ms. Puja Agarwal |
|
Designation
: |
Director |
|
Address
: |
205, |
|
Date
of Birth/Age : |
26.01.1976 |
|
Date
of Appointment : |
22.10.1996 |
MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
|
Ms.
Rachna Aggarwal |
5100 |
|
Mr. Harsh Kumar Agarwal |
1100 |
|
Ms. Puja Agarwal |
3100 |
|
Ms. Ruchi
Aggarwal |
1500 |
|
Mr.
Suaraj Parkash Sharma |
4100 |
|
Ms. Jair
Rani Gupta |
3100 |
|
M/s. Aay
Kay & Associate |
12500 |
|
Mr. Arpit
Gupta |
1000 |
|
Mr. Arun
Agarwal |
3000 |
|
Mr.
Ashish Gupta |
1000 |
|
Ms.
Avantika |
1000 |
|
Mr. H K
Babber |
1000 |
|
Mr.
Kartik Agarwal |
1500 |
|
Mrs.
Kiran Gupta |
1500 |
|
Ms.
Malvika Gupta |
1000 |
|
Mr.
Nikhil Gupta |
1000 |
|
Mr.
Pranay Gupta |
900 |
|
Mr. Prem
Sarada |
10000 |
|
Mrs.
Rashmi Agarwal |
2100 |
|
Mrs.
Renuka Gupta |
2000 |
|
Mr. Salil
Sharan |
1500 |
|
Mr. Sajal
Gupta |
900 |
|
Mr.
Sanjay Sharan |
1500 |
|
Mrs.
Satyavati Agarwal |
8500 |
|
Mrs.
Swati Gupta |
1000 |
|
Mr. Rohit
Gupta |
1000 |
|
Mr. Rahul
Gupta |
1000 |
|
Mrs.
Geeta Gupta |
1000 |
|
Mr.
Devender Gupta |
1000 |
|
Mr.
Sanjeev Gupta |
1000 |
|
Mr.
Manish Gupta |
1000 |
|
Mrs.
Swraj Gupta |
1500 |
|
Mr.
Mahesh Gupta |
1700 |
|
Mrs.
Nisha Gupta |
1000 |
|
Mrs. Renu
Gupta |
1000 |
|
Mr.
Rajesh Gupta |
1000 |
|
Mr.
Sudhir Rawel |
1700 |
|
Mr. Ashok
Agarwal |
1000 |
|
Ms. Parul
Agarwal |
1500 |
|
Mr. Amit
Agarwal |
1000 |
|
Mrs. Uma
Agarwal |
1000 |
|
Mr.
Pradeep Agarwal |
1500 |
|
Mr. Nupur
Agarwal |
1500 |
|
Mrs.
Bindu Agarwal |
1000 |
|
Ms.
Upasna Agarwal |
1000 |
|
Mr.
Amshul Agarwal |
1000 |
|
Mr.
Rishab Agarwal |
1000 |
|
Mr.
Pranchi Agarwal |
1000 |
|
Mrs.
Poorwi Agarwal |
1000 |
|
Mr.
Parichay Agarwal |
970 |
|
Mrs.
Shilpa Agarwal |
700 |
|
Total |
99970 |
All the shares are held by directors or their relatives.
BUSINESS DETAILS
|
Line
of Business : |
Company is engaged in trading of Toner Cartridges &
all kinds of Laser, Fax, Inkjet consumables for offices, Digital Printing,
Prepress needs & in recharging Industry and operates on the fundamental
philosophy of commitment to the customer and the product quality |
GENERAL INFORMATION
|
Suppliers
: |
v Aeroship Corporation v Bax Global India Private Limited v Deepak Associates v Graphic Plate v Image Star Technologies v v Indian Toner & Developers
Limited v Royal Precision Technology Company v Sumanglam International v Unique Compusoft Private Limited v Vijex Enterprises |
|
|
|
|
Customers
: |
v Bakson Drugs and Pharmaceutical v v Brils Education v Data Management System Private
Limited v v Dewcap International v EEL India Limited v Flex Industries v Goyal Mg Cases Private Limited v ICI India Limited v PACL India Limited v Panasonic India Private Limited v Paras Ram Puria Synthatics v 3A Graphics v ABC Consultants v ABN Amro Bank (Hauz Khas) v ABN Amro Bank (DPC) v Acro Marketing v Advest Marketing v Allied lemur v Amar Vilas v Ankur Data Services v Appollo Clinic v Auroprobe Laboratories v BRN Access v Coral Telecom |
|
|
|
|
No. of
Employees : |
20 |
|
|
|
|
Bankers
: |
v State Bank of v State Bank of v Citibank |
|
|
|
|
Facilities : |
Secured Loan (Rs. In
millions) : As on 31.03.2005 City Bank – 0.430 Millions Unsecured Loans : Outstanding for more than 6 months : Rs.0.231 millions Other debts : Rs.0.835 Total : Rs.1.066
millions |
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Banking Relations : |
-- |
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Auditors
: |
J S Dua & Company Chartered Accountant
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Address
: |
101, 1st Floor, |
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Associates/Subsidiaries
: |
Nil |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
100000 |
Equity Shares |
Rs. 10/- Each |
Rs. 1.000 Million |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
99970 |
Equity Shares |
Rs. 10/- Each |
Rs. 0.999 Million |
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 |
0.999 |
0.999 |
0.999 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3]
Reserves & Surplus |
0.360 |
0.310 |
0.202 |
|
|
4]
(Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
1.359 |
1.309 |
1.201 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
0.479 |
0.430 |
0.523 |
|
|
2]
Unsecured Loans |
0.361 |
0.000 |
0.000 |
|
TOTAL
BORROWING
|
0.840 |
0.430 |
0.523 |
|
|
DEFERRED
TAX LIABILITIES |
0.000 |
0.011 |
0.025 |
|
|
|
|
|
|
|
TOTAL
|
2.199 |
1.750 |
1.749 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
0.825 |
0.579 |
0.773 |
|
Capital work-in-progress
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
INVESTMENT
|
0.000 |
0.000 |
0.000 |
|
DEFERREX TAX ASSETS
|
0.008 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
0.461
|
0.398
|
0.223 |
|
|
Sundry Debtors
|
0.971
|
1.065
|
0.975 |
|
|
Cash & Bank Balances
|
0.774
|
0.325
|
0.395 |
|
|
Other Current Assets
|
0.000
|
0.000
|
0.000 |
|
|
Loans & Advances
|
0.745
|
0.337
|
0.276 |
Total Current Assets
|
2.951
|
2.125
|
1.869 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
1.520
|
0.860
|
0.778 |
|
|
Provisions
|
0.065
|
0.095
|
0.118 |
Total Current Liabilities
|
1.585
|
0.955
|
0.896 |
|
Net
Current Assets
|
1.366
|
1.170
|
0.973 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.001 |
0.003 |
|
|
|
|
|
|
|
TOTAL
|
2.199 |
1.750 |
1.749 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
10.647 |
5.811 |
6.973 |
|
|
Other Income |
0.001 |
0.001 |
0.001 |
|
|
Total
Income |
10.648 |
5.812 |
6.974 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
0.258 |
0.107 |
0.181 |
|
|
Provision for Taxation |
0.000 |
0.000 |
0.065 |
|
|
Profit/(Loss) After Tax |
0.258 |
0.107 |
0.116 |
|
|
|
|
|
|
|
|
Total
Earnings |
NA |
0.419 |
0.176 |
|
|
|
|
|
|
|
|
Total
Imports |
NA |
1.088 |
0.256 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Manufacturing Expenses |
NA |
0.358 |
0.475 |
|
|
Raw Material Consumed |
7.860 |
3.357 |
4.423 |
|
|
Salaries, Wages, Bonus, etc. |
0.520 |
NA |
NA |
|
|
Managerial Remuneration |
0.192 |
NA |
NA |
|
|
Payment to Auditors |
0.019 |
NA |
NA |
|
|
Interest |
0.034 |
NA |
NA |
|
|
Insurance Expenses |
0.015 |
NA |
NA |
|
|
Depreciation & Amortization |
0.147 |
NA |
NA |
|
|
Other Expenditure |
1.602 |
1.989 |
1.895 |
|
Total
Expenditure |
10.390 |
5.704 |
6.793 |
|
KEY
RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
PAT / Total Income
|
(%)
|
2.42
|
1.84
|
1.66 |
|
|
|
|
|
|
Net Profit Margin
(PBT/Sales) |
(%) |
2.42
|
1.84
|
2.59 |
|
|
|
|
|
|
Return on Total Assets
(PBT/Total
Assets} |
(%) |
6.83
|
3.95
|
6.85 |
|
|
|
|
|
|
Return on Investment (ROI)
(PBT/Networth) |
|
0.19
|
0.08
|
0.15 |
|
|
|
|
|
|
Debt Equity Ratio
(Total
Liability/Networth) |
|
1.78
|
1.05
|
1.18 |
|
|
|
|
|
|
Current Ratio
(Current
Asset/Current Liability) |
|
1.86
|
2.22
|
2.08 |
LOCAL AGENCY FURTHER
INFORMATION
The situation of the registered office of the company has
changed from :
B – 1, Chandra Bhawan,
To :
205,
Fixed Assets:
v Air Conditioners
v Plant & Machinery
v Refrigerator
v Pager
v Vehicles
v Water Cooler
v Furniture & Fixture
v Computer
As per Website Details:
Subject is a recognised market leader for Toner Cartridges
& all kinds of Laser, Fax, Inkjet consumables for offices, Digital Printing,
Prepress needs & in recharging Industry and operates on the fundamental
philosophy of commitment to the customer and the product quality. Today it is
an established name in the business of toner cartridges for laser printers,
laser based faxes and copiers and a leading supplier for media & imaging
supplies for laser printers, Inkjet printers and wide format plotters in
The company has set a mission for itself, to ensure high
quality Products at reasonable price, without any compromise. The Managing
Director, MS.Rachna Agarwal has ensured that the processes and technologies
being used in its focus on Laser Toner Cartridges are state-of- the-art and are
those that are being adopted by the best and environmentally conscious global
organizations. Tonerline is guided by its commitment to provide excellent
quality products and services to its patrons and has achieved wide
acceptability for its quality. All its activities are united under its value
system, a strict code of ethics, and an unstinting commitment to patrons and
employees.
v To ensure the highest degree of
satisfaction to their Customers, through continuous improvement with technical
assistance from quality conscious companies globally.
v To ensure that high quality is
available to the customer at a reasonable price.
v To use processes or technologies
that are environmentally supportive and are being adopted by the best,
environmentally conscious global organisations.
VISION
To create an organisation that is respected globally for its ethical standards
and for its spirit of challenge. To create an organisation that aspires to
challenge the future.
Tonerline places great value on its HP compatibile Laser
toner cartridge business and in coroboration with US Companies they ensure
continuous upgradation of technology. Each and every cartridge that is sent out
is of Premium quality and backed by warranty. To ensure this and to ensure
compatibility with the printers, each cartridge is processed through
state-of-the-art production facilities.
The technology followed is of Controlled
Processing which is both cost effective as well as technically
superior. It is not a putting together or a mix-n-match of components,
controlled processsing requires state of the art capabilities & rigorous
quality control, more rigorous than an ordinary manufacturer. Like most MNCs, subject
adopts this basic process.
Quality of the printouts depends much on the supplies that
go into it.
Subject provides the following imaging supplies :
Specially formulated Toner Powder Toner is one of the most
complex products in Cartridges and has a dramatic impact on print performance.
Their Toner powders are custom formulated and scientifically tested to meet or
exceed OEM standards for DENSITY, YIELD and TRANSFER RATE.
v They have MICR Toners also for cheaque
printing.
v Higher quality toner powder for best
print quality.
v Formulated to increase OPC drum
life.
v Gives richer, darker, black prints
than OEM Toner.
v Perfect for all graphics & high
resolution applications.
v Transfer efficiency of 94.80%
Long Life OPC Drums
Organic Photo Conductor Drums are good for Clearer & sharp prints. Their
hard coating prevents scratches, ensuring better quality of prints. They have a
wider colour spectrum response and are more sensitives to tones and shades of
grey, giving precise images. They are eco freiendly & gaining wider
acceptace in the Market place due to their environmental benefits.
v The OPC drums are available for all
the popular models.
v Each drum is guaranteed for highest
performance, quality & reliability. Laboratory tested.
v Best suitable for dark and high
resolution prints.
v Long Life
v Very handy unit fits right in to the
palm
v
v No need of PC & Power
v Saves thousand's of rupees while
purchasing costly empties
v It tests HP 14A-16A-25A-26A-29A-33M-39’s-49A
Cartridges
LED LIGHT
Test Guide has 48 green LEDs (lights), one for each injector nozzle arranged in
a 6x8 grid. This physical arrangement allows very quick testing without missing
an unlit LED (bad injector).
LED light sequence follows the same numbering order as HP.
CONTACTS
Gold Plated special copper alloy Springs. Test Guide life is 1,000,000 tests
minimum.
BATTERIES
Test Guide operates on two AA alkaline batteries. Good quality batteries should
enable testing of over 8000 cartridges (based on one second test time).
CARTRIDGE SELECTION
Condition of every nozzle is instantly visible. This process allows seeing just
how many nozzles are failing. One bad nozzle will probably not be seen on the
printout. Two bad nonadjacent nozzles (e.g. 3 & 4 or 15 & 16) will
print a wide blank line, whereas two nonadjacent bad nozzles (e.g. 3 & 5 or
15 & 23) will probably not be noticeable.
TEST CURRENT
The test current per nozzle is approximately 8 to 10 mA.
WARRANTY
Warranted to be free from manufacturing defects for three months from the date
of purchase. Damage due to misuse or abuse or liquid dropping / spilling are
not covered by the warranty.
Laser Printer Media
v Laser Printer film for direct
positives
v Laser Polyester Plates for small
offset Machines
Inkjet Media
v Large Format Media for Digital
Printing/Cadcam Plotters
v Small Format Media for Business
Graphics for Inkjet Printers
Fuser
roller
92295A - Rs 350/- each
92298A - Rs 350/- each
3909A - Rs 800/- each
Teflon flim
( Fuser sleeve)
5L/6L /5P/6P
-
Rs 1500/- each
HP 1000, 1200
- Rs
1600/- each
HP 4000, 4100, 4200 - Rs 2000/- each
HP 5000
-
Rs 4000/- each
Subject conducts different training courses for all the
dealers/sub-dealers from time to time.
Crash Course
Includes training of opening, complete servicing, filling of Toner Powder,
inspection of the Cartridge, refitting and testing of Toner Cartridge. It also
includes a session on most common and frequent problems arising in the
cartridge during routine work, and their effective remedy. The course includes
thorough training for six popular models of Toner Cartridges.
Duration of Crash course is TWO days.
Masters Course
Includes training for Dis-assembling, Technical Inspection, complete Servicing,
Filling of Toner Powder, knowledge of specific Toner Powders, complete
Assembling and testing of all popular models of Laser Toner Cartridges. Masters
course includes complete knowledge of all common, frequent and some rare
problems arising in the toner cartridges during routine work, and their
remedies, subject provides a complete set of theoritical notes on thorough
knowledge of the Toner Cartridges. A special session in also held for practical
training combined with a complete test of knowledge of the trainee, regarding
Cartridges and Trouble Shooting.
Subject has a state of the art production cum repair center
in
Covering a wide area of over 2000 Square Feet.
The manufacturing unit is equipped with latest state of the art machinery from
world's best manufacturers & skilled manpower of 20 employees. The company
has its marketing office at Nehru place & branch offices in over 10 cities
across
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
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.40.82 |
|
|
1 |
Rs.81.18 |
|
Euro |
1 |
Rs.54.79 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP
CAPITAL |
1~10 |
4 |
|
OPERATING
SCALE |
1~10 |
4 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT
LINES |
1~10 |
4 |
|
--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 |
NO |
|
--OTHER
MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
37 |
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 |