MIRA INFORM
REPORT
|
Report
Date : |
26.06.2007 |
IDENTIFICATION DETAILS
|
Name : |
NIKHIL FOOTWEARS PRIVATE LIMITED |
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Registered
Office : |
G-11,
Udyog Nagar, |
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Country
: |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
09.01.1987 |
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CIN
No.: |
U19201DL1987PTC026643 |
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Com.
Reg. No.: |
55-26643 |
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TAN
No.: (Tax
Deduction & Collection Account No.) |
DELN01310B |
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Legal Form
: |
Private Limited Liability Company |
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Line
of Business : |
Manufacturer
of Footwear, Shoe Components, PVC Compound. |
RATING
& COMMENTS
|
MIRA’s
Rating : |
A |
RATING
|
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum
Credit Limit : |
USD
2380000 |
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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 company having fine track
records. Available information indicates high financial responsibility of the
company. 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 : |
G-11,
Udyog Nagar, |
|
Tel.
No.: |
91-11-2547
3842 / 2547 1684 / 2547 2660/ 25472557/ 25473827 |
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Fax
No.: |
91-11-2547
2907 |
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E-Mail
: |
info@actionshoes.com/ nikhilfootwears@hotmail.com, cpcnewdehi@yahoo.com |
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Website
: |
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Area : |
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Location : |
Commercial |
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Factory
1 : |
98, Shahzabad Bagh Industrial Area, |
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Tel.
No.: |
91-11-23657248/ 23657258/ 55450423/ 55450425 |
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Fax
No.: |
91-11-23658037 |
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Location : |
Industrial |
DIRECTORS
|
Name : |
Mr. Nand Kishore Aggarwal |
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Designation
: |
Director |
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Address |
12/22, East Punjabi Bagh, |
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Date
of Birth : |
02/12/1948 |
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Date
of Appointment : |
18/07/1989 |
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Other
Directorships |
·
Microtek International Private Limited, ·
Kabeer Textiles Private Limited, |
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Name : |
Mr. Naresh Kumar Aggarwal |
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Designation
: |
Director |
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Address: |
15/17, East Punjabi Bagh, |
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Date
of Birth : |
12/09/1954 |
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Date
of Appointment : |
01/10/1996 |
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Name : |
Mr. Aggarwal Ajay
Kumar |
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Designation
: |
Director |
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Address: |
12/22, East Punjabi Bagh, |
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Date
of Birth : |
23/04/1973 |
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Date
of Appointment : |
15/10/1998 |
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Name : |
Mrs.
Aggarwal Urmil |
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Designation
: |
Director |
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Name : |
Mr. Vijay Kumar Aggarwal |
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Designation
: |
Director |
KEY
EXECUTIVES
|
Name : |
P. S. Soni & Comapny |
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Designation
: |
Company Secretary |
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Address
: |
F-15, Ansal Utility Commercial Centre, Opposite Jwala Heri
Market, Paschim Vihar, New Delhi-110063 |
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Mobile
No.: |
91-9810262298/ 9910017705 |
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Tel.
No. : |
91-11-43231389 |
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E-Mail
: |
MAJOR
SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
Percentage of holding |
|
Mange Ram
Aggarwal |
1,670 |
3.88 |
|
Subhash
Chander Aggarwal |
2,500 |
5.81 |
|
Varun Aggarwal |
1,500 |
3.49 |
|
Naresh
Kumar Aggarwal |
2,500 |
5.81 |
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Anil
Kumar Aggarwal |
2,500 |
5.81 |
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Nand
Kishore Aggarwal |
3,100 |
7.21 |
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Urmil
Aggarwal |
1,500 |
3.49 |
|
Shanti
Devi |
1,500 |
3.49 |
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Ajay
Kumar Aggarwal |
1,500 |
3.49 |
|
Amit Aggarwal |
1,500 |
3.49 |
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Charu
Aggarwal |
750 |
1.74 |
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Nisha
Aggarwal |
1,000 |
2.33 |
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Tarun
Aggarwal |
1,500 |
3.49 |
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Saroj
Jain |
750 |
1.74 |
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Raj Kumar
Gupta |
1,500 |
3.49 |
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Vinod
Kumari |
1,500 |
3.49 |
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Bimal
Prasad Jain |
500 |
1.16 |
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Vivek Jain |
750 |
1.74 |
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Navneet
Aggarwal |
1,500 |
3.49 |
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Nikhil
Aggarwal |
1,000 |
2.33 |
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Vishesh
Gupta |
1,500 |
3.49 |
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Sanchit
Gupta |
1,500 |
3.49 |
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Ruchi
Aggarwal |
1,000 |
2.33 |
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Ankit
Aggarwal |
1,500 |
3.49 |
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Ginni
Devi |
2,000 |
4.65 |
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Sushma Aggarwal |
1,980 |
4.60 |
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Neha
Aggarwal |
1,000 |
2.33 |
|
Asha Devi |
2,000 |
4.65 |
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TOTAL |
43,000 |
100.00 |
All the shares are held by directors or their relatives.
BUSINESS
DETAILS
|
Line
of Business : |
Manufacturer
of Footwear, Shoe Components, PVC Compound. |
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Products
: |
Ř
Footwear Ř
Pu Sole Ř
Sport Shoes Ř
Other Footwear (With Upper of Textile Materials) Ř
Upper Sole
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Brand
Names : |
v Action v Health Plus v Campus v Dotcom v Milano v EVA Flotter v School Time v Mausam v Florina v Micro v Hooha v Fun Time v Roaming v Fly Float v Chanchal v Flotter v Easy Line |
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Exports
to : |
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Imports
from : |
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Terms
: |
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Selling : |
Cash and Credit upto 60 days terms. |
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Purchasing : |
Cash and Credit upto 60 days terms. |
PRODUCTION STATUS
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Particulars |
Unit |
Installed Capacity |
Actual Production |
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|
Footwear
(Pair) |
Nos |
4,000,000 |
4564112 |
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P. V.
Shoes (Pair) |
Nos |
1,200,000 |
-- |
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|
Sole
(Pair) |
Nos |
-- |
2594583 |
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GENERAL
INFORMATION
|
Customers
: |
v Asian Paints v Asashi v Jet Airways v Hindalco Industries v Maruti Udyog Limited v Samsung India Limited v Indian Army v Indian Air Force v v Park Royal v Parle Biscuits v Mother Diary v Hyatt Regency v Le-Meridian |
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No. of
Employees : |
300 |
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Bankers
: |
v
State Bank of Bikaner & Jaipur, Lawrence Road, New Delhi-110035 v State Bank of Bikaner &
Jaipur, Jaipur, Rajasthan v State Bank of Saurashtra, v State Bank of v UTI Bank Limited v Punjab National Bank |
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Facilities: |
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Banking Relations : |
Good |
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Auditors
: |
Brijendra
& Company |
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Qualification; |
Chartered
Accountants |
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Address
: |
76, Darya
Ganj, |
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Affiliates
: |
v
API Associates Private Limited, v
API Polymers India Limited, v
Mahan Plastic Private Limited, v
v
Micro Industrial Corporation, v Microtek International Limited, |
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Associates
: |
Nikhil Footwears Private Limited Kundli Tel. No: 91-23657248, 23657258, 55450423, 55450425 Ajay Plastic Industries Micro Industrial Corporation API Polymers India Private Limited Action International Private Limited Action Footwear Private Limited |
CAPITAL
STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
50000 |
Equity
Shares |
Rs. 100/- |
Rs.5.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
43000 |
Equity
Shares |
Rs. 100/- |
Rs.4.300 millions |
FINANCIAL
DATA
[all
figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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|
SHAREHOLDERS
FUNDS |
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|
|
|
|
1] Share
Capital |
4.300 |
4.300 |
4.300 |
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2]
Reserves & Surplus |
592.966 |
553.350 |
528.347 |
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NETWORTH
|
597.266 |
557.650 |
532.647 |
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LOAN
FUNDS |
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|
1]
Secured Loans |
86.191 |
122.417 |
36.713 |
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2]
Unsecured Loans |
52.337 |
38.719 |
62.314 |
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TOTAL
BORROWING
|
138.528 |
161.136 |
99.027 |
|
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DEFERRED
TAX LIABILITIES |
4.138 |
7.330 |
7.796 |
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TOTAL
|
739.932 |
726.116 |
639.470 |
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APPLICATION OF FUNDS
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FIXED ASSETS [Net Block]
|
92.650 |
105.169 |
115.232 |
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Capital work-in-progress
|
12.546 |
7.258 |
3.210 |
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Capital Goods in Transit
|
0.000 |
0.236 |
0.640 |
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INVESTMENT
|
0.473 |
0.370 |
0.737 |
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DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES
|
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Inventories
|
167.296
|
178.319
|
214.482
|
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Sundry Debtors
|
278.177
|
316.991
|
306.863
|
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Cash & Bank Balances
|
21.909
|
103.637
|
87.464
|
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Other Current Assets
|
0.000
|
0.000
|
0.000
|
|
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Loans & Advances
|
329.073
|
266.640
|
203.358
|
Total Current Assets
|
796.455
|
865.587
|
812.167 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
133.845
|
235.839
|
280.249
|
|
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Provisions
|
28.347
|
16.665
|
12.267
|
Total Current Liabilities
|
162.192
|
252.504
|
292.516 |
|
Net
Current Assets
|
634.263
|
613.083
|
519.651 |
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MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
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TOTAL
|
739.932 |
726.116 |
639.470 |
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PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales
Turnover |
960.773 |
|
1000.575 |
|
|
Other Income |
11.520 |
13.712 |
|
|
|
Total Income |
972.293 |
940.084 |
1000.575 |
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Profit/(Loss) Before Tax |
64.746 |
41.221 |
38.369 |
|
|
Provision for Taxation |
25.130 |
16.219 |
11.352 |
|
|
Profit/(Loss) After Tax |
39.616 |
25.002 |
27.017 |
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Total Earnings |
NA |
1.827 |
34.724 |
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Total Imports |
NA |
69.614 |
91.151 |
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Expenditures : |
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Interest |
8.371 |
7.464 |
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Depreciation & Amortization |
28.436 |
31.950 |
979.604 |
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Other Expenditure |
833.933 |
820.034 |
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Total Expenditure |
870.740 |
859.448 |
979.604 |
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KEY
RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
PAT / Total Income
|
(%)
|
4.07
|
2.66
|
2.70 |
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|
Net Profit Margin
(PBT/Sales) |
(%) |
6.66
|
4.38
|
0.04 |
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|
Return on Total Assets
(PBT/Total
Assets} |
(%) |
7.28
|
4.21
|
4.12 |
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|
Return on Investment (ROI)
(PBT/Networth) |
|
0.11
|
0.07
|
0.07 |
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|
Debt Equity Ratio
(Total
Liability/Networth) |
|
0.50
|
0.74
|
0.74 |
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|
Current Ratio
(Current
Asset/Current Liability) |
|
4.91
|
3.43
|
2.78 |
LOCAL
AGENCY FURTHER INFORMATION
Operations:
During the year under review their company has achieved
sales turnover of Rs. 926.372 Millions as against the Sales turnover of Rs. 1000.575
Millions last year and earned a net profit after tax of Rs. 25.030 Millions as
against a profit of Rs. 27.018 Millions in the last year.
Their Company had taken a step further in the
diversification process in the Real estate Business and promoted a company by
subscribing to the memorandum in consortium with other renowned Business Houses
in real estate business.
Dividend :
Even
though their company has achieved a turnover of Rs. 926.400 Millions and
profits of Rs. 25.003 Millions their Director regret to say that no dividend is
declared for the year ending 31.03.2005. The decision has been taken to keep
the funds for further expansion plants and diversification projects of the
company as stated above.
FIXED ASSETS:
Land,
Buildings, Plant & Machinery, Moulds & Dies, Generator, Electric
installation, Furniture & Fixture, Office Equipment, Weighing machine,
Vehicles, Cycles, Computers, Air Conditioners, Water cooler, Pump set etc.
Trade Terms With:
v
M.G. Polymers
& Compounding Company
v
N. K. Polymers
& Additives Manufacturing
v
Sanchit Polymers
v
Chandras
Chemical Enterprise Private Limited
v
Organo Vinyl
Private Limited
v
API Industrial
Corporation
FINANCIALS OF API POLYMER
INDIA PRIVATE LIMITED
|
Particulars |
|
31.03.2003 |
31.03.2002 |
|
Net
Worth |
|
108.983 |
104.413 |
|
|
|
|
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|
Sales
Turnover |
|
237.728 |
237.099 |
|
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Profit
Before Tax |
|
7.680 |
14.166 |
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Profit
After Tax |
|
4.570 |
9.118 |
ACTION GROUP PROFILE :
Subject is committed to growth. To ensure that the growth is
maintained along with a competitive edge, Action group has moved vertically as
well.
Subject implemented a backward integration strategy by entering into chemicals
and plastisizers business.
CHEMICAL AND PLASTISIZERS:
Their plant located at Daman for the manufacturing of PVC
compound, DOP, DBP, DOA, and DIDP etc. under the brand name API providing
employment opportunities in backward areas of
Conglomerate Diversification
Action is not only a leading brand in footwear, but also group has made
investments in various streams un-related to the existing line of business.
MICROTEK (COMPUTER PERIPHERALS
& POWER BACK UP)
Year 1986, Action in a joint venture entered into an altogether
different industry. Brand MICROTEK was launched in the Indian market.
Computer monitors (colored/mono), speakers, keyboards, mouse, motherboard, UPS,
cases, spikes, suppressor etc. are manufactured under this brand name.
Later on the company extends its product line and goes into the making of
INVERTERS and makes it presence in the power back up segment also.
Five manufacturing plants, more than 20 branch offices, 250 distributors and
over 2500 strong dealers besides its own showrooms, MICROTEK is the country’s
largest computer peripheral and inverter manufacturer.
Microtek manufacturing facilities have been awarded ISO 9002 certification. The
entire customer support activity is also ISO 9002 certified.
OKAYA (AUTOMOTIVE AND INDUSTRIAL BATTERIES)
Arrow International” has been promoted by multi crore
‘Microtek’ to give to the Indian consumers OKAYA world class Japanese Technology
batteries.
Batteries for all kind of cars, automobiles, heavy-duty trucks, motorcycles,
telecommunication systems, electric utilities etc are produced under the Brand
name OKAYA.
The
The company caters to both replacement market and original equipment
customers.
Another joint venture is in the REAL ESTATES under the name
Sun City Projects emerged with a mission to provide ‘International Quality
Housing, Leisure and Entertainment’ at affordable prices. Outcome was an
integrated township spread over 150 acres of land.
Sun City is also coming up with ‘North Square Mall’ (North Delhi) and ‘Cross
River Mall’ (The biggest in
“Affordable International Standard Retail Spaces”.
SRI BALAJI
ACTION MEDICAL INSTITUTE (HEALTH
CARE)
Action group has also stepped into the HEALTH CARE sector
and has recently opened Action Medical Institute in
Spread over 6 acres of landscaped sprawling grounds with 3 lacs square feet of
centrally air - conditioned built up area, mission of the group is to set up an
institute for providing - world class integrated health care facilities to all
sections of the society with a humanitarian touch, whilst maintaining high
standard of ethical practice and professional competency with emphasis on
training and education leading to research.
With a center of excellence in Cardiology, Pediatric, Gynecology, Nephrology,
Gastroenterology and Orthopedics, the Institute with over 25 medical
specialties and 400 beds will serve as a referral hospital for
Form 8 Particular for creation
or modification of charges
|
Name of the company |
NIKHIL FOOTWEARS PRIVATE LIMITED |
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|
Presented By |
Company & State Bank of Bikaner & Jaipur |
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|
1) Date and description of instrument creating the change |
Hypothecation Agreement dated 05.02.2001
and Registered on 16.02.2001 |
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2) Amount secured by the charge/amount owing on the
securities of charge |
Rs. 92.500Millions |
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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 |
All present and future goods book debts and all other
movables assets of the borrower including documents of title goods
outstanding moneys, receivables including receivables by way of cash
assistance and /or cash incentives under the cash Incentive scheme or any
other scheme claims including claims by way of refund of excise/ custom
duties under the Duty Draw Back Scheme, or any other scheme, bills, invoice,
documents, etc. belonging to or in
the possession or under the control of the borrower wherever lying stored and
kept shall be hypothecated to the bank by way of first charge. First charge on all the fixed assets of the company both
present and future W.D.V as on31.03.1999 is Rs. 189.809 Millions |
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|
4) Gist of the terms and conditions and extent and
operation of the charge. |
Rate of interest as may be determined by the Bank from time to time |
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5) Name and Address and description of the person entitled
to the charge. |
State Bank of Bikaner & Jaipur , Lowrence road, |
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|
6) Date and brief description of instrument modifying the
charge |
Supplemental hypothecation agreement for goods and assets
dated 27.07.2005 |
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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. |
Bank’s charge over stocks, book debts, and other movable assets
increased from Rs.92.500 Millions to Rs. 132.500 Millions.
|
|
Corporation
identity number or foreign company registrations number of the company |
U19201DL1987PTC026643 |
|
Name of
the company |
NIKHIL FOOTWEARS PRIVATE LIMITED |
|
Address |
G-11, Udyog Nagar, |
|
This Form
is for |
Creation of charge |
|
Type of
Charges |
Corporate Guarantees for facilities given to action |
|
Particular
of the charge holder |
State Bank of Saurashtra Andhra Association Buildiing, 24-25, Institutional Area, |
|
Nature or
description of the instrument creating charge |
Deed of guarantee for overall limit dated 12.04.2007
sanctioned to Action Ispat and Power Private Limited |
|
Date of
the instrument creating charge |
12.04.2007 |
|
Amount
Secure by the charge |
Rs.97.700 millions |
|
Brief of
the principal terms and conditions and extent and operation of the charge |
Rate of interest : Working capital facility given to action Ispat & Power
Private Limited (No direct finance to the company) Terms of repayment Repayable on demand Margin Working capital facility given to Action Ispat and Power
Private Limited (No direct finance to the company) Extent and operation of the charge Corporate guarantee in favour of State Bank of Saurashtra
for facilities given to Action Ispat and Power Private Limited |
|
Particulars
of the Property charged |
Corporate guarantee in favour of State Bank of Saurashtra
for facilities given to Action Ispat and Power Private Limited |
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.40.81 |
|
|
1 |
Rs.81.57 |
|
Euro |
1 |
Rs.54.91 |
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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--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
|
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 |