MIRA
INFORM REPORT
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Report Date : |
29.06.2007 |
IDENTIFICATION DETAILS
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Name : |
G G FABRICS |
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Registered Office : |
F – 224, Phase VIII, Focal Point, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
2003 |
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IEC No.: |
3005007367 |
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PAN No.: [Permanent
Account No.] |
AHEPD5199A |
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Legal Form : |
Sole Proprietory Concern |
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Line of Business : |
Manufacturers of Fabrics and Yarns. |
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 14000 |
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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. Proprietor is reported as
experienced and respectable businessman.
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 / Factory: |
F – 224, Phase VIII, Focal Point, |
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Tel. No.: |
91-161-3292561 |
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Mobile No.: |
91-9888803263 |
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Fax No.: |
91-161-2670561 |
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E-Mail : |
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Website : |
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Area : |
45000 Sq. fts. |
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Location : |
Owned |
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Branches : |
7098 Gurunanak Gali, Gandhi Nagar, |
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Mobile No.: |
91-9316075127 |
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Area : |
4500 Sq. fts. |
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Location : |
Owned |
SOLE PROPRIETOR
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Name : |
Mr. Nitin Dawar |
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Designation : |
Proprietor |
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Date of Birth/Age : |
24.12.1984 |
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Qualification : |
Higher Secondary |
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Experience : |
4 years |
KEY EXECUTIVES
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Name : |
Mr. Ramesh Kumar |
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Designation : |
Key Personnel |
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Mobile No.: |
91-9316075127 |
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Name : |
Mr. Vinay Dawar |
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Designation : |
Key Personnel |
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Mobile No.: |
91-9872921196 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers of Fabrics and Yarns. |
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Products : |
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All Types of Knitted Cloth and Readymade Garments v
Fabrics – Tearry, Poller, Butter Scoth, Feather Touch,
etc v
Yarns – Spurn, Polyester, Cotton, P. C., etc. |
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Imports : |
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Products : |
Raw Wool |
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Countries : |
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Terms : |
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Selling : |
L/C |
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Purchasing : |
Advance |
PRODUCTION STATUS
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Products |
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Actual
Production |
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Fabrics and Zeen Pents |
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As Per Demand |
GENERAL INFORMATION
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Customers : |
Wholesalers, Local Customers and End Users |
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No. of Employees : |
30 (Office: 10; Factory: 20) |
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Bankers : |
Standard Chartered Bank Feroz Gandhi Market, |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
R K Gambhir and Company Chartered Accountants |
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Address : |
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CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 3.500 millions |
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Borrowed : |
- |
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Total : |
Rs. 3.500 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
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PROPRIETORS FUNDS |
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1] Proprietor’s Capital |
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1.066 |
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2] Share Application Money |
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0.000 |
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3] Reserves & Surplus |
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0.000 |
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4] (Accumulated Losses) |
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0.000 |
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NETWORTH |
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1.066 |
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LOAN FUNDS |
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1] Secured Loans |
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0.692 |
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2] Unsecured Loans |
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1.318 |
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TOTAL BORROWING |
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2.010 |
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DEFERRED TAX LIABILITIES |
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0.000 |
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TOTAL |
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3.076 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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4.715 |
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Capital work-in-progress |
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0.000 |
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INVESTMENT |
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0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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2.435 |
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Sundry Debtors |
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0.308 |
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Cash & Bank Balances |
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0.637 |
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Other Current Assets |
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0.035 |
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Loans & Advances |
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0.097 |
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Total
Current Assets |
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3.512 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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3.970 |
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Provisions |
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1.181 |
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Total
Current Liabilities |
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5.151 |
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Net Current Assets |
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(1.639) |
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MISCELLANEOUS EXPENSES |
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0.000 |
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TOTAL |
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3.076 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
20.000 |
17.900 |
16.300 |
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Profit for the year |
1.050 |
0.965 |
0.950 |
KEY RATIOS
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PARTICULARS |
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31.03.2006 |
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Debt Equity Ratio (Total Liability/Networth) |
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6.72 |
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Current Ratio (Current Asset/Current Liability) |
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0.68 |
LOCAL AGENCY FURTHER INFORMATION
Trade References
v
Dhan – Laxmi Synthetic Limited,
Website details attached
Profile
With total commitment to quality, innovation and customer service;
they have produced the finest quality fabrics and continue to do so through
innovation and design. They were established in the year 2003, with a modest
beginning, however with a big dream to realize. Today, they have turned
theirselves into one of the leading brands in the industry. They have spread
the golden horizon of their business throughout the globe, and established
theirselves as an internationally acclaimed manufacturer, exporter,
importer and supplier of
All Types of Knitted Cloth & Readymade Garments and a wide range of
Fabrics and Yarns. The reason behind this extent of success
that they have earned is their dedication, hard work and their passion for
fashion. They dedicate theirselves to serve you with world class quality
products, work hard to meet your exact requirements, and have an inherent
passion for the latest and innovative trends in the ever changing world of
fashion.
Products they manufacture are the
creations of their dedicated team of fashion designers, who, being assisted by
cutting edge technology, work round the clock to bring into existence, their
amazing creations and world class fabrics and yarns. Subject is the
manufacturer, exporter, importer and supplier of the following range of
products-
- All Types of
Knitted Cloth and Readymade Garments
- Fabrics- Tearry,
Poller, Butter Scoth, Feather Touch, etc.
- Yarns- Spurn,
Polyester, Cotton, P.C., etc.
Quality
They believe that continual and sustained quality
improvement is the one and only source to earn success in this highly
competitive market environment. Regarding quality as a serious matter under
operation, they try their best to ensure the highest levels of all aspects of
quality in their each and every product. They procure fabrics and yarn from
highly reliable sources, supply them to their clients, and use the same high
quality materials for manufacturing their garments. In addition, these products
are thoroughly tested at every stage of the manufacturing process. Such quality
control measures help us to run a successful business and earn complete
satisfaction of their customers.
Infrastructure
They are of the belief that the performance of any
organization is highly dependent upon its infrastructure. Without a sound and
solid infrastructural base, it is not possible to perform efficiently, serve
better and earn more success. Subject is fortunate enough in this aspect, and
has a robust infrastructure which enables it to perform all the business
operations swiftly and stamped by success. Involving the cutting edge
technology in the manufacturing process along with a well built network for
timely delivery, from advanced quality checking facility to ultra modern
quality testing lab- they are equipped with everything. Such a strong backbone
of their business helps us to be always at the top of performance and success
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. 40.84 |
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1 |
Rs. 81.81 |
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Euro |
1 |
Rs. 55.03 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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PAID-UP CAPITAL |
1~10 |
5 |
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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 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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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 |
NO |
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--AFFILIATION |
YES/NO |
NO |
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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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45 |
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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