MIRA
INFORM REPORT
|
Report Date : |
26.03.2007 |
IDENTIFICATION
DETAILS
|
Name : |
HAZEL MERCANTILE
LIMITED |
|
|
|
|
Registered
Office : |
181, Ashoka
Centre, 2nd Floor, G. T. Hospital Complex, L. T. Road, Mumbai –
400 001, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2006 |
|
|
|
|
Date of
Incorporation : |
16.10.1995 |
|
|
|
|
Com. Reg. No.: |
11-93674 |
|
|
|
|
CIN No.: [Company
Identification No.] |
L51900MH1995PLC093674 |
|
|
|
|
TAN No.: [Tax Deduction
& Collection Account No.] |
MUMH05177E /
MUMH04309E |
|
|
|
|
Legal Form : |
A closely held
public limited liability company |
|
|
|
|
Line of
Business : |
Merchants,
traders, commission agents, buying agents, selling agents, brokers,
adapters, buyers, sellers, importers,
exporters and to trade and deal in goods, gems & jewellery, produce
articles and merchandise of any kind whatsoever and without prejudice to the
generality to the foregoing agricultural commodities, food grains cash crops,
cotton, tea, jute, coffee, fruit, spices, vegetables, flowers, milk, milk
products, meat, seeds, raw materials, required by industries, semi finished
products or industrial machinery equipments, chemicals intermediates,
electrical goods, black boards, plywood’s, laminated sheets, textile yarns
& fabrics, garments, furniture, minerals ores and oils as wholesaler or
retailers on the basis of ready delivery or forward contact or on commission
basis. |
RATING &
COMMENTS
|
MIRA’s Rating
: |
Ba |
RATING |
STATUS |
PROPOSED
CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable
to meet normal commitments. |
Satisfactory |
|
Maximum Credit
Limit : |
USD 2000000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour
: |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a
well-established trader. Directors are reported as experienced, respectable
and resourceful businessmen. Their trade relations are reported as fair. General
financial position is satisfactory. Payments are usually correct and as per
commitments. The company
can be considered normal for business dealings at usual trade terms and
conditions. |
LOCATIONS
|
Registered
Office : |
181, Ashoka Centre,
2nd Floor, G. T. Hospital Complex, L. T. Road, Mumbai – 400 001,
Maharashtra, India |
|
Tel. No.: |
91–22–2261 0282
(3 Lines) |
|
Fax No.: |
91–22–262 0553 |
|
E-Mail : |
indiafl@bom3.vsnl.net.in / corp@hmlindia.com / mktg@hmlindia.com |
|
Website : |
|
|
Area : |
Leased |
|
|
|
|
Marketing
Office : |
1410, Maker
Chambers V, Nariman Point, Mumbai – 400 021, Maharashtra |
|
Tel. No.: |
91-22-22832170 (5
Lines) |
|
Fax No.: |
91-22-22821605 |
|
E-Mail : |
|
|
|
|
|
Corporate
Office : |
701/712A, Embassy
Centre, Nariman Point, Mumbai – 400
021, Maharashtra |
|
Tel. No.: |
91-22-22824444
(12 Lines) |
|
Fax No.: |
91-22-22041411 (Logistics)/2282
4440 (General) |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Branches : |
·
Delhi ·
Kolkata,
West Bengal ·
Visakhapatnam,
Andhra Pradesh ·
Gandhidham,
Gujarat |
SOLE
PROPRIETOR/PARTNERS/DIRECTORS
|
Name : |
Mr. Nitin Kumar
B. Didwania |
|
Designation : |
Director |
|
Date of
Birth/Age : |
23rd
June 1974 |
|
Address : |
172, Kshitij, 47,
Napean Sea Road, Mumbai – 400036, Maharashtra |
|
|
|
|
Name : |
Ms. Sushmadevi D.
Didwania |
|
Designation : |
Director |
|
Date of
Birth/Age : |
30th
September 1955 |
|
Address : |
172, Kshitij, 47,
Napean Sea Road, Mumbai – 400036, Maharashtra |
|
|
|
|
Name : |
Mr. Vishal V.
Sukhani |
|
Designation : |
Director |
|
Date of
Birth/Age : |
15th
January 1976 |
|
Address : |
Prakash Bhavan, 3rd
Floor, Thakurdwar, C.P.Tank, Mumbai, Maharashtra |
KEY EXECUTIVES
|
Name : |
Mr. A. T.
Khemchandani |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names
of Shareholders |
No. of Shares |
|
Mr. Nitin Kumar
B. Didwania |
74,99,050 |
|
Mr. Vishal
Sukhani |
100 |
|
Ms. Sushma Devi
D. Didwania |
450 |
|
Mr. Ajay Jain |
100 |
|
Mr Yash Gala |
100 |
|
Mr. Saurabh
Sanghavi |
100 |
|
Mr. Sanjay Busa |
100 |
BUSINESS DETAILS
|
Line of
Business : |
Merchants,
traders, commission agents, buying
agents, selling agents, brokers, adapters, buyers, sellers, importers, exporters and to trade and deal in
goods, gems & jewellery, produce articles and merchandise of any kind
whatsoever and without prejudice to the generality to the foregoing
agricultural commodities, food grains cash crops, cotton, tea, jute, coffee,
fruit, spices, vegetables, flowers, milk, milk products, meat, seeds, raw
materials, required by industries, semi finished products or industrial
machinery equipments, chemicals intermediates, electrical goods, black
boards, plywood’s, laminated sheets, textile yarns & fabrics, garments,
furniture, minerals ores and oils as wholesaler or retailers on the basis of
ready delivery or forward contact or on commission basis. |
GENERAL
INFORMATION
|
Suppliers : |
·
Adnet Technologies
Private Limited ·
Balaji
Warehouse ·
Time Network
Express Service ·
United
Storage & Tank Terminal Limited ·
Kesar
Enterprises Limited ·
Essar
Refrigeration Company ·
Kamdar
Enterprises |
|
|
|
|
Customers : |
·
Aarti Drugs
Limited ·
Ashok
Company ·
Aimco Pesticides ·
B. K. Oil
& Solvents ·
Chetan
Overseas Private Limited ·
Climax
Trading Company ·
Bayer India
Limited ·
Deepanshu
Impex ·
Ion Exchange
(India) Limited ·
Kamal
Industry ·
Kejriwal
Paper Limited ·
J. B.
Khokhani & Company ·
Mahalaxmi
Dyes & Chemicals ·
Modi Enterprises ·
Ransat
Services Limited ·
Ratanguru
Stainless International ·
R. K.
Enterprises ·
Sheetla Maa
Trading Company ·
Sum Beam
Trading Inc. ·
Thermax
Limited ·
Vam Organic
Chemicals Limited ·
Shree
Nealkanth Overseas ·
United
Phosphorus Limited |
|
|
|
|
No. of Employees
: |
70 |
|
|
|
|
Bankers : |
Corporation Bank,
Mumbai UCO Bank, Mumbai Union Bank of
India, Mumbai Federal Bank,
Mumbai Jankalyan
Sahakari Bank Limited, Mumbai Global Trust
Bank, Mumbai Punjab National Bank,
General J. Bhosale Marg, Nariman Point, Mumbai – 400 021, Maharashtra (The company
enjoys overdraft facility from it’s bankers) State Bank of
India, Fort Branch, 214, D. N. Road, Mumbai – 400 001, Maharashtra |
|
|
|
|
Banking Relations : |
Satisfactory |
|
|
|
|
Auditors : |
Shabbir S.
Dagasrawala Chartered
Accountant Office No. 8, 1st
Floor, Narayan Niwas, 63, Aarey Road, Goregaon (West), Mumbai – 400 062,
Maharashtra Tel. No. :
91-22-28739939 |
|
|
|
|
Associates : |
·
Priceless Investment
Private Limited ·
Sanman Trade
Impex Private Limited No. 1-A, Shahnaz, 90, Napeansea Road, Mumbai, Maharashtra |
|
|
|
|
Parents
Company : |
India Fintrade
Limited - The company carries out its import activities through its affiliate company
i.e. subject company which is located in L. T. Road, a prime market for
trading of metals, industrial chemicals and petro-chemicals which enable the
company to have a feel of the market and be with it at all times. The company
itself is open and is quite competent to trade in all kinds of materials like
specific, sensitive requirement of Government sector and Public Sector
Undertakings. It has in the past
provided service to specific technical requirements of government
organizations like Indian Navy / ONGC etc. |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
100,00,000 |
Equity Shares |
Rs. 10/- each |
Rs. 100.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
75,00,000 |
Equity shares |
Rs. 10/- each |
Rs. 75.000 millions |
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 |
75.000 |
75.000 |
75.000 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves &
Surplus |
482.600 |
362.800 |
263.700 |
|
NETWORTH
|
557.600 |
437.800 |
338.700 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
135.600 |
83.300 |
49.700 |
|
|
2] Unsecured
Loans |
34.400 |
10.600 |
14.000 |
|
TOTAL BORROWING
|
170.000 |
93.900 |
63.700 |
|
|
DEFERRED TAX
LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
727.600 |
531.700 |
402.400 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
134.600 |
6.200 |
7.600 |
|
Capital work-in-progress
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
INVESTMENT
|
1.700 |
1.200 |
1.100 |
|
DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS &
ADVANCES
|
|
|
|
|
|
|
Inventories
|
400.700 |
309.600 |
217.600 |
|
|
Sundry Debtors
|
1170.200 |
878.000 |
629.200 |
|
|
Cash & Bank Balances
|
125.600 |
124.900 |
71.800 |
|
|
Loans & Advances
|
212.800 |
33.400 |
30.800 |
Total Current Assets
|
1909.300
|
1345.900 |
949.400 |
|
Less :
CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
1309.300 |
815.900 |
552.600 |
|
|
Provisions
|
10.200 |
7.500 |
3.700 |
Total Current Liabilities
|
1319.500 |
823.400 |
556.300 |
|
Net Current Assets
|
589.800 |
522.500 |
393.100 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
1.500 |
1.800 |
0.600 |
|
|
|
|
|
|
|
TOTAL
|
727.600 |
531.700 |
402.400 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
4108.000 |
2860.000 |
2211.500 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
141.800 |
103.300 |
87.400 |
Provision for Taxation
|
19.800 |
2.500 |
1.600 |
Profit/(Loss) After Tax
|
122.000 |
100.800 |
85.800 |
|
|
|
|
|
Export Value
|
N.A. |
N.A. |
456.768 |
|
|
|
|
|
Import Value
|
N.A. |
N.A. |
995.026 |
|
|
|
|
|
Total Expenditure
|
3966.200 |
2766.000 |
1247.756 |
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity Ratio |
0.27 |
0.20 |
0.37 |
|
Long Term Debt Equity Ratio |
0.27 |
0.20 |
0.37 |
|
Current Ratio |
1.52 |
1.66 |
1.87 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
54.60 |
359.01 |
209.13 |
|
Inventory |
11.28 |
10.83 |
11.49 |
|
Debtors |
3.91 |
3.79 |
3.88 |
|
Interest Cover Ratio |
3.99 |
3.19 |
5.72 |
|
Operating Profit Margin (%) |
4.76 |
5.33 |
4.90 |
|
Profit Before Interest and Tax Margin (%) |
4.73 |
5.27 |
4.80 |
|
Cash Profit Margin (%) |
3.08 |
3.59 |
3.98 |
|
Adjusted Net Profit Margin (%) |
3.05 |
3.53 |
3.89 |
|
Return on Capital Employed (%) |
30.14 |
32.29 |
26.21 |
|
Return on Net Worth (%) |
24.51 |
25.96 |
28.95 |
LOCAL AGENCY
FURTHER INFORMATION
It’s products range
include :-
·
Mugs
·
Metals
·
Paper
·
Chamicals
·
Plastics
·
Pharma
·
Marine
During the year
under the report the company has registered itself with Kandla special economic
zone (KSEZ) and with software technology parts of India (STPI) so as to carter
to the overseas market in professional manner, using the infrastructure
provided by these special zones. By which success in marketing of software
products conceived and developed by the experienced and dedicated staff of the
company was possible.
Profile
Subject is a young,
dynamic multifaceted trading organisation based in Mumbai, the commercial
capital of India, dealing in a broad spectrum of products and services. Strong
capital backing, highly proficient risk management capabilities, aggressive
business development arms, the capacity to tap new emerging markets with
relative ease and a motivated reservoir of intellectual capital combine to give
us an edge over the competition. Drawing on our resources across industries, we
are able to integrate our expertise from different arenas to device otherwise
elusive solutions to customer requirements.
The company has associated
offices in Singapore, London and Dubai, as well as branch offices in most
Indian metropolises, each equipped with state of the art Management Information
Systems. With a highly motivated team of 120 professionals and with storage
& distribution facilities spread across the country, it strive to service
suppliers, dealers and customers with unparalleled efficacy.
The scope of Business covers :-
Imports :- Chemicals,
Petrochemicals, Polymers, Pharmaceuticals, Metals, Dyes & Dye
Intermediates.
Exports :- Paper & Its Auxiliaries, Chemicals &
Ceramics
Manufacturing :- Ceramic products, Chinaware & Paper Products.
Trade Finance :- Structuring of trade debts, Securitisation.
New Ventures
With the new world riding
on the wave of Information Technology, we have gauged its immense potential
& have made an entry into this field by developing database management
software. Datamining Application tools & Business Intelligence software for
some clients in Singapore & India.
It undertaken
manufacturing of Pharmaceutical Products in a neighboring country.
The company have made
forays into specific areas of Infrastructure & are involved in prestigious
Government Contracts.
A key area of growth over
the last few years has been the import and distribution of chemicals and
petrochemicals, positioning amongst India's foremost market makers.
The cultivation of a close
rapport with each of suppliers as well as customer base has been instrumental
to our growth, keeping us abreast of shifting supply concerns as well as
formulating a set of protocol to ensure that any and all prevalent demand is
met in a timely fashion.
Logistics team is highly
conversant in delivery time optimization, having considered relevant factors
such as costs, clearing, storage, distribution, etc.
The company presently
maintain two prime logistical hubs which are fully equipped with state of the
are storage terminals & warehousing facilities at Kandla, Gujrat and Nhavasheva,
Mumbai, to facilitate distribution.
The company represent some
of the global conglomerates for their distribution in India. We regularly
import from companies like ICC, IPCC, Sumitomo, Exxon Mobil, Petrochem, SABIC,
Itochu, OCI Corporation, Aekyung, Kolmar, PetroSA just to name a few and
distribute to leading Indian corporates & multinationals.
An
overview of the major products are deal in:-
|
CHEMICALS |
|
|
Alcohols |
ISO
Propanol, N-Butanol, Iso Butanol, Methanol, Ethanol-96 / 99.9%, 2-Ethyl Hexanol,
Mossatanol L, 120 |
|
Chlorinated Solvents |
Methylene
Chloride, Trichloroethylene, Perchloroethylene |
|
Ethanolamines |
Monoethanolamine,
Diethanolamine, Triethanolamine-85% / 99.9% |
|
Esters |
Ethyl
Acetate, Butly Acetate |
|
Glycols |
Mono-Ethylene,
Di Ethylene |
|
Glycol
Ethers |
Ethyl
Glycol, Butyl Glycol |
|
Hydrocarbons |
Xylene,
Toulene, Solvent Naphtha |
|
Ketones |
Acetone,
MEK, MIBK, Cyclohexanone |
|
Monomers |
Butyl
Acrylate, Styrene, Vinly Acetate |
|
Oleochemicals |
Fatty
acids, Glycerine, Straric Acids & Rubber Grade |
|
Plasticizers |
Di
Butyl Pthalate, Di Octyl Phthalate |
|
Other
Chemicals |
Phthalic
Anhydride, Maleic Anhydride, Acetic Acid, Pentaerythritol, Phenol, Titanium
Dioxide, Paraffin Wax, Dyes & Dye Intermediates. |
|
METALS |
|
|
Non Ferrous |
Copper,
Nickel, Tin, Aluminium, Zinc, Lead. |
|
Ferrous |
HMS
I/II, CR/HR Coils, H/I Beam, Rails, Stainless Steel, etc. |
|
POLYMERS |
|
HDPE, LDPE,
LLDPE, HIPS, GPPS, PP, PVC, ABS |
|
PAPER |
|
Hardwood
Pulp, Softwood Pulp, Coated Paper & Board, Inkjet Paper, Copier Paper. |
CERAMICS:
The company supply premium quality Chinaware Dinnerware & Ceramic Giftware
items manufactured in an ISO 9002 certified manufacturing facilities and
are amongst the largest exports of Ceramic Mugs & Dinnerware from India.
The company also deal in Ceramic Tiles and sanitary Ware. It’s products are FDA
approved & find acceptance in UK, Middle East, Asia and Australia &
South Africa.
Trade Finance
The financial
services division, India Fintrade Limited (IFL), is committed to the
facilitation of trade through its affiliations which include major respectable
banks and other financial institutions (both in India and overseas.)FL offers
structured trade finance in the form of commercial and term borrowing backed by
supply/purchase of goods, factoring and securitizing receivables, advances
against assured performance amongst other services. Today, we are among the
leading players in structured finance in India.
Emerging Market
India, with its
inherent qualities & a rapidly growing economy, has become one of the
fastest emerging markets in the world. Due to its low cost manufacturing &
excellent quality of products, India has become an ideal sourcing base and with
all the major corporate worldwide wanting to ser up operations here, it is one
of the most promising markets of the future.
Subject, with
its vast exposure & excellent infrastructure, is currently sourcing for
some of the biggest names in the Chemical, Petrochemical & Paper Industry
worldwide & provides a platform
The company's fixed
assets of important value include air conditioner, camera, computer, fax
machine, furniture & fixtures, motor car, television set, xerox machine and
motor cycle.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
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.43.39 |
|
UK Pound |
1 |
Rs.85.16 |
|
Euro |
1 |
Rs.57.60 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--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 |
|
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
|
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 |
|