MIRA
INFORM REPORT
|
Report Date : |
23.04.2007 |
IDENTIFICATION DETAILS
|
Name : |
SHREE RENUGA TEXTILES LIMITED |
|
|
|
|
Registered Office : |
Shri Renuga Ginning
& Oil Mills Premises, No. 87, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2006 |
|
|
|
|
Date of Incorporation : |
27.06.1979 |
|
|
|
|
Com. Reg. No.: |
7868 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U17111TN1979PLC007869 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
JPRB01487D |
|
|
|
|
Legal Form : |
A public limited liability company. The company's shares are listed on the Stock Exchanges. |
|
|
|
|
Line of Business : |
Manufacturing and selling of fabrics, towels, grey cloth, etc. |
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 1900000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well established company having satisfactory track. Trade
relations are fair. Financial position is average. Payments are reported as
slow but correct. The company can be considered for small to mediocre business dealings
at usual trade terms and conditions. |
LOCATIONS
|
Registered Office : |
Shri Renuga Ginning
& Oil Mills Premises, No. 87, |
|
Tel. No.: |
91-4546-265730-35 |
|
Fax No.: |
91-4546-264006/ 265006 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
Shared with associates having total built up area
admeasuring about 50,000 sq.fts. (Owned) |
|
|
|
|
Administrative Office : |
P B. No. 26, Theni - 625 531, Tamilnadu |
|
Tel. No.: |
91-4546-272812 / 272738 |
|
Fax No.: |
91-4546-272182 |
|
E-Mail : |
|
|
|
|
|
Factory 1 : |
weaving unit
|
|
|
|
|
|
|
|
Factory 2 : |
soft-x towels division
Mariamman Kovil Patty, Theni – 626531, Tamilnadu |
|
Tel. No.: |
91-4546-272812 / 272738 / 272758 / 272282 |
|
Fax No.: |
91-4546-272182 |
|
Telefax No.: |
0081-4415-272182 |
|
|
|
|
Factory 3 : |
FlashTech Enviro Systems 30, |
|
Tel. No.: |
91-4546-262344 |
|
Fax No.: |
91-4546-262346 |
|
E-Mail : |
|
|
|
|
|
Branches : |
87, |
DIRECTORS
|
Name : |
Mr. R N Jagadeesan |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. K Kaliraj |
|
Designation : |
Whole time Director |
|
|
|
|
Name : |
Mr. N R Manivannan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. L Kamalakkannan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. J Ramnarayan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K Amarnath |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. C T Muthuraman |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S S Vanangamudi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R Naveeneethakrishnan |
|
Designation : |
Director |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and selling of fabrics, towels, grey cloth, etc. |
|
|
|
|
Exports : |
|
|
Countries : |
Europe and |
|
|
|
|
Terms : |
|
|
Selling : |
L/C or Documents through Bank |
|
|
|
|
Purchasing : |
Credit (upto 30 days) |
GENERAL INFORMATION
|
Suppliers : |
Shri Renuga Textiles Private Limited, Theni – 626531, Tamil Nadu |
|
|
|
|
No. of Employees : |
About 500 |
|
|
|
|
Bankers : |
Ø
State Bank of Ø ICICI Bank Limited, Chennai, Tamilnadu (The company enjoys facilities such as foreign currency loans, working capital, bills payable, hire purchase loan, public deposits, short term loans, etc. of Rs. 518.585 millions.) Ø Karur Vysya Bank Limited, Theni, Tamilnadu Ø Tamilnad Mercantile Bank Limited, Theni, Tamilnadu |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Mr. S. Srinivasan Chartered Accountant |
|
Address : |
Theni, Tamilnadu |
|
|
|
|
Associates : |
Ø Shri Renuga Spintex Fabrics Limited Ø Durgesh Nandhini Oil Mills Ø Shri Renuga Ginning & Oil Mills Ø Visagan Transport Corporation Ø Shri Renuga Refineries Private Limited Ø R N Credit & Investments Limited Ø Apex Exports (Private) Limited Ø Apex Oxalates Private Limited |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
6000000 |
Equity Shares |
Rs. 10/- each |
Rs. 60.000 millions |
|
400000 |
Preference shares |
Rs. 100/- each |
Rs. 40.000 millions |
|
|
Total |
|
Rs. 100.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5460000 |
Equity Shares |
Rs. 10/- each |
Rs. 54.600
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 |
54.600 |
54.600 |
54.600 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
432.000 |
389.200 |
402.700 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
486.600 |
443.800 |
457.300 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
988.400 |
677.000 |
726.200 |
|
|
2] Unsecured Loans |
25.500 |
35.300 |
33.900 |
|
|
TOTAL BORROWING |
1013.900 |
712.300 |
760.100 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1500.500 |
1156.100 |
1217.400 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
752.900 |
569.700 |
531.800 |
|
|
Capital work-in-progress |
29.400 |
0.000 |
22.200 |
|
|
|
|
|
|
|
|
INVESTMENT |
9.700 |
28.100 |
9.700 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
556.400
|
467.700 |
468.900 |
|
|
Sundry Debtors |
350.000
|
239.800 |
224.100 |
|
|
Cash & Bank Balances |
69.800
|
84.700 |
39.200 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
146.100
|
83.800 |
89.600 |
|
Total
Current Assets |
1122.300
|
876.000 |
821.800 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
395.300
|
299.400 |
141.200 |
|
|
Provisions |
24.700
|
26.500 |
36.000 |
|
Total
Current Liabilities |
420.000
|
325.900 |
177.200 |
|
|
Net Current Assets |
702.300
|
550.100 |
644.600 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
6.200 |
8.200 |
9.100 |
|
|
|
|
|
|
|
|
TOTAL |
1500.500 |
1156.100 |
1217.400 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
1303.000 |
1238.200 |
1177.300 |
|
|
Other Income |
24.300 |
37.600 |
35.900 |
|
|
Total Income |
1327.300 |
1275.800 |
1213.200 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
61.200 |
56.900 |
60.700 |
|
|
Provision for Taxation |
13.300 |
19.000 |
13.900 |
|
|
Profit/(Loss) After Tax |
47.900 |
37.900 |
46.800 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Cost of Goods Sold |
|
|
|
|
|
Manufacturing Expenses |
229.000 |
185.000 |
197.300 |
|
|
Administrative Expenses |
91.000 |
80.200 |
84.300 |
|
|
Raw Material Consumed |
587.100 |
587.800 |
531.800 |
|
|
Salaries, Wages, Bonus, etc. |
87.500 |
78.900 |
74.400 |
|
|
Interest |
57.900 |
49.000 |
52.900 |
|
|
Power & Fuel |
112.300 |
125.200 |
123.400 |
|
|
Depreciation & Amortization |
94.100 |
93.100 |
81.900 |
|
|
Other Expenditure |
7.200 |
19.700 |
6.500 |
|
Total Expenditure |
1266.100 |
1218.900 |
1152.500 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2006 |
30.09.2006 |
31.12.2006 |
|
Sales Turnover |
297.400 |
377.800 |
284.300 |
|
Other Income |
8.300 |
7.900 |
22.400 |
|
Total Income |
305.700 |
385.700 |
306.700 |
|
Total Expenditure |
256.900 |
323.400 |
253.200 |
|
Operating Profit |
48.800 |
62.300 |
53.500 |
|
Interest |
14.300 |
22.100 |
19.000 |
|
Gross Profit |
34.500 |
40.200 |
34.500 |
|
Depreciation |
2.7.200 |
24.200 |
24.200 |
|
Tax |
0.000 |
0.000 |
0.000 |
|
Reported PAT |
7.300 |
16.000 |
10.300 |
200606 Quarter 1
Notes
EPS is Basic 1. The above financial results after their review by the audit
committee were approved and taken on record by the Board of directors in their
meeting held on July 31,2006. 2.Previous periods figures have been
regrouped/reclassified wherever necessary to confirm to current period's
classification 3. Provision for the taxation will be considered at the end of
the year. 4. There were no complaints from investor outstanding at the
beginning of the quarter and no complaints were received during the quarter
ended June 30,2006. 5. In accordance with the requirements of clause 41 of the
listing agreement with the Stock Exchange ,the financial results of the quarter
ended June 30,2006 have been reviewed by the Statutory auditors of the company.
200609 Quarter 2
Notes:
EPS is Basic 1. The above financial results after their review by the
Audit Committee were approved and taken on record by the Board of Director in
their meeting held on 30th November, 2006. 2. Previous period's figures have
been re-grouped/recasted wherever necessary to confirm to current period's
classification. 3. Provision for the taxation will be considered at the end of
the year. 4. Provision for the fringe benefit tax will be considered at the end
of the year. 5. There were no complaints from investors outstanding at the
beginning of the quarter and no complaints were received during the quarter
ended September 30, 2006. 6. Financial figures of Soft-X Inc,
200612 Quarter 3
Notes:
1. The above financial results after their review by the Audit Committee
were approved and taken on record by the Board of Directors in their meeting
held on 31st January, 2007. 2. Previous period's figures have been
re-grouped/recasted wherever necessary to confirm to current periods
classification. 3. Provision for the taxation will be considered at the end of
the year. 4. Provision for the fringe benefit tax will be considered at the end
of the year. 5. Promoters and their associates have brought Rs.150 Millions
towards Preference Share Capital. Preference Shares are yet to be allotted
subject to completion of formalities. 6. Financial figures of Soft-x Inc.,
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt-Equity Ratio |
1.86 |
1.63 |
1.67 |
|
Long Term Debt-Equity Ratio |
0.86 |
0.69 |
0.70 |
|
Current Ratio |
1.19 |
1.25 |
1.35 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
1.02 |
1.12 |
1.17 |
|
Inventory |
2.54 |
2.64 |
2.68 |
|
Debtors |
4.42 |
5.34 |
5.36 |
|
Interest Cover Ratio |
2.06 |
2.43 |
2.15 |
|
Operating Profit Margin(%) |
16.36 |
17.13 |
16.61 |
|
Profit Before Interest And Tax Margin(%) |
9.14 |
9.61 |
9.65 |
|
Cash Profit Margin(%) |
10.90 |
11.28 |
10.93 |
|
Adjusted Net Profit Margin(%) |
3.68 |
3.76 |
3.98 |
|
Return On Capital Employed(%) |
9.02 |
10.10 |
9.87 |
|
Return On Net Worth(%) |
10.57 |
10.63 |
10.83 |
STOCK PRICES
|
Face Value |
Rs.10.00/- |
|
High |
Rs.20.00 |
|
Low |
Rs.20.00 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY
The company was incorporated on 12th October,
1989 as a Private Limited Company at Theni in Tamil Nadu having Company
Registration Number 18159. The company
became a public limited liability company with effect from 20th
February, 1991. During 1997-98, it
became a division of Shri Renuga Textiles Limited.
It established a separate yarn dyeing unit which started
functioning in December, 1995. The
capacity of plant is 2500 kgs per day.
The company increased its yarn dyeing capacity by 1000 kgs.
per day during 1996-97. It also installed six knitting machines with a capacity
of 2250 kgs per day and decided to diversify its activities by manufacturing
sewing threads. It installed 12
additional terry looms and 12 jacquard looms to strengthen the working of the
terry towel division. To augment the long term resources 0.3 million NCDs of
Rs. 100 each were issued to the Life Insurance Corporation of India, General
Insurance Corporation of
The company made a good progress in the export market during
1995-96 and continued to concentrate on exports and planning to intensify and
increase the production of value added products in the year 1999-2000.
The company has implemented 4.5 MW Co-generation power plant
(Bio-mass). This project was financed by ICICI Term Loan of Rs. 110.00
millions. Under Technology Upgradation Fund Scheme the company completed a
expansion programme through purchase of new machinery for both the division.
During the year 2001-02 the company has also subscribed for 9% Cumulative
Redeemable Preference Shares to the extent of Rs. 12.00 millions. This was done
by the promoters, in order to strengthen the capital structure of the company.
BUSINESS
The company is engaged in manufacturing and selling of
fabrics, towels, grey cloth, etc.
The company is equipped with own facilities for weaving,
dyeing, processing, etc.
In 2005-06 the company registered a turnover of Rs.1256.692
millions as against Rs.1182.702 millions in 2004-2005. The cotton yarn sales
showed a significant growth about 20% on account of increase in productivity
495000 kgs.
Company
performance:
The Company has been in the textile yarn industry for more than two decades.
The company has completed the modernization program started in the earlier year
under TUF scheme in spinning unit during the year under review. By this
modernization the company has reached a spindle capacity of 63976 nos, along
with 384 Rotors. The Towels Division has 36 state-of-the-art wider width looms
and processing equipment. The yarn Dyeing Division with its Microprocessor
controlled Dyeing Machines has an installed capacity of 3000 kgs per day. The
modernization efforts combined with balancing equipments designed to add value
to the products started paying dividends during the year under review. The
company has increased its productivity by engaging its sister concern having spindle
capacity of 31712 on job work basis. The total spindles worked under the year
review were 95688 nos.
The company has also setup three wind energy turbines of 1.50 MW at a cost of
Rs.82.000 millions in Tenkasi Taluk of Tirunelveli District. These three wind
energy turbines along with the existing 4.50 MW captive power plant have proved
to be beneficial.
During the year under review, the company has maintained the export turnover
about Rs.400 millions despite the drop of one of the customer based at
The company has added few of the new overseas customers for the terry towels in
the last year and also negotiating with the prospective overseas customers. The
export market for the current year is encouraging and hopefully both for the
terry and bed linen.
The Company continued successfully its reliance on the quality of its towels
and yarn coupled with the procurement of cotton at the right quality at the
right time and at the most economical price. Though there was some oscillation
in yarn prices, the market was steady and the realization was in consonance with
the cotton prices.
OUTLOOK:
The company has planned for a substantial expansion in spinning division
to increase its spinning productivity and booked with an advance of about
Rs.33.700 millions during the year under review. The new spinning division will
be located in Theni. The site for this new unit was already purchased and the
building work is to be started in the second half of this year. The company has
approached the bankers for finance under multiple banking arrangements. This
unit will start its commercial operation from 1st January 2008 in a phased
manner according to the machinery delivery schedules and estimated to be
completed in November 2008. The total project cost of the unit is Rs.1210.000
millions. This project includes a 5.00 MW biomass based captive power plant to
meet the entire power requirement.
Home furnishing is emerging as the next hot destination for textile players.
Hence the company would also plan to put-up a plant for the production of value
added products with buyback agreement from the machinery suppliers. The project
is under discussion and the financials disclosures are yet to be arrived. This
project will be fully implemented in next year i.e.2007-08. The Board once
again reiterates that on completion of the projects, the Company is hopeful of
increasing its presence in export market.
Registered at Theni, Tamilnadu, Shri subject is headed by
It increase its yarn dyeing capacity by 1000 kgs per day during 1996-97. It
also installed six knitting machines with a capacity of 2250 kgs per day and
diversified its activities into manufacturing sewing threads. It has installed
12 additional terry looms and 12
jacquard looms to strengthen the working of the terry towel division. To
augment the long term resources 0.3 million NCDs of Rs 100/- each were issued
to the Life Insurance Corporation of India, General Insurance Corporation of
The 4.5 MW Co-generation power plant(Bio-mass) was started functioning in
2002-03.This project was financed by ICICI Term Loan of Rs.110.000 millions.
During 2001-02 the company has also subscribed for 9% Cumulative Redeemable
Preference Shares to the extent of Rs.12.000 millions. This was done by the
promoters, in order to strengthen the capital structure of the company.
Website Details :
"It is the policy of Shri Renuga., to provide Textile
products with conformance to agreed specifications at the most competitive
price, on time, to ensure the satisfaction and confidence of their valued
customers. This will be achieved by their total commitment and involvement in
their Quality Assurance Systems."
Company
Profile
Subject, with an Two Star Export House status and its towels
division Shri Renuga Soft-X Towels, are ISO 9001 certified enterprises.
They are leaders in the manufacture of a wide range of Textile Products,
located in the cotton town, Theni, Tamilnadu in the southern part of
Subject, with over five decades in the Industry runs a self
reliant and composite operation. Its operation spans Spinning, Weaving,
Knitting, Yarn Dyeing, Wider Width Processing and Sewing. Its products range
from 100% Cotton & Blended-Yarn, Bleached & Dyed-Yarn, Bleached &
Dyed Terry Towels, Made-ups, Bathrobes, Bed & Table Linen, Non-Sterilized
Operation Room Towels, Lap Sponges, to Blankets.
Subject has an annual turnover of 1500 million rupees and a
3500 strong work force of skilled and dedicated employees maintaining
uncompromising quality & efficiency while meeting ISO 9001
standards.
Yarn
Subject, with its highly modernized state-of-the-art
equipment from Reiter and Schlafhorst produces high quality Ring Spun and Open
End (Carded & Combed) Yarn in both 100% Cotton and Blends. With a Spinning
Capacity of 100,000 Spindles and 384 Rotors it can produce 30 Tonnes/Day of
Quality Yarn in counts ranging from 6’S to 100’S. Quality is monitored at
various stages using modern testing equipment like Uster AFIS, Uster HVI to
ensure the manufacture of faultless yarn that meets International Standards.
Subject, to meets its commitment to Quality is equipped with
imported High Pressure Micro Processor Controlled Yarn Dyeing machines,
RF-Dryers & MacBeth Color Matching Systems to produce 3000 kgs/day of high
quality Bleached & Dyed Yarn in both Vat & Reactive, in lot sizes
ranging from 25 Kgs to 200 Kgs .
Terry
Products
Shri Renuga Soft-X Towels with its imported Rapier Looms
can produce 10 Tonnes / day of Terry Towels with Cotton Dobby Border &
Filament Fancy Border. With stringent process control systems and its latest
Soft-Flow Dyeing Machines, Hydraulic Jiggers, Monfort Stenter, European make
continuous Tumble Dryer and Calendering facilities can process Bleached &
Dyed Terry Towels, Terry Bathrobes, Wider Width Bed Sheets and Pillow covers in
100% Cotton & Blended Fabrics to match International Standards for Soft
Feel & Colour Fastness. Shri Renuga Soft-X can produce Face, Hand,
Home
Textiles
Shri Renuga Soft-X Towels., has a
well organized Sewing Facility to produce Home Textiles and Terry Products. Its
product range includes Bed Linen, Table Linen, Oven Mittens, Pot Holders,
Napkins, Aprons, Bed-Entourage, Baby Quilted Beds, Baby Quilted Sleeping Bags
and Terry products like Bath Towels, Face Towels, Hand Towels, Beach Towels
Bathrobes, Terry Hooded Towels, Terry Bibs, Placemats, Terry Plaids and Baby
Diapers. Bleached, Dyed or Yarn-Dyed Terry Products can be produced in different
weights ranging from 350 GSM to 600 GSM.
Medical
Textiles
Shri Renuga Soft-X Towels with its hygienic and
well-maintained production facility caters to the U.S. Healthcare market with
products like Operation Room Towels, Lap Sponges, Surgeon Gowns, Patient Gowns
and Baby Receiving Blankets. Great care is taken to meet USFDA Standards.
Industrial
Garments
Shri Renuga Soft-X Towels also caters to the need for
100% Cotton and Blended Industrial and Professional garments. Equipped with the
latest range of Processing & Finishing equipment and a modern Sewing
facility they produce Shirting & Bottom Wear to International
Specifications.
Knitting
Shri Renuga Soft-X Towels with 408 Japanese make knitting
machines can produce around 800 pieces/day of 2.5 & 5 gauge Sweaters, Knit
Shirts, Jackets etc., in Cable, Jacquard, Intarsia, Rib, Milano Stitch,
Diamond, English Rib, Full and Half Cardigan and Tuck Stitch Design options.
Flash Tech Enviro Systems is the Engineering Division of Shri
Renuga Textiles Limited, it specializes in Effluent Treatment Technology.
It has been working towards the concept of Zero Discharge. Flash Tech has
developed technology that enables Processing and Dying unit to recover up to
90% of water from effluents for reuse and 99% of salt used during processing is
also recovered. Flash Tech Enviro Systems incorporates Technology that reduces
water consumption, avoids sludge generation and drastically reduces effluent
discharge there by enabling industry to be Eco-friendly.
Eco-Care
Subject is a company with a conscience, the practice of
environmental protection is part of its philosophy. With an installed capacity
of 2.5 Million litres/day and a commitment to protect the environment for
future generations, it's Effluent Treatment Plant, Salt Recovery Plant and
Water Softening Plant neutralizes all effluents before discharge.
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.40.57 |
|
|
1 |
Rs.80.97 |
|
Euro |
1 |
Rs.55.19 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
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
|
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 |
|