MIRA
INFORM REPORT
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Report Date : |
23.05.2007 |
IDENTIFICATION DETAILS
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Name : |
V A PRODUCTS |
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Registered Office : |
151, 1ts “B”, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
2004 |
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Legal Form : |
Partnership Concern with an Unlimited Liability of the partners |
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Line of Business : |
Manufacturer of Precision turned Components. |
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. Partners are reported as experienced and respectable businessmen. 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 : |
151, 1st “B”, |
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Tel. No.: |
91-80-41103509 |
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Fax No.: |
91-80-41104946 |
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E-Mail : |
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Website : |
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Area : |
3500sq.fts |
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Location : |
Rented |
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US Office: |
2405, Windy Plano, Tx-75025 |
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Tel No. |
001-214-564-8459 |
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Fax No. |
001-360-351-1527 |
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E-Mail: |
PARTNERS
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Name : |
Mr. Nandish J |
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Designation : |
Partner |
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Date of Birth/Age : |
40 Years |
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Qualification : |
Engineer |
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Experience : |
15 Years |
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Name : |
Mrs. Nandish |
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Designation : |
Partner |
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Date of Birth/Age : |
34 Years |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of precision turned components. |
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Products : |
Hollow Screws, Spacer Pdngs, Round Nuts, Bushes, Banjo Bolts, Sockets,
Sleeves, Housing, Pins and Bushes. Application areas are: Alternators and
Starter Motors, Earth Moving Equipments, |
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Exports : |
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Countries : |
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Imports : |
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Countries : |
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Terms : |
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Selling : |
Terms of Export: L/C, B/L 60 days |
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Purchasing : |
Terms of Import: L/C 60 days Local Purchase: 45 days |
GENERAL INFORMATION
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Suppliers : |
Visweswarish Steel, Bhadravathi Kanodia Steel, Citizen Metal, Mumbai Anand Metals, Mumbai |
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Customers : |
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Motor Industries Co Ltd (Bosch Group) §
Warmoth Products Inc. ( §
Hewlett-Packard §
Hindustan Aeronautics Ltd §
Engineering Plastics Ltd §
Nitron Inc. ( |
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No. of Employees : |
32 (6 Technical, 26 other) |
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Bankers : |
Vijaya Bank, Mayo Hall Branch, M/G. Road, |
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Facilities : |
Terms Loans and Od Facilities to the extent of Rs.15.000 millions from
Bank |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
M/s. Kesavan and Company Chartered Accountants |
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Address : |
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Associates/Subsidiaries : |
Venkateshwara Auto Products, Catering to Domestic Requirments. |
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]
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Particulars |
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31.03.2007 |
31.03.2006 |
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Sales Turnover |
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25.000 |
18.000 |
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Profit/Loss for the year |
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Indicated around
10 to 15% |
- |
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Export Value |
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25.000 |
18.000 |
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Import Value |
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5.000 |
3.500 |
LOCAL AGENCY FURTHER INFORMATION
Average Value of inventories at any given time: Rs.1.000 millions
Company Details:
Subject founded in the year
1994 to process components on job work basis, subject has grown from strength
to strength. From the modest beginning of one Automatic Lathe, today the
company has over a dozen client’s domestic and International, besides being
backed up by a band of committed suppliers. With well qualified and experienced
personnel, the company can execute any job, however complex and sophisticated,
as per the exact specifications of the customers. The modern industry in
general and automobile industry in particular demands a very highly cost
performance quality components. Our company, with its rich experience, enjoys a
good reputation in developing such components. A professionally managed
company, well known for its strict adherence to quality. The company enjoys the
patronage from reputed customers, placing repeated orders, thanks to the
stringent adherence at every stage of the production process.
The company is equipped to
manufacture components made out of ferrous and non-ferrous materials upto 42 mm
in diameter, with additional facilities like milling, grinding etc.
Core Competencies:
Metal Turning
High Precision / Highly Automated / Zero Defect
Volumes few hundreds to several Million
Material
EN1A-PB, EN1A, C1018, FREE CUTTING BRASS, STAINLESS STEEL, COPPER, EN8-M and
other Ferrous and Non Ferrous Material
Added Services
Assembly
Broaching
Drilling
Tapping
Milling
Thread Rolling
Our growing list of capabilities includes:
Engineering solutions
Partnered value added services:
Heat treating
Plating
Anodizing
Teflon coating
Forging and Sheet Metal Work
EDM Machining
Rust removal & prevention
Quality
VA Products has developed a stringent system of quality inspection.
Parts are constantly monitored during every phase of production using
statistical process control ensuring the highest quality standards for
manufacturing precision components. Our dedication to quality shows in our
achievement of ISO 9001 certification. By using statistical techniques to
develop, manage, and improve our manufacturing processes, they are ensuring
highest level of customer satisfaction.
Frequent inspection and adjustment results in fewer rejects and faster
production. At VA Products they take
personal pride in the quest for perfection.
Principal
Equipment:
CNC Turning Centers, 165m Chuck Capacity
with 8 Station Turret
Traub Screw Machines, 4 MM to 42 MM Capacity
Secondary
Operations:
Drill Presses
Tapping Machines
Centerless Grinder
Milling Machines
Thread Rollers
They can mill, drill, cross drill, thread, tap, slot, knurl, broach, centerless
grind, weld, and polish so that there is no need for outsourcing which affords
for a speedier delivery, reduces cost and allows complete quality control of
the process.
They have approved outside sources for any plating such as zinc chromate,
nickel, tin, black oxide, anodizing and chemical film that may be required and
heat treatment.
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.40.57 |
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1 |
Rs.80.64 |
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Euro |
1 |
Rs.54.57 |
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 |
YES |
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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 |
YES |
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--AFFILIATION |
YES/NO |
YES |
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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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