%20LIMITED%20%2029-Nov-2007_files/image002.jpg){kind=small}
MIRA
INFORM REPORT
|
Report Date : |
29.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
BOSCH REXROTH (INDIA) LIMITED |
|
|
|
|
Registered Office : |
Taluka Dascroi Near Vatva, Railway Station Vatva,
Ahmedabad-382445, Gujarat |
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Country : |
India |
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|
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|
Financials (as on) : |
31.12.2006 |
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|
|
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Date of Incorporation : |
1974 |
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|
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Com. Reg. No.: |
04-2468 |
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|
|
|
CIN No.: [Company
Identification No.] |
U29120GJ1974PLC002468 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
Ahmb00364a |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACM9898F |
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|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturer of Hydraulic Systems/ Valves/
Pumps. |
RATING &
COMMENTS
|
MIRA’s Rating : |
Aa |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 2670000 |
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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 an established and reputed company having fine track. Available information indicated high
financial responsibility of the Company.
Financial position is good.
Payments are correct and as per commitments. The Company can be considered good for any normal business dealing at
usual trade terms and conditions. It can be regarded as a promising business partner in a medium to long run. |
LOCATIONS
|
Registered Office : |
Taluka Dascroi Near Vatva, Railway Station Vatva,
Ahmedabad-382445, Gujarat, India |
|
Tel. No.: |
91-79-25832837 |
|
Fax No.: |
91-79-25832558 |
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E-Mail : |
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Website : |
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Corporate Office : |
Near Vatva Railway Station, Vatva, Ahmedabad - 382 445
|
|
Tel. No.: |
91-79-2583 2837 |
|
Fax No.: |
91-79-2583 2558 |
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|
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Factory 1 : |
Advance House, II
Floor, Plot A, Ark Industrial Compound, Makwana Road, Marol Naka, Andheri
(East), Mumbai-400059, Maharashtra, India |
|
Tel. No.: |
91-22-28563290 |
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|
|
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Branches : |
Ø Bangalore Ø New Delhi Ø Mumbai Ø Kolkata |
DIRECTORS
|
Name : |
Mr. A. Weber |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. W. Wagner |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K. Tragl |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. H. Wagener |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. H. Ott |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. V. K. Viswanathan |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Rahul Desai |
|
Designation : |
Company Secretary |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Hydraulic Systems/ Valves/
Pumps. |
GENERAL
INFORMATION
|
No. of Employees : |
About 800 |
|
|
|
|
Bankers : |
HDFC Bank Nakshatra Building, Near Mahinagar, Char Rasta, Ahmedabad 380008 |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse and Company Chartered Accountants |
|
|
|
|
Associates/Subsidiaries : |
MIVIN Engg. Technologies Private Ltd |
|
|
|
|
Holding Company : |
Bosch Rexroth AG, Germany |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
15000000 |
Equity Shares |
Rs. 10/- each |
Rs. 150.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5299600 |
Equity Shares |
Rs. 10/- each |
Rs. 52.996
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2006 |
31.12.2005 |
31.12.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
53.000 |
53.000 |
53.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
615.300 |
463.600 |
309.600 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
668.300 |
516.600 |
362.600 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
2.100 |
25.200 |
3.300 |
|
|
2] Unsecured Loans |
340.200 |
320.000 |
200.000 |
|
|
TOTAL BORROWING |
342.300 |
345.200 |
203.300 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1010.600 |
861.800 |
565.900 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
281.300 |
221.000 |
170.900 |
|
|
Capital work-in-progress |
46.800 |
17.100 |
18.900 |
|
|
|
|
|
|
|
|
INVESTMENT |
50.100 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
410.500
|
369.400 |
323.900 |
|
|
Sundry Debtors |
706.900
|
576.300 |
468.900 |
|
|
Cash & Bank Balances |
48.700
|
109.300 |
25.300 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
73.300
|
57.500 |
38.300 |
|
Total
Current Assets |
1239.400
|
1112.500 |
856.400 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
541.500
|
380.900 |
313.100 |
|
|
Provisions |
65.500
|
107.900 |
167.200 |
|
Total
Current Liabilities |
607.000
|
488.800 |
480.300 |
|
|
Net Current Assets |
632.400
|
623.700 |
376.100 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
1010.600 |
861.800 |
565.900 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.12.2006 |
31.12.2005 |
31.12.2004 |
|
|
Sales Turnover |
2404.500 |
2084.700 |
1727.100 |
|
|
Other Income |
47.600 |
30.700 |
20.100 |
|
|
Total Income |
2452.100 |
2115.400 |
1747.200 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
293.600 |
333.200 |
270.600 |
|
|
Provision for Taxation |
111.700 |
117.800 |
108.300 |
|
|
Profit/(Loss) After Tax |
181.900 |
215.400 |
162.300 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Raw Materials |
1448.400 |
1200.300 |
1004.900 |
|
|
Excise Duty |
216.400 |
221.600 |
17.5.300 |
|
|
Power & Fuel Cost |
13.000 |
12.100 |
11.300 |
|
|
Other Manufacturing Expenses |
73.700 |
55.600 |
38.800 |
|
|
Employee Cost |
154.100 |
124.500 |
104.300 |
|
|
Selling and Administration Expenses |
127.700 |
99.700 |
81.800 |
|
|
Miscellaneous Expenses |
69.500 |
37.700 |
25.400 |
|
|
Interest & Financial Charges |
31.700 |
25.400 |
17.400 |
|
|
Depreciation |
34.200 |
27.400 |
19.500 |
|
|
Stock Adjustments |
[10.200] |
[19.600] |
[2.100] |
|
|
Total Expenditure |
2158.500 |
1784.700 |
1319.100 |
KEY RATIOS
|
PARTICULARS |
31.12.2006 |
31.12.2005 |
31.12.2004 |
|
Debt-Equity Ratio |
0.58 |
0.62 |
0.54 |
|
Long Term Debt-Equity Ratio |
0.02 |
0.00 |
0.00 |
|
Current Ratio |
1.33 |
1.30 |
1.27 |
|
Fixed Assets |
5.76 |
6.10 |
5.78 |
|
Inventory |
6.17 |
6.01 |
5.99 |
|
Debtors |
3.75 |
3.99 |
4.38 |
|
Interest Cover Ratio |
10.26 |
14.12 |
16.55 |
|
Operating Profit Margin (%) |
14.95 |
18.52 |
17.80 |
|
Profit Before Interest And Tax Margin (%) |
13.53 |
17.20 |
16.68 |
|
Cash Profit Margin(%) |
8.99 |
11.65 |
10.53 |
|
Adjusted Net Profit Margin (%) |
7.56 |
10.33 |
9.40 |
|
Return On Capital Employed (%) |
34.75 |
50.23 |
54.94 |
|
Return On Net Worth(%) |
30.70 |
49.00 |
47.55 |
LOCAL AGENCY
FURTHER INFORMATION
Dividend:
The
Directors are pleased to recommend a dividend of Rs.5/- per equity share of
Rs.10/- each for the Accounting Year ended 31st December, 2006.
Year in Retrospect:
Turnover of the Company for the year 2006 was Rs.2,170.42 million
compared to Rs.1,837.77 million in 2005. The Company has recorded an increase
of Rs.332.65 million in turnover. Profit before Tax for the year under review
was Rs.293.72 million compared to Rs.333.11 million in the previous year.
Better economic situation
during the year under review helped the Company expand its volume of business.
The operative margins were under pressure because of rising input costs which
could not be fully passed on to the customers under competitive market
conditions.
Investment:
The Company has purchased 1,110,000 equity shares being 74% of the Equity
Capital of MIVIN Engg. Technologies Private Ltd., Bangalore. Accordingly, MIVIN
Engg. Technologies Private Ltd., has become a subsidiary of their Company.
MIVIN Engg. Technologies Private Ltd., manufactures hydraulic Gear Pumps for
Tractors.
Subsidiary Company:
As MIVIN Engg. Technologies
Private Ltd., Bangalore is a subsidiary of their Company, the audited Financial
Statements of MIVIN Engg. Technologies Private Ltd. for the financial year
ended 31-12-2006 pursuant to section 212 of the Companies Act, 1956 are annexed
to this Annual report.
Directorate:
Dr. A. Weber
retires by rotation at the ensuing Annual General Meeting and being eligible,
offers himself for reappointment.
Mr. V.K. Viswanathan
resigned as a Director of the Company with effect from 28th February, 2006.
The Board wishes to place
on record its gratitude to Mr. V.K. Viswanathan for his valuable guidance to
the Company and the Board of Directors during his association with the
Company.
Dr. A. Hieronimus was
appointed as a Director of the Company on 2nd May, 2006 to fill in the casual
vacancy caused by the resignation of Mr. V.K.
Viswanathan.
Mr. W. Wagner retired as Managing Director of the Company with effect from 31st
December, 2006.
The Board wishes to place on record its appreciation to Mr. W. Wagner for his
valuable guidance to the Company and' the Board of Directors and for the good
work done by him for the growth and progress of the Company.
Directors' Responsibility
Statement:
The Board of Directors of
the Company confirms that:
i) In the preparation of
the annual accounts, the applicable accounting standards have been followed
along with the proper explanation relating to any material departure;
ii) The selected accounting
policies were applied consistently and the Directors made judgements and
estimates that are reasonable and prudent so as to give true and fair view of
the state of affairs of the Company as at the end of the financial year ended 31st
December, 2006 and of the profit of the Company for that period;
iii) Proper and sufficient
care has been taken for the maintenance of adequate accounting records in
accordance with the provisions of the Companies Act, 1956 for safeguarding the
assets of the Company and for preventing and detecting fraud and other
irregularities; and
iv) The annual accounts for
the year ended 31st December, 2006 have been prepared on a going concern
basis.
Audit Committee:
The Audit Committee,
constituted by the Company in accordance with the provisions of Section 292A of
the Companies Act, 1956 performs the functions as required under the provisions
of the Companies Act, 1956 and such other matters as are specified by the Board
of Directors of the Company from time to time.
CORPORATE OFFICE
|
AHMEDABAD
Corporate Office |
Tel: (079)
2583 2837 |
|
Hydraulic Systems |
Tel: (079) 2589 5817 |
|
Hydraulic Components |
Tel: (079) 2589 3444 |
|
Mobile Hydraulics |
Tel: (079) 2583 2924 |
|
Linear Guides & Drives |
Tel: (079) 2589 5815 |
|
Quality Assurance |
Tel: (079) 2589 4264 |
|
Service Center |
Tel: (079) 2589 0947 |
|
Training |
Tel: (079) 2589 7894 |
BRANCHES
|
BANGALORE
Office Switchboard |
Tel: (080) 5117 0211 - 8 |
|
Hydraulic Systems |
Ext: 314 |
|
Hydraulic Components |
Ext: 322 |
|
Mobile Hydraulics |
Ext: 318 |
|
Automation |
Ext: 301 |
|
Electric Drives/Controls |
Ext: 302 |
|
Linear Drives& Guides |
Ext: 313 |
|
Training |
Ext: 345 |
|
Service Ctr.-Hydraulics |
Ext: 346 |
|
Service Ctr.-Electric Drives |
Ext: 305 |
|
KOLKATA Office
Switchboard |
Tel: (033) 2229 8800 |
|
Hydraulic Systems |
Tel: (033) 2229 7376 |
|
Hydraulic Components |
Tel: (033) 2217 2114 |
|
Mobile Hydraulics |
Tel: (033) 2217 2114 |
|
MUMBAI Office
Switchboard |
Tel: (022) 2856 3290 |
|
Hydraulic Systems |
Tel: (022) 2856 3316 |
|
Hydraulic Components |
Tel: (022) 2856 3315 |
|
Mobile Hydraulics |
Tel: (022) 2856 3317 |
|
Electric Drives/Controls |
Tel: (022) 2856 3318 |
|
Linear Drives & Guides |
Tel: (022) 2856 3292 |
|
NEW DELHI Office
Switchboard |
Tel: (011) 2656 6525 |
|
Hydraulic Systems |
Tel: (011) 2656 6888 |
|
Hydraulic Components |
Tel: (011) 2656 4293 |
|
Mobile Hydraulics |
Tel: (011) 2656 4293 |
|
Electric Drives/Controls |
Tel: (011) 2656 6527 |
AS PER WEBSITE DETAILS:
HISTORY
Subject is the Drive and Control Company, provides a complete range of
world-class products, systems and services for drive and control technologies
in various industries such as machine tool, press, plastic processing
equipment, steel mill, civil engineering, materials handling, earthmoving and
other mobile applications, printing and packaging equipment, textile machinery,
factory automation, etc.,
Subject was incorporated on 18th February, 1974 at Ahmedabad in Gujarat having Company Registration Number 04-2468.
Bosch Rexroth (India) Ltd.(formerly Mannesmann Rexroth), a part of German based Bosch Group was initially started as an JV between Maneklals and Mannesmann Rexroth AG, Germany for manufacture of Hydraulic Systems/ Valves/ Pumps. The company came into the fold of Stanrose Mafatlal Group in 1987. In the year 1997 the Raseesh Mafatlal of Stanrose group has diluted his entire stake in the company in favour of the foreign collaborator thereby taking the laters stake from 51% to 70%. The company has changed its name to Bosch Rexroth (India) Ltd during 2001. It is having its plantsin Ahmedabad and Bangalore.
With the resources of its German parent for new technology and product
development it manufactures a wide range of hydraulic products and Systems. It
manufactures include cartridge valves, modular blocks, machine-tool blocks,
proportional and servo valves and variable displacement pumps with multiple
features and motors, amplifier cards, hydraulic winches, hydraulic cylinders,
hydraulic package systems, etc. The wide range of the company's products finds
applications in areas concerning machine tools, agricultural machinery, heavy
machinery, mobile equipment, offshore and onshore industries, plastics
machinery, ship construction, etc.
The company's EOU has commenced production on September 1997 and its output are
exported to Bosch Rexroth AG, Germany and its subsidiaries in South East Asian
Countries.
It has a new unit at New Bombay which basically assembles hydraulic equipment
and systems. The company has modernised its plant and machinery with the
induction of the latest sophisticated machine tools. The modernisation has
helped indigenise a number of components and to improve productivity. The
company has also established a production-support facility at Bangalore, to
serve customers in south India more effectively.
In August 2001, the company has acquired the hydraulics business of group
company MICO as part of group restructuring.
milestones
1975
Incorporated as Rexroth Maneklal Industries Ltd.
%20LIMITED%20%2029-Nov-2007_files/image003.gif){kind=small}
1976
Started manufacturing in Ahmedabad.
%20LIMITED%20%2029-Nov-2007_files/image004.gif){kind=small}
1981
Started power unit production in Mumbai.
%20LIMITED%20%2029-Nov-2007_files/image005.gif){kind=small}
1988
Started power unit production in Bangalore.
%20LIMITED%20%2029-Nov-2007_files/image006.gif){kind=small}
1993
Started sales of electric drives & controls.
%20LIMITED%20%2029-Nov-2007_files/image007.gif){kind=small}
1994
Started sales of linear motion products.
%20LIMITED%20%2029-Nov-2007_files/image008.gif){kind=small}
1995
Name changed to Mannesmann Rexroth (India) Ltd.
%20LIMITED%20%2029-Nov-2007_files/image009.gif){kind=small}
1996
Majority shareholding acquired by Mannesmann Rexroth AG.
%20LIMITED%20%2029-Nov-2007_files/image010.gif){kind=small}
1999
Completed manufacturing restructuring, process reengineering,
and corporate reorganization.
Received ISO 9001 -1994 certification Sales reach Rs. 500 million.
%20LIMITED%20%2029-Nov-2007_files/image011.gif){kind=small}
2000
Inaugurated new Service Center at Ahmedabad.
%20LIMITED%20%2029-Nov-2007_files/image012.gif){kind=small}
2001
Robert Bosch GmbH acquired Mannesmann Rexroth AG .
Company acquired Hydraulics Division from MICO/Bosch Group.
Name changed to Bosch Rexroth (India) Ltd.Commenced TPM
(Total Plant Maintenance) process.
%20LIMITED%20%2029-Nov-2007_files/image013.gif){kind=small}
2002
Shareholding increased by Bosch Rexroth AG to 96%
%20LIMITED%20%2029-Nov-2007_files/image014.gif){kind=small}
2003
Inaugurated new Training Center at Ahmedabad Recertified under ISO 9001-2000
Sales reach Rs. 1,126 million
technologies
Bosch Rexroth (India) Limited, ISO 9001:2000 certified, provides complete Drive and Control
solutions to various industrial applications through five technology branches:
v
Electric Drives and Controls
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 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. 39.68 |
|
UK Pound |
1 |
Rs. 82.11 |
|
Euro |
1 |
Rs. 58.81 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
72 |
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. |
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 |
|