MIRA
INFORM REPORT
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Report Date : |
13.10.2007 |
IDENTIFICATION DETAILS
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Name : |
VEEGEE INDUSTRIAL ENTERPRISES |
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Registered Office : |
31B, Industrial Area, NIT, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
1980 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
RTKV00903A |
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PAN No.: [Permanent
Account No.] |
AACFV2248P |
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Legal Form : |
Partnership Concern with an unlimited liability of the partners. |
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Line of Business : |
Manufacturers and Exporters of Sheet Metal Components for Automobile
and other Industries. |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 66000 |
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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 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 1 : |
31B, Industrial Area, NIT, |
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Tel. No.: |
91-129-2234298, 2233958, 2236324 |
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Mobile No.: |
91-9312908149 |
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Fax No.: |
91-129-2446654, 2234924 |
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E-Mail : |
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Website : |
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Area : |
90000 sq. fts. |
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Location : |
Owned |
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Factory 2 : |
Plot No. 90, No. 1 NIT, |
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Area : |
2500 sq. mtrs. |
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Location : |
Owned |
PARTNERS
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Name : |
Mr. Navin Sud |
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Designation : |
Partner |
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Date of Birth/Age : |
1953 |
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Qualification : |
B.E. Mech. Engg. |
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Experience : |
36 years |
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Name : |
Mrs. Anita Sood |
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Designation : |
Partner |
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Qualification : |
Graduate |
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Occupation: |
Housewife |
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Name : |
Mrs. Vimal Sud |
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Designation : |
Partner |
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Address : |
5p/6, NIT, |
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Date of Birth/Age : |
52 years |
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Occupation: |
Housewife |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of Sheet Metal Components for Automobile and
other Industries. |
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Exports : |
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Products : |
Automobile Parts |
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Countries : |
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Imports : |
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Products : |
Machinery and Parts |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash or Credit |
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Purchasing : |
L/C, Cash or Credit (60 days) |
PRODUCTION STATUS
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Particulars |
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Actual
Production |
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Sheet Metal Components |
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As per Demand |
GENERAL INFORMATION
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Customers : |
v
Maruti Udyog Limited – Suzuki (Passenger Cars) v
Honda Siel Cars India Limited (Passenger Cars) v
JCB – v
Eicher Motors Limited – MITSUBISHI (LCVS) v
Escorts Limited v
Hongo India
Limited v
Jay Bharat Maruti Limited v
Caparo Maruti Limited v
TVS Sundaram Industries Limited v
Trelleborg Automotive India Private Limited |
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No. of Employees : |
380 (Office: 30; Factory: 350) |
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Bankers : |
HDFC Bank 5R/W, NIT, B K Chowk, |
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Facilities : |
Credit Limit – Rs. 20.000 millions |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Rakesh Raj Associates Chartered Accountants |
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Address : |
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Associates/Subsidiaries : |
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V G Overseas Address: Line of Business: Auto Parts v
Ergo Auto Limited Address: |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 16.500 millions |
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Borrowed : |
- |
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Total : |
Rs. 16.500 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Sales Turnover |
1032.000 |
1028.000 |
859.400 |
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Profit/Loss for the year |
3.050 |
2.900 |
2.132 |
LOCAL AGENCY FURTHER INFORMATION
Trade References
v Empire Rubber –
v Papllion Australia Pty, Limited,
v Tata Steels limited
v Esha Strips Limited and Escorts Limited
v Tata Ryerson Limited and Honda Siel Cars India Limited
v General Motors Limited and Maruti Udyog Limited
Website details attached:
Company
Legend in making
Subject is situated at
An original brainchild of Sh. R.N. Sood, whose vision and foresightedness laid the foundation for the rise of a great business enterprise. Continuing in the same tradition, his sons Mr. Navin Sood and Mr. Pradeep Sood have taken organization to newer heights, be it new customer acquisition, product portfolio expansion, technology up gradation, grooming capable human resources and inculcating a vibrant work culture, where passion to excel drives the whole team to achieve still higher goals.
About the concern
Scope
Today subject supplies automotive sheet metal components and welded assemblies
to some of the finest automobile companies known worldwide. With the experience
gained in the past decade and half, subject is poised to take a quantum leap in
its endeavour to benchmark itself against the very bests in the industry.
Subject manufactures Sheet Metal components upto the size of 2000 mm X 1000 mm. The Concern has in-house MIG Welding, Arc Welding, Spot Welding, and Projection Welding, Tool manufacturing and tool maintenance facilities. The Concern is manufacturing sheet metal components and assemblies from in-house and imported tooling and meets the specific customer requirement.
The Concern has a wide array of production resources like hydraulic and power presses upto 600 tons capacity, powder coating unit and spot, Mig, arc, seam and projection welding facilities. The Concern has independent tool room that provides powerful support to the main line production activities. Inhouse standard room enables strength analysis. The maintenance department ensures high order of machine availability and continued process capability. Support facilities like captive power generation (2100kVA), cooling towers,, forklifts and overhead cranes enable smooth manufacturing operations.
They follow stringent quality regimen throughout their establishments to serve the interest of customers in a better and more efficient way.
Subject is a concern, who has an expert hand on the manufacturing of Sheet
Metal Components and sub-assemblies from in-house and imported Toolings.
Concern manufactures the Sheet Metal Components as per the customer's
requirement and specifications. The concern has a complete in-house
infrastructure with ultra-modern facilities and equipments for the production
of Sheet Metal Components. Over the years, with the production facilities like
Captive Power Generation - 2100 KVA, Sanctioned Load 1800 KW, Screw Compressors
with Air Drier Unit, Cooling Tower, Fork Lifters and overhead cranes, the giant
production industries have looked upon subject for the best, affordable, safe
and qualitative products and services. One can get them in any volume and specifications
as per requirement. Each and every component manufactured in the production
house of subject is for OEM's only.
The customers can get a varied range of the Sheet Metal
Components, which can vary upto the size of 2000 mm x 1000 mm. The concern is
capable of providing the products at a very competitive price with the best
services one can have. The talented and dedicated engineering department and
other staff are committed to improve the products. Thus, providing the best in
quality and sophisticated Sheet Metal Components to the various industries. The
key strength and success lie in the concern's employees. As only they are fully
responsible in giving the product a qualitative edge. Subject is always in a
continuous process in increasing the efficiency of its employees through
various training programs provided by AOTS, Kenshu centers in
The concern is trying to inculcate the principles of PRODUCTION PYRAMID, which is very much responsible for the success of Japanese manufacturing systems. Due to rigorous quality controls in its production house, the concern has acquired its client list with some very reputed and renowned names, like M/S Maruti Udyog Limited (Passenger Cars), M/S Escorts Limited (Tractors), M/S Eicher Motors Limited (LCVS), M/S Honda Siel Cars India Ltd. (Passenger cars), M/S Jay Bharat Maruti Ltd. and many more. With the vision to work with fair means just to get its clients' satisfaction.
Clients
They are the pioneer in making sheet metal components and are the vendors of various automotive majors such as Eicher Tractors, Escorts, Maruti to name a few.
Their superior customer focus and Ontime deliveries make us the most suitable outsourcing partner. They have an excellent infrastructure in form of skilled man power and heavily equipped shop floors.
Products are of wide array and depend on the model of automobile and the manufacturer.
Manufacturing
The Concern has a wide array of production resources like hydraulic and power
presses upto 600 tons capacity, powder coating unit and spot, Mig, arc, seam
and projection welding facilities. The concern has tool room, standard room at
both its plants that provide powerful support to the main line production
activities. The maintenance departments located at the plants ensure high order
of machine availability and continued process capability. Both the units have
also support facilities like cooling tower, captive power generation (2000
KVA), forklifts and overhead cranes.
Subject manufactures sheet metal components up to the size of 2000mmX 1000mm.
The concern has in - house MIG Welding, Arc Welding, Spot Welding, Projection
Welding, Tool manufacturing and tool maintenance facilities.
The concern is manufacturing sheet metal components and assemblies from
in-house and imported toolings. The components produced at subject meet the
customer's specifications. Majority of the components manufactured by subject
are for O.E customers only.
Investment in Skills
They constantly invest in upgradation of their infrastructure to upgrade their
production capacity to meet the challenging deadlines. Their focus is on
upgradation of their work force's skills by various means. They also maintain
all industrial safeguards to generate the best output from available resources.
All steps in the production process are perfectly synchronized so as to stay
with the schedule each time.
Facilities Available
* Basic turning on manual and automatic lathes, Single Spindle & Screw Machines.
* Machining on CNC lathes and Milling Machine.
* Power Pressing, Bending, Cutting.
* Micro Drilling Tapping — Threading. — Boring - Milling & grinding.
* Electroplating — Zinc, Nickle, and Chrome.
* Painting – Powder Coating.
* Heat Treatment – Nitriding – Case carbonizing etc.
Quality
Driven by zeal to constantly enhance the quality horizon, subject who is already TS-16949 certified Concern for world-class quality. Subscribing fully to the view that ‘Quality is a continuous journey and not a destination in itself’, subject has drawn powerfully on its belief in quality.
Their full compliance with these standards has enabled us to satisfy the most demanding requirements imposed on us by their customers. They are confident to achieve world-class quality status & compete in the global markets.
The ‘mantra’ of Good Quality Culture
Top Management commitment
Transparent systems
Robust processes
Mistake-proofing
Empowered employees
Continual improvements
Self-certification of quality
Valuing internal customer
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 does 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. 39.33 |
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1 |
Rs. 79.74 |
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Euro |
1 |
Rs. 55.74 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
8 |
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--PROFITABILIRY |
1~10 |
5 |
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--LIQUIDITY |
1~10 |
7 |
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--LEVERAGE |
1~10 |
7 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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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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57 |
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. |
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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