MIRA
INFORM REPORT
|
Report Date : |
23.04.2008 |
IDENTIFICATION
DETAILS
|
Name : |
VIDYUT METALLICS PRIVATE LIMITED |
|
|
|
|
Registered Office : |
Malhotra House, 4th Floor, Opp. G.P.O., Fort, Mumbai – 400001, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as on) : |
31.03.2006 |
|
|
|
|
Date of Incorporation : |
06.10.1953 |
|
|
|
|
Com. Reg. No.: |
11-18405 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U28931MH1953PTC018405 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
HYDV01996B |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AABCV3305R |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturers and Marketers of Safety Razor Blades, Twin Type Shaving System Razors, Razor Blade Manufacturing Machines and Accessories, Industrial Blades and Industrial Knives. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 3600000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject an old and well established company of a Malhotra Group, is engaged in manufacturing and marketing of Safety Razor Blades, Razor Blade Manufacturing Machines and Accessories. Trade relations are fair. Payments are reported as slow but correct. The company can be considered for normal for business dealings at usual trade terms and conditions. |
LOCATIONS
|
Registered Office : |
Malhotra House, 4th Floor, Opposite G.P.O., Fort, Mumbai – 400001, Maharashtra, India |
|
Tel. No.: |
91-22-22705231 /22697584 |
|
Fax No.: |
91-22-22695292 /25823415 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory : |
Wagle Estate, P.O. L. B. S. Marg, Thane, Mumbai - 400 604, Maharashtra, India |
|
Tel. No.: |
91-22- 25823412/3846/1044 |
|
Fax No.: |
91-22-25823415/25801123 |
|
E-Mail : |
|
|
Website: |
DIRECTORS
|
Name : |
Mr. John Geevarghese Odanath |
|
Designation : |
Director |
|
Address : |
Panama Staff Quarters, Near State Bank of India, Naupada, Thane
[West], Maharashtra 400602, India |
|
Date of Birth/Age : |
10.09.1933 |
|
Date of Appointment : |
01.10.1984 |
|
|
|
|
Name : |
Mr. Paresh B. Vyas |
|
Designation : |
Director |
|
Address : |
Raheja Estate, Park Land 2, A wing, 7th floor, Flat No.
703, Kulupwadi, Boriwali [West], Mumbai 400066, Maharashtra, India |
|
Date of Birth/Age : |
12.05.1956 |
|
Date of Appointment : |
22.09.1993 |
|
|
|
|
Name : |
Mr. Mahendra M. Ruparel |
|
Designation : |
Director |
|
Address : |
Panama Staff Quarters, Near State Bank of India, Naupada, Thane
[West], Maharashtra 400602, India |
|
Date of Birth/Age : |
08.06.1954 |
|
Date of Appointment : |
10.08.2000 |
|
|
|
|
Name : |
Mr. Punoo Chhabra |
|
Designation : |
Director |
|
Address : |
202, Valley View Apartment,
Road No. 6, Banjara Hills, Hyderabad, Andhra Pradesh, India |
|
Date of Birth/Age : |
06.01.1945 |
|
Date of Appointment : |
10.08.2003 |
|
|
|
|
Name : |
Mr. Naveen Kadri |
|
Designation : |
Director |
|
Address : |
A 505, Kukreja Complex, Building No. 6, LBS Marg, Bhandup [West],
Mumbai 400078, Maharashtra, India |
|
Date of Birth/Age : |
27.10.1957 |
|
Date of Appointment : |
03.01.2005 |
|
|
|
|
Name : |
Mr. Gaurav Bhandari |
|
Designation : |
Director |
|
Address : |
1202, Aditya Akruti Apartment, 36, Noshir Bharucha Marg, Khatauwadi
Grant Road [West], Mumbai 400 007, Maharashtra, India |
|
Date of Birth/Age : |
07.02.1969 |
|
Date of Appointment : |
22.06.2005 |
KEY EXECUTIVES
|
Name : |
Mr. Jayan Nair |
|
Designation : |
Secretary |
|
Address : |
701, Building No. 5, Laxmi Park, Lokmanya Marg, Thane [West],
Maharashtra, India |
|
Date of Birth/Age : |
01.12.1961 |
|
Date of Appointment : |
26.12.2002 |
|
|
|
|
Name : |
Mr. Manohar W. Oak |
|
Designation : |
Secretary |
|
Address : |
A 302, Gagangiri Park, CHS, Samata Nagar, Thane [West] 400604,
Maharashtra, India |
|
Date of Birth/Age : |
07.05.1954 |
|
Date of Appointment : |
21.04.2005 |
|
|
|
|
Name : |
Mr. Vijendra Kumar Jain |
|
Designation : |
Secretary |
|
Address : |
C – 44, Mayur Sector No. 3, Srishti, Mira Road [East], Thane 401107,
Maharashtra, India |
|
Date of Birth/Age : |
05.01.1968 |
|
Date of Appointment : |
21.08.2005 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 31.03.2006)
|
Names of Shareholders |
|
No. of Shares |
|
Supermay International Private Limited |
|
1297076 |
|
Emerald Investments Private Limited |
|
727106 |
|
Unique Properties and Securities Private Limited |
|
1227832 |
|
R. C. C. Sales Private Limited |
|
1527095 |
|
Veena Malhotra |
|
22000 |
|
Rajiv Malhotra |
|
2376604 |
|
Rajinder Kumar Malhotra |
|
2376604 |
|
Kenny Commercial Investment Private Limited |
|
500000 |
|
RCC Plastics Private Limited |
|
100000 |
|
|
|
|
|
Total |
|
10154317 |
(As on 31.03.2006)
|
Equity Share
Break-up |
|
Percentage |
|
|
|
|
|
Bodies Corporate |
|
53.00 |
|
Other Top Fifty Shareholders |
|
47.00 |
|
|
|
|
|
Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturers and Marketers of Safety Razor Blades, Twin Type Shaving System Razors, Razor Blade Manufacturing Machines and Accessories, Industrial Blades and Industrial Knives. |
||||||||||||
|
|
|
||||||||||||
|
Products : |
|
||||||||||||
|
|
|
||||||||||||
|
Exports : |
|
||||||||||||
|
Countries : |
· Middle East · USA · UK · European countries · Far Eastern · African · Latin American countries |
||||||||||||
|
|
|
||||||||||||
|
Imports : |
|
||||||||||||
|
Countries : |
· Europe · Far East Countries |
||||||||||||
|
|
|
||||||||||||
|
Terms : |
|
||||||||||||
|
Purchasing : |
L/C, D/P and D/A |
PRODUCTION STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
|
|
|
|
|
|
|
Safety razor blades |
Nos. in Millions |
3,800 |
3620 |
4508.208 |
|
Twin type shaving system Razors |
Pcs. |
NA |
NA |
-- |
|
Razor blade manufacturing machines & accessories |
Lines |
10 |
10 |
5 machines |
|
Industrial Blades |
Nos. in Millions |
31 |
21 |
-- |
|
Items used for captive use: |
|
|
|
|
|
Wax Paper |
MT |
NA |
874 |
595.723 |
|
Razor Blade Steel Strips |
MT |
1,000 |
3301 |
4408.207 |
GENERAL
INFORMATION
|
No. of Employees : |
2500 |
|
|
|
|
Bankers : |
|
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Rajesh Chamaria Chartered Accountants |
|
Address : |
59, Jolly Maker Chambers No. II, 225, Nariman Point, Mumbai 400021,
Maharashtra, India |
|
|
|
|
Associates/Subsidiaries : |
· Harbanslal Malhotra and Sons Limited · Malhotra International Limited · Malhotra Services Private Limited · NVI Engineering Company Limited · Samrat International Private Limited · RCC Sales Private Limited · Bengal Saws and Steel Products Limited · Bengal Safety Razors Limited · Navin Industries and Mechanical Corporation Limited · Supermax International Private Limited · Emarald Investments Limited and others |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
20000000 |
Equity Shares |
Rs. 10/- each |
Rs.200.000 Millions |
|
500000 |
Preference Shares |
Rs. 100/- each |
Rs.50.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs.250.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
10154317 |
Equity Shares |
Rs.10/- each
|
Rs.101.543
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 |
101.543 |
101.543 |
101.543 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
812.257 |
752.079 |
707.546 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
913.800 |
853.622 |
809.089 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
1222.219 |
548.699 |
225.332 |
|
|
2] Unsecured Loans |
27.256 |
74.934 |
74.719 |
|
|
TOTAL BORROWING |
1249.475 |
623.633 |
300.051 |
|
|
DEFERRED TAX LIABILITIES |
10.241 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2173.516 |
1477.255 |
1109.140 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
729.161 |
298.651 |
294.742 |
|
|
Capital work-in-progress |
210.642 |
106.151 |
20.156 |
|
|
|
|
|
|
|
|
INVESTMENT |
10.690 |
10.688 |
10.547 |
|
|
DEFERREX TAX ASSETS |
0.000 |
3.091 |
6.979 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1084.796
|
850.585 |
0.000 |
|
|
Sundry Debtors |
1061.428
|
508.273 |
0.000 |
|
|
Cash & Bank Balances |
91.728
|
52.892 |
1657.632 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
172.360
|
214.973 |
0.000 |
|
Total
Current Assets |
2410.312
|
1626.723 |
1657.632 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
1139.241
|
528.451 |
880.916 |
|
|
Provisions |
48.048
|
39.598 |
0.000 |
|
Total
Current Liabilities |
1187.289
|
568.049 |
880.916 |
|
|
Net Current Assets |
1223.023
|
1058.674 |
776.716 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2173.516 |
1477.255 |
1109.140 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other
income]
|
3786.000 |
3161.000 |
3070.257 |
|
|
|
|
|
|
|
|
Profit/(Loss)
Before Tax |
100.000 |
71.000 |
180.914 |
|
|
Provision for
Taxation |
0.000 |
0.000 |
60.556 |
|
|
Profit/(Loss)
After Tax |
100.000 |
71.000 |
120.358 |
|
|
|
|
|
|
|
|
Export Value |
NA |
NA |
627.653 |
|
|
|
|
|
|
|
|
Import Value |
NA |
NA |
396.087 |
|
|
|
|
|
|
|
|
Expenditure |
|
|
|
|
|
|
Interest |
84.000 |
44.000 |
0.000 |
|
|
Depreciation |
95.000 |
68.000 |
0.000 |
|
|
Other Expenditure
|
3507.000 |
2978.000 |
2889.342 |
|
Total Expenditures |
3686.000 |
3090.000 |
2889.342 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
2.64
|
2.24 |
3.92
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.64
|
2.24 |
5.89
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.19
|
3.69 |
9.09
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11
|
0.08 |
0.22
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.66
|
1.39 |
2.46
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.03
|
2.86 |
1.88
|
LOCAL AGENCY
FURTHER INFORMATION
FORM 8:
|
Name of the company |
VIDYUT METALLICS PRIVATE LIMITED |
|
Presented By |
Mr. P. B. Vyas,
Director |
|
1) Date and description of instrument creating the change |
Memorandum relating
to hypothecation of machinery dated 8.10.2004 executed by Vidyut Metallics
Private Limited [therein and hereinafter referred to as ‘VIDYUT’] in favour
of HDFC Bank Limited [HDFC] a certified true copy whereof is attached hereto.
|
|
2) Amount secured by the charge/amount owing on the securities of
charge |
Term Loan/Letter
of Credit aggregating to Rs. 80 Millions in foreign currency/INR, together
with interest, compound interest, additional interest by way of liquidated
damages, costs, charges, expenses and all other monies payable by VIDYUT to
HDFC |
|
3) Short particular of the property charged. If the property acquired
is subject to charge, date of the acquired of the property should be given |
Exclusive first charge
over specific movable fixed assets acquired, briefly described in schedule
forming part of the memorandum relating to hypothecation of machinery. |
|
4) Gist of the terms and conditions and extent and operation of the
charge. |
NA |
|
5) Name and Address and description of the person entitled to the
charge. |
HDFC Bank Limited
HDFC Bank House,
Senapati Bapat Marg, Lower Parel, Mumbai 4000213, Maharashtra, India |
|
6) Date and brief description
of instrument modifying the charge |
NA |
|
7) Particulars of modifications specifying the terms and conditions or
the extent of operations of the charge in which modification is made and the
details of the modification. |
In the memorandum
relating to the hypothecation of machinery dated 8.10.2004 executed by VIDYUT
in favour of HDFC the value of additional Plant and Machinery amounting to
Rs. 15.000 Millions is erroneously described in figures as Rs. 150.000
Millions which is due to inadvertent typographical error and that the VIDYUT
has agreed to rectify the aforesaid typographical error by a supplemental
deed dated 21.02.2005 hence modification. |
|
Corporate
identity number of the company |
U28931MH1953PTC018405 |
|
Name of the
company |
VIDYUT METALLICS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
Malhotra House, 4th Floor, Opposite G. P. O., Fort, Mumbai – 400 001, Maharashtra |
|
This form is for |
Modification of
charge |
|
Type of charge |
Equitable
mortgage or mortgage of property by depositing the title deeds |
|
Particular of
charge holder |
Punjab National
Bank PNB House, Sir P.
M. Road, Mumbai 400001, Maharashtra, India |
|
Nature of
instrument creating charge |
NA |
|
Date of instrument
Creating the charge |
NA |
|
Amount secured by
the charge |
Rs. 187.900
Millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
As collateral security
to secure the working capital and Term Loan facilities extended by Consortium
Banks viz. Punjab National Bank
[PNB], Oriental Bank of Commerce and Bank of Tokyo Limited by equitable mortgage on original title
deed dated 24.06.1988 |
|
Description of
the property charged |
Immovable
Properties |
|
Particulars of
the property charged |
Property of the
Company situated at Naupada, Thane [West], registered as S. THN/316/1/21 of
1967 with the office of the sub registrar, Thane Survey No. 29, Hissa
No. 1/1, CST No. 39 and Survey No. 29, Hissa No. 1/3 [Part] CST No. 45 |
|
Charge
identification number of the charge to be modified |
80008668 |
|
Brief description
of the instrument modifying the charge under section 135 |
Letter dated
12.08.2006 of PNB modifying the mortgage extended on 19.07.2006 from Rs.
1608.000 Millions to Rs. 2055.000 Millions [PNB Rs. 10275 and OBC Rs.
1027.500 Millions] Original Equitable mortgage dated 24.06.1988 |
|
Date of
instrument modifying the charge |
12.08.2006 |
|
Particulars of
the present modification |
Letter dated
12.08.2006 of Punjab National Bank confirming further extension of equitable
mortgage for enhanced limits of Rs. 10275 PNB and Rs. 10275 OBC aggregating
to Rs. 2055.000 Millions |
IT IS IN TRADE TERMS
WITH:-
· Advance Cooling System Private Limited
· Apace Tools
· Ammonia Supply Company, Mumbai, Maharashtra, India
· Aaklesh Polymers (Private) Limited
· Bombay Ammonia & Chemical Company
· Bharat Wools & Woollen Felt Corporation
· H. D. Polymers
· J. K. Enterprises
· Brown Engineering
· Celi Tech Engineering
· Golden Printing Company
· J. M. Laminators & Packaging
· Kraft Packs
· Laminor Industries
· Mackwell Enterprises
· Pushkraj Packaging
· P. K. Packs
· Rightfit Engineering Company
· Kumar Engineering,
· Mumbai Co-operative Industries Limited
· Mult – Itek
· Mary Engineers
· Polycarp Printers (India) Private Limited
· Pruthvi Industries
· Pushkraj Packaging
· Raj Engineering Company
· Sunita Industries
· Sajan Engineering Works
· Star Offset
· Suraj Colour Cartoons Private Limited
· Satguru Packaging
· Skan Fabricons
· Super Tech Industries
· S. N. Engineering
· Three Pharma Instruments
· Yellow Metals
FIXED ASSETS
- Land (Freehold)
- Staff Quarters
- Factory Building
- Ownership Flat
- Plant and Machinery
- Data Processing Equipments
- Air Conditioners and Refrigerators
- Furniture and Fixtures
- Office Equipments
- Vehicles
- Tube Well
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. 39.94 |
|
UK Pound |
1 |
Rs. 79.03 |
|
Euro |
1 |
Rs. 63.39 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
YES |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
63 |
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 |
|