MIRA
INFORM REPORT
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Report Date : |
18.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
THE LAKE PALACE HOTEL AND MOTELS PRIVATE LIMITED |
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Registered Office : |
City Palace, Udaipur 313 001, Rajasthan. |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
02.03.1963 |
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Com. Reg. No.: |
17 1158 |
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CIN No.: [Company
Identification No.] |
U55101RJ1963PTC001158 |
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Legal Form : |
Private Limited liability company |
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Line of Business : |
Chain of Heritage Palace Hotels. |
RATING &
COMMENTS
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MIRAs 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 2057065 |
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Status : |
Good |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is the owner of heritage palaces in Rajasthan in India. These
palaces are invaluable and converted into five star luxurious hotels. Trade
relations are fair. Payments are usually correct and as per commitment. The company can be considered good for normal business dealings to
usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
City Palace, Udaipur 313 001, Rajasthan, India. |
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Tel. No.: |
91-294-2528016 |
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Fax No.: |
91-294-2528006 |
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Branches : |
City Palace Complex Udaipur 313 001, Rajasthan, India. |
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Tel. No.: |
91-294-2528008 / 2528016 / 2528009 |
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Fax No.: |
91-294-2528012 |
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E-Mail : |
sales.udaipur@hrhotels.com |
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Branches : |
NRH Group of Hotels, Eternal Mewar, 709 7th Floor,
Hemkunt Tower 98, Nehru Place, New Delhi 110 019, India. |
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Tel No: |
91-11-40537019 / 40537023 |
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Fax No: |
91-11-40537024 |
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E-Mail: |
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Branches: |
P.O. Box No.9323 Mumbai 400 026, Maharashtra, India |
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Tel No: |
91-22-23515648 / 91-22-23514649 |
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Fax No: |
91-22-23510371 |
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E-Mail: |
Sales.mumbai@hrhotels.com |
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Branches: |
503 Sapphire Building C.G. Road, Navrangpura Ahmedabad 380 009, Gujarat,
India. |
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Tel No: |
91-79-26564607 |
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Fax No: |
91-79-26564163 |
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E-Mail: |
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Branches: |
408-409 Fourth Floor Gaurav Tower, Malviya Nagar, jaipur 302 017 |
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Tel No: |
91-141-2724742 / 2724744 / 2724745 |
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Fax No: |
91-141-2724742 |
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E-Mail: |
Sales.jaipur@hrhotels.com |
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Branches: |
Karni Bhawan Palace Gandhi Nagar Bikaner, Rajasthan, India. |
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Tel No: |
91-151-547941 / 91-151-548664 / 547665 |
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Fax No: |
91-151-547940 |
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E-Mail: |
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Branches: |
16, Henning Street London W2 4TT UK LONDON |
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Tel No: |
91-44-7881 581 291 |
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Fax No: |
91-44-207 504 8569 |
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E-Mail: |
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Branches: |
274, Block S. Army Complex MDC, Sector 4, Panchkula, Haryana, India |
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Tel No: |
91-172-554 6144 |
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Fax No: |
91-172-255 5650 |
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E-Mail |
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Branches: |
Historic Resort Hotels Private Limited, S and M Branch, Kolkata, 4A
Rakhal Mukherjee Road, Third Floor, Bhawanipur, Kolkata 700 025. |
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Tel No: |
91-9331110001 |
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E-Mail: |
Sales.kolkata@hrhotels.com |
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Branches: |
HRH Group of Hotels, 696 Towel Way Suite 10, Palo Alto, CA 94306, USA. |
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Tel No: |
650.575.6768 |
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Fax No: |
650.649.2360 |
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E-Mail: |
DIRECTORS
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Name : |
Mr. Salil singhal |
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Designation : |
Director |
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Address : |
Lake House, P.P. Singhal Marg, Udaipur 313 001, Rajasthan, India. |
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Date of Birth/Age : |
21.08.1946 |
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Din No : |
00006629 |
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Date of Appointment : |
30.09.2000 |
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Name : |
Mr. Arvind Singh Mewar |
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Designation : |
Chairman and Managing Director |
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Address : |
The Palace, Udaipur 313 001, Rajasthan, India. |
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Date of Birth/Age : |
13.12.1944 |
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Din No : |
00008244 |
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Date of Appointment : |
02.06.1963 |
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Name : |
Mrs. Yogeshwari Kumari |
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Designation : |
Director |
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Address : |
five Oaks, 4/8, Kanadia Road, Indore 452 016, Madhya Pradesh,
India. |
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Date of Birth/Age : |
05.10.1943 |
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Din No: |
00200102 |
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Date of Appointment : |
25.06.1983 |
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Name : |
Mr. Vinod K. Nagpal |
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Designation : |
Director |
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Address : |
15, Ishwar Nagar East, New Delhi 110 065, India. |
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Din No: |
00147777 |
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Date of Appointment : |
30.09.2000 |
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Name : |
Dr. Vinayshil Gautam |
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Designation : |
Director |
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Address : |
9, West Avenue, IIT, Hauz Khas, New Delhi 110 016, India. |
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Date of Birth/Age : |
03.06.1946 |
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Din No : |
00037909 |
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Date of Appointment : |
19.08.2008 |
KEY EXECUTIVES
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Name : |
Mr. Amitabh Porwal |
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Designation : |
Company Secretary |
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Address : |
16, Bhattji Ki Bari, Udaipur 313 001, Rajasthan, India. |
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Date of Birth/Age : |
24.08.1970 |
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Din No : |
AJFPP7899A |
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Date of Appointment : |
15.01.2008 |
BUSINESS DETAILS
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Line of Business : |
Chain of Heritage Palace Hotels. |
GENERAL
INFORMATION
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No. of Employees : |
Around 800 |
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Bankers : |
State Bank of India, Industrial Finance Branch, 14th Floor,
Jawahar Vyapar Bhawan, 1 Tolstoy Marg, New Delhi 110 001, India. |
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Facilities : |
Particular |
31.03.2008
(Rs.in millions) |
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SECURED LOAN:
NOTES: 1. Term Loans from State Bank of India (SBI) are secured against
assignment of minimum guranteed receivables from Indian Hotels Company
Limited and First Charge by way of deposit
of Title Deeds of Companys properties at Udaipur, viz Jagniwas,
Jagmandir and Garden Hotel and further secured by personal guarantee of
Chairman and managing Director of the Company 2. vijaya Bank Loans are secured against mortgage of Companys
property Fateh Prakash Palace and further secured by personal guarantee of
Chairman and Managing Director of the Company 3. Others represent loans for financing Companys vehicles by ICICI
Bank and HDFC Bank. |
825.885 9.280 2.932 |
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Total |
838.097 |
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Banking
Relations : |
Satisfactory |
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Auditors : |
T.N. Unni and Company |
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Chartered Accountant |
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Address : |
402, Alankar Point, 4/A Rajgarh Kothi, Geeta Bhawan Square, Indore
452 001, Madhya Pradesh, India. |
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Pan No : |
AACFT7867J |
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Associates/Subsidiaries : |
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Group Companies: |
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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50000 |
Equity Shares |
Rs.1000/- Each |
Rs.50.000 |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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4424 |
Equity Shares |
Rs. 1000/- Each |
Rs.4.424 |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
4.424 |
4.424 |
4.424 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
179.652 |
167.020 |
134.324 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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5] Trade Deposit |
227.337 |
226.869 |
226.868 |
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NETWORTH |
411.413 |
398.313 |
365.616 |
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LOAN FUNDS |
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1] Secured Loans |
838.099 |
849.595 |
877.329 |
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2] Unsecured Loans |
0.000 |
0.000 |
1.968 |
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TOTAL BORROWING |
838.099 |
849.595 |
879.297 |
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DEFERRED TAX LIABILITIES |
16.473 |
0.000 |
0.000 |
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TOTAL |
1265.985 |
1247.908 |
1244.913 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
391.844 |
368.555 |
383.457 |
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Capital work-in-progress |
56.037 |
12.605 |
3.754 |
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INVESTMENT |
159.667 |
159.488 |
159.485 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
12.770
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10.413 |
10.149 |
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Sundry Debtors |
49.281
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33.998 |
30.502 |
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Cash & Bank Balances |
13.253
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19.674 |
4.729 |
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Other Current Assets |
0.000
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0.000 |
0.000 |
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Loans & Advances |
641.396
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640.112 |
635.595 |
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Total
Current Assets |
716.700
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704.197 |
680.975 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
79.489
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32.784 |
31.303 |
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Provisions |
15.232
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7.750 |
3.402 |
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Total
Current Liabilities |
94.721
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40.534 |
34.705 |
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Net Current Assets |
621979
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663.663 |
646.270 |
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MISCELLANEOUS EXPENSES |
36.458 |
43.597 |
51.947 |
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TOTAL |
1265.985 |
1247.908 |
1244.903 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2008 |
31.03.2007 |
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Sales Turnover |
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337.619 |
295.248 |
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Other Income |
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0.000 |
0.000 |
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Total Income |
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337.619 |
295.248 |
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Profit/(Loss) Before Tax |
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35.622 |
35.771 |
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Provision for Taxation |
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3.718 |
12.705 |
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Profit/(Loss) After Tax |
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31.904 |
23.066 |
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Total Expenditure |
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301.997 |
259.477 |
KEY RATIOS
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PARTICULARS |
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31.03.2008 |
31.03.2007 |
31.03.2006 |
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PAT / Total Income |
(%) |
9.44
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7.81 |
NA |
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Net Profit Margin (PBT/Sales) |
(%) |
10.55
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12.12 |
NA |
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Return on Total Assets (PBT/Total Assets} |
(%) |
4.06
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4.13 |
NA |
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Return on Investment (ROI) (PBT/Networth) |
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0.09
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0.08 |
NA |
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Debt Equity Ratio (Total Liability/Networth) |
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0.23
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0.10 |
0.09 |
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Current Ratio (Current Asset/Current Liability) |
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7.57
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17.37 |
19.62 |
LOCAL AGENCY
FURTHER INFORMATION
FIXED ASSETS:
- Land
- Building
- Plant and Machinery
- Vehicles
- Motor Boats and Launches
- Furniture, Furnishings and Office Equipments
- Woolen Rug and Carpets
- Audio Visual Equipments
- Computers and Assessories
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Name of the company |
THE LAKE PALACE HOTELS AND MOTELS LIMITED |
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Presented By |
Shakti Singh |
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1) Date and description of instrument creating the change |
Dated 07.01.1999 1. Memorandum of
deposit of title deeds of Lake Palace Hotel Agreement for
corporate Guarantee of the Company for due repayment of credit limits of
Rs.3.500 millions sanctioned by Vijaya Bank, Bapu Bazar, Udaipur to the
Rajput Hiotels and Resorts Limited. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.3.500 millions
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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 |
OD limit of
Rs.2.000 millions CBP limit of
Rs.1.500 millions (Both
interchangeable within the overall limit of Rs.3.500 millions Aforesaid Credit
facility sanctioned to The Rajput Hotels and Resorts Limited is collaterally secured by continuing
security of Lake Palace Hotels Land and building valued at Rs.258.700 millions already charge by
Vijaya Bank, Bapu Bazar, Udaipur for credit limits sanctioned to The Lake
Palace Hotels and Motels Limited. The aforesaid
credit limit of Rs.3.500 millions sanctioned to the Rajput Hotels and Resorts
Limited further is secured guarantee of The Lake Palace Hotels and Motels
Limited in favour of Vijaya Bank, Bapu Bazar, Udaipur for due repayment of
Loans. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
As per Agreements
enclosed |
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5) Name and Address and description of the person entitled to the charge. |
Vijaya Bank, 3,
Bapu Bazar, Udaipur. |
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6) Date and brief description of instrument modifying the charge |
1) Memorandum of
entry dated 17, June 2000 confirming creation of security in favour of Vijaya
Bank. 3, Bapu Bazar, Udaipur and IDBI of their respective loans to the Company,
by way of joint Mortgage by deposit of title deeds with Vijaya Bank, Udaipur
(Vijaya Bank acting for itself and as
an agent of Industrial development Bank of India) of Companys
Immovable properties known as Bansighat to Nawghat and Khas odhi situated at
Udaipur. 2) Memorandum of
entry dated 17th June 2000 confirming extension of security in
favour of IDBI of its loans to the Company, by way of Mortgage by deposit of
title deeds with Vijaya Bank, Udaipur (Vijaya Bank acting for itself and
as an agent of Industrial development
Bank of India) of Companys Immovable properties known as Jag Niwas (Lake
Palace Hotel), Jag Mandir, motor garage (Garden Hotel) and Fateh Palace, all
situated at Udaipur. 3)
Memorandum (two) dated 17.06.2000
confirming security in favour of Vijaya Bank, 3, Bapu Bazar, Udaipur of its
credit facilities to M/s The Lake Palace Hotels and Motels Limited and Rajput
Hotel and Resorts Limited against Companys immovable properties known as
Bansighat to Nawghat and Khas odhi situated at Udaipur 4) Letter of
Vijaya Bank, 3, Bapu Bazar, Udaipur to IDBI regarding sharing of securities
of their respective Term Loans interest on FIRST CHARGE BASIS RANKING
PARI-PASSU with IDBI and Working
Capital limits secured on FIRST CHARGE basis against Current assets and on
Second Charge against fixed movable and immovable properties of the Company. |
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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. |
Security cover is
modified as under: The subject
Working Capital limit of Rs.3.500 millions to M/s. Rajput Hotels and Resorts
Limited a wholly owned subsidiary, together with interest, compound interest,
liquidated damages, premia on prepayment or on redemption, costs, charges,
expenses and other monies payable under their loan agreements/ Heads of
agreements/ letter of sanctioned, now send collaterally secured by way of
SECOND CHARGE (FIRST CHARGE ranking pari-passu between Vijaya Bank, Udaipur
and IDBI for their respective term loans) against Joint Mortgage of entire
fixed assets, both present and future. Land and building and hypothecation of
other movable fixed assets of the Company presently consisting assets as
detailed herein below:- Collateral
Security on SECOND CHARGE BASIS a)
All those
pieces and parcels of land admeasuring 6 Bighas 7 Biswa (1.3500 Hectares)
covered by Khasra No.363 (old khasra No.2517) generally known as jag Niwas
(Lake palace Hotel(situated in Pichola lake, Udaipur together with all plant
and machinery attached to the earth or permanently fastened to anything
attached to the earth. b)
All those
pieces and parcels of land admeasuring 6 Bighas 3 Biswas (1.7700 Hectares)
covered by khasra No.366 (old khasra No.2520) generally known as Jag Mandir
situated in Pichola lake, Udaipur together with all the buildings,
constructions structures thereon and all plant and machinery attached to the
earth or permanently fastened to anything attached to the earth. c)
All those
pieces and parcels of land admeasuring 5972 aq.mtr. covered by khasra No.428
(Min) generally known as motor garage (Garden Hotel) situated at udaipur
together with all the buildings construction and structures thereon and all
plant and machinery attached to the earth or permanently fastened to anything
attached to the earth. d)
All those
pieces and parcels of land admeasuring 14048 sq. ft. (0.1250 Hectares)
covered by khasra No.427 (Min) )old khasra No.2522 to 2539) generally known
as Fateh Prakash Palace situated at Udaipur together with all the buildings,
constructions and structures thereon and all plant and machinery attached to
the earth or permanently fastened to anything attached to the earth. e)
All those
pieces and parcels of land admeasuring 1.16.502 sq.ft. (1.0423 Hectares)
covered by khasra No.2522, 2523 2539) generally known as Bansighat to
Nawghat situated at Udaipur f)
All those
pieces and parcels of land admeasuring 22.26 Hectares covered by khasra No.371
to 373, 375 to 388 (Old khasra No.2554 to 2557, 2559 to 2561) generally known
as khas odhi situated at Udaipur together with all the buildings,
constructions and Structures thereon and all plant and machinery attched to
the earth or permanently fastened to anything attached to the earth. g)
Hypothecation
of entire movable fixed Assets of the company both present and future such as
plant and machinery, Vehicles, Motor Boats, launches, audio Visual equipments
and other movable assets furniture and fixtures, equiopments , plants and
machinery, furnishing, vehicle, motor boats etc. The credit
facility aforesaid is also collaterally secured on FIRST CHARGE basis against
all current assets and the continuing Corporate Guarantee of M/s. The Lake
Palace hotekls and Motels Limited in favour of Vijaya Bank, Bapu Bazar,
Udaipur for due repayment of loans. |
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Corporate
identity number of the company |
U55101RJ1963PTC001158 |
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Name of the
company |
THE LAKE PALACE
HOTELS AND MOTELS PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
City Palace,
Udaipur City Palace, Udaipur 313 001, Rajasthan, India. |
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This form is for |
Creation of
Charge |
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Type of charge |
Immovable
property |
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Particular of
charge holder |
Vijaya Bank, City
Palace, Udaipur 313 001, Rajasthan, India. |
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Nature of
instrument creating charge |
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Date of
instrument Creating the charge |
29.09.2008 |
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Amount secured by
the charge |
Rs.40.000
Millions |
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Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest Interest @ 1.25%
over Vijaya Bank PLR, as may be fixed by the bank from time to time, subject
to a minimum of 15.25^%p.a. chargeable at monthly rest. Penal Interest
Additional Interest @2%p.a. on the amount of default, for the period of
default. Terms of
repayment Repayable in 60
equated monthly installments of Rs.1.015 millions each commencing from
26.10.2008 Margin 29.02% on cost of
renovation as per estimate dated 12.09.2008 of Mr. D.K. Jain approved valuer. Extent and
operation of the charge Continuing
security of immovable property situated at east side of Pichhola Lake,
Udaipur, known as Fateh Prakash Hotel, owned by the company and valued at
Rs.326.074 millions which is already mortgaged to the Bank against term loans
availed by the company Others Other Terms as
per instruments creating the Charge dated 29.09.2008 and as per sanction
letter dated 26.09.2008 |
|
Particulars of
the property charged |
Immovable
property situated at east side of Pichhola Lake, Udaipur, known as Fateh
Prakash Hotel, owned by the company and valued at Rs.326.074 millions which
is already mortgaged to the Bank against term loans availed by the company. |
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 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 Intl
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 companys 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.47.33 |
|
UK Pound |
1 |
Rs.73.92 |
|
Euro |
1 |
Rs.66.69 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
This score serves as a reference to assess SCs 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 |
|