MIRA
INFORM REPORT
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Report Date : |
14.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
NEO SPORTS BROADCAST PRIVATE LIMITED |
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Registered Office : |
Nimbus Centre, Oberoi Complex, Andheri (West), Mumbai-400053, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
17.03.2006 |
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Com. Reg. No.: |
11-160563 |
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CIN No.: [Company
Identification No.] |
U92411MH2006PTC160563 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMN13882B |
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PAN No.: [Permanent
Account No.] |
AACCN2854Q |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Television Broad Cast (Main Channels
: Neo Sports and Neo Cricket) |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 8200000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an established broadcaster on television. Trade relations are
fair. Financial position is satisfactory. Payments are usually correct and
as per commitments. The Company can be considered good for normal business dealings at
usual trade terms and condition. Nothing adverse reported. |
INFORMATION PARTED
BY
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Name : |
Mr. Prabudhandas Gupta |
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Designation : |
General Account Manager |
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Date : |
10.06.2008 |
LOCATIONS
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Registered Office : |
Nimbus Centre, Oberoi Complex, Andheri (West), Mumbai-400053,
Maharashtra, India |
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Tel. No.: |
91-22-26352000 |
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Mobile No.: |
91-9821872502 |
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Fax No.: |
91-22-26352123 |
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E-Mail : |
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Website : |
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Area : |
Top 3 Floors ( Owned by group Company) |
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Branches : |
Located at :-
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Area : |
Rented |
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Branches : |
Located at :- Malad- (Studio is there) |
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Area : |
Rented |
DIRECTORS
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Name : |
Mrs. Shobha Thawani |
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Designation : |
Director |
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Address : |
701, Rendezvois, 120, Perry Road, Bandra (West), Mumabi-400050,
Maharashtra, India |
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Name : |
Dr. Akash Khurana |
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Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Prabudhandas Gupta |
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Designation : |
General Account Manager |
BUSINESS DETAILS
|
Line of Business : |
Television Broad Cast (Main Channels
: Neo Sports and Neo Cricket) |
GENERAL
INFORMATION
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Customers : |
Advertisers |
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No. of Employees : |
175 |
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Bankers : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Anil A. Mansand and Company Chartered Accountant |
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Address : |
3 Sheva Appartments, 33-B, 3rd Road, Khar (West),
Mumbai-400052, Maharasthra, India |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
As on 16.07.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
47800000 |
Equity Shares |
Rs. 10/- each |
Rs. 478.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
47700000 |
Equity Shares |
Rs. 10/-
each |
Rs. 477.000
Millions |
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
|
31.03.2007 |
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SHAREHOLDERS FUNDS |
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|
|
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1] Share Capital |
|
|
477.000 |
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2] Share Application Money |
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|
0.000 |
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3] Reserves & Surplus |
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1170.583 |
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4] (Accumulated Losses) |
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0.000 |
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NETWORTH |
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1647.583 |
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LOAN FUNDS |
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|
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1] Secured Loans |
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|
0.000 |
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2] Unsecured Loans |
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|
51.520 |
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TOTAL BORROWING |
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51.520 |
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DEFERRED TAX LIABILITIES |
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0.000 |
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TOTAL |
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1699.103 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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51.972 |
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Capital work-in-progress |
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53.858 |
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INVESTMENT |
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0.223 |
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DEFERREX TAX ASSETS |
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0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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4.598 |
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Sundry Debtors |
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710.001 |
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Cash & Bank Balances |
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1025.776 |
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Other Current Assets |
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3.428 |
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Loans & Advances |
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84.844 |
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Total
Current Assets |
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1828.647 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
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Current Liabilities |
|
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263.170 |
|
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Provisions |
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|
16.417 |
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Total
Current Liabilities |
|
|
279.587 |
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Net Current Assets |
|
|
1549.060 |
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|
|
|
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MISCELLANEOUS EXPENSES |
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|
43.990 |
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|
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|
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TOTAL |
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|
1699.103 |
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FINANCIAL DATA
[all figures are in Rupees Millions]
|
Particulars |
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|
31.03.2007 |
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Sales Turnover |
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|
2500.000 |
Expected Sales (2008-09) : Rs. 4000.000 Millions
KEY RATIOS
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PARTICULARS |
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|
|
31.03.2007 |
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Debt Equity Ratio (Total Liability/Networth) |
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|
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1.14 |
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Current Ratio (Current Asset/Current Liability) |
|
|
|
6.54 |
LOCAL AGENCY
FURTHER INFORMATION
Trade References:
- Milind Share,
Mumbai
- Ogilvy and
Mather, Mumbai
- Media Edge,
Mumbai
Bankers Charges
Report as per Registry
|
This form is for |
Creation of
charge |
|
Corporate
identity number of the company |
U92411MH2006PTC160563 |
|
Name of the
company |
NEO SPORTS BROADCAST PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
Nimbus Centre, Oberoi Complex, Andheri (West), Mumbai-400053, Maharashtra,
India |
|
Type of charge |
Book Debts Movable Property Others |
|
Particular of
charge holder |
Axis Bank
Limited, Altanta Building, Nariman Point, Mumbai-400021. Maharashtra, India |
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Nature of description
of the instrument creating or modifying the charge |
Composite
Hypothecation Deed |
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Date of
instrument Creating the charge |
29.04.2008 |
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Amount secured by
the charge |
Rs. 5537.928
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest As Stipualated by
Bank from time to time. Terms of
Repayment On demand and or
as stipulated by the bank from time to time Margin As stipualeted by
bank from time to time. Extent and
Operation of the charge First pari passu
charge on the existing and future movable and current assets of the company
for total bank Guarantee limit of Rs. 5537.928 Millions sanctioned to NIMBUS
COMMUNICATIONS LIMITED as per the attachment. Others As stipulated by
bank form time to time and as per Agreement and as per Sanction Letter of the
Bank |
|
Short particulars
of the property charged |
First pari passu Charge
(Present and Future) by way of (1) Hypothecation of all goods, Stocks, Plant,
Machinery, Fixtures, Implements, Fittings and Other Installments, Furniture,
Computers and all other articles, equipment (2) All Book Debts, outstanding
monies, receivables, claims, bills, contracts, securities, investments,
rights and assets including the future BCCI Domestic Licensing Revenues (3)
All current, Movable and Fixed Assets of the Company (4) All Goods/ Stocks/
Investments. |
AS PER WEBSITE
Profile:
Subject has the exclusive broadcast rights for all
international and domestic cricket played in India. It also has exclusive
broadcast rights for international cricket played in Bangladesh and Kenya as
well as BCCI’s offshore cricket series. In 2008 NEO Cricket will broadcast a
minimum of 6 International cricket series including 4 featuring India, adding
up to nearly 200 days of live cricket.
In addition NEO Cricket will air as many as 10 Cricketainment shows, 4 of which
are daily shows such as Dial C for Cricket, Sportszone, Encounter, etc.
Subject holds the exclusive rights to top drawer football
(Italian Serie A and Bundesliga), Tennis (WTA Tour and select ATP tournaments),
Golf (US PGA Tour), Badminton (IBF Thomas and Uber Cup, BWF Super Series),
Beach volleyball (AVP World Series).
Additionally Subject will air a host of leading sports magazine shows.
Subject will also carry live coverage of cricket in Hindi
and other regional languages
Management
Leadership
Mr. Harish Thawani
Chairman - NIMBUS Communications Limited
With over 20 years of experience in the media and entertainment industry,
Harish Thawani, has worked in Account Management at Lintas, ASP and Chaitra Leo
Burnett, prior to promoting NIMBUS Communications Limited in the year 1987.
His passion for the creative arts saw him ideate and produce some of the
biggest television hits at Nimbus. His participative background in sports
fuelled Nimbus to its position of one of the world’s leading sports marketing
and production companies in the field of cricket with a global market share of
over 50% and also led to the founding of the world's first cricket only
television channel NEO Cricket which broadcasts in India and several other
countries in Asia.
Equally at home in all areas of the media and entertainment value chain:
creative, production, finance, marketing and technology, many believe that
Harish’s key assets are boundless energy and entrepreneurial flair combined
with leadership skills.
He is amongst the small sub set of Indian media
entrepreneurs that is cultural chameleon, blending easily into the work
cultures of the East and the West.
He has a large range of personal interests: is an avid
sportsman, hi-fi buff, blues music fan, and cinephile.
1. Arab Digital Distribution Company.
2. BNET Communications Private Limited
3. Dialog TV
4. Hong Kong Cable Television Limited
5. HUMTUMTV
6. Lanka Broadband Networks
7. Pacific Traders
8. StarHub
9. The New Media Group, K.K.
Arab Digital Distribution (ADD) is the largest pay TV
platform management company in the Middle East, and North Africa. ADD currently
offers ART- Premium Arabic Entertainment, Pehla - Premium Asian Entertainment,
First Net - Premium International Entertainment. ADD offers the best in programming
content targeting local market requirements by customizing the subscription
options and extending the greatest degree of choice and flexibility.
BNET
Communications Private Limited
BNET Communications Private Limited, established in 2004 is the
only Digital Cable TV operation in the Republic of Maldives. Apart from Cable
TV, through its cutting edge Hybrid Fibre network, BNET also carries Internet,
Financial Data Services, Telephony, and Security for some of the leading
Service Providers in the country.
Contact Details:
BNET Communications Private Limited
20213 M. Maanel,
Fareedhee Magu Male,
Republic of Maldives
T: +960 33 44 55 1
F: +960 33 44 55 2
E: info@b-net.com.mv
Dialog Television (Private) Limited, a subsidiary of Dialog
Telekom Limited, operates Dialog Satellite TV, a Direct to Home (DTH) Satellite
TV service. Dialog TV supports a broad array of international content including
CNN, BBC, HBO, Cinemax, AXN, ESPN, Discovery Channel, MTV (Music Television)
and Cartoon Network, in addition to a wide portfolio of Sri Lankan television
channels.
Dialog TV services are based on cutting edge DVB-S digital broadcast
infrastructure and reach out to over 20,000 Sri Lankan homes as of December
2006.
Hong Kong
Cable Television Limited
Hong Kong Cable Television Limited (CABLE TV) is Hong Kong's
leading pay television service provider. It is a wholly owned subsidiary of
i-CABLE Communications Limited which is Hong Kong's leading fully integrated
communications company that owns and operates one of the territory's two near
universal telecommunications networks. It provides pay television and broadband
Internet access service and creates its own multi-media content.
CABLE TV now offers more than 100 locally produced and international channels,
providing a wide array of news, sports, movies, documentaries and entertainment
programmes.
HumTumTV is an Indian Channel provider run by Indians who
have lived in Japan for over 30 years. Providing South Asian Entertainment to
the South Asians in Japan, Taiwan and Korea since 2001, HumTumTV now offers its
services over Broadband and DTH platforms. Working with Zee Network and B4U
Network, HumTumTV has grown its viewership in the Taiwan, Korea and Japanese region
and will be exploring further into the East Asian and South East Asian
territories with these and more channels. HumTumTV's goal is to bring smiles
across the miles for the Indian Diaspora currently residing on this side of the
world.
"They look forward to providing the World of Indian Cricket to the South
Asians in these regions as a promotion of cricket as well as their
culture!"
Lanka Broadband Networks is the first and only licensed
cable television operator in Sri Lanka. A Board of Investment approved project
to build and operate a Hybrid Fiber Coaxial cable network in Sri Lanka. LBN has
been in operation for 7 years with a channel offering of 72 channels at present
LBN started offering digital services in 2006. Coverage currently is restricted
to Colombo with four small cable networks in Nuwara Eliya, Beruwala and
Wattala. LBN expects to move into broadband services as well as offer HD
channels by 2008.
Pacific Traders is the Authorized Distributor of HBO and
CINEMAX, ZOOM, SAHARA ONE, FILMY, NEO SPORTS and NEO SPORTS PLUS for Nepal. It
was established with the objective of redefining ground cable distribution in
Nepal by bringing professionalism and institutionalism so as to make this line
of business prestigious and self sufficient. Pacific Traders with proven facts
of coming in distribution business has a competitive advantage over other
existing distributors. Pacific can commit better ground control, logistics and
services that can be offered by none of the existing distributors. They have
already established nationwide mechanism, set up the human resource required
for the competitive operation of this business.
StarHub, Singapore's second largest info-communication
company, offers a full and diverse range of information, communications and
entertainment services over its advanced fixed, cable, mobile and Internet
platforms. Targeting both consumer and corporate markets, StarHub operates a
full two-way 3.5G mobile network in addition to its GSM network, a nation-wide
HFC network that delivers multi-channel cable TV services (including Digital
Cable and High Definition Television) as well as ultra-high speed residential
broadband services, and an extensive fixed business network that provides a wide
range of data, voice and wholesale services.
Launched in 2000, StarHub has become one of Singapore's most innovative
info-communications providers, and the pioneer in 'hubbing' - the ability to
deliver unique integrated and converged services to all its customers. StarHub
is listed on the SGX-ST.
TNMG is the leading digital media platform developer and
operator in the Asia Pacific region. Partnered with the world's leading media
and technology companies, TNMG owns and operates the World On-Demand (the
region's most comprehensive IPTV platform), MY-World Communities (a leading
portal for the advanced formation and management of online communities and
their personal media), and Factor Mobile, a mobile-terminal content platform in
Japan. TNMG also owns Media Pay?, a electronic payments gateway for East Asia
that utilizes every electronic wallet and conventional payment method available
in those markets from minor branded affinity cards to cash collection at over
45,000 distribution points. Founded by executives in the media, technology, and
financial communities, TNMG is headquartered in Tokyo, Japan, and maintains
network operations facilities in Yokohama, Japan and a development center and
post-production studio in Chennai, India. The team at TNMG invites everyone to
visit www.TheNewMediaGroup.net and www.WorldOnDemand.net
to learn more about what the company is doing. They accept communication in
Japanese, English, Mandarin, French, Spanish, Hindi, Tamil,
and Urdu.
Press
Release:
ABBYs, PROMAX and
CANNES
Mumbai,
23rd June 2008: NEO
Sports Broadcast has recently hit a hatrick
with their latest win at the Cannes. NEO
Sports gas commercial has bagged a silver lion in the film category.
O&M and NEO Sports, both are on a roll after pocketing three awards back to
back for the same campaign. This particular commercial has won the ABBY’s, PROMAX and now the CANNES!!
The jury believed that the film was a fresh way of
portraying the element of tension. The NEO Sports Gas films were aimed at
creating tension for the then upcoming India-Pakistan series to be aired on the
channel during the live series. Gas tells the story of a busy household where
the servant has left the gas on by mistake and gone away. The whole story has
members of the household doing things that could lead to starting a fire: A man
plays with his lighter, children prepare to light firecrackers nearby. The
tension is at a crescendo, when the super appears: ‘Get used to tension.’ The
commercials aimed to replicate the same feeling that every fan goes through
when India and Pakistan play against each other.
Commenting on this occasion, Mautik Tolia, EVP, Programming said, “Neo has always been
successful in presenting cricket in new, innovative and path breaking ways and
these awards are a testimony to that. For their Ind-Pak series, we wanted a
campaign that encapsulates the tension one feels during an Ind-Pak series. The
‘Get used to the tension’ campaign delivered just that and in a completely out
of the box manner. We are extremely proud to have created a strong presence at
all the three awards-Cannes, PROMAX and ABBYs.”
Said S Ramamurthy,
Associate Creative Director, O&M, “NEO Sports is probably one the
savviest clients in the country. Instead of taking the road usually taken, they
approached every promo as an opportunity to entertain the consumer and not just
educate about a show or the channel itself or the event. Which made the brand
the best fun I have had in my career so far. The ‘tension’ campaign was an
example of everything going fantastically right. The idea and the script came
out right. The films turned out right in terms of execution. The audience
response was right and now the awards seem good.”
More
about NEO Cricket
NEO Cricket has the exclusive broadcast rights for all
international and domestic cricket played in India. It also has exclusive
broadcast rights for international cricket played in Bangladesh and Kenya as
well as BCCI’s offshore cricket series. In 2008 NEO Cricket will broadcast a
minimum of 6 International cricket series including 4 featuring India, adding
up to nearly 200 days of live cricket.
In addition NEO Cricket will air as many as 10
Cricketainment shows, 4 of which are daily shows such as Dial C for Cricket,
Sportszone, Encounter, etc.
More
about NEO Sports
NEO Sports holds the exclusive rights to top drawer football
(Italian Serie A and Bundesliga), Tennis (WTA Tour & select ATP
tournaments), Golf (US PGA Tour), Badminton (IBF Thomas & Uber Cup, BWF
Super Series), Beach volleyball (AVP World Series).
Additionally NEO Sports will air a host of leading sports
magazine shows.
NEO Sports will also carry live coverage of cricket in Hindi and other regional
languages.
Neo
Cricket goes on an award-winning spree
-Steals the show at the recent Promax|BDA India 2008 awards
ceremony
winning the maximum 11 metals
Mumbai
May 30, 2008: Neo Cricket has proved its mettle once again.
Close on the heels of the recently won Grand Prix at the Goafest Abys 2008, Neo
stole the show ceremony at the recently held Promax|BDA India 2008 awards by
walking away with 11 metals - four Gold and seven Silvers, this was the maximum
number of awards that anybroadcaster won at the ceremony!
The ‘Gas’ promo series won the Gold for the best sports
promo; sound design; script; while ‘Ooga booga (dinosaur) won for best
animation. The silvers that Neo bagged were for the best out-of-house station
image promo (Power Play), best promotional campaign (tension), best sports
promo (Rusty Nail), best launch campaign (Tension), best sound design (Rusty
Nail), best editing in a promo (Gas) and best animation (Ooga booga- Stumps).
Speaking on this occasion, Mautik Tolia, Executive Vice President, Neo Cricket, said, breaking
ways and these awards are a testimony to that. For our Ind-Pak series, we
wanted a campaign that encapsulates the tension one feels during an Ind-Pak
series. The ‘Get used to the tension’ campaign delivered just that and in a
completely out of the box manner. Our animated Ooga Booga series has also
managed to break through the clutter giving a new fresh fun take on the game of
cricket.”
Said S Ramamurthy,
Associate Creative Director, O&M, “Neo is probably one the savviest
clients in the country. Instead of taking the road usually taken, they
approached every promo as an opportunity to entertain the consumer and not just
educate about a show or the channel itself or the event. Which made the brand
the best fun I have had in my career so far. The ‘tension’ campaign was an
example of everything going fantastically right. The idea and the script came
out right. The films turned out right in terms of execution. The audience
response was right and now the awards seem... well, right! I guess, it can only
get better from here.”
The channel also recently created ripples by bagging the
Grand Prix along with a few a few Gold and Silver - for the Best Advertising
Campaign at the Goafest ABBY 2008.
About Goafest Abby 2008
Neo Sports Broadcasting Private. Limited., won the Grand
Prix for the best advertising campaign; it also won Gold for the ‘Gas’ ad and
Silver for ‘Rusty Nail’ commercial in the Direction, Sound Design and Editing
category. The Grand Prix is awarded for the best work in each vertical. The
Goafest Abby 2008 had 6 Grand Prix Awards, including two under the films
category. O&M won the Gold in media and publications category for the Gas
commercial.
More
about NEO Cricket
NEO Cricket has the exclusive broadcast rights for all
international and domestic cricket played in India. It also has exclusive
broadcast rights for international cricket played in Bangladesh and Kenya as
well as BCCI’s offshore cricket series. In 2008 NEO Cricket will broadcast a
minimum of 6 International cricket series including 4 featuring India, adding
up to nearly 200 days of live cricket.
In addition NEO Cricket will air as many as 10 Cricketainment
shows, 4 of which are daily shows such as Dial C for Cricket, Sportszone,
Encounter, etc.
More
about NEO Sports
NEO Sports holds the exclusive rights to top drawer football
(Italian Serie A and Bundesliga), Tennis (WTA Tour & select ATP tournaments),
Golf (US PGA Tour), Badminton (IBF Thomas &Uber Cup, BWF Super Series),
Beach volleyball (AVP World Series).
Additionally NEO Sports will air a host of leading sports
magazine shows.
NEO Sports will also
carry live coverage of cricket in Hindi and other regional languages.
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.42.72 |
|
UK Pound |
1 |
Rs.84.42 |
|
Euro |
1 |
Rs.67.38 |
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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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 |
|