MIRA
INFORM REPORT
|
Report Date : |
24.06.2008 |
IDENTIFICATION
DETAILS
|
Name : |
CENTRAL ELECTRONICS LIMITED |
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Registered Office : |
781, Desh Bandhu Gupta Road, Karol Bagh, New Delhi-110005 |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
26.06.1974 |
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Com. Reg. No.: |
55-7325 |
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CIN No.: [Company
Identification No.] |
U74899DL1974GO1007325 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELC07710D |
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PAN No.: [Permanent
Account No.] |
AAACC1261C |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer and Exporter of Electronic Equipments. |
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 1500000 |
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Status : |
Good |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is a public sector enterprise. The company has some accumulated
losses but in view of the improving profitability, it is expected to wipe-off
soon. Trade relations are fair. Business is active. Payments are reported as
slow but correct. The company can be considered good for normal business dealings. |
LOCATIONS
|
Registered Office : |
781, Desh Bandhu Gupta Road, Karol Bagh, New Delhi-110005, India |
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Tel. No.: |
91-11-23526836/ 23683046/ 23683053 |
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Fax No.: |
91-11-23549336 |
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E-Mail : |
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Website : |
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Regional Office : |
51, CMH Road, 1st Floor, Indira Nagar, Bangalore-560038,
India |
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Fax No.: |
91-80-5251740 |
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Factory 1 : |
4, Industrial Area, Sahidabad-201010, Uttar Pradesh, India |
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Tel. No.: |
91-120-2895155/ 2895156 |
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Fax No.: |
91-120-2895142/ 2895147/ 2895148 |
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E-Mail : |
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Branch Offices : |
712-B & 713, Hemkunt Tower, 98, Nehru Place, New Delhi
– 110 019, INDIA |
DIRECTORS
|
Name : |
Dr. S. K. Kaicker |
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Designation : |
Chairman and Managing Director |
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Address : |
G-305. Preet Vihar, Delhi-110092, India |
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Date of Birth/Age : |
18.08.1947 |
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Date of Appointment : |
16.09.2005 |
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Name : |
Mr. Udaykumar Keshav Limaye |
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Designation : |
Director |
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Address : |
E-2, Vijay Kiran Apartments, 32, Victoria Road, Bangalore-560047,
Karnataka, India |
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Date of Birth/Age : |
17.08.1946 |
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Name : |
Mr. Vibhu Rashmi |
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Designation : |
Director |
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Address : |
51-Gautam Apartments, Gautam Nagar, New Delhi-110049, India |
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Date of Birth/Age : |
24.03.1951 |
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Date of Appointment : |
30.03.2006 |
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Name : |
Mr. Rama Murli |
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Designation : |
Director |
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Address : |
Flat No. 155, Shrinkiketan GGHS, Plot No. 1, Sector7, Dwarka, New
Delhi-110075, India |
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Date of Birth/Age : |
12.05.1948 |
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Date of Appointment : |
01.01.2002 |
KEY EXECUTIVES
|
Name : |
Mr. Shambhu Singh |
|
Designation : |
Joint Secretary and Financial Adviser, CSIR/DSIR |
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|
Name : |
Mr. B. P. Dubey |
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Designation : |
Company Secretary |
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Name : |
Dr. S. Ahmad |
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Designation : |
Vice Chancellor |
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Address : |
Jamia Hamdard University, Hamdard Nagar, New Delhi-100062, India |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
As on 30.09.2005
|
Names of Shareholders |
|
No. of Shares |
|
President of India |
|
377689 |
|
Raghnath Mashalkar |
|
01 |
|
Rama Murali |
|
01 |
|
Total |
|
377691 |
Equity Share Breakup (Percentage of total Equity)
As on 30.09.2007
|
Category |
|
Percentage |
|
Directors or relatives of directors |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Electronic Equipments. |
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Products : |
Ø SPV Ø Strategic
Electronics Ø Railway
Electronics Ø Microwave
Electronics Others Ø Cathodic Ø Ceramics |
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Exports : |
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Countries : |
Ø Afganistan Ø Chna Ø Nepal Ø Autria Ø Germany Ø Republic of
Sudan Ø Srilanka Ø Zambia Ø Mali Ø Mangolia Ø Mozambique Ø Namibia |
GENERAL
INFORMATION
|
Customers : |
Ø Indian Railways Ø Ministry of
Tribal Affairs Ø State Nodal
Agencies Ø Prasar Bharati Ø Indian Oil
Corporation Ø Bharat Electronics
Limited Ø Ministry of
Defence Ø Ordnance
Factories Ø Rajasthan
Electronics and Instruments Limited Ø Brahma Kumari
Ashram, Manesar |
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No. of Employees : |
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Bankers : |
Ø Syndicate Bank Consortium
With State Bank of Mysore, 4 Industrial Area, Sahibabad, Ghaziabad-201010,
Uttar Pradesh, India Ø State Bank of India, 11, Parliament Street, Delhi – 110 001 Ø State Bank of Mysore, Karol Bagh Branch, Delhi – 110 005 |
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Banking Relations
: |
Satisfactory |
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Auditors : |
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Name : |
Sunil K Gupta and Associates Chartered Accountant |
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Address : |
4232/1 Ansari Road, Darya Ganj, New Delhi-110002, India |
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Name : |
J C Bhalla and Company Chartered Accountant |
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Address : |
B-17, Maharani Bagh, New Delhi-110065, India |
CAPITAL STRUCTURE
As on 25.08.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000 |
Equity Shares |
Rs. 1000/- each |
Rs. 500.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
477692 |
Equity Shares |
Rs. 1000/-
each |
Rs. 477.692
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
477.692 |
427.692 |
377.692 |
|
|
2] Share Application Money |
0.000 |
50.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
[160.170] |
[188.714] |
[313.039] |
|
|
NETWORTH |
317.522 |
288.978 |
64.653 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
88.543 |
25.988 |
131.575 |
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2] Unsecured Loans |
270.413 |
284.753 |
222.181 |
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TOTAL BORROWING |
358.956 |
310.741 |
353.756 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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|
|
|
|
|
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TOTAL |
676.478 |
599.719 |
418.409 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
294.463 |
98.608 |
84.240 |
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Capital work-in-progress |
18.420 |
94.931 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
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Inventories |
215.525
|
158.051 |
193.648 |
|
|
Sundry Debtors |
349.233
|
275.367 |
285.146 |
|
|
Cash & Bank Balances |
163.279
|
172.927 |
85.210 |
|
|
Other Current Assets |
3.798
|
2.495 |
0.000 |
|
|
Loans & Advances |
89.998
|
102.216 |
113.072 |
|
Total
Current Assets |
821.833
|
711.056 |
677.076 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
410.384
|
264.266 |
363.264 |
|
|
Provisions |
47.854
|
40.610 |
0.000 |
|
Total
Current Liabilities |
458.238
|
304.876 |
363.264 |
|
|
Net Current Assets |
363.595
|
406.180 |
313.812 |
|
|
|
|
|
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|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
20.357 |
|
|
|
|
|
|
|
|
TOTAL |
676.478 |
599.719 |
418.409 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
1266.390 |
1023.707 |
876.774 |
|
|
Other Income |
21.427 |
117.451 |
13.102 |
|
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Total Income |
1287.817 |
1141.158 |
889.876 |
|
|
|
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|
|
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Profit/(Loss) Before Tax |
33.983 |
133.029 |
[5.640] |
|
|
Provision for Taxation |
5.439 |
8.705 |
0.000 |
|
|
Profit/(Loss) After Tax |
28.544 |
124.324 |
[5.640] |
|
|
|
|
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Earnings in Foreign Currency : |
|
|
|
|
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Export Earnings |
171.115 |
239.755 |
316.413 |
|
|
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Expenditures : |
|
|
|
|
|
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Raw Material Consumed |
750.771 |
571.394 |
457.992 |
|
|
Purchases made for re-sale |
91.963 |
0.000 |
0.000 |
|
|
Consumption of stores and spares parts |
8.615 |
8.625 |
9.084 |
|
|
Increase/(Decrease) in Finished Goods |
[53.078] |
56.062 |
105.373 |
|
|
Salaries, Wages, Bonus, etc. |
239.050 |
202.696 |
185.050 |
|
|
Managerial Remuneration |
0.770 |
0.449 |
0.000 |
|
|
Payment to Auditors |
0.206 |
0.216 |
0.158 |
|
|
Interest |
8.822 |
12.464 |
21.268 |
|
|
Insurance Expenses |
2.577 |
1.872 |
1.516 |
|
|
Power & Fuel |
15.793 |
15.990 |
17.578 |
|
|
Depreciation & Amortization |
10.565 |
9.081 |
7.856 |
|
|
Other Expenditure |
177.780 |
129.280 |
89.641 |
|
Total Expenditure |
1253.834 |
1008.129 |
895.516 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
2.21
|
10.89 |
[0.63] |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.68
|
12.99 |
[0.64] |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.04
|
16.43 |
[0.74] |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11
|
0.46 |
[0.08] |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.57
|
2.13 |
11.09 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.79
|
2.33 |
1.86 |
LOCAL AGENCY FURTHER
INFORMATION
ankers Charges
Report as per Registry
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified
|
90043458 |
|
Corporate
identity number of the company |
U74899DL1974GO1007325 |
|
Name of the company
|
CENTRAL
ELECTRONICS LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
781, Desh Bandhu Gupta Road, Karol Bagh, New Delhi-110005, India |
|
Type of charge |
Book Debts Movable Property Immovable
Property |
|
Particular of
charge holder |
Syndicate Bank Consortium With State Bank of Mysore, 4 Industrial
Area, Sahibabad, Ghaziabad-201010, Uttar Pradesh, India |
|
Nature of
description of the instrument creating or modifying the charge |
|
|
Date of
instrument Creating the charge |
20.02.2007 |
|
Amount secured by
the charge |
Rs. 450.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest As per second
schedule of the Hypothecation Agreement the Interest and commission shall be
charged as follows
Interest : PLR
Interest : PLR
Terms of Repayment As per Clause No. 5 of Hypothecation
agreement the Company shall repay the said facilities to each of the said
Banks forthwith on demand of all such amounts as may be standing at the foot
of the Cash Credit Account(s) or other Accounts (hereinafter referred to as
“the said Account(s) together with interest, compound interest, as may be
applicable thereto as set out in the Second Schedule to the said Consortium
Agreement. Margin As per terms and
condition of sanction letter dated 05.12.2006 (copy enclosed) 25% margin on
stock and 50% margin on book debts
less than 190 days. Extent and Operation of the charge As per Second
Schedule of the Hypothecation Agreement subject to rates of interest from
time to time. |
|
Short particulars
of the property charged |
|
|
Date of latest
modification prior to the present modification |
22.06.2002 |
|
Particulars of
the present modification |
Sanction of
Renewed working capital facilities by syndicate Bank Sahibabad vides Letter
No. SHB/CEL/P-1A/SBM288/2006 dated 05.12.2006 (copy enclosed). The company
was enjoying the credit facilities of Rs. 360.000 Millions which stand
modified to Rs. 450.000 Millions with syndicate Bank share of Rs. 280.000
Millions and State Bank of Mysore Shares of Rs. 170.000 Millions which is
described as per first Schedule of Hypothecation Agreement dated 20.02.2007 |
|
Name of the company |
CENTRAL
ELECTRONICS LIMITED |
|
Presented By |
Mr. B. P. Dubey,
Company Secretary |
|
1) Date and description of instrument creating the change |
|
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 360.000
Millions |
|
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 |
|
|
4) Gist of the terms and conditions and extent and operation of the charge. |
As per Annexure-I
and subject to revision in the rates of interest from time to time. |
|
5) Name and Address and description of the person entitled to the charge. |
Syndicate Bank
Consortium Consisting of Syndicate Bank, Sahibabad (Lead Bank) and State Bank
of Mysore, Karol Bagah, Branch, New Delhi |
|
6) Date and brief description of instrument modifying the charge |
ASD-4, Dated
24.09.2003 for Rs. 7.500 Millions mortgage for short term loan of Rs. 7.500
Millions (Certified copy enclosed as Annexure-II |
|
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. |
Sanction of short
term loan of Rs. 7.500 Millions by the Syndicated Bank, Shibabad vide Letter
Ref. SHB/CEL/P-1A/LET00323/2003 dated 11.09.2003 (certified copy enclosed as
Annexure-IV) |
AS PER WEBSITE
Profile
Subject is a
Public Sector Enterprise under the Department of Scientific and Industrial Research
(DSIR), Ministry of Science and Technology, Government of India. It was
established in 1974 with an objective to commercially exploit the indigenous
technologies developed by National Laboratories and RandD Institutions in the
country. CEL is one of the rare companies, which utilized the homegrown
technologies during all these years of its existence.
CEL has developed a number of products for the first time in
the country through its own RandD efforts and in close association with the
premier National and International Laboratories including Defense Laboratories.
In recognition of all these efforts, CEL has been awarded a number of times
with prestigious awards including “National Award for RandD by DSIR”.
CEL is pioneer in the country in the field of Solar
Photovoltaic (SPV) and it has developed state-of-the-art technology with its
own RandD efforts. Its Solar products have been qualified to International
Standards EC503/IEC1215 by the European Commission, Joint Research
Centre, and ISPRA, ITALY.
CEL, pioneer in the field of Railways Safety and Signaling,
has been identified as a major indigenous agency for design and development of
modern electronic Signaling and Safety equipment by Indian Railways. The equipment
manufactured in CEL finds extreme usage in Railways in the form of Axle
Counter, Axle Counter Block System and Train Approach Warning Devices. CEL’s
Digital Axle Counter is approved as per European CENELEC safety level SIL-4 by
RDSO (Research, Design and Standard Organization of Indian Railways) as an
approved source in Part-I (i.e. approved for bulk production) for various
Railway Safety and Signaling Equipments for more than 25 years.
CEL has developed a number of critical components for strategic
applications and is supplying these items to Defence
Strength:
Ø Pioneer
in India in Photovoltaic, Railway Signaling and safety equipments, C-Band and
X-Band phase shifters and Electronic Ceramics
Ø Capability
to meet competition in India and abroad
Ø State-of-the-art
solar cell process technology
Ø Latest
infrastructure and equipment for processing silicon solar cells and modules
Ø First
in India to undertake turnkey village electrification projects
INDIVIDUAL MILESTONES PROPOSED TO ACHIEVED DURING FINANCIAL
YEAR 2007-08 :
Ø Up
scaling and upgrading the production facility of SPV cells and modules from 2
Mwp to 10 Mwp.
Ø To
standardize the process for using 6” wafers of 220 micron thickness (multi
crystalline and mono crystalline) to produce higher wattage modules.
Ø Augment
production capacity for digital axle counter, installing automated test
equipment (ATE) for production testing to cater substantially increased demand
expected in coming years.
Ø Obtaining
type approval from RDSO for Multi Section Digital Axle Counter (MSDAC) and
deployment of 5 nos. for extended field trial leading to procurement of bulk
order from railways.
Ø Design
and development of digital axle counter suitable for point zones and offer the
same to RDSO for approval.
Ø Complete
the supply against X-band PCM’s order of LRDE and look for fresh orders for
PCM.
Ø Initiate
necessary action for augmentation of production capacity of 40000 nos. PCMs to
projected demand of PCMs.
Ø To
provide turnkey solution for public area security to counter security threats.
Ø To
explore the avenues for supplying electronic instruments for Metro Rails in
India
Board of Directors
§
Dr. S. K. Kaicker, Chairman and Managing Director.
§
Shri. Shambhu Singh, IAS, Jt. Secretary and Financial
Adviser, CSIR/DSIR.
§
Dr. Vibhu Rashmi, Scientist 'G', DSIR.
§
Dr. S. Ahmad, Vice Chancellor, Jamia Hamdard University,
Hamdard Nagar, New Delhi – 100
§
Dr. M. J. Zarabi, C-28, Pamposh Enclave, New Delhi – 110 048
§
Dr. K. U. Limaye, E-2, Vijay Kiran Apartment, 32, Victoria
Road, Bangalore – 560 047
§
Dr. S. Jaisimha, Chairman,Signion Systems Ltd., 20, Rockdale
Compound, Somaji Guda, Hyderabad- 500 082
CEL is a Public Sector Enterprise of Government of India
under the Administrative control of Deptt. of Scientific and Industrial
Research, Ministry of Science and Technology. The entire paid up share capital
of the company is held by the President of India and his nominees. Its paid up
share capital is Rs. 477.700 Millions. The Board of Directors of the CEL meets
at least once in a quarter to transact its affairs.
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.42.97 |
|
UK Pound |
1 |
Rs.84.72 |
|
Euro |
1 |
Rs.66.99 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
52 |
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 |
|