MIRA INFORM REPORT

 

 

 

Report Date :

17.10.2008

 

IDENTIFICATION DETAILS

 

Name :

BHUTAN NATIONAL BANK LIMITED

 

 

Registered Office :

Thimphu, P.O Box : 439,

 

 

Country :

Bhutan

 

 

Date of Incorporation :

03.05.1997

 

 

Com. Reg. No.:

B2278

 

 

Legal Form :

Public Limited

 

 

Line of Business :

Banking, Interest, Internet Rates, FX Rates, Credit Facility, ATM Fecility, Anywhere Banking, International Banking, Correspond Bank. Etc

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

 

Registered & Head Office

Bhutan National Bank Limted
Head Office, Thimphu
P.O Box : 439,
Phones: (009752) 328577, 328588
Fax: (009752) 328839

Branch Offices:

Bhutan National Bank Limited
Thimphu, Bhutan
P.O. Box : 439
Phones: (009752) 322767, 323602, 325191, 325297
Fax: (009752) 323601
Telex: 236 BNBANKTPU BT
Email: thimphu@bnb.com.bt

Bhutan National Bank Limited
Phuentsholing, Bhutan
P. O. Box : 96
Phones: (009755) 252502/ 252431
Fax: (009755) 252647
Email: pling@bnb.com.bt

Bhutan National Bank Limited
Tshongdue, Paro Bhutan
Phones: (08)272731/272732
Fax: (08) 272733
Email: paro@bnb.com.bt

Bhutan National Bank Limited
Monggar, Bhutan
P.O. Box :
Phones: (04) 641494/ 641495/ 641496
Fax: (04) 641493
Email: mongar@bnb.com.bt

Bhutan National Bank Limited
Gelephu, Bhutan
P.O Box : 163
Phones: (06) 251008
Fax: (06) 251161
Email: gelephu@bnb.com.bt

Bhutan National Bank Limited
Wangdue, Bhutan
P.O Box: 1271
Phones: (02) 481912, 481913, 481914
Fax: (02) 481916
Email: wangdue@bnb.com.bt

Extension Offices:

Bhutan National Bank Limited
Samdrupjongkhar, Bhutan
P. O. Box : 138
Phones: (009754) 51149
Fax: (009754) 51208
Email: sj@bnb.com.bt

Bhutan National Bank Limited
Trashigang, Bhutan
P. O. Box : 111
Phones: (009754) 21129
Fax: (009754) 21195
Email: tgang@bnb.com.bt

 

Incorporation No.   

 

B2278 of 03.05.1997

 

 

Type of Concern 

 

Public Limited

 

Board of Directors         

Chairperson

Mr.Tobgay Sonam Namgyal

 

Director
Mr.Tashi Wangyal

 

Director
Mr.Dubthob Wangchug

 

Director
Mr.Ugyen Wangchuk

 

Director
Mr. Ugen Tsechup Dorji

 

Director
Mr. Sonam Rinchen

 

Director
Ms. Eutha Karchung

 

Major Shareholders    

 

Directors & their relatives and others.

 

 

Auditors         

T K GHOSE & CO.
Chartered Accountants

 

Staff          

 

775

                                               

 

Bankers     

 

Treasury of Govt. of Bhutan

 

 

Business          

 Banking, Interest, Internet Rates, FX Rates, Credit Facility, ATM Fecility, Anywhere Banking, International Banking, Correspond Bank. Etc.

 

Trade Terms With

 

Foreign Correspondent Bank

Chase Manhattan Bank
4 New York Plaza
New York, NY 10004-2477

Standard Chartered Bank
Institutional Banking
1 Aldermanbory Square London
EC2U 7SB (EURO)

Standard Chartered Bank
6 Battery Road
Singapore 049909

Standard Chartered Bank
Corporate Branch
37 Gracechurch
London EC3V OBX


Citi Bank N. A.
111 Wall Street, 19th Floor,
New York, NY 10043

American Express Bank Ltd.
American Express Tower
World Financial Center
New York,
NY 10285

American Express Bank Gmb
HPostfach 11 01 62
Theodor – Heuss – Allee 112
D – 60036 Frankfurt am Main

American Express Bank Ltd.
30 – 16, Ogikubo 4- Chome, Suginami – Ku,
Tokyo 167 – 8530, Japan
Phone (03)3220 – 6900
Fax (03)3220-6919

In India

State Bank of India
Post Box No. 110,
1, Strand Road,
Kolkata - 700 001
(and facilities with over 100 of its branches)

Citibank
Kanak Building
41, Chowringhee,
Kolkata-700 071

Standard Chartered Bank
19 N. S. Road,
Kolkata-700 001

Centurion Bank Limited
136/115 Hillcart Road,
Siliguri-734401
West Bengal
(and facilities with over 16 of its branches)

UTI Bank Limited
Gurudwara Sahib Complex,
1st Floor, Sevoke Road
Siliguri-734401
West Bengal

ICICI Bank Ltd.
ICICI Bank
TowersBandra – Kula ComplexMumbai 400 051, India

In Bangladesh

Sonali Bank
Post Box No. 147,
Motijheel C/A, Dhaka-1000

Uttara Bank Limited
90-91 Motijheel C/A,
Dhaka-1000

Agrani Bank
Post Box No. 531, Motijheel C/A
Dhaka-1000

Standard Bank Limited
Head Office 19, Dilkusha C/A,
Dhaka-1000

Pubali Bank Limited
Head Office 26, Dilkusha C/A,
Dhaka-1000

Islami Bank Bangladesh Limited
Localm Office, 75, Motijheel C/A,
Dhaka-1000

Janata Bank
110 Motijheel C/A,
Dhaka-1000

Dhaka Bank
Adamjee Court,
115-120 Motijheel C/A
Dhaka-1000

Arab Bangladesh Bank Limited
BCIC Bhaban (Ground Floor)
Dilkusha C/A,
Dhaka-1000

Eastern Bank Limited
Head Office, Dilkusha C/A,
Dhaka-1000

First Security Bank Limited
Head Office 23, Dilkusha C/A
Dhaka-1000

National Bank Limited
Motijheel C/A,
Dhaka-1000

Bank Asia Ltd.
Rangs Bhaban (8th Floor)
113 – 116, Old Airport RoadTejgoan, Dhaka -1215

 

 

FinANcial        

 

BALANCE SHEET (AUDITED) AS OF 31st DECEMBER 2006

 

31st DEC., 2006

31st DEC., 2005

 

Nu.                ch

Nu.                ch

 

 

 

CAPITAL &LIABILITIES

 

 

Share Capital

119,008,000.00

119,008,000.00

Reserves

705,575,870.02

638,856,207.44

Deposits

8,622,910,434.81

6,424,627,251.87

Current Liabilities

131,666,916.19

188,681,092.89

Provisions

472,672,824.70

428,239,744.67

Proposed Dividend

83,305,600.00

59,504,000.00

Total Liabilities

10,051,834,045.72

7,799,412,296.87

 

 

 

 

 

 

ASSETS

 

 

Cash & Bank Balances

4,265,336,688.38

3,014,739,244.44

Investments

584,927,237.30

723,431,565.19

Loans And Advances

5,094,539,649.59

3,961,993,988.49

Fixed Assets (at cost, less depreciation)

79,807,282.77

71,782,119.15

Other Assets

27,223,187.68

27,465,379.60

Total Assets

10,051,834,045.72

7,799,412,296.87

 

 

 

 

P. L. Account.

ENDED 31st DECEMBER 2006

PARTICULARS

31st DEC., 2006

31st DEC., 2005

 

Nu.                ch

Nu.                ch

 

 

 

Interest Income

509,262,924.16

416,004,790.34

ADD: Other Operating Income

63,556,383.60

85,268,158.48

GROSS INCOME

678,675,008.78

594,531,082.64

 

 

 

LESS: Interest Expenses

(238,062,928.90)

(198,663,775.54)

LESS: Operating Expenses

(140,517,596.80)

96,154,229.18)

Net Operating Income

302,094,483.08

299,713,007.92

 

 

 

ADD/LESS: Write-back/ (Write-offs & losses)

(20,116,891.37)

(2,012,352.01)

ADD/LESS: Write-back of/(Charge of provisions (net))

(7,143,398.84)

(81,074,415.52)

Profit Before Tax

274,834,192.87

216,626,240.39

 

 

 

LESS: Provision for taxation

(82,450,257.86)

(64,987,872.12)

LESS: Tax paid for earlier period

(622,364.81)

-

 

 

 

Profit After Tax

191,761,570.20

151,638,368.27

ADD: Balance in Profit & Loss Account (brought forward)

16,058,215.49

1,266,344.70

 

 

 

Profit Available for Appropriation

207,819,785.69

152,904,712.97

LESS: Prposed Dividend

(119,008,000.00)

(83,305,600.00)

Transfer to Foreign Exchange Fluctuation Reserve

-

(8,049,387.00)

Transfer To General Reserve

(57,528,471.06)

(45,491,510.48)

RETAINED EARNINGS

31,283,314.63

16,058,215.49

 

 

 

EARNINGS PER SHARE

161.13

127.42

BOOK VALUE PER SHARE

683.30

622.16

DIVIDEND DECLARED

Nu.100 per share

Nu. 70 per share

 

 

Remarks                      :           Trading Terms –

 

                                                Purchase          -           30 days credit

                                                                                   

                                                Sales                -           30 days credit

                                                                                   

 

Report                           :           Well established respectable & well reputed business may be done at usual trade terms & condition.

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.

UK Pound

1

Rs.

Euro

1

Rs.

 

 

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

 

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions