%20LIMITED%2002-Sep-2008_files/image002.jpg){kind=small}
MIRA
INFORM REPORT
|
Report Date : |
02.09.2008 |
IDENTIFICATION
DETAILS
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Name : |
MERLONI TERMOSANITARI (INDIA) LIMITED |
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Registered Office : |
Gat No. S 265/ 374/ 376 Talegaon, Road Chakan, Kharabwadi, Pune-410501,
Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
16.12.1991 |
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Com. Reg. No.: |
11-64488 |
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CIN No.: [Company
Identification No.] |
U74999MH1991PLC064488 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
PNEM00797G |
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PAN No.: [Permanent
Account No.] |
AABCM8423H |
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Legal Form : |
A Closely Held Public Limited Liability company |
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Line of Business : |
Manufacturer of Water Heaters |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
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 3100000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed company having fine track. Trade
relations are fair. General financial position is good. Business is active.
Payments are reported as usually correct and as per commitments. The company can be considered good for normal business dealings. |
INFORMATION PARTED
BY
|
Name : |
Mr. Pankaj Gupta |
|
Designation : |
Deputy General Manager |
|
Date : |
01.08.2008 |
LOCATIONS
|
Registered Office/ Factory : |
Gat No. S 265/ 374/ 376 Talegaon, Road Chakan, Kharabwadi,
Pune-410501, Maharashtra, India |
|
Tel. No.: |
91-2135-253593/ 97/ 252923/ 253027 |
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Fax No.: |
91-2135-254025/ 252966 |
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E-Mail : |
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Website : |
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Area : |
Owned |
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Regional Office : |
Located at:
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Branch offices : |
Located at :-
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DIRECTORS
|
Name : |
Mr. Robin Fancis Eric |
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Designation : |
Director |
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Address : |
2003, Yin Ren Mansion, 98 Da Chiang Xiang, Wuxi, Jaingsu, Na-214002,
Ch |
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Date of Birth/Age : |
11.04.1944 |
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Date of Appointment : |
04.03.1997 |
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Name : |
Mr. Alokkumar Bhagawandas Rathi |
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Designation : |
Managing Director |
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Address : |
A-2 Orchids, S No. 28/1, 29, Plot No. 314, S.K. Koregaon Park,
Pune-411001, Maharashtra, India |
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Date of Birth/Age : |
24.08.1952 |
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Date of Appointment : |
30.04.1998 |
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Name : |
Mr.Carlo Andreatini |
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Designation : |
Director |
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Address : |
Via Coppuccini, 14860044, Farbriano (AN) Italy |
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Date of Birth/Age : |
25.03.1965 |
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Date of Appointment : |
15.02.2004 |
KEY EXECUTIVES
|
Name : |
Mr. Pankaj Gupta |
|
Designation : |
Deputy General Manager |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
As on 30.06.2005
|
Names of Shareholders |
|
No. of Shares |
|
SAlokkumar Bhagwandas Rathi |
|
1 |
|
Tejeshchandra Debeshchandra Sen |
|
1 |
|
Robin Heinzhenry Guitensten |
|
1 |
|
Merlohti Termosanii Ari Pte Limited |
|
11284725 |
|
MTS CB Limited |
|
1 |
|
Merloni Termosantit ARi Spa Italy |
|
1 |
|
Sabelinvestsa Luxemburg |
|
1 |
|
Total |
|
11284731 |
Equity Share Breakup (Percentage of Total Equity)
As on 30.06.2008
|
Category |
|
Percentage |
|
Foreign Holdings (Foreign institutional inveator(s) foreign companie(s)
Foreign financial institution(s), non- resident indian(s) or Overseas
corporate bodies or others |
|
99.99 |
|
Directors or relatives of directors |
|
0.01 |
|
Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Water Heaters |
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Products : |
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Brand Names : |
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Imports : |
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Countries : |
China and Italy |
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Terms : |
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Selling : |
L/C and Credit |
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Purchasing : |
L/C and Credit |
GENERAL
INFORMATION
|
Customers : |
Wholesalers |
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No. of Employees : |
200 |
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Bankers : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Deloitte Haskins and Sells Chartered Accountant |
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Address : |
706, B Wing, 7th Floor, ICC, Trade Tower, Senapati Bapat
Road, Pune-411016, Maharashtra, India |
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Memberships : |
Confederation of Indian Industry |
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Group Company : |
MTS , Italy |
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Holding Company: |
MTS Overseas SRL Viale Aristide Merloni 45 60044 Fabriano (AN), Italy Tel No. 0039-0732 6011 Telefax 0039-0732 602234 Telex 0039-0732 560160 Website : http://www.mtsgroup.net |
CAPITAL STRUCTURE
As on 27.06.2008
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
20000000 |
Equity Shares |
Rs. 10/- each |
Rs. 200.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
11284731 |
Equity Shares |
Rs. 10/-
each |
Rs. 112.847
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2007 |
31.12.2006 |
31.12.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
112.847 |
112.847 |
112.847 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
521.237 |
457.588 |
413.284 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
634.084 |
570.435 |
526.131 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
45.200 |
245.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
0.000 |
45.200 |
245.000 |
|
|
DEFERRED TAX LIABILITIES |
5.512 |
7.546 |
7.761 |
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|
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|
|
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TOTAL |
639.596 |
623.181 |
778.892 |
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APPLICATION OF FUNDS |
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|
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FIXED ASSETS [Net Block] |
269.554 |
251.902 |
241.785 |
|
|
Capital work-in-progress |
0.489 |
7.362 |
1.764 |
|
|
|
|
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INVESTMENT |
0.000 |
0.000 |
0.003 |
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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 |
269.267
|
224.167 |
357.711 |
|
|
Sundry Debtors |
276.441
|
323.155 |
282.444 |
|
|
Cash & Bank Balances |
61.782
|
35.632 |
54.195 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
144.063
|
94.141 |
78.026 |
|
Total
Current Assets |
751.553
|
677.095 |
772.376 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
281.548
|
250.167 |
207.279 |
|
|
Provisions |
100.452
|
63.011 |
29.757 |
|
Total
Current Liabilities |
382.000
|
313.178 |
237.036 |
|
|
Net Current Assets |
369.553
|
363.917 |
535.340 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
639.596 |
623.181 |
778.892 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.12.2007 |
31.12.2006 |
31.12.2005 |
|
|
Sales Turnover |
1197.036 |
1207.306 |
956.361 |
|
|
Other Income |
47.877 |
31.969 |
45.184 |
|
|
Total Income |
1244.913 |
1239.275 |
1001.545 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
101.986 |
80.040 |
69.956 |
|
|
Provision for Taxation |
38.337 |
35.736 |
34.891 |
|
|
Profit/(Loss) After Tax |
63.649 |
44.304 |
35.065 |
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Earnings in Foreign Currency : |
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|
|
|
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Export Earnings |
191.178 |
10.504 |
17.481 |
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Expenditures : |
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|
|
|
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Raw Material Consumed |
671.078 |
801.425 |
684.596 |
|
|
Purchases made for re-sale |
0.000 |
0.000 |
0.000 |
|
|
Consumption of stores and spares parts |
7.548 |
9.176 |
27.740 |
|
|
Increase/(Decrease) in Finished Goods |
[22.433] |
31.267 |
[69.430] |
|
|
Salaries, Wages, Bonus, etc. |
94.762 |
81.557 |
64.531 |
|
|
Managerial Remuneration |
1.857 |
1.843 |
1.914 |
|
|
Payment to Auditors |
1.135 |
0.900 |
0.913 |
|
|
Interest |
5.005 |
12.816 |
12.380 |
|
|
Insurance Expenses |
2.626 |
2.714 |
2.954 |
|
|
Power & Fuel |
11.775 |
13.182 |
11.995 |
|
|
Depreciation & Amortization |
41.684 |
35.944 |
33.400 |
|
|
Other Expenditure |
327.890 |
168.411 |
160.596 |
|
|
|
1165.36 |
1159.235 |
1001.019 |
|
Total Expenditure |
1142.927 |
1159.235 |
931.589 |
|
KEY RATIOS
|
PARTICULARS |
|
|
|
|
|
PAT / Total Income |
(%) |
5.11
|
0.35 |
3.50 |
|
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|
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|
Net Profit Margin (PBT/Sales) |
(%) |
8.52
|
6.63 |
7.31 |
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|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
9.99
|
8.62 |
22.26 |
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|
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|
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.16
|
0.14 |
0.13 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.60
|
0.63 |
0.92 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.97
|
2.16 |
0.31 |
LOCAL AGENCY
FURTHER INFORMATION
Trade References:
- Deepak Electrical, Pune
- Bharat Enterprises, Pune
AS PER WEBSITE
History:
Subject is an ISO 9001:2000 company, is a fully owned subsidiary of
Merloni TermoSanitari Spa – Italy, the world leaders in the manufacturing and
marketing of water and space heating products and their components. MTS Group
with a turnover of over € 1 billion euros, employs 7100 people worldwide and
manufactures 5.6 million products annually. With 19 brands and 20 manufacturing
units worldwide it has a global presence in over 150 countries. The MTS Group operates
through 6 product lines namely; boilers - water heaters - air conditioners -
burners – services - electric and electronic components.
The Indian operations include India’s largest and fully integrated water
heater plant in Chakan near Pune, that has been operational since 1999.
Products from this plant offer the consumers the latest in technology and
international standards specially suited for Indian conditions.
In pursuance of the Group’s commitment to the Indian market of
introducing world-class products, the company has introduced a range of Instant
and Storage Electrical Water Heaters, Instant Gas Water Heaters and Solar Water
Heaters. Products from this plant are being exported to Europe, South East
Asia, Middle East and Africa. Today, with Racold as its flagship brand, MTS
India is the largest manufacturer and seller of water heaters in India.
Major Milestones
The Company's commitment to manufacture and market various types of
water heater and appliances that meet and surpass the expectations of the
customers has seen MTS as a trendsetter in the following areas
Stainless Steel Inner Containers
MTS is the first company to introduce water heaters with stainless steel inner
containers that are corrosion resistant and durable. These inner containers are
manufactured using the latest Plasma-TIG welding technology that ensures
dependable performance under high operating pressure.
Very high pressure withstanding capability
The first company to manufacture water heaters with very high pressure withstanding
capability of 6.5bar, which is more than twice compared
to most water heaters. This makes it suitable for high rise building and
pressure pump applications without additional valves
Rust Proof Polypropylene Body
The first company to introduce water heater in India with rust proof
polypropylene body which offer better aesthetics besides being durable.
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%20LIMITED%2002-Sep-2008_files/image004.gif){kind=small}
PUF Insulation
It was the first Company to introduce PUF insulation for water heaters
ensuring maximum energy savings; upto
50% compared to ISI standards.
The Company's commitment to manufacture and market various types of
water heater and appliances that meet and surpass the expectations of the
customers has seen MTS as a trendsetter in the following areas
Energy Labelling
The First to introduce Energy
Labelling for domestic appliances in India.
Global export base
MTS is the only Indian water heater company with a global export base for water heaters
with stainless steel inner containers to other parts of the world. Products
from this plant are already being exported to Europe, South East
Asia, Middle East and Africa.
Certifications
The water heaters manufactured by MTS India are certified by the IEC, CE (International Standards), ISI (Indian), PSB (Singapore), SIRIM
(Malaysia), ROSTEST (Russia) and CSA (Canada), yet another first in the
Indian market.
Quality
Objectives:
- Reduction in
Field Call Rate and improvement in Service Response Time
- Reduction in
Internal Process Rejections
- Improvement
in the ouality and reliability of procured components
- Training of
employees
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 records 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.44.21 |
|
UK Pound |
1 |
Rs.79.76 |
|
Euro |
1 |
Rs.64.72 |
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 |
7 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--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 |
|