MIRA
INFORM REPORT
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Report Date : |
04.08.2011 |
IDENTIFICATION DETAILS
|
Name : |
INFINITI RETAIL LIMITED (w.e.f.28.09.2006) |
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Formerly Known
As : |
VALUE ELECTRONICS LIMITED |
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Registered
Office : |
Bombay House, 24, Homi Modi Street, Mumbai-400001, Maharashtra |
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Country : |
India |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
16.12.2005 |
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Com. Reg. No.: |
11-158120 |
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Capital
Investment / Paid-up Capital : |
Rs. 2400.000 millions |
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CIN No.: [Company Identification
No.] |
U31900MH2005PLC158120 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMV13188A |
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Legal Form : |
A Closely Held Public Limited Liability Company. |
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Line of Business
: |
Chain of Retail Stores |
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No. of Employees
: |
Not divulged by the management. |
RATING & COMMENTS
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MIRA’s Rating : |
B (34) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 1400000 |
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Status : |
Moderate |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a subsidiary of Tata Sons Limited, an investment company of
country’s premier industrial house. There appears some accumulated losses recorded
by the company. However, trade relations are reported as fair. Business is
active. Payments are reported to be usually correct and as per commitments. In view of strong holding the company can be considered normal for
business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION DECLINED BY
|
Name : |
Mr. Sharad |
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Designation : |
Finance Execuutive |
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Date : |
03.08.2011 |
LOCATIONS
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Registered Office : |
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Tel. No.: |
91-22-67613600 |
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Fax No.: |
91-22-67101903 |
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E-Mail : |
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Website : |
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Corporate Office : |
202 Akruti Centre Point, Next to Marol Telephone Exchange, MIDC,
Andheri (East), Mumbai – 400 093, Maharashtra, India |
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Tel. No.: |
91-22-67101900 |
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Fax No.: |
91-22-67101903 |
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CROMA (Juhu Office) : |
CROMA Ground Floor, Vasundhara Cooperative Housing Society, Opposite Utpal
Shanghvi School, JVPD, Vile Parle (West), Mumbai – 400 049, Maharashtra,
India |
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Tel. No.: |
91-22-67103333 |
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Fax No.: |
91-22-67107630 |
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Branch Office (CROMA) : |
Located at Mumbai ·
Malad ·
·
Dahisar ·
CBD Belapur ·
Vashi ·
Mira Bhayender ·
Mulund Pune Ahmedabad ·
·
Devarc ·
Bangalore Koramangala · Vikas Surya Shopping Mall |
DIRECTORS
AS ON 17.08.2010
|
Name : |
Mr. Rayaroth Kariandi Krishna Kumar |
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Designation : |
Chairman |
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Address : |
‘Apsara’ NCPA Complex, Flat No. 213, B Block, Nariman Point, Mumbai –
400 021, |
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Date of Birth/Age : |
18.07.1938 |
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Date of Appointment : |
18.05.2006 |
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DIN No.: |
00027941 |
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Name : |
Mr. Rajendra Ramdas Bhinge |
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Designation : |
Director |
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Address : |
83, |
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Date of Birth/Age : |
29.05.1952 |
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Date of Appointment : |
16.12.2005 |
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DIN No.: |
00036557 |
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Name : |
Mr. Jimmy Soli Bilimoria |
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Designation : |
Director |
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Address : |
5, Battery House, 2nd Flor, 74, Bhulabhai Desai Road,
Mumbai-400026, Maharashtra, India |
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Date of Birth/Age : |
27.01.1947 |
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Date of Appointment : |
06.10.2009 |
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DIN No.: |
00112654 |
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Name : |
Mr. Pankaj Kishorilal Gupta |
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Designation : |
Director |
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Address : |
B 7, Sneh |
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Date of Birth/Age : |
07.08.1972 |
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Date of Appointment : |
16.12.2005 |
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DIN No.: |
00467066 |
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Name : |
Mr. Ajit Joshi |
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Designation : |
Chief Executive Officer and Managing Director |
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Address : |
Flat No. 802, 8th Floor, Badrinath Towers, Kailash Sarovar Sankul,
Off Seven Bunglow, Versova, Andheri (West), Mumbai – 400 061, |
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Date of Birth/Age : |
12.05.1960 |
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Date of Appointment : |
27.11.2006 |
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DIN No.: |
01265581 |
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Name : |
Mr. Arunkumar Ramanlal Gandhi |
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Designation : |
Director |
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Address : |
Akruti Ashta, 23 G. dongarsey Road, Mumbai-400006, Maharashtra, India |
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Date of Birth/Age : |
15.03.1943 |
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Date of Appointment : |
25.03.2010 |
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DIN No.: |
00007597 |
KEY EXECUTIVES
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Name : |
Mr. Taher Ali |
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Designation : |
Manager – Legal and Company Secretary |
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Address : |
Flat No. 804, Wing – C, Nilgiri, Bamandaya Pada, Opp. Custom Colony,
Military Road, Marol, Andheri East, Mumbai – 400072, Maharashtra, India |
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Date of Birth/Age : |
06.03.1975 |
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Date of Appointment : |
18.09.2006 |
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PAN No.: |
AFTPA1071M |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 17.08.2010
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Names of Shareholders |
No. of Shares |
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Tata Sons Limited, India |
239999994 |
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Tata Sons Limited and Farokh Nariman Subedar |
1 |
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Tata Sons Limited and Eruch N Kapadia |
1 |
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Tata Sons Limited and Bharat D Vasani |
1 |
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Tata Sons Limited and Rohinton P Wadia |
1 |
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Tata Sons Limited and Kersi Rustom Bhagat |
1 |
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Tata Sons Limited and Manoj Kumar Cheranalloor Vasudevan |
1 |
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Total |
240000000 |
AS ON 17.08.2010
|
Category |
Percentage |
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Bodies corporate |
100.00 |
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Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Chain of Retail Stores |
GENERAL INFORMATION
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No. of Employees : |
Not divulged by the managements. |
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Bankers : |
·
HDFC Bank Limited, HDFC Bank House, Senapati
Bapat Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India |
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Facilities : |
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Banking Relations
: |
-- |
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Financial Institution: |
IDBI Trusteeship Services Limited, Asian Building, Ground Floor, 17,
R. Kamani Marg, Ballard Estate, Mumbai-400001, Maharashtra, India |
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Auditors : |
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Name : |
PKF Sridhar and Santhanam Chartered Accountant |
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Address : |
No. 98-A, IV Floor, Dr. Radhakrishnan Salai, Mylapore, Chennai – 600
004, Tamil Nadu, India |
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Holding Company : |
Tata Sons Limited CIN No: U99999MH1917PLC000478 |
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Fellow Subsidiaries : |
·
THDC Limited ·
Tata Consultancy Services Limited ·
CMC Limited ·
Tata AIG General Insurance Company Limited ·
Tata AIG Life Insurance Company Limited. ·
Tata Teleservices (Maharashtra) Limited ·
Tata Teleservices Limited ·
TC Travel Service Limited ·
Ewart Investment Limited ·
Tata Capital Limited ·
Tata Investment Limited |
CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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360000000 |
Equity Shares |
Rs.10/- each |
Rs. 3600.000 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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240000000 |
Equity Shares |
Rs.10/- each |
Rs. 2400.000
Millions |
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(100% held by Tata Sons Limited and its
nominees) |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
2400.000 |
2200.000 |
1800.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
368.700 |
0.000 |
0.000 |
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4] (Accumulated Losses) |
(2413.900) |
(1689.700) |
(825.812) |
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NETWORTH |
354.800 |
510.300 |
974.188 |
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LOAN FUNDS |
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1] Secured Loans |
1452.400 |
251.600 |
111.510 |
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2] Unsecured Loans |
50.000 |
652.500 |
0.000 |
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TOTAL BORROWING |
1502.400 |
904.100 |
111.510 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
1857.200 |
1414.400 |
1085.698 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
727.000 |
619.400 |
464.779 |
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Capital work-in-progress |
66.500 |
16.400 |
22.834 |
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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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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
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Inventories |
948.800
|
635.500
|
470.522
|
|
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Sundry Debtors |
143.000
|
104.700
|
61.344
|
|
|
Cash & Bank Balances |
159.600
|
100.300
|
34.956
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
588.400
|
482.500
|
293.843
|
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Total
Current Assets |
1839.800
|
1323.000 |
860.665 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
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Sundry Creditors |
178.400
|
263.500 |
169.728 |
|
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Other Current Liabilities |
559.700
|
284.900
|
104.804
|
|
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Provisions |
46.700
|
9.600
|
6.094
|
|
Total
Current Liabilities |
784.800
|
558.000 |
280.626 |
|
|
Net Current Assets |
1055.000
|
765.000
|
580.039
|
|
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|
|
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MISCELLANEOUS EXPENSES |
8.700 |
13.600 |
18.046 |
|
|
|
|
|
|
|
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TOTAL |
1857.200 |
1414.400 |
1085.698 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
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SALES |
|
|
|
|
|
|
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Income |
10214.000 |
6574.800 |
2859.876 |
|
|
|
Other Income |
17.100 |
4.100 |
1.664 |
|
|
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TOTAL (A) |
10231.100 |
6578.900 |
2861.540 |
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|
|
|
|
|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Goods Sold |
9083.000 |
5944.900 |
2704.117 |
|
|
|
Staff Cost |
336.500 |
289.600 |
156.658 |
|
|
|
Administrative and Other Expenses |
1298.600 |
1082.400 |
587.712 |
|
|
|
Share Issue Expenses |
4.900 |
4.900 |
4.788 |
|
|
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Exception Items |
10.500 |
7.500 |
0.000 |
|
|
|
Prior Period Items |
10.500 |
0.000 |
0.000 |
|
|
|
TOTAL (B) |
10744.000 |
7329.300 |
3453.275 |
|
|
|
|
|
|
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(512.900) |
(750.400) |
(591.735) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES (D) |
149.000 |
63.800 |
14.340 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(661.900) |
(814.200) |
(606.075) |
|
|
|
|
|
|
|
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|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
62.300 |
47.400 |
24.348 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(724.200) |
(861.600) |
(630.423) |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
0.000 |
2.300 |
2.547 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
(724.200) |
(863.900) |
(632.970) |
|
|
|
|
|
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(1689.700) |
(825.800) |
(192.842) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(2413.900) |
(1689.700) |
(825.812) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Sales |
5.900 |
1.000 |
NA |
|
|
TOTAL EARNINGS |
5.900 |
1.000 |
NA |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Fixed Assets |
0.000 |
0.100 |
NA |
|
|
TOTAL IMPORTS |
0.000 |
0.100 |
NA |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(3.29) |
(4.28) |
(7.61) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(7.08)
|
(13.13) |
(22.12) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(7.09)
|
(13.10) |
(22.04) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(28.21)
|
(44.36) |
(47.56) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(2.04)
|
(1.69) |
(0.65) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
6.45
|
2.86 |
0.40 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.34
|
2.37 |
3.07 |
LOCAL AGENCY FURTHER INFORMATION
Sundry Creditors Details
: (Rupees in Millions) :
|
Particulars |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
|
|
|
Amount payable to Micro and Small Enterprises |
1.000 |
1.400 |
0.992 |
|
Amount payable to other Sundry Creditors |
177.400 |
262.100 |
168.736 |
|
Total |
178.400 |
263.500 |
169.728 |
INCOME
The total income
for the year ended March 31, 2010 was Rs 10231.100 millions, recording a growth
of 56% over the previous financial year. Out of this, Rs. 10057.200 millions
was from the Company’s core business of consumer durables and IT (CDIT)
retailing, including allied services. The Company launched 13 stores during the
financial year, taking the total number of stores to 43 by the end of the
Financial Year.
OPERATING PROFIT
The Company’s
Operating Loss for the financial year was Rs 554.700 millions against the
previous year’s loss of Rs 790.300 millions. This represents a 659 basis points
improvement in the Operating Margin over the previous financial year. The
continued loss was mainly due to the new stores that operated for only part of
the financial year.
PROFIT AFTER TAX
The Company
recorded a loss of Rs 724.200 millions during the period as against the loss of
Rs 863.900 millions in the previous financial year. The ratio of net profit to
sales improved significantly from (13)% to (7)%.
BUSINESS OVERVIEW
The most
significant achievement of the financial year was that the Company crossed the
Rs 10000.000 millions turnover mark in the 3rd full year of operation. The
Company is now one of the top three CDIT retailers in India by turnover.
Resultantly the Company’s Operating Margin improved significantly by 659 basis
points due to better trading terms with brands and improved operating
efficiency.
Same-store sales
grew by 13% over the previous financial year, despite the effects of the global
economic meltdown witnessed in India during the first half of the financial
year. The trend of sales recorded by most of the new stores launched during the
financial year has also been encouraging, with a few stores already becoming
profitable.
By the end of the
financial year, the Company’s operations had spread to 10 cities in India viz.
Mumbai, Pune, Delhi (NCR), Ahmedabad, Baroda, Surat, Rajkot, Bangalore,
Hyderabad and Chennai. The Company plans to penetrate deeper into these markets
with a view to becoming the dominant CDIT retailer in each of these cities
within the next three years. In the coming financial year, the Company is
planning to extend its footprints to Tier 2 cities around its existing
clusters.
The Croma brand
continues to consolidate its position as a trusted name in CDIT retailing, with
a unique customer service proposition. During the year, the Company launched
its own brand of products, which were received extremely well by the market.
The Company plans to build a robust offering of “Croma” branded products in the
next few years, which would improve its margins even further.
The Company
continued to invest significant resources on training so that its customer
promise of “We help you Buy” is effectively delivered through the front-end
sales staff. The strategic exclusive partnership with a third party training
company is delivering the desired results under the guidance of the Company’s
management.
The economic
meltdown offered a window of opportunity to the Company to renegotiate the
existing rentals. The Company used this opportunity to reduce the rentals and
also surrender excess area in many cases. These reductions in rentals and area
have helped to improve the Operating Margin of the Company during the financial
year. For the new stores signed up after the economic meltdown, the Company has
managed to either get a sustainable fixed rent or derisk the operating leverage
by negotiating revenue share arrangements in many cases.
The Indian CDIT
market seems to have come out of the effects of the economic meltdown and is
back on the growth path since the festival season in 2009. The Company is
confident of continuing its steady growth in revenue in FY11 and expects the
Operating Margin to improve significantly with its scale of operation.
FORM 8
|
Corporate
identity number of the company |
U31900MH2005PLC158120 |
|
Name of the company
|
Infiniti Retail Limited |
|
Address of the
registered office or of the principal place of business in |
Bombay House, 24-Homi Modi Street, Mumbai – 400 001, Maharashtra,
India |
|
This form is for |
Modification of charge |
|
Type of charge |
Book debts Movable property (not being pledge) Floating charge |
|
Particular of
charge holder |
HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel
(West), Mumbai – 400 013, Maharashtra, India
|
|
Nature of instrument
creating charge |
Supplemental
letter of hypothecation no. 3 |
|
Date of
instrument Creating the charge |
06.05.2010 |
|
Amount secured by
the charge |
Rs. 600.000 millions |
|
Brief of the principal
terms an conditions and extent and operation of the charge |
Rate of interest ROI
as may be mutually agreed between the bank and the company Terms of
repayment On demand Margin Margin as may be stipulated by the bank from time to time Extent and
operation of the charge First
pari passu charge on stocks, book debts and moveable fixed assets of Infiniti
Retail Limited both present and future. |
|
Short particulars
of the property charged (Including location of the property) |
First
pari passu charge on stocks, book debts and moveable fixed assets of Infiniti
Retail Limited both present and future. |
|
Charge
identification number of the charge to be modified |
10072616 |
|
Date of
instrument modifying the charge |
19.01.2010 |
|
Particulars of
the present modification |
The
present charge is extended due to sanction of Additional credit facilities of
Rs. 200.000 millions by HDFC Bank Limited. This facility is in addition to earlier
facility of Rs. 400.000 millions sanctioned by HDFC Bank Limited to Infiniti
Retail Limited. Total facility after sanction of additional facility and this
modification is amounting to Rs. 600.000 millions. |
Fixed Assets :
Tangible Assets
·
Leasehold improvements
·
Plant and Machinery
·
Furniture and Fixtures
·
Computers
Intangible Assets
·
Brand
·
ERP Software
·
Website Development
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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. 44.37 |
|
|
1 |
Rs. 72.20 |
|
Euro |
1 |
Rs. 62.87 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
|
34 |
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 |
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 |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.