MIRA
INFORM REPORT
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Report Date : |
10.01.2011 |
IDENTIFICATION DETAILS
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Name : |
RELIANCE COMMUNICATIONS INFRASTRUCTURE LIMITED |
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Formerly Known as : |
SUKHKATRA FINTRADE PRIVATE LIMITED |
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Registered Office : |
H Block, 1st Floor, |
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Country : |
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Financials (as on) : |
31.03.2009 |
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Date of Incorporation : |
17.07.1997 |
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Com. Reg. No.: |
11-166329 |
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CIN No.: [Company
Identification No.] |
U64203MH1997PLC166329 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELR10472A |
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PAN No.: [Permanent
Account No.] |
AAVVS2157H |
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Legal Form : |
A Closely Held Public Limited Liability Company. |
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Line of Business : |
Promoters of Industrial Finance, Order Suppliers, Importers, Exporters, Merchants, Stockiest, Buyers, Sellers, Agents, Brokers, Commission Agents and Dealers. |
RATING & COMMENTS
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MIRA’s Rating : |
A (58) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 117970000 |
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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 company having fine track. Financial position of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. 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.
ECGC Country Risk Classification List – April 1, 2010
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Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
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A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
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Registered Office : |
H Block, 1st Floor, |
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Tel. No.: |
91-22-30386286 |
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Fax No.: |
91-22-30376622 |
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Email : |
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Website : |
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Corporate Office: |
“Brindavan”, 2nd Floor, Shree Ram Mils Premises, Ganpatrao
Kadam Marg, Worli, Mumbai - 400013, |
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Branches : |
Located at :- · Mumbai ·
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DIRECTORS
As on 30.09.2010
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Name : |
Mr. Hasit Navinchandra Shukla |
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Designation : |
Director |
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Address : |
403, Sabita Co-operative Housing Society Limited, plot No. 596, Cts
F/38, |
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Date of Birth/Age : |
28.08.1962 |
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Date of Appointment : |
13.08.2010 |
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Name : |
Mr. Suresh M. Rangachar |
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Designation : |
Director |
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Address : |
37, Gulistan Apartment, 9, Cuffe Parade, Colaba, Mumbai – 400005, |
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Date of Birth/Age : |
14.05.1964 |
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Date of Appointment : |
13.08.2010 |
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Name : |
Mr. Gautam Bhailal Doshi - |
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Designation : |
Director |
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Address : |
B-131, Grand Paradi, August Kranti Marg, Mumbai – 400036, |
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Date of Birth/Age : |
23.12.1952 |
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Date of Appointment : |
26.06.2005 |
KEY EXECUTIVES
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Name : |
Mr. Hitesh Lalitbhai Marthak |
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Designation : |
Company Secretary and Manager |
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Address : |
Flat F 604 (Daisy), Jalvayu Vihar, Phase – 1, Sector – 20, Kharghar,
Navimumbai – 410210, |
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Date of Birth/Age : |
25.10.1975 |
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Date of Appointment : |
01.08.2010 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(As on 30.09.2010)
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Names of Equity Shareholders |
No. of Shares |
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Satish Seth Jointly with Reliance Communications Limited |
1 |
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Amitabh T Jhunjhunwala Jointly with Reliance Communications Limited |
1 |
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Gautam Doshi Jointly with Reliance Communications Limited |
1 |
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Ramesh Shenoy Jointly with Reliance Communications Limited |
1 |
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Hasit Shukla Jointly with Reliance Communications Limited |
1 |
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Surendra Pipara Jointly with Reliance Communications Limited |
1 |
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Reliance Communications Limited |
2009999994 |
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Total |
2010000000 |
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Names of Preference Shareholders |
No. of Shares |
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Reliance Communications Limited |
20000 |
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Total |
20000 |
Equity Share break up:
(As on 30.09.2010)
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Category |
Percentage |
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Bodies corporate (not mentioned above) |
100.00 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Promoters of Industrial Finance, Order Suppliers, Importers, Exporters, Merchants, Stockiest, Buyers, Sellers, Agents, Brokers, Commission Agents and Dealers. |
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Products : |
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GENERAL INFORMATION
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No. of Employees : |
Around 300 |
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Bankers : |
Axis Bank Limited Central Office, Maker, Towers – F, 13th Floor, Cuffe Parade,
Colaba, Mumbai – 400 005, |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Chaturvedi and Shah Chartered Accountant |
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Address : |
709, Tulsiani Chambers, 212, Nariman
Point, Mumbai – 400 021, |
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Associates : |
· Reliance Group · Reliance Industries Limited · Reliance Petrochemicals Limited · Reliance Infoinvestments Private Limited · Reliance Petroinvestments Private Limited ·
And several Reliance Group Companies |
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Subsidiaries : |
· Reliance Mobile Limited CIN No.: U32100GJ1992PLC018052 ·
Reliance Infratel
Limited CIN No.: U72900MH2001PLC131598 ·
Matrix Innovations
Limited CIN No.: U99999MH2000PLC125991 · Netizen Rajasthan Limited CIN No.: U74140MH2000PLC128387 · Reliance Communications Investments and Leasing Limited CIN No. :
U64201MH2001PLC131600 |
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Fellow Subsidiaries : |
· Reliance Webstores Limited ·
Gateway Systems ( · Reliance Communications International Inc. · Reliance Communications Inc. · Reliance Communications Hongkong Limited · Netizen Maharashtra Private Limited · Flag Telecom Group Limited and its Subsidiaries · Reliance Telecom Limited · Reliable Internet Services Limited · Campion Properties Limited ·
Gateway Net Trading Private. Limited · Reliance Capital Limited ·
Reliance Global Com Limited |
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Holding Company : |
Reliance Communications Limited CIN No. : L45309MH2004PLC147531 |
CAPITAL STRUCTURE
As on 30.09.2010
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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2400000000 |
Equity Shares |
Rs.1/- each |
Rs.2400.000 Millions |
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10000000 |
Preference Shares |
Rs.10/- each |
Rs.100.000 millions |
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Total |
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Rs.2500.000
millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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2010000000 |
Equity Shares |
Re.1/- each |
Rs.2010.000
Millions |
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20000 |
Preference Shares |
Rs.10/- each |
Rs.0.200
million |
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Total |
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Rs.2010.200 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2009 |
31.03.2008 |
31.03.2007 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
2010.200 |
2000.200 |
2000.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
27482.300 |
20462.000 |
25763.300 |
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4] (Accumulated Losses) |
0.000 |
(8.400) |
(11284.400) |
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NETWORTH |
29492.500 |
22453.800 |
16478.900 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
5288.600 |
26600.800 |
38911.100 |
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TOTAL BORROWING |
5288.600 |
26600.800 |
38911.100 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
34781.100 |
49054.600 |
55390.000 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
10350.200 |
6005.700 |
28772.500 |
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Capital work-in-progress |
8939.600 |
13221.500 |
7118.900 |
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INVESTMENT |
3253.500 |
70254.600 |
11331.800 |
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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 |
1418.900
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1336.500
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3349.600 |
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Sundry Debtors |
14076.400
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5251.000
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4301.500 |
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Cash & Bank Balances |
2254.400
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1774.800
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2385.500 |
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Other Current Assets |
0.900
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5597.700
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144.300 |
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Loans & Advances |
49103.800
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44686.400
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14772.600 |
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Total
Current Assets |
66854.400
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58646.400
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24953.500 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
53346.800
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97780.400
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16749.300 |
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Provisions |
1269.800
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1293.200
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37.400 |
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Total
Current Liabilities |
54616.600
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99073.600
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16786.700 |
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Net Current Assets |
12237.800
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(40427.200)
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8166.800 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
34781.100 |
49054.600 |
55390.000 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2009 |
31.03.2008 |
31.03.2007 |
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SALES |
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Income |
40952.500 |
31525.600 |
12909.000 |
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Other Income |
7.800 |
4701.300 |
322.500 |
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TOTAL (A) |
40960.300 |
36226.900 |
13231.500 |
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Less |
EXPENSES |
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Network Operation Expenses |
9057.100 |
6935.200 |
4825.500 |
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Payments to and Provision for Employees |
1412.800 |
91.400 |
122.700 |
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Sales and Distribution Expenses |
10120.700 |
7562.400 |
4822.700 |
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General and Administration Expenses |
1773.400 |
35.600 |
241.600 |
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Loss on |
11797.600 |
18527.600 |
0.000 |
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TOTAL (B) |
34161.600 |
33152.200 |
10012.500 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
6798.700 |
3074.700 |
3219.000 |
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Less |
FINANCIAL
EXPENSES (D) |
1655.900 |
(7167.400) |
1065.500 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
5142.800 |
10242.100 |
2153.500 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
2476.900 |
2797.400 |
7219.200 |
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PROFIT BEFORE
TAX (E-F) (G) |
2665.900 |
7444.700 |
(5065.700) |
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Less |
TAX (I) |
4.100 |
1232.100 |
3.600 |
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PROFIT AFTER TAX
(G-I) (J) |
2661.800 |
6212.600 |
(5069.300) |
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Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(8.400) |
(11284.400) |
(21030.400) |
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Less |
ADJUSTMENT ON
ACCOUNT OF THE SCHEME OF AMALGAMATION / DEMERGER |
0.000 |
(5063.400) |
(14815.300) |
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BALANCE CARRIED
TO THE B/S |
2653.400 |
(8.400) |
(11284.400) |
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Earnings Per
Share (Rs.) |
1.33 |
3.11 |
(2.53) |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2009 |
31.03.2008 |
31.03.2007 |
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PAT / Total Income |
(%) |
6.50
|
17.15
|
(38.31) |
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Net Profit Margin (PBT/Sales) |
(%) |
6.51
|
23.61
|
(39.24) |
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Return on Total Assets (PBT/Total Assets} |
(%) |
3.45
|
11.52
|
(9.43) |
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Return on Investment (ROI) (PBT/Networth) |
|
0.09
|
0.33
|
(0.31) |
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Debt Equity Ratio (Total Liability/Networth) |
|
2.03
|
5.60
|
3.38 |
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Current Ratio (Current Asset/Current Liability) |
|
1.22
|
0.59
|
1.49 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONS :-
The Company provides Internet Data
Centre (IDC) services from its IDCs located at Mumbai and
The Company’s Enterprise Broadband
segment continued to maintain its growth path and gained significantly during
the year even in the midst of aggressive competition in the data and voice
segments, and especially in the internet bandwidth segment, from many other
telecom service providers. Of a current portfolio of more than 41 products,
their Enterprise Broadband business has not only positioned larger number of
products within the top corporate but also increased its share of wallet.
Broadband’s innovative services
assurance model of “TechCheck” continued to gain further impetus during the
year 2008-09 in providing pro-active feedback to its subscribers on the service
levels provided by the Company. Customers have rated
Broadband Products and Services at
a high customer satisfaction and delight rating. The CSAT (Customer
Satisfaction) Score increased steadily, as Sample Customers were out called.
Broadband’s Business IT Systems
are ISO 27001:2005 Certified (an Information Security Management System Standard).
HISTORY
Subject was incorporated on 17th July, 1997 at
Mumbai in
The company’s registered office was transferred from 84-A,
Profile
It also acts as general order suppliers, importers, exporters, merchants, stockists, buyers, sellers, agents, brokers, commission agents and dealers of cotton, jute, tea, coffee, rubber, oil, grains, pulses, seeds, vegetable products, cotton goods, jute goods, textile garments, yarn, synthetic goods, domestic appliances, furnitures, decorative items, gift items, steel utensils, plastic goods, rubber items, pulp, paper, engineering goods, electrical items, electronic items, etc.
It is also incorporated to undertake business in information
technology industry in
In August 2001, company has commenced commercial services of its Internet Data Centre in Mumbai.
In March 2002, company has also partly commenced commercial
services of its Internet Data Centre in
It is in trade terms with:-
· Diamond Pipes
· Bharat Spuns Pipe and Construction Company
· Erectofab
· JMD Enterprises
· Kalpana Glass Fi
· R.R. Construction
· National R.C.C. Spun Pipe Company
· Shivsakthi Traders
· Sai Construction
· Ganapthi Trading Company
· Tripathi Construction
· Harendra Construction Company Private Limited
· Ashok Parvadan
· Shivam Construction,
· Chandan Kumar
· N.B.S. Engicon Private Limited
Change of Name
During the year under report, the company changed its name from
Reliance Infocom Limited to Reliance Communications Infrastructure Limited. A
fresh certificate of incorporation consequent to the change of name of the
company was received from Registrar of Companies,
The company’s fixed assets of important value include goodwill, leasehold land, freehold land, building, plant and machinery, electrical installations, office equipments, furniture and fixtures and vehicles.
Fixed Assets
·
· Buildings
· Plant and Machinery
· Electrical Installations
· Office Equipment
· Furniture and Fixtures
· Vehicles
Press Releases
Reliance Firm has Signed MoU’s with 3 State
The decision to leverage its mammoth telecom infrastructure
– which comprises 60000 km of fibre-optic cabling in 16 states, linking 115
cities (more than 40% has already been completed) is part of what Reliance
terms its "change
To start with, the e-governance systems will consist of information oriented applications, such as government rulings and orders as well as application forms. Today, even to get access to basic information, people have to trek to the local tehsildar's office. In the next phase, there will be interactive applications, whereby individuals will be able to apply for a driver's license or make revenue payments through the kiosks, which will be operated by a network of franchisees, said Mr. M. Sahu, Chief of Gujarat Informatics, "Reliance has commissioned a market survey to find out which services people most desire to be put online. Based on that, the company will develop the next phase.
A 35000 strong labour force has been deployed on the ground for the cable laying operations. This will provide high speed voice and data services to facilitate business like virtual private networks, data centres, bandwidth leasing and eventually domestic and international long-distance telephony.
State, Reliance may Usher in a New Era
Tired of trekking to the local tehsildar's office to find
out the status of licence application?
Need to get information on land or the latest mandi prices? Life may soon get easier for villagers across
In an innovative public private sector initiative, Reliance
Infocom, the telecom and IT arm of Reliance Industries, has partnered with four
state governments to set up their e-governance infrastructure. In the lead is
A proposal has been submitted to the Maharashtra Government. Maharashtra Chief Secretary Mr. Arun Bongirwar says that "they are seriously considering the proposal. However, the government should not be compromised in any way, given that a private enterprise will have access to government data."
The kiosks will provide information and applications that are already in public domain. Principal Secretary of Gujarat IT department Mr. J. S. Rana says "Reliance Infocom was in the process of laying a fibre-optic cable network and creating information kiosks for their commercial purposes.
Given that the infrastructure was already developed, they offered to help to develop e-governance applications as well. About 300 kiosks across the state will be rolled out within the next six month. The company is working in a joint venture with Gujarat Informatics Limited, a state government undertaking.
Amalgamation
and Arrangement:
(a) Scheme of arrangement with Reliance Industries Limited:
Reliance Communications Limited Company was vested with the Telecommunications
Undertaking of Reliance Industries Limited ('Demerged Company') pursuant to the
Scheme of Arrangement ('Demerger Scheme') under Sections 391 to 394 of the
Companies Act, 1956 as approved by the Hon'ble High Court of Judicature at
Bombay vide orders dated 9th December, 2005 with effect from 1st September,
2005.
The
telecommunications undertaking, constituted inter-alia, investments in Reliance
Infocomm Limited, Reliance Communications Infrastructure Limited and Reliance
Telecom Limited.
In terms of the
said Scheme, 122,31,30,422 equity shares of the Company were issued and alloted
to the shareholders of the Demerged Company (except to the Specified
Shareholders) in the ratio of one equity share each of Rs. 5 of the Company for
every one equity share of Rs. 10 held in the Demerged Company.
The equity
shares of the Company so issued were listed and admitted for trading on Bombay
Stock Exchange Limited ('BSE') and National Stock Exchange of India Limited
('NSE') with effect from 6th March, 2006. The Global Depository Receipts (GDRs)
of the Company were also listed on the Luxembourg Stock Exchange.
(b) Scheme of
amalgamation and arrangement involving reorganisation of group telecom
business:
As stated
above, the Scheme of Amalgamation and Arrangement (Scheme) for the amalgamation
of Reliance Infocomm Limited, Ambani Enterprises Private Limited, Reliance
Business Management Private Limited, Formax Commercial Private Limited,
Reliance Communications Technologies Limited, Reliance Software Solutions
Private Limited, Reliance Communications Solutions Private Limited and Panther
Consultants Private Limited ('Transferor Companies') and demerger of the
Network division of the Reliance Communications Infrastructure Limited with the
Company, as approved by the Hon'ble High Court of Judicature at Bombay and the
Hon'ble High Court of Gujarat at Ahmedabad, vide orders dated 21st July, 2006
and 18th July, 2006 respectively became effective on 12th September, 2006.
In terms of the
said Scheme, the Company issued and allotted 82,14,84,568 equity shares of Rs.
5 each to the promoter group being the shareholders of the transferor
companies. Further, as an integral part of the said Scheme, Reliance
Communications Infrastructure Limited, Reliance Telecom Limited, Flag Telecom
Group Limited Reliance Infocomm Infrastructure Private Limited, Reliable
Internet Services Limited, Campion Properties Private Limited and their
respective subsidiaries including subsidiaries of erstwhile Reliance Infocomm
Limited became wholly owned subsidiaries of the Company.
Subsidiary
companies:
Upon Scheme of Amalgamation and Arrangement, coming into
effect, inter alia for merger of eight companies and de-merger of Network Division
of Reliance Communications Infrastructure Limited vested with the Company, all
the subsidiaries of erstwhile Reliance Infocomm Limited, Reliance Infocomm
Infrastructure Private Limited, Reliable Internet Services Limited and Campion
Properties Private Limited incluidng the subsidiaries of Reliance
Communications Infrastructure Limited, Reliance Telecom Limited and Flag
Telecom Group Limited became the subsidiaries of the Company.
During the period under review, Paradox Studios Limited, Reliance Digital World
Limited and NIS Sparta Limited ceased to be subsidiaries of the Company and
Gateway Net Trading Private. Limited, Reliance Communications (
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 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.45.37 |
|
|
1 |
Rs.70.03 |
|
Euro |
1 |
Rs.58.93 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--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 |
|
58 |
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 |
|
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.