MIRA
INFORM REPORT
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Report Date : |
20.01.2011 |
IDENTIFICATION DETAILS
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Name : |
ADOR FONTECH LIMITED |
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Formerly Known As : |
COSMICS FONTECH LIMITED |
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Registered Office : |
Belview 7, |
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Country : |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
22.08.1974 |
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Com. Reg. No.: |
08-20010 |
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CIN No.: [Company
Identification No.] |
L31909KA1974PLC020010 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRA01466D |
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Legal Form : |
Public Limited Liability company The company’s shares are listed on the Stock Exchanges. |
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Line of Business : |
Manufacturer of Pumps, Filler Wires and Rods. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba (49) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 1529536 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a part of Advani Oerlikon
Group, a well-established industrial house. Subject is a well-established company having satisfactory track. Directors are reported as experienced,
respectable and resourceful industrialists.
Trade relations are reported as fair.
Payments are reported as correct and as per commitments. The company can be considered normal for business dealing 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/ Corporate Office : |
Belview 7, |
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Tel. No.: |
91-80-25596045, 25596073 |
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Fax No.: |
91-80-25594601, 25597085 |
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E-Mail : |
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Website : |
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FIST -
MIG AND TIG WIRES MANUFACTURING UNIT Plot No. E-6, MIDC,
Ahmednagar - 414 111 ORDER
FULFILLMENT CENTRE Plot No. E-6, MIDC,
Ahmednagar - 414 111 |
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Welding Electrodes Manufacturing Unit/ Order
Fulfillment Centre : |
No.
486, B-1, 14th Cross, 3rd Main, 4th Phase, Peenya Industrial Area, |
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Tel. No.: |
91-80-28365751, 57600154 |
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Fax No.: |
91-80-28365752 |
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AREA OFFICE |
3/3, 2nd Floor, Tower Block , 61/11, I Floor, Nehru
Nagar (East), Bhilai - 490 020 No. 563, Sector 1-C, W 226, No. 160 (Old No. 64), 6th
Cross, Dutt Arcade, Phase – III, Plat
No. 2/2 II Floor, Shivganga Apartment, Block V9,
Sonari, P-6, 1/155, Vivek Khand, Gomti
Nagar, HJ/103, Housing Board Colony,
Bhai Randhir Singh Nagar 208,
II Floor, Ashok Service, Industrial Estate, L.B.S Marg Tel:
91-22 25680364, 25900240, Fax: 91-22 25680375 e-mail: mumbai@adorfon.com S-60-61, MIDC, Hingna Indl.
Estate, C-116, Industrial Area, Phase
– 1, Naraina, Tel:
91-11 25897133, 25791683, Fax: 91-11 25798007 e-mail: newdelhi@adorfon.com A 108, H Block, MIDC Pimpri,
Pune 411 018 MM/11, Civil Town Ship, 9-1-93/1, II Floor, Lane
Adjacent to Janaki Bhawan, No -175, Road
No -12, Ashok Nagar 3, Plot No 145, D. No.4-70-01, |
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Factory : |
Ahmednagar, |
DIRECTORS
AS ON 31.03.2010
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Name : |
Mr. N Malkani Nagpal |
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Designation : |
Chairman |
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Name : |
Mr. H P Ledwani |
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Designation : |
Managing Director |
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Name : |
Mr. N Srinivasan |
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Designation : |
Director |
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Name : |
Mr. A T Malkani |
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Designation : |
Director |
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Name : |
Mr. R A Mirchandani |
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Designation : |
Director |
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Name : |
Mr. Sanjeet Thandani |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Ms. Geetha D |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2010
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Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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(A) Shareholding of promoter
and Promoter Group |
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1) Indian |
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a) Individuals / Hindu Undivided Family |
366409 |
10.47 |
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b) Bodies corporate |
893053 |
25.52 |
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2) Foreign |
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(B) Public Shareholdings |
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1) Institutions |
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a) Foreign Institutional Investors |
59230 |
1.69 |
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2) Non – Institution |
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a) Bodies corporate |
131.486 |
3.76 |
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b) Individuals |
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i. Individual Shareholders holding nominal share capital upto Rs.0.100
Million |
1509486 |
43.13 |
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ii. Individual Shareholders holding nominal share capital in excess Rs.0.100
Million |
449196 |
12.83 |
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c) Any other |
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i) Clearing Member |
6.078 |
0.17 |
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ii) NRI |
85.062 |
2.43 |
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Total |
3500000 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Pumps, Filler Wires and Rods. |
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Products : |
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PRODUCTION STATUS AS On 31.03.2010
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Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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Low heat (LH) input welding alloys |
Tonne |
800 |
500 |
361 |
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Flux cored arc welding consumables |
Tonne |
250 |
250 |
140 |
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Bare rods |
Tonne |
450 |
400 |
346 |
GENERAL INFORMATION
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No. of Employees : |
235 |
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Bankers : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Amarnath Kamath and Associates Chartered Accountants |
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Address : |
Carewel House, 6th Cross, Muniswamappa Layout, Opposite
Kemp Fort, Off |
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Associates : |
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CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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5000000 |
Equity Shares |
Rs.10/- each |
Rs.50.000 millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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3500000 |
Equity Shares |
Rs.10/- each
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Rs.35.000
millions |
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FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
35.000 |
35.000 |
35.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
347.384 |
269.880 |
193.801 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
382.384 |
304.880 |
228.801 |
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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 |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
382.384 |
304.880 |
228.801 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
80.466 |
79.519 |
68.530 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
17.845 |
0.105 |
0.254 |
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DEFERREX TAX ASSETS |
23.725 |
13.835 |
5.079 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
115.327
|
94.646 |
82.192 |
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Sundry Debtors |
126.102
|
108.456 |
145.239 |
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Cash & Bank Balances |
229.067
|
113.597 |
70.116 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
46.776
|
38.119 |
29.715 |
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Total
Current Assets |
517.272
|
354.818 |
327.262 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Sundry Creditors |
71.376
|
43.332 |
85.948 |
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Other Current Liabilities |
58.440
|
32.683 |
37.987 |
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Provisions |
127.108
|
67.382 |
48.394 |
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Total
Current Liabilities |
256.924
|
143.397 |
172.329
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Net Current Assets |
260.348
|
211.421 |
154.938
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
382.384 |
304.880 |
228.801 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Income |
1088.327 |
975.483 |
946.303 |
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Job Work Charges |
90.516 |
74.726 |
55.942 |
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Other Income |
22.335 |
19.953 |
8.337 |
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TOTAL (A) |
1201.178 |
1070.162 |
1010.582 |
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Less |
EXPENSES |
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Cost of Materials |
622.259 |
601.448 |
598.445 |
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Operating and Other Expenses |
368.318 |
307.630 |
262.009 |
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TOTAL (B) |
990.577 |
909.078 |
860.454 |
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
210.601 |
161.084 |
150.128 |
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Less |
FINANCIAL
EXPENSES (D) |
1.143 |
1.228 |
1.436 |
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PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
209.458 |
159.856 |
148.692 |
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
14.404 |
14.444 |
10.634 |
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PROFIT BEFORE
TAX (E-F) (G) |
195.054 |
145.412 |
138.058 |
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Less |
TAX (I) |
67.609 |
51.244 |
49.861 |
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PROFIT AFTER TAX
(G-I) (J) |
127.445 |
94.168 |
88.197 |
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Taxation relating
to earlier years |
(0.964) |
2.384 |
(1.046) |
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Prior Period
adjustment |
0.000 |
0.000 |
0.062 |
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Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
31.532 |
40.811 |
14.072 |
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Less |
APPROPRIATIONS |
|
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Transfer to General Reserve |
60.000 |
85.357 |
40.000 |
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Proposed Dividend |
42.000 |
17.500 |
17.500 |
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Distribution tax thereon |
6.976 |
2.974 |
2.974 |
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BALANCE CARRIED
TO THE B/S |
49.036 |
31.532 |
40.811 |
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EARNINGS IN
FOREIGN CURRENCY |
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Technical assistance fees |
8.642 |
15.707 |
5.319 |
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FOB Value |
0.000 |
0.000 |
0.241 |
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TOTAL EARNINGS |
8.642 |
15.707 |
5.560 |
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IMPORTS |
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Raw Materials |
40.305 |
20.219 |
15.752 |
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Equipment spares and others |
175.285 |
93.647 |
107.660 |
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Traded goods |
82.104 |
105.213 |
95.667 |
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TOTAL IMPORTS |
297.694 |
219.079 |
219.079 |
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Earnings Per
Share (Rs.) |
36.21 |
27.71 |
-- |
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QUARTERLY RESULTS
|
PARTICULARS |
|
30.06.2010 |
30.09.2010 |
|
Type |
|
1st
Quarter |
2nd
Quarter |
|
Sales Turnover |
|
314.200 |
402.600 |
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Total Expenditure |
|
258.400 |
333.500 |
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PBIDT (Excl
OI) |
|
55.800 |
69.100 |
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Other Income |
|
4.100 |
3.600 |
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Operating
Profit |
|
59.900 |
72.700 |
|
Interest |
|
0.000 |
0.000 |
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Exceptional
Items |
|
0.000 |
0.000 |
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PBDT |
|
59.900 |
72.700 |
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Depreciation |
|
3.900 |
4.100 |
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Profit Before
Tax |
|
56.000 |
68.600 |
|
Tax |
|
19.400 |
25.100 |
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Reported PAT |
|
36.600 |
43.500 |
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Extraordinary Items |
|
0.000 |
0.000 |
|
Prior Period Expenses |
|
0.000 |
0.000 |
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Other Adjustments |
|
0.000 |
0.000 |
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Net Profit |
|
36.600 |
43.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
10.61
|
8.80 |
8.73
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Net Profit Margin (PBT/Sales) |
(%) |
17.92
|
14.91 |
14.59
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Return on Total Assets (PBT/Total Assets} |
(%) |
32.63
|
33.47 |
34.86
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Return on Investment (ROI) (PBT/Networth) |
|
0.51
|
0.48 |
0.60
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Debt Equity Ratio (Total Liability/Networth) |
|
0.67
|
0.47 |
0.75
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Current Ratio (Current Asset/Current Liability) |
|
2.01
|
2.47 |
1.90
|
LOCAL AGENCY FURTHER INFORMATION
HISTORY:
Subject, an associate company of Advani Oerlikon was incorporated in Aug
1974, as Cosmics Fontech and subsequently changed its name to Ador Fontech and
become a public limited company in Nov 1993.
The company is promoted by Ashda Dayal Lalvani, Jai Kishan Chandna and Advani
Oerlikon. In 1992, the company acquired Fist India (P) Limited and Kostech
India Private Limited, This companies were subsequently merged with the company
and made as a division of it. In 1995, the company expanded the Kostech
facility at
The company offers products and solutions for reclamation welding and recycling
of vital machinery components. The company's product basket includes filler
wires, welding equipment/accessories, wire feeders, wearplates and cladded
pipes. Apart from manufacturing the before said products the company has also
acts as a value added reseller role for Alloy Steel International, Australia;
Berkenhoff, Germany; CEA, Italy; Cepro, Netherlands; Degussa, Germany; Delora
Stellite, Germany; Euromate, Netherlands; Gasflux, USA; Protector,
Australia/Singapore; Sulzer Metco, Swiz/USA for their products in India.
The company has also offers high temperature process for maintenance products
from
The Ahmednagar plant of Fist Division produces 'A' series products of the
The products are marketed under the brand names, Oerlikon- Fon, Fonmatic and
Fonarc.
The new Zip Arc division has specially formulated a range of maintenance and
surfacing alloys as solution to wear and industrial maintenace problems.
Review of Business
Operations
Graduating from a mere trading company in 1979 to a complete solution provider has indeed been remarkable. The revenue realisation of rupees one hundred and twenty crores, factoring a growth of approximately twelve percent year-on-year, corroborates consistency in performance. This has also enabled the Company post an increased profit, in spite of business compulsions laying stress on margins.
Going further, the Company plans to strengthen its existing business verticals with emphasis on infrastructural development and man power training, as the key to success largely hinges on these parameters. It may be pertinent to note that the Company undertakes efforts which enable employees at all levels to achieve job satisfaction maintain high morale and last but not the least, foster a sense of organisational belongingness.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
Industry Structure
and Development
Repairs and refurbishment of industrial components primarily depends on the requirements of core sector industries. The year before, with the onset of slowdown, there was a tendency to move cautiously and many companies attempted to postpone maintenance, which were not imminent. Towards the third quarter of the financial year 2009-10, the economy started to bounce back and with this, the outlook for repair and refurbishment segment is expected to be promising.
Opportunities
Threats
Threats emanate from (i) overseas organizations setting up business ventures in India (ii) unorganized sector (iii) overlap between fabrication and repair services.
FIXED ASSETS:
- Office
Premises
- Plant and
Machinery
- Electrical
Installations
- Computers
- Office
Equipments
- Demo
Equipments
- Furniture and
Fixtures
- Vehicles
WEBSITE DETAILS:
Subject is a front-runner organisation that operates on the philosophy of
'partnering' with its clients in recommending and implementing value-added reclamation,
fusion and surfacing solutions.
The Company is
dedicated to supply of products, services and solutions that help in
conservation of mineral reserves as well as in reducing down-time and inventory
costs.
The world has a
limited supply or mineral resources. However, the depletion rate - resulting
from continuously improving economic growth - is very high. Reclamation and
recycling of vital machinery components, therefore, assumes high priority.
The Company came
into being in 1980. Right from its inception, it has had a focus of supplying
products, services and solutions that meet and exceed the needs of its
end-users.
The customer-base
includes:
· Steel and other
metallurgical complexes
· Mining industries
· Power plants
· Railways
· Road transport
workshops
· Sugar mills
· Cement plants
· Fertilizer and
chemical plants
· Defence workshops
· Shipping
industries
· Oil drilling,
refining and transportation sector
· A whole range of
other engineering industries
As a result of continuous analysis and evaluation of the end-user needs, the Product Spectrum consists of low heat input welding alloys, solid and flux-cored wires, welding and cutting equipment, fume extraction products, in-situ machining systems, thermal spray products and hands-on rebuilding and reclamation services. The products and services have been categorized as follows:
- Low heat
input welding alloys
- Hard-facing
and wear-resistant products
- Welding,
cutting and welder safety equipment
- LE-SERVICES
- In-situ
reclamation services
- Thermal
spray technology, products and solutions
Within the scope of
the above product groups, in addition to the in-house manufacturing program,
the Company exclusively represents the following internationally well-known
brand names in
- Thermal
spray technology, products and solutions
- World’s
most wear-resistant cast-wear plates
- Cobalt and nickel based alloys and cast
components
- High-tech welding power sources and
systems
- Arc and resistance welding
and plasma cutting equipment
- Welding
fume extraction equipment and systems
- Flux is in the flame
- Bore welding solutions
- Thermal
insulation solutions
- Welding spot separation and
welder safety products
Milestones
2004
Manufacturing Unit for Low Heat Input Welding Alloys at
2003
Exclusive distributorship for EWM High-Tec welding power
sources.
2002
Exclusive distributorship for Liburdi (
Exclusive distributorship for Servo Robot (USA) range of vision based
tracking systems.
Distributorship for Soitaab (
2001
Exclusive distributorship for Climax (USA) range of in-situ portable
machine tools.
2000
Exclusive distributorship for CEPRO (
1999
Exclusive distributorship for CEA (
1998
Exclusive distributorship for GASFLUX range of products and services.
Approval of special welding alloys from defence organisations for armour
steel welding.
Exclusive distributorship for EUROMATE (
1997
Exclusive distributorship for copper and copper alloys from BEDRA (
1996
ISO 9002 Certification.
Launch of ARCOFON range of superior wear resistance technology wear
plates.
1995
Public issue successfully completed to raise the equity capital to Rs.
35.000 Millions.
1994
Equity capital increased to Rs. 22.500 Millions .
1992
Acquisition of FIST India Private Limited and merger of the same with
ADFL.
Acquisition of KOSTECH India Private Limited and merger of the same with
ADFL.
Number of shareholders increased from 112 to 1874 and equity capital
increased from Rs. 4.800 Millions to Rs. 16.900 Millions .
1988
FONTECH training centre launched at Mumbai.
1987
Launch of FONMATIC open arc FCAW wires and feeders.
1985
Finalisation of exclusive distributorship for
1983
New reclamation welding alloy developed for the Indian Railways in the
H3 class.
1980
Commencement of operations
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.45.38 |
|
|
1 |
Rs.72.71 |
|
Euro |
1 |
Rs.61.15 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
49 |
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.