MIRA
INFORM REPORT
|
Report Date : |
27.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
HEMA ENGINEERING INDUSTRIES LIMITED |
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Registered Office : |
Sachidanand Farm, Hou. Kishangarh Village, Opposite Swimming Pool, DDA
Sport Complex, Lane- Green Avenue, Vasant Kunj, New Delhi-110070, Delhi |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
22.09.1987 |
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Com. Reg. No.: |
55-29299 |
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Paid-up Capital : |
Rs.239.930 Millions |
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CIN No.: [Company
Identification No.] |
U74210DL1987PLC029299 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELH03631F |
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PAN No.: [Permanent
Account No.] |
AAACH0118F |
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Legal Form : |
A closely held public limited liability company |
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Line of Business : |
Manufacture
and Supplier of Sheet Metal and Tubular Parts. |
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No. of Employees : |
Not
Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (46) |
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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 4400000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to be
usually correct 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
|
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
|
Registered Office : |
Sachidanand Farm, Hou. Kishangarh Village, Opposite Swimming Pool, DDA
Sport Complex, Lane-Green Avenue, Vasant Kunj, New Delhi- 110070, India |
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Tel. No.: |
91-11-26802764 |
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E-Mail : |
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Website : |
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Correspondence Office / Factory 1 : |
1/3, K.M Stone, |
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Tel No. : |
91-124-2370740 -44 |
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Fax No.: |
91-124-4032115 |
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E- Mail: |
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Factory 2 : |
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Tel No. : |
91-4347-233476/ 33764 / 33798 |
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E- Mail: |
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Factory 3 : |
Plot No.15, Sector -3, IMT, Manesar, Gurgaon District, |
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Tel No. : |
91-124-2290440 / 2290441 |
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Fax No.: |
91-124-2290165 |
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Factory 4 : |
69 KM, |
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Tel No. : |
91-127-242289 / 242370 / 71 / 72 / 73 / 74 |
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Fax No.: |
91-127-242375 |
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E- Mail: |
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Factory 5: |
No. 713 and 717, |
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Email: |
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Factory 6: |
Plot No. 4 Salempur, Mehdood, IP-2, Hadiwar, |
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Tel No.: |
91-133-4235514 |
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Email: |
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Design Office : |
6th Floor, |
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Tel No. : |
91-20-66201887 |
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E-Mail: |
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170-A, Sainik Farm, Western Avenue, |
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Tel No. : |
91-11-26527628/ 26565839 |
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Overseas Office : |
Le Forum, 5 rue Albert Thomas, 25000 |
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Tel No. : |
33-381535710 |
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Fax No.: |
33-331537395 |
DIRECTORS
As on 30.09.2010
|
Name : |
Mr. Chandresh Jajoo |
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Designation : |
Managing Director |
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Address : |
Sachidanand Farm, Hou. Kishangarh Village, Opposite Swimming Pool, DDA
Sport Complex, Lane-Green Avenue, Vasant Kunj, New Delhi- 110070, India |
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Date of Birth/Age : |
21.11.1969 |
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Date of Appointment : |
19.07.1994 |
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Name : |
Mr. Krishan K Jajoo |
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Designation : |
Director |
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Address : |
Sachidanand Farm, Hou. Kishangarh Village, Opposite Swimming Pool, DDA
Sport Complex, Lane-Green Avenue, Vasant Kunj, New Delhi- 110070, India |
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Date of Birth/Age : |
15.09.1944 |
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Date of Appointment : |
10.06.2002 |
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Name : |
Mr. Atul Swaroop |
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Designation : |
Whole – time Director |
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Address : |
House No. K -18, Second Floor, South City-1, |
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Date of Birth/Age : |
18.05.1960 |
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Date of Appointment : |
10.09.2006 |
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Name : |
Mr. Kartikay Saini |
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Designation : |
Additional Director |
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Address : |
B-428, Sushant Lok-I, Gurgaon- 122002, |
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Date of Birth/Age : |
21.02.1967 |
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Date of Appointment : |
05.06.2009 |
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Name : |
Mr. Anil Jain |
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Designation : |
Independent Director |
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Address : |
# 713, Sector 15, Part II, Gurgaon-122001, |
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Date of Birth/Age : |
07.08.1974 |
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Date of Appointment : |
02.04.2010 |
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Name : |
Mr. Sailesh Arora |
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Designation : |
Independent Director |
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Address : |
S-337, First Floor, Grater Kailash II, New Delhi-110048, |
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Date of Birth/Age : |
23.05.1968 |
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Date of Appointment : |
02.04.2010 |
KEY EXECUTIVES
|
Name : |
Mr. Suresh Kumar |
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Designation : |
Company Secretary |
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Address : |
Flat No.79, 4th Floor, Block-5, Meghdoot Apartment,
Sector-10A, Gurgaon- 122001, |
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Date of Birth/Age : |
26.07.1972 |
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Date of Appointment : |
02.01.2001 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2010
|
Names of Shareholders |
|
No. of Shares |
|
Chandresh Jajoo |
|
82060000 |
|
Monica Jajoo |
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68953000 |
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Kay Jay Leasing Limited |
|
11200000 |
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Chandresh Jajoo HUF |
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7840000 |
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Krishan Kumar Jajoo |
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8280000 |
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Vijaya Jajoo |
|
5280000 |
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Hema Agarwal |
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56000 |
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K. K. Jajoo HUF |
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9584000 |
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Kay Jay Fincap Limited |
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91677000 |
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Total |
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284930000 |
As on 30.09.2010
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Bodies
corporate |
|
36.11 |
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Directors
or relatives of directors |
|
63.89 |
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Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacture
and supplier of sheet metal and Tubular parts. |
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Products : |
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PRODUCTION STATUS (AS ON 31.03.2010)
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Particulars |
Unit |
Actual
Production |
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Swing Arm Assy. RR Complete for Hero Honda Motor Cycles |
Qty |
3849122 |
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Spoke and Nipple |
Qty |
208421685 |
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|
Qty |
4369388 |
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Muffler (For TVS Motorcycles) |
Qty |
248126 |
GENERAL INFORMATION
|
Suppliers : |
·
Accurate
Auto Products Private Limited ·
Adit
Raj Auto (P) Limited ·
Mitter
Fastners ·
V
S Auto Industries ·
Gurgaon
Gramin Bank ·
Canara
Bank ·
Security
– Rainkesh Enterprises ·
Security
– Vivek Enterprises ·
ICICI
bank Limited, Hosur |
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Customers : |
·
Hero
Honda Motors ·
TVS
Motor ·
Royal
·
Yamaha
·
Tenneco
Inc ·
Sonalika
·
BOS
( ·
Electrolux
- ·
Tenneco
Inc ·
Sigma
Vibracoustic India Private Limited |
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Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Wahi and Company Chartered Accountant |
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Address : |
K-1, Kailash Colony, 1st Floor, |
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Tel. No.: |
91-11-41734728/ 41734732 / 41734738 |
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Fax No.: |
91-11-29231411 |
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E-Mail : |
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Website : |
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Pan No.: |
AAAFW0375N |
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Associates/Subsidiaries : |
Eurotherm Hema Radiators India Limited (U28133DL2004PLC128719) |
CAPITAL STRUCTURE
As on 30.09.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
300000000 |
Equity Shares |
Rs.1/- each |
Rs.300.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
284930000 |
Equity Shares |
Rs.1/- each |
Rs.284.930
Millions |
As on 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
300000000 |
Equity Shares |
Rs.1/- each |
Rs.300.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
239930000 |
Equity Shares |
Rs.1/- each |
Rs.239.930
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
239.930 |
230.430 |
212.430 |
|
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2] Share Application Money |
39.000 |
19.000 |
36.000 |
|
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3] Reserves & Surplus |
823.154 |
762.838 |
234.354 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
1102.084 |
1012.268 |
482.784 |
|
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LOAN FUNDS |
|
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1] Secured Loans |
827.658 |
648.127 |
661.573 |
|
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2] Unsecured Loans |
731.939 |
634.987 |
412.991 |
|
|
TOTAL BORROWING |
1559.597 |
1283.114 |
1074.564 |
|
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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|
|
|
|
|
|
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TOTAL |
2661.681 |
2295.382 |
1557.348 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1368.113 |
1228.068 |
642.587 |
|
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Capital work-in-progress |
17.034 |
63.640 |
5.045 |
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INVESTMENT |
230.834 |
177.590 |
152.848 |
|
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
647.074
|
495.580 |
393.568
|
|
|
Sundry Debtors |
571.841
|
558.933 |
479.489
|
|
|
Cash & Bank Balances |
70.955
|
12.959 |
31.816
|
|
|
Other Current Assets |
0.000
|
0.000 |
0.000
|
|
|
Loans & Advances |
841.851
|
631.822 |
499.393
|
|
Total
Current Assets |
2131.721
|
1699.294 |
1404.266 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
683.363
|
658.710 |
|
|
|
Other Current Liabilities |
336.508
|
137.714 |
626.769
|
|
|
Provisions |
66.920
|
77.510 |
29.558
|
|
Total
Current Liabilities |
1086.791
|
873.934 |
656.327
|
|
|
Net Current Assets |
1044.930
|
825.360 |
747.939 |
|
|
|
|
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|
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|
MISCELLANEOUS EXPENSES |
0.770 |
0.724 |
8.929 |
|
|
|
|
|
|
|
|
TOTAL |
2661.681 |
2295.382 |
1557.348 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
3587.497 |
3194.306 |
2396.356 |
|
|
|
Other Income |
334.397 |
305.107 |
251.119 |
|
|
|
TOTAL (A) |
3921.894 |
3499.413 |
2647.475 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Consumed |
2225.372 |
1872.713 |
1510.191 |
|
|
|
Manufacturing Expenses |
1207.338 |
1238.219 |
871.351 |
|
|
|
Administrative Expenses |
195.090 |
155.031 |
140.739 |
|
|
|
Increase/(Decrease) in Finished Goods |
(44.336) |
(49.696) |
(74.724) |
|
|
|
TOTAL (B) |
3583.464 |
3216.267 |
2447.557 |
|
|
|
|
|
|
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|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
338.430 |
283.146 |
199.918 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
193.153 |
159.929 |
86.425 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
145.277 |
123.217 |
113.493 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
90.649 |
78.571 |
82.896 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
54.628 |
44.646 |
30.597 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
15.628 |
12.911 |
4.662 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
39.000 |
31.735 |
25.935 |
|
|
|
|
|
|
|
|
|
Less |
EARLIER YEAR
ADJUSTMENT |
(12.200) |
2.117 |
1.356 |
|
|
Add |
EARLIER YEAR
ADJUSTMENT FOR DEPRECIATION WRITTEN BACK |
0.000 |
123.159 |
0.000 |
|
|
Less |
DEFERRED TAX LIABILITY
ON DEPRECIATION WRITTEN BACK |
0.000 |
41.888 |
0.000 |
|
|
Less |
PROVISION FOR
BONUS |
0.000 |
9.695 |
0.000 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
233.049 |
131.855 |
107.276 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
200.000 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
84.249 |
233.049 |
131.855 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
0.14 |
0.69 |
0.61 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
0.99
|
0.91 |
9.59 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.52
|
1.40 |
1.28 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.56
|
1.53 |
1.49 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.05
|
0.04 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.40
|
2.13 |
1.36 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.96
|
1.94 |
2.14 |
LOCAL AGENCY FURTHER INFORMATION
Note:
The registered office of the company has been shifted from Sachidanand
Farm House, Khasra No. 95/8, 9, 10, 11, 12, Kishan Garh Vill. Near DDA Sports
Complex, Mehrauli,
PERFORMANCE REVIEW
AND OPERATION:
This year the company has fully recovered from the turbulence period and
post global recessions effect, sustaining in the market of cut-throat
competition in the two wheelers automobile component manufacturing sector and
volatile steel prices, the company
has been able to achieve its steady growth.
During the year, the major focus of the company was on the expansion of
its present production capabilities and diversification of existing business in
new business models, to gain more stability and to tap the opportunity
available in market. Beside above, the company
has continue to take concrete steps to achieve its commitment of becoming India
most prominent Research and Development center in Engineering and Automotive Component
Design and Manufacturing Sector and its mission towards the overall
cost reduction.
During the year, the total revenue of the company was Rs. 3921.894 Millions as compared to Rs. 3499.413 Millions in the previous
financial year showing an increase in revenue by 12.07% over the previous year.
The Profit before Depreciation and Taxation
during the year was Rs. 39.000 Millions as compared to Rs. 31.735
Millions in the previous financial year showing an increase by 22.89% over
the previous year.
OUTLOOK FOR THE CURRENT FINANCIAL YEAR:
During the current financial year, management has set a target to achieve turnover of more than Rs. 5000.000
Millions. It gives us immense pleasure to inform that their
company has already achieved a turnover of around Rs. 2380.000 Millions in its first Half. As the remarkable festival season for two wheelers segment in India usually lies in the second half of
the year due to festivals like Dusshera,
Diwali, Eid and others, the
Directors are quite confident that the said target of the company
shall be comfortably achieved.
Bankers Charges
Report as per Registry
|
This form is for |
Modification of
charge |
|
Charge
identification number of the modified |
10043413 |
|
Corporate
identity number of the company |
U74210DL1987PLC029299 |
|
Name of the
company |
HEMA ENGINEERING
INDUSTRIES LTD |
|
Address of the
registered office or of the principal place of business in |
Sachidanand Farm, Hou. Kishangarh Village, Opposite Swimming Pool, DDA
Sport Complex, Lane-Green Avenue, Vasant Kunj, New Delhi- 110070, India |
|
Type of charge |
Immovable
Property Movable Property
(not being pledge) |
|
Particular of
charge holder |
ICICI Bank Limited, Land Mark Race, |
|
Email |
|
|
Nature of
description of the instrument creating or modifying the charge |
Mortgage
Declaration |
|
Date of
instrument Creating the charge |
10.03.2011 |
|
Amount secured by
the charge |
Rs.118.940
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest The aggregate of:
The applicable Margin; and6 month Libor. The all in cost pricing as defined under
RBI guidelines shall not exceed the all in cost pricing of 6 M LIBOR+200bps Terms of
Repayment The Borrower
shall repay the drawn down amount in ten equal semi-annual installments,
first installment being due on end of eighteenth month from the Average
Drawdown Date. Margin As agreed Extent and
Operation of the charge 1. Equitable
Mortgage of Land and Building situated
at Plot No. 4, Khasara No. 1503, Hero Honda Industrial Park-II, Village
Salempur Mehdood-2, Pargana, Haridwar, Uttarkhand. 2. Equitable
Mortgage of Land and Building situated at Plot No.-15, Sector - 3, IMT
Manesar, Gurgaon (Haryana). 3. First charge
on moveable fixed acquired out of the term loan proceeds of ICICI Bank. Others The above is to
secure the Foreign Currency Loan from ICICI BANK LIMITED |
|
Short particulars
of the property charged |
I)
Equitable
Mortgage of Land and Building situated
at Plot No. 4, Khasara No. 1503, Hero Honda Industrial Park-II, Village
Salempur Mehdood-2, Pargana, Haridwar, Uttarkhand. II)
Equitable
Mortgage of Land and Building situated
at Plot No.-15, Sector - 3, IMT Manesar, Gurgaon (Haryana). III)
First
charge on moveable fixed acquired out of the term loan proceeds of ICICI
Bank. |
|
Particulars of
the present modification |
Foreign currency
loan has been reduced to Euro 2.0 million. Loan is
additionally secured by the following: 1. Equitable
Mortgage of Land and Building situated
at Plot No. 4, Khasara No. 1503, Hero Honda Industrial Park-II, Village
Salempur Mehdood-2, Pargana, Haridwar, Uttarkhand. 2. Equitable
Mortgage of Land and Building situated
at Plot No.-15, Sector - 3, IMT Manesar, Gurgaon (Haryana). All other terms
and conditions remained the same. |
Fixed Assets
- Land
- Building
- Machinery
- Furniture and Fixture
- Electrical Installation
- Vehicles
- Office Equipments
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.44.29 |
|
|
1 |
Rs.72.37 |
|
Euro |
1 |
Rs.64.17 |
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 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
46 |
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.