MIRA
INFORM REPORT
|
Report Date : |
22.06.2011 |
IDENTIFICATION DETAILS
|
Name : |
LOKMAT MEDIA LIMITED (w.e.f. 21.09.2010) |
|
|
|
|
Formerly Known
As : |
LOKMAT NEWSPAPERS PRIVATE LIMITED |
|
|
|
|
Registered Office : |
Mittal Tower, `B’ Wing, 12th Floor, Nariman
Point, Mumbai–400021, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.05.2010 |
|
|
|
|
Date of Incorporation : |
21.06.1973 |
|
|
|
|
Com. Reg. No.: |
11 -016613 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 11.524 Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
U99999MH1973PTC016613 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
PNEL00507D NGPL00282C MUML07503G |
|
|
|
|
PAN No. : |
AAACL1888J |
|
|
|
|
Legal Form : |
A closely held public limited liability company |
|
|
|
|
Line of Business : |
Subject is Engaged In Printing And Publishing of
Newspapers. |
|
|
|
|
No. of Employees
: |
100 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (67) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 84000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an old
and an established company engaged in printing and publishing of newspapers.
Company is having good track. Financial position of the company appears to be
sound. Trade relations are fair. Business is active. Payments of the company
reported to be regular and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION PARTED BY (GENERAL DETAILS)
|
Name : |
Mr. Satish |
|
Designation : |
Accounts Manager |
|
Date : |
20.06.2011 |
LOCATIONS
|
Registered Office : |
Mittal Tower, `B’ Wing, 12th Floor, Nariman
Point, Mumbai – 400 021, |
|
Tel. No.: |
91-22-22856749 (4 Lines) /
22028211 / 25856749 |
|
Fax No.: |
91-22-22028211 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Head Office : |
Lokmat Bhavan, Pt. Jawaharlal Nehru Marg, P.O. No. 216, |
|
Tel. No.: |
91-712-2523 527 (10 lines) |
|
Fax No.: |
91-712-2526 923 / 2445555 |
|
E-mail: |
|
|
|
|
|
Business
Representatives: |
Located
at : Kolkata, Ahmedabad, |
|
|
|
|
Branches: |
Located At : ·
Nagpur ·
Aurangabad ·
Mumbai ·
Pune ·
Kolhapur ·
Nashik ·
Solapur ·
Jalgaon ·
Akola ·
Ahmednagar |
DIRECTORS
As On 09.11.2010
|
Name : |
Mr. Vijay Jawaharlal Darda |
|
Designation : |
Chairman and Managing Director |
|
Address : |
‘Yavatmal House’, Rahate Colony, Pt. J.N. Marg, |
|
Date of Birth/Age : |
14.05.1950 |
|
Qualification : |
Diploma in Printing Technology |
|
Director profile : |
Mr. Darda is the chief visionary at Lokmat spearheading
its growth over the last 35 years. Under his leadership, Lokmat has emerged
as one of the leading media companies in |
|
Date of Appointment : |
24.01.1974 |
|
|
|
|
Name : |
Mr. Devendra Vijay Darda |
|
Designation : |
Director |
|
Address : |
Yavatmal House’, Rahate Colony, Pt. J.N. Marg, |
|
Date of Birth/Age : |
23.11.1974 |
|
Date of Appointment : |
20.05.2002 |
|
|
|
|
Name : |
Mr. Rishi Rajendra Darda |
|
Designation : |
Whole Time Director |
|
Address : |
Lokmat Bhavan, |
|
Date of Birth/Age : |
15.12.1978 |
|
Date of Appointment : |
01.04.2009 |
|
|
|
|
Name : |
Mr. Ramesh Sukhraj Bora |
|
Designation : |
Director |
|
Address : |
Plot No. 2, Purohit Layout,
Ambazari, |
|
Date of Birth/Age : |
02.11.1939 |
|
Date of Appointment : |
01.10.2003 |
|
|
|
|
Name : |
Mr. Bharat Karsandas Kapadia |
|
Designation : |
Whole Time Director |
|
Address : |
103, Oyster Shell, 1st
Floor, Mumbai-400049, |
|
Date of Birth/Age : |
07.12.1952 |
|
Date of Appointment : |
01.01.2009 |
|
|
|
|
Name : |
Mr. Karan Darda |
|
Designation : |
Director |
|
Address : |
Lokmat Bhavan, |
|
Date of Appointment : |
01.04.2009 |
|
|
|
|
Name : |
Mrs. Jyotsna Vijay Darda |
|
Designation : |
Director |
|
Address : |
‘Yavatmal House’, Rahate
Colony, Pt. J.N. Marg, |
|
Date of Birth/Age : |
18.06.1952 |
|
Date of Appointment : |
07.06.1993 |
|
Date of Ceasing: |
10.09.2010 |
KEY EXECUTIVES
|
Name : |
Mrs. Nilesh Jain |
|
Designation : |
Partaking Company Secretary |
|
Address: |
Durgaia Raod, Sadar, |
|
|
|
|
Name : |
Mr. Prasamal Jain |
|
Designation : |
Accounts Manager |
|
|
|
|
Name : |
Mr. Amit Bhatia |
|
Designation : |
Company Secretary |
|
Address : |
3/A, Neelkanth Apartment, Opposite Chitra Building, S.V>P. Road,
Kandivali (West), Mumbai, India |
|
Date of Birth/Age : |
25.05.1979 |
|
Date of Appointment : |
25.10.2010 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As On 09.11.2010
|
Names of Shareholders |
|
No. of Shares |
|
|
|
|
|
Vijay J. Darda |
|
288861 |
|
Jyotsna V. Darda |
|
172350 |
|
Rajendra J. Darda |
|
342211 |
|
Devendra Darda |
|
115000 |
|
Ashoodevi Darda |
|
78000 |
|
Rishi Darda |
|
78000 |
|
Karan Darda |
|
78000 |
|
|
|
|
|
TOTAL |
|
1152422 |
Equity Share Breakup (Percentage of Total Equity)
As On 09.11.2010
|
Category |
Percentage |
|
|
|
|
Directors or relatives of Directors |
100.00 |
|
|
|
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is Engaged In Printing And Publishing of
Newspapers. |
||||
|
|
|
||||
|
Product : |
|
||||
|
|
|
||||
|
Terms : |
|
||||
|
Selling : |
Cash, Credit |
||||
|
|
|
||||
|
Purchasing : |
Cash, Credit |
PRODUCTION STATUS
: 31.03.2010
|
Particulars |
Installed
Capacity |
Actual
Production |
|
|
|
|
|
Newspaper |
831000 |
623733122 |
|
|
|
|
GENERAL INFORMATION
|
No. of Employees : |
100 (approximately) |
||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||
|
Bankers : |
Ř
Bank of Ř
The Tirupati Urbam Co-operative Bank
Limited, Mumbai Ř
State Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
Bank of Ř
HDFC Bank Limited, HDFC Bank House, Senapati Bapat
Marg, Lower Parel (West), Mumbai-400013, Maharashtra, India Ř
Bank of |
||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||
|
Facilities : |
|
||||||||||||||||||||||||||||||
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
M. M. Jain and Associates Chartered Accountants |
|
Address : |
202, ShriMohini, Kingsway, Nagpur - 440 001, Maharashtra,
India. |
|
|
|
|
Subsidiaries: |
Lokmat Enterprises Private Limited |
|
|
|
|
Associates : |
·
Darda Investment and Properties Private Limited ·
Media World Enterprises ·
Devendra Printers ·
Prithvi Vandan ·
Darda Printocrafts Private Limited. ·
Mogra Scangraph Private Limited. ·
Regal Publication Private Limited. ·
Airwave Entertainment Private Limited. ·
Prithvi Prakashan Private Limited. |
|
|
|
|
Joint Ventures : |
IBN-Lokmat News Private Limited |
CAPITAL STRUCTURE
As on 31.05.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1500000 |
Equity Shares |
Rs.10/- Each |
Rs.15.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1152422 |
Equity Shares |
Rs.10/- Each |
Rs.11.524
Millions |
|
|
|
|
|
Note :
Of the above
1.
400000 Equity shares allotted as fully paid by way
of Bonus Shares by Capitalization of Reserves
2.
467600 Equity Shares are allotted as fully paid up
shares to the shareholders of Prithvi Prakashan Private Limited on demerger
with the company.
As on 09.11.2010
Authorised Capital : Rs. 750.000 Millions
Issued, Subscribed & Paid-up Capital : Rs. 414.872
Millions
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.05.2010 |
31.05.2009 |
31.05.2008 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
11.524 |
6.848 |
6.848 |
|
|
2] Share Application Money |
0.000 |
4.676 |
0.000 |
|
|
3] Reserves & Surplus |
2088.951 |
1855.486 |
899.716 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
2100.475 |
1867.010 |
906.564 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
308.091 |
407.027 |
456.315 |
|
|
2] Unsecured Loans |
0.000 |
9.500 |
0.000 |
|
|
TOTAL BORROWING |
308.091 |
416.527 |
456.315 |
|
|
DEFERRED TAX LIABILITIES |
72.029 |
30.749 |
30.514 |
|
|
|
|
|
|
|
|
TOTAL |
2480.595 |
2314.286 |
1393.393 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
1087.680 |
1158.176 |
525.769 |
|
|
Capital work-in-progress |
16.784 |
24.691 |
2.333 |
|
|
|
|
|
|
|
|
INVESTMENT |
245.175 |
323.965 |
87.201 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
253.727
|
223.905
|
158.599
|
|
|
Sundry Debtors |
712.717
|
526.065
|
479.485
|
|
|
Cash & Bank Balances |
381.159
|
332.486
|
258.145
|
|
|
Other Current Assets |
10.685
|
22.604
|
15.395
|
|
|
Loans & Advances |
1036.862
|
466.125
|
417.972
|
|
Total
Current Assets |
2395.150
|
1571.185
|
1329.596
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
110.628
|
107.750
|
25.945
|
|
|
Other Current Liabilities |
306.921
|
290.841
|
308.971
|
|
|
Provisions |
846.645
|
365.140
|
216.590
|
|
Total
Current Liabilities |
1264.194
|
763.731
|
551.506
|
|
|
Net Current Assets |
1130.956
|
807.454
|
778.090
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
2480.595 |
2314.286 |
1393.393 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.05.2010 |
31.05.2009 |
31.05.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
3809.610 |
2300.962 |
1683.663 |
|
|
|
Other Income |
50.960 |
21.729 |
119.621 |
|
|
|
TOTAL (A) |
3860.570 |
2322.691 |
1803.284 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw material consumed |
1543.250 |
946.386 |
|
|
|
|
Employees Cost |
560.131 |
331.375 |
1254.359 |
|
|
|
Operating and Other Expenses |
686.470 |
343.877 |
|
|
|
|
TOTAL (B) |
2789.851 |
1621.638 |
1254.359 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
890.719 |
701.053 |
548.925 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
29.489 |
49.027 |
35.652 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
861.230 |
652.026 |
513.273 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
159.598 |
95.631 |
65.570 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
701.632 |
556.395 |
447.703 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
112.686 |
148.786 |
124.520 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
588.946 |
407.609 |
323.183 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
350.734 |
3.119 |
4.042 |
|
|
|
|
|
|
|
|
|
|
Transfer
to Revaluation Reserve |
0.006 |
0.007 |
0.008 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend paid |
41.862 |
0.000 |
80.444 |
|
|
|
Corporate Tax on Interim Dividend |
249.728 |
0.000 |
13.670 |
|
|
|
Transfer to General Reserve |
59.000 |
60.000 |
230.000 |
|
|
BALANCE CARRIED
TO THE B/S |
589.094 |
350.735 |
3.119 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
511.05 |
595.20 |
471.92 |
|
|
Particulars |
|
|
31.03.2011 |
|
Sales Turnover (approximately) |
|
|
3000.000 |
|
|
|
|
|
The above information has been parted by Mr. Satish.
KEY RATIOS
|
PARTICULARS |
|
31.05.2010 |
31.05.2009 |
31.05.2008 |
|
|
|
|
|
|
|
PAT / Total Income |
(%) |
15.25
|
17.55
|
17.92
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
18.17
|
NA
|
26.59
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets) |
(%) |
20.14
|
20.39
|
24.13
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.33
|
0.30
|
0.49
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.74
|
0.63
|
1.11
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.89
|
2.06
|
2.41
|
LOCAL AGENCY FURTHER INFORMATION
THE DETAILS OF
SUNDRY CREDITORS:
Rs.
In Millions
|
Particulars |
31.05.2010 |
31.05.2009 |
31.05.2008 |
|
|
|
|
|
|
Sundry Creditors |
110.628
|
107.750
|
25.945
|
|
|
|
|
|
FINANCIAL PERFORMANCE:
The company posted
another year of impressive results testifying to the robustness of the
corporate strategy of creating multiple drivers of growth. The company recorded
a Net Profit after tax Rs. 588.946 during the year as against a Net Profit of
Rs. 407.608 millions during the previous financial year. In the years to come
the company is looking forward to give to its valuable shareholders continued
growth and profits.
SUBSIDIARIES:
The Company has
two subsidiaries viz. Asera Power Private Limited and Lokmat Entertainment
Private Limited. The Company has sold its entire holding of Rs. 99,000/- equity
shares representing 99% of the capital of Airwave Entertainment Private Limited
(AEPL) to Darda Investment and Properties Private Limited at Rs. 10 per share.
With the completion of the said sale on 31st May 2010 AEPL ceased to be a
subsidiary of the Company. Consequently Prithvi Prakashan Private Limited
subsidiary of AEPL also ceased to be a subsidiary of the Company.
FORM : 8
Bankers Charges
Report as per Registry
|
Corporate
identity number of the company |
U99999MH1973PTC016613 |
|
Name of the
company |
LOKMAT NEWSPAPERS LIMITED |
|
Address of the
registered office or of the principal place of business in |
Mittal Tower, `B’ Wing, 12th Floor, Nariman
Point, Mumbai – 400 021, |
|
This form is for |
Modification of
Charge |
|
Charge
identification number of the charge to be modified |
10221777 |
|
Type of charge |
Movable Property |
|
Particular of
charge holder |
Bank of |
|
Nature of
instrument creating charge |
Supplemental Deed
of Hypothecation |
|
Date of
instrument Creating the charge |
14.10.2010 |
|
Amount secured by
the charge |
Rs. 334.800
Millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of Interest Term Loan I and II
: At 4% below BPLR, Present effective rate 8.50% p.a. with monthly rests. Terms of
Repayment Term Loan I and
II: Repayable in 10 half yearly installments of Rs. 33.400 Millions,
commencing form December 2010(Last Installments is of Rs. 34.200 Millions) Margin Term Loan : 25% Extent and
Operation of the charge The charge
operate as security on the plant and machinery of the company |
|
Short particulars
of the property charged |
Hypothecation of plant
and machinery proposed to be purchased out of this term loan. |
|
Date of
instrument modifying the charge |
23.04.2010 |
|
Particulars of
the present modification |
By present
modification the bank has sanctioned the new term loan of Rs. 90.000 Millions.
Thus Total Term Loan facilities stand at Rs. 334.800 Millions. The
Bifurcation of credit facility are as under: Term Loan I: Rs.
244.800 Millions Term Loan II: Rs.
90.000 Millions Total : Rs.
334.800 Millions. |
FIXED ASSETS:
· Land
· Building
· Plant and Machinery
· Furniture and Fixtures
· Vehicles
· Data Processing 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. 44.91 |
|
|
1 |
Rs. 72.89 |
|
Euro |
1 |
Rs. 64.48 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
67 |
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.