MIRA INFORM REPORT

 

 

Report Date :

09.03.2011

 

IDENTIFICATION DETAILS

 

Name :

ROTEX AUTOMATION LIMITED

 

 

Formerly Known As :

ROTEX MANUFACTURERES AND ENGINEERS (GUJARAT) PRIVATE LIMITED

 

 

Registered Office :

987 – 11, GIDC Estate, Makarpura, Opposite Bus Depot, Vadodara – 390010, Gujarat,

 

 

Country :

India.

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

12.01.1983

 

 

Com. Reg. No.:

04-5831

 

 

CIN No.:

[Company Identification No.]

U29259GJ1983PLC005831

 

 

IEC No.:

0889009171

 

 

PAN No.:

[Permanent Account No.]

AABCR0011J

 

 

Legal Form :

A Closely Held Public Limited Liability Company.

 

 

Line of Business :

Manufacturer of Solenoid Valves, Valve Automation Systems and Pheumatic Elements. .

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (47)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 670000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

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)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

INFORMATION PARTED BY

 

Name :

Mr. Kaushik Desai

Designation :

Finance Manager

Contact No.:

91-9825606442

Date :

04.03.2011

 

 

LOCATIONS

 

Registered Office/Factory 1 :

987 – 11, GIDC Estate, Makarpura, Opposite Bus Depot, Vadodara – 390010, Gujarat, India.

Tel. No.:

91-265-3044120/3044116

Mobile No.:

91-9727766313 (Mr. Nirav Shah)

Fax No.:

91-265-2638130

E-Mail :

rotexbrd@rotexindia.com

nirav.rotex@gmail.com

Website :

www.rotexindia.com

Area :

35000 Sq. Ft.

Location :

Owned

 

 

Factory 2 :

C – 1B/ 1501, 4 and 5, GIDC, Vithal Udyognagar, District Anand – 388 121, Gujarat, India

Tel. No.:

91-2692-236224/ 236292/ 236399

Fax No.:

91-2692-236442

E-Mail :

rotexvun@rotexindia.com

Location :

Owned

 

 

Factory 3 :

Rotex Manufacturers and Engineers Private Limited Manpada Road, Dombivli (East) – 421 204, Maharashtra, India

Tel. No.:

91-251-2871033/ 2871390/ 2871196/ 2871989/ 2870663

Fax No.:

91-251-2871191

E-Mail :

rotexdbl@rotexindia.com

Location :

Owned

 

 

Sales Office :

211, New India Industrial Estate, Off. Mahakali Caves Road, Andheri (East), Mumbai – 400093, Maharashtra, India.

Tel. No.:

91-22-42111444/ 66952161/ 2/ 3

Fax No.:

91-22-66923783

E-Mail :

bushah@rotexindia.com

sales-bby@rotexindia.com

Location :

Owned

 

 

DIRECTORS

 

As on 26.08.32010

Name :

Mr. Jitendra G Shah

Designation :

Director

Address :

“Girdhar”, Manpada, Dombivli (E), Dist.Thane, Mumbai, Maharashtra, India.

Date of Birth/Age :

14.05.1933

Qualification :

B.E. (Mechanical)

Date of Appointment :

12.01.1983

 

 

Name :

Mr. Upendra G Shah

Designation :

Director

Address :

11, Wild Teaset, 14th Road, Khar, Mumbai, Maharashtra, India.

Date of Birth/Age :

27.09.1945

Qualification :

B.E. (Mechanical)

Date of Appointment :

12.01.1983

 

 

Name :

Mr. Rajesh J Shah

Designation :

Director

Address :

24, Nirmal Nagar, Nr. Akota Stadium, Akota, Vadodara, Gujarat, India

Date of Birth/Age :

12.06.1957

Qualification :

B.E. (Mechanical)

Experience :

27 Years

Date of Appointment :

01.02.1983

 

 

Name :

Mr. Amit J Shah

Designation :

Director

Address :

1 “Girdhar”, Manpada, Dombivli (E), Dist.Thane, Mumbai, Maharashtra, India

Date of Birth/Age :

19.09.1962

Qualification :

B.E. (Mechanical)

Date of Appointment :

01.02.1983

 

 

Name :

Ms. Manjula J Shah

Designation :

Director

Address :

“Girdhar”, Manpada, Dombivli (E), Dist.Thane, Mumbai, Maharashtra, India

Date of Birth/Age :

11.10.1932

Date of Appointment :

12.01.1983

 

 

Name :

Mr. Bhowmick U Shah

Designation :

Director

Address :

11, Wild Teaset, 14th Road, Khar, Mumbai, Maharashtra, India

Date of Birth/Age :

10.06.1971

Qualification :

B.E. (Mechanical)

Date of Appointment :

30.09.2005

 

 

Name :

Ms. Daksha R Shah

Designation :

Director

Address :

24, Nirmal Nagar, Nr. Akota Stadium, Akota, Vadodara, Gujarat, India

Date of Birth/Age :

08.07.1958

Date of Appointment :

30.09.2005

 

 

KEY EXECUTIVES

 

Name :

Mr. Kaushik Desai

Designation :

Finance Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 26.08.2010

Names of Shareholders

 

No. of Shares

Jitendra G Shah

 

577000

Upendra G Shah

 

697500

Rajesh J Shah

 

605250

Amit J Shah

 

558650

Manjula J Shah

 

520000

Bhowmick U Shah

 

443450

Daksha R Shah

 

437150

Leena A Shah

 

398450

Nandini Shah

 

270

Akanksha Shah

 

6450

Nirav Shah

 

36150

Priyanka Shah

 

6450

Mitali Shah

 

6450

Abha Shah

 

392230

Shweta Shah

 

462750

Jitendra Shah (HUF)

 

10000

Upendra Shah (HUF)

 

40000

Bhoomi Shah

 

1800

Total

 

5200000

 

As on 26.08.2010

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Solenoid Valves, Valve Automation Systems and Pheumatic Elements. .

 

 

Products :

  • Angle Seated Valves
  • Valve Automation systems
  • Rotary Actuators
  • Limit Switches
  • Diaphragm Solenoid Valves
  • 2/2 and 3/2 Direct Acting Solenoid Valves
  • 2/2, 3/2, 5/2 and 5/3 Pilot Operated Poppet Valves
  • Intrinsically Safe Solenoid Valves
  • Latch Solenoid Valves
  • Low Power Solenoid Valves
  • Manual Reset On – Off Solenoid valves
  • Namur Solenoid Valve
  • Pulse Jet Valves
  • Petrol Vending Solenoid Valves
  • Gas Over Oil Valves
  • Pneumatic Cylinders (8 -1000mm) and Mountings
  • Spool Valves
  • Air Operated and Mechanically Operated Vales
  • Valves Island
  • Positioners
  • Customized Valves

 

                                                                                    (Rs. In Millions)

ITC Code

Product

Unit of Measurement

Turnover

31.03.2008

Unit of Measurement

Turnover

31.03.2007

8481.80

Solenoid Valve

194831

0.289

231697

0.148

8479

Rotary Cylinder

---

---

--

---

 

 

Brand Names :

ROTEX

 

 

Exports :

 

Products :

Automations

Countries :

·         New Zealand

·         Australia

·         USA

·         UK

 

 

Terms :

 

Selling :

L/C, Cash and Credit (30 to 60 to 90 Days)

 

 

Purchasing :

Cash and Credit (30 to 60 to 90 Days)

 

 

GENERAL INFORMATION

 

Customers :

End Users and OEM’s

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

  • Axis Bank – Opposite GEB Office, Nr. Pizza Hut, Race Course Circle (North), Vadodara – 390010,  Gujarat, India.

 

  • ICICI Bank Limited, Landmark Building, Racecourse Circle,              Vadodara - 390 007

 

  • The Royal Bank of Scotland, 74, Sakhar Bhavan, 7th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India

 

 

Facilities :

Particulars

Rs. In Millions

31.03.2010

Rs. In Millions

31.03.2009

Secured Loans

 

 

For Working Capital

- INR

- FCNR

 

For Term Loan

 - INR

 - FCNR

 

28.769

45.140

 

 

18.455

35.390

 

17.398

51.750

 

 

25.000

26.481

Total

127.754

120.629

 

 

 

Unsecured Loan

 

 

Loan From Directors

9.183

5.308

Loan From members

2.937

1.567

Total

12.120

6.875

 

 

 

Banking Relations :

-

 

 

Auditors :

 

Name :

Naresh and Company

Chartered Accountant

Address :

City Enclave, Nr. Baroda High Scholl, Opp. Polo Ground, Vadodara – 390001, Gujarat, India

Tel. No.:

91-265-2423386/3010806/07

Fax No.:

91-265-3013386

E-Mail :

consult@nareshandco.com

                               Website :

www.nareshandco.com

 

 

Associates/Subsidiaries :

  • Rotex Manufacturers and Engineers Private Limited
  • Rotex Enterprises Private Limited
  • Rotex Controls Private Limited
  • Buraj Controls Private Limited
  • Rotex Controls B.V. Netherlands

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2009

 

Authorised Capital :

No. of Shares

Type

Value

Amount

6000000

Equity Share

Rs.10/- Each

Rs.60.000 Millions

 

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

5200000

Equity Share

Rs.10/- Each

Rs.52.000 Millions

 

Of the above:

 

·         2560000 (Pr. Yr.2560000) Equity Shares of Rs.10/- each fully paid up share.

·         1004920 (Pr. Yr. 1004920) Equity Shares of Rs.10/- each allotted as fully paid up Bonus shares out of Free Reserve during the Year.

·         1635080 (Pr. Yr. 1635080) Equity Shares of Rs.10/- each allotted as fully paid up Bonus shares out of Revaluation Reserve during the year.

 

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

52.000

52.000

52.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

114.948

81.915

76.085

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

166.948

133.915

128.085

LOAN FUNDS

 

 

 

1] Secured Loans

127.754

120.630

70.368

2] Unsecured Loans

12.120

6.875

7.535

TOTAL BORROWING

139.874

127.505

77.903

DEFERRED TAX LIABILITIES

15.314

12.736

10.274

 

 

 

 

TOTAL

322.136

274.156

216.262

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

201.536

161.124

112.723

Capital work-in-progress

1.110

0.665

0.442

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

77.301
62.711
70.495

 

Sundry Debtors

86.957
65.9854
61.859

 

Cash & Bank Balances

9.054
7.024
5.140

 

Other Current Assets

0.000
0.000
0.000

 

Loans & Advances

26.708
27.354
15.453

Total Current Assets

200.020
163.073
152.947

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

72.745

40.917

42.289

 

Other Current Liabilities

2.837
3.512
4.456

 

Provisions

4.948
6.327
3.205

Total Current Liabilities

80.530
50.756
49.950

Net Current Assets

119.490
112.317
102.997

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.050

0.100

 

 

 

 

TOTAL

322.136

274.156

216.262

 

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Income

350.339

305.971

289.430

 

 

Other Income

3.742

4.080

3.697

 

 

TOTAL                                     (A)

354.081

310.051

293.127

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Raw Material Consumed

142.483

118.338

119.726

 

 

Manufacturing expenses

58.774

47.973

52.575

 

 

Administrative expenses

40.706

36.499

36.704

 

 

Selling expenses

47.382

45.575

39.573

 

 

Preliminary Expanses Written

0.050

0.050

0.050

 

 

Loss on Exchange Rate Fluctuate

(5.815)

13.853

0.000

 

 

Increased / Decreased Stocks

(3.674)

6.392

(10.768)

 

 

TOTAL                                     (B)

279.906

268.680

237.860

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

74.175

41.371

55.267

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

13.321

11.460

9.572

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

60.854

29.911

45.950

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

10.946

8.454

7.376

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

49.908

21.457

38.319

 

 

 

 

 

Less

TAX                                                                  (H)

18.215

9.543

13.319

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

31.693

11.914

25.000

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

0.240

0.209

0.293

 

 

 

 

 

 

Unrecognized Gratuity Assets

1.340

0.000

0.000

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

32.500

5.800

19.000

 

 

Dividend

0.000

5.200

5.200

 

 

Tax on Dividend

0.000

0.884

0.884

 

BALANCE CARRIED TO THE B/S

0.773

0.240

0.209

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

139.400

0.762

0.765

 

 

Capital Goods

5.000

6.191

2.320

 

TOTAL IMPORTS

144.400

6.953

3.085

 

 

 

 

 

 

Earnings Per Share (Rs.)

6.09

-

-

 

Expected Sales (2010-2011) : Rs.400.000 millions

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)

8.95
3.84
8.52

 

 

 
 
 

Net Profit Margin

(PBT/Sales)

(%)

13.99
7.01
13.23

 

 

 
 
 

Return on Total Assets

(PBT/Total Assets}

(%)

12.43
6.61
37.20

 

 

 
 
 

Return on Investment (ROI)

(PBT/Networth)

 

0.30
0.16
0.29

 

 

 
 
 

Debt Equity Ratio

(Total Liability/Networth)

 

2.04
1.33
0.38

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.57
3.21
3.06

 

 

LOCAL AGENCY FURTHER INFORMATION

 

PERFORMANCE:

 

During the year under report, company has achieved turnover of Rs.380.100 millions (including export of Rs.21.500 millions)

 

Further during the current year (i.e. April-2010 to Aug-2010), the company has achieved turnover of Rs.149.000 millions and having order book position is Rs.82.500 millions. The target for current year is Rs.500.000 millions (Gross).

 

During the year, the company has achieved export sales worth 1,20,883/- US$ and 2,57,893/- EURO. In current financial year period from April-10 to Aug-10 Company has done export sales worth of 1,71,055/- US$ and 1,03,493/- EURO.

 

The Directors are pleased to report that the company was able to perform well due to well accepted quality products and well established marketing network.

 

FORM 8:

 

Name of the company

ROTEX AUTOMATION LIMITED

Presented By

Shri Rajesh J Shah

Managing Director.

1) Date and description of instrument creating the change

Deed of Hypothecation of Movables Property dated 10th November, 2003.

2) Amount secured by the charge/amount owing on the securities of charge

Rs. 68.000 Millions.

3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given

First charge in Bank’s favour by way of Hypothecation of Borrower’s entire stocks or raw materials. Work in progress, finished goods, consumable stores and spares and such other movables including book-debts, outstanding monies, receivables, satisfactory to the bank.

 

First charge on Fixed assets in name of the borrowers by way Hypothecation of Plant &  Machinery and other (excluding Land & Building) as more described in Annexure - I

4) Gist of the terms and conditions and extent and operation of the charge.

Facility

Rs. In Millions Limit

Term Loan

12.000

Cash Credit

31.000

EPC/FBP

(6.000)

Bank guarantee

25.000

Total

68.000

 

Other Terms and conditions are specified in Credit Arrangement Letter AHM/SEG/ROTEX/2003 – 2004/APL/1003

 

5) Name and Address and description of the person entitled to the charge.

ICICI BANK LIMITED – JMC House, Opp. Parimal Garden, Ambavadi, Ahmedabad.

6) Date  and brief description of instrument modifying the charge

Deed of Hypothecation dated 20th January, 2005.

7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.

The Overall charge created on current assets and movable fixed assets of the company stands aggregated and extend up to Rs. 72.420 Millions. The other terms and conditions as mentioned in schedule I of the above agreement.

 

Corporate identity number of the company

U29259GJ1983PLC005831

Name of the company

ROTEX AUTOMATION LIMITED

Address of the registered office or of the principal place of  business in India of the company

987-11, GIDC Estate, Makarpura, Baroda – 390010, Gujarat, India

 

This form is for

Creation  of charge

Type of charge

Movable Property

Particular of charge holder

The Royal Bank of Scotland, 74, Sakhar Bhavan, 7th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India

Nature of description of the instrument creating or modifying the charge

Deed of Hypothecation of Movable Assets

Date of instrument Creating the charge

25.06.2010

Amount secured by the charge

Rs.13.500 Millions

Brief particulars of the principal terms an conditions and extent and operation of the charge

Rate of Interest

Credit Facilities.

Interest / Commission - As agreed by and with the Bank from time to time.

Terms of Repayment

As agreed by and with the Bank from time to time.

 

Margin

As applicable, if any.

 

Extent and Operation of the charge

The Bank is having exclusive charge on the security given by the Company.

 

Others

Name of the Bank has been changed from "ABN Amro Bank N.V." to "The Royal Bank of Scotland N.V.", w.e.f. 19March2010.

Short particulars of the property charged

Exclusive charge on movable properties (other than current assets) of the Company, including the company's movable plant and machinery and other implements which are now lying or stored in or about or shall hereafter from time to time during the continuance of the Deed of Hypothecation as varied, modified and enlarged from time to time as herein mentioned be brought into or upon or be stored or be in or about the company's premises, godowns or at site of work or wherever else the same may be or be held by any party to the order or disposition of the borrower or in the course of transit or on high seas or on order or delivery, howsoever and wheresoever in the possession of the borrower and either by way of substitution or addition.

 

Fixed Assets:

 

  • Land
  • Factory Shed
  • Plant and Machinery
  • Lift
  • Plant and Machinery (Below 5000)
  • Electrical Installation
  • Factory Equipments (Below 5000)
  • Factory Equipments
  • Furniture and Fixtures (Below 5000)
  • Office Equipments
  • Office Equipments (Below 5000)
  • Vehicle
  • Computer - hardware
  • Computer – Hardware (Below 5000)
  • Air Conditioner
  • Air Conditioner (Below 5000)
  • Dies and Pattern
  • Dies and Pattern (Below 5000)
  • RDL Quarters

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.45.03

UK Pound

1

Rs.72.97

Euro

1

Rs.62.94

 

 

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

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

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

47

 

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

-

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.