MIRA
INFORM REPORT
|
Report Date : |
12.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
BHARAT BUSINESS CHANNEL LIMITED |
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Registered
Office : |
171, C – Wing, 17th Floor, Mittal Court, Nariman Point,
Mumbai – 400021, |
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Country : |
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Financials (as
on) : |
31.03.2010 |
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Date of
Incorporation : |
22.11.2002 |
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Com. Reg. No.: |
11-137947 |
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Capital
Investment / Paid-up Capital : |
Rs.1820.000
millions |
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CIN No.: [Company Identification
No.] |
U92100MH2002PLC137947 |
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|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMB18717G |
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PAN No.: [Permanent Account No.] |
AACCB1409 R |
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Legal Form : |
A closely held public limited liability company |
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Line of Business
: |
Providing Direct to Home Services |
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No. of Employees
: |
Not Divulged by Management |
RATING & COMMENTS
|
MIRA’s Rating : |
B (26) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 15700000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track. There
appears huge accumulated losses
recorded by the company. However trade relations are reported as fair.
Business is active. Payments are reported to be slow. The company can be considered for business dealings with some caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INFORMATION DECLINED BY
Management Non Cooperative
LOCATIONS
|
Registered Office : |
171, C – Wing, 17th Floor, Mittal Court, Nariman Point,
Mumbai – 400021, Maharashtra, |
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Tel. No.: |
91-22-61534567 |
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E-Mail : |
DIRECTORS
AS ON 30.09.2010
|
Name : |
Mr. Hegde Madhava Suresh |
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Designation : |
Director |
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Address : |
51, mPlot No. C -1, C-2, Dream Queen S.V.P. Road, Santacruz (w),
Mumbai – 400054, Maharashtra, India. |
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Date of Birth/Age : |
19.03.1958 |
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Date of Appointment : |
27.11.2002 |
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DIN : |
01321882 |
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Name : |
Mr. Dharm Dattatray Vivek |
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Designation : |
Director |
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Address : |
D – 31, Shree Ramkrishna Colony, Behind Markendaya Society, Savedi,
Ahmednagar – 414001, Maharashtra, India. |
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Date of Birth/Age : |
22.11.1964 |
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Date of Appointment : |
01.10.2005 |
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DIN : |
00214361 |
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Name : |
Mr. Dhoot Pradipkumar Saurabh |
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Designation : |
Director |
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Address : |
Dhoot Bunglow, |
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Date of Birth/Age : |
11.08.1984 |
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Date of Appointment : |
31.01.2007 |
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DIN : |
00970362 |
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Other Directorship : |
CIN No.: U45200MH2007PLC166977 Name of the company : VIDEOCON REALTY LIMITED Designation : Director CIN No.: U45201MH2007PLC166699 Name of the company : VIDEOCON SEZ INFRASTRUCTURES (AURANGABAD) LIMITED Designation : Director CIN No.: U45201MH2006PLC166384 Name of the company : VIDEOCON SEZ INFRASTRUCTURES (PUNE) LIMITED Designation : Director CIN No.: U45201MH2006PLC166383 Name of the company : VIDEOCON SEZ INFRASTRUCTURES ( Designation : Director CIN No.: U45201MH2006PLC166382 Name of the company : VIDEOCON SEZ INFRASTRUCTURES LIMITED Designation : Director CIN No.: U01111GA1994PTC001724 Name of the company : WALL FLOWER AGRITECH PRIVATE LIMITED Designation : Director CIN No.: U01111GA1994PTC001725 Name of the company : SYCAMORE GROWMORE PRIVATE LIMITED Designation : Director CIN No.: U70200GA1994PTC001723 Name of the company : ORAGON REALTY PRIVATE LIMITED Designation : Director CIN No.: U64202DL2002PTC113779 Name of the company : VERIZON COMMUNICATIONS INDIA PRIVATE LIMITED Designation : Director |
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Name : |
Mr. Dhoot Nandal Rajkumar |
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Designation : |
Director |
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Address : |
Dhoot Bunglow, |
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Date of Birth/Age : |
05.11.1955 |
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Date of Appointment : |
09.04.2007 |
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DIN : |
00419480 |
KEY EXECUTIVES
|
Name : |
Ms. Khandelwal Ramesh Nisha |
|
Designation : |
Secretary |
|
Address : |
Flat No.6, Building – 1, |
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Date of Birth/Age : |
10.10.1986 |
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Date of Appointment : |
01.08.2009 |
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|
|
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Name : |
Ms. Amruta Shridhar Karkare |
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Designation : |
Secretary |
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Address : |
18, Kshipra Sahawas, Society, Karvenagar, Pune – 411052, |
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Date of Birth/Age : |
20.05.1987 |
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Date of Appointment : |
27.04.2010 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.09.2010
|
Names of Shareholders |
No. of Shares |
|
Venugopal Nandlal Dhoot |
10000 |
|
Anirudh Venugopal Dhoot |
39950 |
|
Suresh Madhava Hegde |
10 |
|
Atul Ashok Galande |
10 |
|
Vinod Kumar Bohra |
10 |
|
Vasant Shesharao Kakade |
10 |
|
Sunil Kumar Samriya |
10 |
|
Shree Dhoot Trading and Agencies Limited, |
1900000 |
|
Solitaire Appliances Private Limited, |
1900000 |
|
Greenfield Appliances Private Limited, |
1900000 |
|
Synergy Appliances Private Limited, |
1900000 |
|
Dome – Bell Electronics India Private Limited, |
1900000 |
|
Dhoot Brothers Investment company Private Limited |
450000 |
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TOTAL |
10000000 |
AS ON 30.09.2010
|
Equity Share
Breakup |
|
Percentage of
Holding |
|
Category |
|
|
|
Bodies corporate |
|
99.50 |
|
Directors or relatives of directors |
|
0.50 |
|
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Total
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Providing Direct to Home Services |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged by Management |
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Bankers : |
Central Bank of India, Industrial Finance Branch, Ground Floor,
Chander Mukhi, Nariman Point, Mumbai – 400021, Maharashtra, India. |
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Facilities : |
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Banking
Relations : |
-- |
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Financial
Institution : |
IDBI Trusteeship Services
Limited, Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard Estate,
Mumbai – 400001, Maharashtra, India |
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Auditors : |
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Name : |
Kahndelwal Jain and company Chartered Accountant |
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Address : |
221. Hans Bhavan, Bahadur Shah Zafar Marg, |
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Name : |
Kadam and company Chartered Accountant |
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Address : |
Vedant 8/9, Viraj Estate, Opp. Tarakpur Bus Stand, Ahmednagar –
414003, |
CAPITAL STRUCTURE
AS ON 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
185,000,000 |
Equity Shares |
Rs. 10 each |
Rs.1850.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
182,000,000 |
Equity Shares |
Rs. 10 each |
Rs.1820.000
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 |
1820.000 |
100.000 |
100.000 |
|
|
2] Share Application Money |
0.000 |
1300.000 |
0.000 |
|
|
3] Reserves & Surplus |
3440.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
(1325.692) |
(31.999) |
(13.006) |
|
|
NETWORTH |
3934.308 |
1368.001 |
86.994 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
6950.000 |
2200.000 |
0.000 |
|
|
2] Unsecured Loans |
377.616 |
1319.000 |
0.000 |
|
|
TOTAL BORROWING |
7327.616 |
3519.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
11261.924 |
4887.001 |
86.994 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
4896.249 |
144.392 |
1.318 |
|
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Capital work-in-progress |
6940.884 |
2154.233 |
372.776 |
|
|
|
|
|
|
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INVESTMENT |
0.000 |
0.000 |
1000.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
6.237 |
2.640 |
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
149.581
|
90.479
|
0.153 |
|
|
Sundry Debtors |
0.913
|
0.000
|
0.000 |
|
|
Cash & Bank Balances |
104.451
|
215.730
|
25.014 |
|
|
Other Current Assets |
0.741
|
0.000
|
0.000 |
|
|
Loans & Advances |
555.862
|
2665.496
|
40.372 |
|
Total
Current Assets |
811.548
|
2971.705
|
65.539 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
766.902
|
20.240
|
10.219 |
|
|
Other Current Liabilities |
606.371
|
362.561
|
1344.903 |
|
|
Provisions |
13.484
|
6.765
|
0.157 |
|
Total
Current Liabilities |
1386.757
|
389.566
|
1355.279 |
|
|
Net Current Assets |
(575.209)
|
2582.139
|
(1289.740) |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
11261.924 |
4887.001 |
86.994 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
122.238 |
0.061 |
0.000 |
|
|
|
Other Income |
5.399 |
0.808 |
4.264 |
|
|
|
TOTAL (A) |
127.637 |
0.869 |
4.264 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of goods sold |
49.161 |
0.060 |
0.000 |
|
|
|
Salaries, Wages and Employees Benefits |
180.259 |
15.906 |
6.999 |
|
|
|
Operating Costs |
565.622 |
0.000 |
0.000 |
|
|
|
Administrative and other Expenses |
88.471 |
2.400 |
5.854 |
|
|
|
Sales and distributor Expenses |
222.873 |
2.800 |
0.000 |
|
|
|
TOTAL (B) |
1106.386 |
21.166 |
12.853 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(978.749) |
(20.297) |
(8.589) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
150.913 |
0.298 |
0.105 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(1129.662) |
(20.595) |
(8.694) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
157.794 |
0.614 |
0.003 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(1287.456) |
(21.209) |
(8.697) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
6.237 |
(2.216) |
(2.483) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
(1293.693) |
(18.993) |
(6.214) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(31.999) |
(13.006) |
(6.792) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(1325.692) |
(31.999) |
(13.006) |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials / Components |
7.467 |
2.045 |
0.000 |
|
|
|
Capital Goods |
304.053 |
268.250 |
0.000 |
|
|
TOTAL IMPORTS |
311.520 |
270.295 |
0.000 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(53.17) |
(1.90) |
(0.70) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(1013.57)
|
(2185.61)
|
(145.73) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(1053.24) |
(34768.85) |
-- |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(22.56)
|
(0.68)
|
(13.01) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.33)
|
(0.02)
|
(0.10) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.21
|
2.85
|
15.57 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.58
|
7.62
|
0.04 |
LOCAL AGENCY FURTHER INFORMATION
SUNDRY CREDITORS
DETAILS
(Rs. In millions)
|
Particulars |
31.03.2010 |
31.03.2009
|
31.03.2008
|
|
|
|
|
|
|
Sundry Creditors |
766.902 |
20.240 |
10.219 |
|
|
|
|
|
FINANCIAL
PERFORMANCE :
During the year, the company has successfully launched its services to
provide Direct to Home services under brand "Videocon D2H".
For the year ended 31" March, 2010, the Total Income stood at Rs.
127.64 Million as against Rs. 0.87 Million for the previous year. However, the
Company has incurred Loss after Tax of Rs. 1,293.69 Million primarily on
account of building a brand in the Direct To Home market and incurring
substantial Project Management cost on building the infrastructure, development
of a competitive and unique product, creating set up for Sales and Services,
launching of services and procuring content for its subscribers. The directors
are hopeful of improved performance in the coming years.
BUSINESS OVERVIEW
:
As informed earlier, the Company has successfully launched its services
to provide Direct to Home services under brand "Videocon D2H". Being
the first year of operation, the Company was engaged in laying down the
essentials for the business activity at grass root level by preparing strong
support base for vertical growth by using the synergies with the help of
available resources; building infrastructure; development of a competitive and
unique product; creating set up for Sales and Services; launching of services;
and procuring content for its subscribers. The key focus area included
strengthening the robustness of subscriber management system with a strong IT
Support which is very essential in the Direct to Home Industry.
The Company has taken various initiatives to increase its sales and
create product awareness by organizing Road Shows, Sponsorship of IPL Team
etc., including roping in Mr. Abhishek Bachchan as brand ambassador of D2H so
as to leverage the brand image, stature, imagery and contribute to the overall
feel good factor in the trade circle.
SHARE CAPITAL :
During the year, the authorised capital of the Company was increased
from ' 1,000 Million to ' 1,850 Million. Consequently, the paid up capital was
also increased from ' 100 Million to ' 1,820 Million.
CONTINGENT
LIABILITIES
Contingent Liabilities not provided for :
(Rs. In millions)
|
Particulars |
31.03.2010
|
31.03.2009
|
|
|
|
|
|
A] Letter of Guarantees |
608.237 |
472.000 |
|
B] Letter of Credit opened by the Bank |
88.084 |
4.716 |
- The Company
has received demand notice for Rs. 0.213 million from the Entertainment
Tax Department. Uttaranchal and for Rs 0.234 million from the Commercial Tax
Department of Rajasthan on account of Entertainment Tax.
- The Company
has been advised that since providing the broadcasting services does not
amount to entertainment and since. providing DTH service is not a subject
matter on which a State Government can impose a tax, Entertainment Tax
cannot be levied by the State Governments.
- The Company,
therefore, has disputed demands for Entertainment Tax and has filed writ
petitions in the High Courts of Uttarakhand,
- Meanwhile,
the Company has paid an amount of Rs 2.285 million under protest towards
Entertainment Tax in some of the States and the same have been debited to
Profit and Loss Account. No further provision has been made in this
respect, as the same could be ascertained only upon the final outcome of
the litigations in respective States.
Bankers Charges
Report as per Registry
|
Corporate
identity number of the company |
U92100MH2002PLC137947 |
|
Name of the
company |
BHARAT BUSINESS
CHANNEL LIMITED |
|
Address of the
registered office or of the principal place of business in |
171-C 17th Floor,
mittal Court C Wing, Nariman Point, Mumbai – 400021, Maharashtra, India |
|
This form is for |
Creation
of Charge |
|
Type of charge |
Movable Property |
|
Particular of
charge holder |
IDBI Trusteeship
Services Limited, Asian Building, Ground Floor, 17, R. Kamani Marg, Ballard
Estate, Mumbai – 400001, Maharashtra, India |
|
Nature of
instrument creating charge |
Deed of
Hypothecation dated 20th December, 2010 executed by the Company in favour of IDBI
Trusteeship Services Limited in its capacity as security trustee for the
ICICI Bank Limited (Lender). |
|
Date of
instrument Creating the charge |
20.12.2010 |
|
Amount secured by
the charge |
Rs.10,000.000
millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of Interest
- I-Base and Spread per annum, subject to minimum rate of I-Base + 3.50% p.a.
plus applicable interest tax or other statutory levy, if any. As on date the
I-Base is 7.75% p.a. and spread is 3.50% p.a. Terms of
Repayment - As per the repayment schedule forming part of the Credit
Arrangement Letter of ICICI Bank Limited. Margin - NIL Extent and
Operation of the charge - Subservient charge subservient to all the existing charges,
by way of Hypothecation over the Assets as defined in schedule II of the Deed
of Hypothecation, in favour of IDBI Trusteeship Services Limited, in its
capacity as security trustee for the ICICI Bank Limited (Lender). Others - The
Company is proposing to borrow upto an amount not exceeding Rs. 10,000.000
millions from various Banks and Financial Institutions. Out of the said
facility an amount of Rs. 3000.000 millions has been sanctioned by ICICI Bank
Limited and the balance is being arranged by ICICI Bank Limited. |
|
Short particulars
of the property or asset(s) charged (including complete address and location
of the property) |
The whole of the
Company’s movable properties including its movable plant and machinery,
machinery spares, tools and accessories, non-trade receivables and other
movables, both present and future The whole of the Company’s equipments
including its spares, tools and accessories, software, whether installed or
not and whether in the possession or under the control of the Company or not
All the Bank Accounts and all rights, title, interest, benefits, claims and
demands whatsoever of the Company in, to, under and in respect of the Bank
Accounts and all monies including all cash flows and receivables as defined
in schedule II of the Deed of Hypothecation, copy whereof is attached to this
form. |
FIXED ASSETS
- LAND
- Building
- Plant and
Machinery
- Consumer
Premises Equipments [CPE]
- Electrical
Installation
- Furniture and
Fixtures
- Computers
- Computer
Software
- Office
Equipment
- Vehicles
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.44.69 |
|
|
1 |
Rs.73.12 |
|
Euro |
1 |
Rs.64.39 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
2 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
26 |
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.