MIRA
INFORM REPORT
|
Report Date : |
20.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
AUDCO INDIA LIMITED |
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Registered Office : |
L and T House, Ballard Estate, Mumbai - 400001, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
23.11.1961 |
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Com. Reg. No.: |
11-12188 |
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Capital
Investment / Paid-up Capital : |
Rs. 156.326
Millions |
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CIN No.: [Company
Identification No.] |
U74999MH1961PLC012188 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEA07789F/CHEA00336A |
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Legal Form : |
A Closely held Public Limited Liability Company |
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Line of Business : |
Manufacturing and Marketing of Industrial Valves, Actuators and Accessories, Offshore and Onshore Drilling Systems and Equipments and Safety Systems and Equipments. |
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No. of Employees : |
1800 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
A (66) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 10000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having fine track. Financial position of the company appears to be sound. Directors are reported be experienced and respectable businessman. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered normal for business dealing at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
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 |
INFORMATION DECLINED BY
|
Name : |
Mr. Vidyanathan |
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Designation : |
Accounts Manager |
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Date : |
15.01.2011 |
LOCATIONS
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Registered Office : |
L and T House, Ballard Estate, Mumbai 400001, |
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Tel. No.: |
91-22-67525656 |
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Fax No.: |
91-22-67525893 |
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E-Mail : |
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Website : |
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Factory 1 : |
Mount |
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Tel. No.: |
91-44-22342323 / 22492323 |
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Fax No.: |
91-44-22345055 /22495055 /22494055 |
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E mail: |
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Factory 2 : |
B – 8, MMDA Industrial Area, Maraimalai Nagar, Chennai -
603209, |
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Factory 3: |
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Factory 4: |
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DIRECTORS
As on 24.05.2010
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Name : |
Mr. Raghavan Sadagopan |
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Designation : |
Director |
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Address : |
B-103, Krishna Villas Apartments, 6th Cross, Ashok Nagar
Basavanagudi, |
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Date of Birth/Age : |
25.03.1946 |
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Date of Appointment : |
27.05.2008 |
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Name : |
Mr. John Robert Lenander |
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Designation : |
Director |
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Address : |
7004, |
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Date of Birth/Age : |
07.07.1956 |
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Date of Appointment : |
07.12.2007 |
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Name : |
Mr. Gopinath Sivasankar |
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Designation : |
Director |
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Address : |
Villa 83, Phase 1, Palm Meadows, Airport, |
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Date of Birth/Age : |
26.05.1946 |
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Date of Appointment : |
21.09.2002 |
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Name : |
Mr. Subrahmanyam Srinivasan Chandilya |
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Designation : |
Director |
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Address : |
New No. 1, Old No. 6, 13th East Street, Kamraj Nagar
Thiruvanmiyur, Chennai – 600041, Tamilnadu, India |
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Date of Birth/Age : |
05.08.1948 |
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Date of Appointment : |
17.07.2009 |
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Name : |
Mr. Thomas Louis Pajonas |
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Designation : |
Director |
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Address : |
917, |
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Date of Birth/Age : |
16.10.1955 |
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Date of Appointment : |
06.08.2004 |
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Name : |
Mr. Jagdish Pandurang Nayak |
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Designation : |
Director |
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Address : |
Gilder House, 2nd floor, 67 F, Bhulabhai Desai Road, Mumbai
400026, Maharashtra, India |
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Date of Birth/Age : |
13.11.1943 |
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Date of Appointment : |
07.06.2004 |
KEY EXECUTIVES
|
Name : |
Mr. Vidyanathan |
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Designation : |
Accounts Manager |
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Name : |
Mr. Nelepally Venkatachalam Venkatasubramaniam |
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Designation : |
Manager |
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Address : |
6D, |
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Date of Birth/Age : |
24.05.1960 |
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Date of Appointment : |
01.07.2009 |
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Name : |
Mr. Parthasarathy R Kizhanatham |
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Designation : |
Secretary |
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Address : |
Flat No.3, Gurukulam Apartments, 21/6C, |
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Date of Birth/Age : |
25.07.1950 |
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Date of Appointment : |
29.09.2008 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 24.05.2010
|
Names of Shareholders |
No. of Shares |
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Larsen and Toubro Limited |
781626 |
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Audco Limited |
781626 |
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Samuel Barrett and Audco Limited |
1 |
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Shivsankar Gopinath and Audco Limited |
1 |
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S. S. Chandilya and Larsen and Toubro Limited |
1 |
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J. P. Nayak and Larsen and Toubro Limited |
1 |
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T. L. Pajonas and Audco Limited |
1 |
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Narayanswamy Hariharan and Larsen and Toubro Limited |
1 |
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J. R. Lenander and Audco Limited |
1 |
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S. Raghavan and Larsen and Toubro Limited |
1 |
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Total |
1563260 |
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AS ON 24.05.2010 |
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Equity Share
Break-up |
Percentage of
Holding |
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Bodies Corporate |
49.99 |
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Directors or relatives of Directors |
49.99 |
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Other top fifty shareholders |
0.02 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturing and Marketing of Industrial Valves, Actuators and Accessories, Offshore and Onshore Drilling Systems and Equipments and Safety Systems and Equipments. |
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Products : |
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GENERAL INFORMATION
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Customers : |
· Alstom · Chevron · DOW · DSM · ExonMobil · Petrofac · SASOL · TOTAL · ABB · BECHTEL · JGC · Bharat Petroleum · CPCL · NTPC · Thermax · SAIL · Reliance Petroleum Limited · Indian Oil |
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No. of Employees : |
1800 (Approximately) |
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Bankers : |
Ř
Bank
of Baroda, Mount Road Branch, 1, Club House Road, Chennai 600002, Tamilnadu,
India Ř
State Bank of Ř
Indian Bank, Guindy, Chennai 600032 Ř
Standard Chartered Bank, 19, Rajaji Salai,
Chennai 60001 Ř
ABN AMRO Bank N V, 74, Sakhar Bhavan, 7th
Floor, Nariman Point, Mumbai 400021, Maharashtra, India |
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Facilities: |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Sharp and Tannan Chartered Accountants |
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Address : |
Parsn Manere, A Wing, 602, Anna Salai, Chennai – 600006, |
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Tel. No.: |
91-44-28274368 / 28229534 / 28228386 |
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Fax No.: |
91-44-28266858 |
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Email: |
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Membership : |
Confederation of Indian Industry |
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Associates/Subsidiaries : |
Ř Larsen and Toubro Limited Ř
Larsen and Toubro Ř L and T Finance Limited Ř L and T Infotech Limited Ř
Flowserve Flow Control ( Ř
Flowserve Flow Control Benelux B. V., The Ř
ARGUS Ř
Nordstrom Valves Inc, Ř BTR Flow Control SA (Pty) Limited Ř Edward Vogt Value Company, U. S. A Ř
Audco Italina s. r. l., Ř
Ř
Flowserve Flow Control Ř
Flowserve Flow Control Australasia Pty.
Limited, Ř
Flowserve Flow Control Ř
GESTRA Ř
Ř Nordstrom Audco Inc. U.S.A Ř
Flowserve India Controls Private Limited, Ř
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CAPITAL STRUCTURE
AS ON 24.05.2010
Authorized Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
1800000 |
Equity Shares |
Rs. 100/- each |
Rs. 180.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1563260 |
Equity Shares |
Rs. 100/-
each |
Rs. 156.326
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
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SHAREHOLDERS FUNDS |
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1] Share Capital |
156.326 |
180.000 |
180.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
2448.232 |
2652.029 |
2175.696 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
2604.558 |
2832.029 |
2355.696 |
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LOAN FUNDS |
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1] Secured Loans |
260.383 |
382.104 |
676.754 |
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2] Unsecured Loans |
1.886 |
4.153 |
7.790 |
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TOTAL BORROWING |
262.269 |
386.257 |
684.544 |
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DEFERRED TAX LIABILITIES |
63.246 |
67.965 |
47.676 |
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TOTAL |
2930.073 |
3286.251 |
3087.916 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
831.569 |
1321.606 |
919.424 |
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Capital work-in-progress |
7.860 |
110.696 |
84.947 |
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INVESTMENT |
0.000 |
0.000 |
0.968 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
582.249
|
459.270
|
823.164
|
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Sundry Debtors |
3363.970
|
2563.243
|
2738.474
|
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Cash & Bank Balances |
0.675
|
0.324
|
0.548
|
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Other Current Assets |
0.117
|
1.896
|
1.604
|
|
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Loans & Advances |
608.983
|
1109.548
|
1160.669
|
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Total
Current Assets |
4555.994
|
4134.281
|
4724.459 |
|
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Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
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Current Liabilities |
2144.073
|
1629.730
|
1989.127 |
|
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Provisions |
321.277
|
650.602
|
652.755 |
|
Total
Current Liabilities |
2465.350
|
2280.332
|
2641.882 |
|
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Net Current Assets |
2090.644
|
1853.949
|
2082.577 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
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|
|
|
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TOTAL |
2930.073 |
3286.251 |
3087.916 |
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PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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SALES |
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Income |
3662.094 |
7266.425 |
8582.218 |
|
|
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Other Income |
185.192 |
110.668 |
48.299 |
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|
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TOTAL (A) |
3847.286 |
7377.093 |
8630.517 |
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|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Raw Material Consumed |
2601.434 |
5311.282 |
6683.894 |
|
|
|
Administration Expenses |
149.904 |
336.710 |
300.128 |
|
|
|
Salaries, Wages, Bonus, etc. |
507.328 |
553.457 |
507.973 |
|
|
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TOTAL (B) |
3258.666 |
6201.449 |
7491.995 |
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|
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
588.620 |
1175.644 |
1138.522 |
|
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|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
588.620 |
1175.644 |
1138.522 |
|
|
|
|
|
|
|
|
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Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
105.115 |
90.032 |
78.330 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE TAX
(E-F) (G) |
483.505 |
1085.612 |
1060.192 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
166.474 |
377.627 |
366.133 |
|
|
|
|
|
|
|
|
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|
PROFIT AFTER TAX
(G-I) (J) |
317.031 |
707.985 |
694.059 |
|
|
|
|
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|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
474.518 |
357.128 |
162.229 |
|
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|
|
|
|
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Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
31.703 |
358.942 |
288.569 |
|
|
|
Interim Dividend |
0.000 |
72.000 |
72.000 |
|
|
|
Proposed Dividend |
0.000 |
126.000 |
108.000 |
|
|
|
Tax on Dividend |
0.000 |
33.650 |
30.591 |
|
|
BALANCE CARRIED
TO THE B/S |
759.846 |
474.521 |
357.128 |
|
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|
|
|
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EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
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Export Earnings |
NA |
1470.356 |
1214.751 |
|
|
|
Deemed exports of goods |
NA |
40.019 |
10.229 |
|
|
TOTAL EARNINGS |
NA |
1510.375 |
1224.980 |
|
|
|
|
|
|
|
|
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IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
NA |
146.880 |
356.850 |
|
|
|
Stores & Spares |
NA |
325.689 |
282.058 |
|
|
|
Capital Goods |
NA |
150.346 |
58.544 |
|
|
TOTAL IMPORTS |
NA |
622.915 |
697.452 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
176.62 |
393.32 |
385.59 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
|
|
|
|
|
|
PAT / Total Income |
(%) |
8.24
|
9.59
|
8.04 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
13.20
|
14.94
|
12.35 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
8.97
|
19.89
|
18.78 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.18
|
0.38
|
0.45 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.05
|
0.94
|
1.41 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.84
|
1.81
|
1.78 |
LOCAL AGENCY FURTHER INFORMATION
It is in trade terms
with:
Ř AV Industrial Products
Ř Abasi Engineering Works
Ř Blaze Enterprises
Ř Cosy Industries
Ř Excel Enterprises
Ř IGP Engineers Private Limited
Ř Maland Alloy Casting Private Limited
Ř Sargam Metals Private Limited
Ř Sri Kumaran Engineering Works
Ř Universal Engineering Works
Ř Shell Limited
Ř ExxonMobil
Ř Total-elf-Fina
Ř Texaco
Ř Arco
Ř Aramco
Ř Kuwait Oil Company
a.
Sales and Other Income
Income from sales and other sources amounted to Rs 3847.286
millions for the year ended 31st March, 2010 against Rs.7377.093
millions the previous year.
b. Shifting
of Operations of MCC plant at
The capacity utilization of AIL during the year was
approximately 30% of installed capacity. An analysis of strategic issues of all
the four plants revealed that it would be in the interest of their company to
hive off
c. Buyback
of shares
The Board of
Directors of the Company at their meeting held on 16th January 2010 had
recommended the buyback of equity shares not exceeding 2,36,740 equity shares
of Rs. I00 each fully paid up at a price of Rs. 2300 per share. This has been
approved by the shareholders at EGM held on 16th January 2010.
During the year the Company had completed the buyback of 2,36,740 equity shares
at Rs. 2300 each.
d. Capital
Expenditure
As at 31st
March, 2010, the, gross fixed assets stood at Rs 1611.726 millions and
the net fixed assets at Rs. 839.431 millions. Additions during the year
amounted to Rs.157.707 millions.
Form 8
|
Corporate
identity number of the company |
U74999MH1961PLC012188 |
|
Name of the
company |
AUDCO INDIA LIMITED |
|
Address of the
registered office or of the principal place of business in |
L and T House, Ballard Estate, Mumbai 400001, |
|
This form is for |
Creation of charge |
|
Type of charge |
Movable property (not being pledge) |
|
Particular of
charge holder |
ABN AMRO Bank N V, Address: 74, Sakhar Bhavan, 7th Floor, NAriman Point,
Mumbai 400021, Email: reenabang@rediffmail.com
|
|
Nature of
instrument creating charge |
Deed of Hypothecation of Movable Assets |
|
Date of instrument
Creating the charge |
29.07.2008 |
|
Amount secured by
the charge |
Rs. 215.000 millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of interest Term Loan USD 4 Mn and Buyers Credit USD 1 Mn. 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 Banks are having first charge on the security offered by the
Company. Other The Bank sanctioned the total facility in USD 5 Mn which is equivalent
to Rs.215.000 millions. (USD 1 = INR 43) |
|
Short particulars
of the property charged (Including location of the property) |
Hypothecation by way of first charge on entire movable plant and
machinery including all the spare parts and all other movable assets such as
furniture, fixture, fittings, vehicles, equipment (both present and future). |
Fixed Assets
Ř
Ř
Building
Ř
Plant and Machinery
Ř
Furniture and Fixtures
Ř
Vehicles
AS PER WEBSITE DETAILS:
PROFILE
Subject is a premier valve manufacturing company, is jointly
owned by Larsen and Toubro Limited(L
and T) in
AIL's manufacturing operations commenced in 1962 and over last four decades the company has expanded to cater to the needs of the national and the International markets. Present manufacturing range includes Valves, Actuators and Special Valves for Power plants.
AIL, today has four independent modern manufacturing plants
capable of producing thousands of valves. The main plant is at Manapakkam,
Chennai (
The manufacturing range of AIL includes
Gate,Globe and Check Valves
Process Ball Valves
Trunnion Mounted Pipeline Ball Valves
Resilient Seated Butterfly Valves
Metal Seated Butterfly Valves
Pneumatic Actuators and Valve Automation
See the Product catalogue section for detailed specifications, materials and
dimensions.
World Class Manufacturing
AIL’s plants are spacious and well laid out. The modern
production facilities equipped with CNC machines, Special Purpose Machines
(SPMs), Automatic welding machines, heat treatment furnaces and testing
equipment for total control of all operations. The laboratory is equipped with
latest testing instruments including facilities for PMI and NDE. Gauge
calibration facility ensures the correct measuring instruments are always used
in production shop as well as in sub-contractor’s place. To keep pace with the
market demands for faster deliveries and customer service the AIL operations
are fully integrated across three plants through SAP R/3- ERP system.
Cutting-Edge Technology
AIL’s Research & Development Centre carries out product
design, analysis, process evaluation and simulation. The design engineers employ
state-of-the-art facilities available in-house such as Pro/Engineer and Finite Element
Analysis (FEA). Pro/E is a computer aided design software, which enables
engineers to design in three dimensional environment rendering the whole
process flexible, faster and error free. In the Top-Down Design approach of
Pro/E, the components are interdependent and hence, the design is associative
and truly parametric. Pro-Mechanica is the Finite Element Analysis tool, which
runs in synergy with Pro/Engineer. Design optimizations are carried out after
completing the 3D modeling. Stresses and deflections are verified using
structural simulations.
The design techniques and concurrent engineering practices employed by AIL, reduces the cycle time in new product development. Prototypes of new products are put through stringent endurance cycles and through destructive test like fire test wherever applicable. A well-focused team of qualified engineers work closely with end users for developing customized products be it in Low temperature services-Cryogenic, Fugitive emission , power plant valves or any special requirements.
Human Resources
Even in an era of technological advancements, AIL puts
people first by recognizing their value to propel the company to greater heights.
AIL’s strong belief of total customer satisfaction and competitiveness
manifests in its HRD policy. All employees go through a process of continuous
learning by technical and general management training programs, including
on-the-job training.
As a philosophy, Quality and Reliability are built into every valve through a meticulously implemented Quality Assurance Programme. The Quality Management Syetem at AIL has been the cornerstone for many of its success stories in the International market.The QM System at AIL has been assessed by independent inspection agencies world wide. AIL has ISO 9001:2000 Certification for all three manufacturing plants. AIL QM System also meets the requirement of API Spec Q1 for manufacturing monogrammed products under API 6A and API 6D licenses. AIL Valves are supplied with CE Marking for EU market as per PED regulation.
AIL exercises a stringent selection criteria for procurement of steel castings
from foundries. The foundry approval is given only after rigorous inspection of
their facilities, systems, methodizing, sample casting and pilot batch. NDE
techniques such as RT and MP are extensively used for evaluation of the
soundness of the casting. All valves (100%) are subjected to pressure testing
after assembly to ensure reliability for valves performing under extreme
conditions. The test pressure used often far
exceeds the standards.
Safety
A safe and healthy work place is as important as production, quality,
cost-effectiveness and other aspects of industry. AIL firmly believes that
Safe, Healthy and Eco-friendly atmosphere is a must for producing good quality
product. The company has a Safety policy emphasizing Total Loss Prevention and Safety of
employees.
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.44.98 |
|
|
1 |
Rs.72.68 |
|
Euro |
1 |
Rs.64.16 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
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 |
|
66 |
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.