MIRA INFORM REPORT

 

 

Report Date :

12.10.2011

 

IDENTIFICATION DETAILS

 

Name :

ASSOCIATED MACHINERY CORPORATION LIMITED (w.e.f. 12.01.1996)

 

 

Formerly Known As :

ASSOCIATED MACHINERY CORPORATION PRIVATE LIMITED

 

 

Registered Office :

F-64, Site No. 1, Industrial Area, Buland Shahar Road, Ghaziabad – 201 001, Uttar Pradesh

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

03.02.1986

 

 

Com. Reg. No.:

20-7661

 

 

Capital Investment / Paid-up Capital :

Rs.10.773 millions

 

 

CIN No.:

[Company Identification No.]

U65921UP1986PLC007661

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MRTA01391F

 

 

PAN No.:

[Permanent Account No.]

AACCA7476M

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturers and Exporters of Wire Drawing and Wire Working Machine for Ferrous – Non Ferrous Metals.

 

 

No. of Employees :

3 (Approximately) - In Branches

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (29)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 92000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct.

 

The company can be considered for business dealings with some cautions. 

 

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. Vini

Designation :

Key Executive

Contact No.:

91-22-28344799

Date :

28.09.2011

 

 

LOCATIONS

 

Registered Office/ Factory :

F-64, Site No. 1, Industrial Area, Buland Shahar Road, Ghaziabad – 201 001, Uttar Pradesh, India

Tel. No.:

91-120-2700788 / 2700511

Fax No.:

91-120-2700773 / 2700511

E-Mail :

wiremachine@amcoindia.com

wiremachine_amcoindia@yahoo.com

amco@del3.vsnl.net.in

pramodmanojca@yahoo.co.in

Website :

http://www.amcoindia.com

Area :

3000 sq. ft.

Location :

Owned

 

 

Branch Office :

207, Neelkanth Commercial Centre,  122-123, Sahar Road, Andheri (East), Mumbai – 400 099, Maharashtra, India

Tel. No.:

91-22-28344799 / 56922455

Fax No.:

91-22-28344676

 

 

DIRECTORS

 

As on 30.09.2010

 

Name :

Mr. Raj Prakash Tyagi

Designation :

Director

Address :

B – 23, Ashok Nagar, Ghaziabad – 201 001, Uttar Pradesh, India

Date of Birth/Age :

27.01.1940

Qualification :

Electronic Engineering

Date of Appointment :

03.02.1986

DIN No.:

00444844

Other Directorship :

 

S.No.

CIN

Name of the Company

Current designation of the director

Date of appointment at current designation

Original date of appointment

Date of cessation

Company Status

Defaulting status

1

U31300AP1986PTC006082

C. S. Wires Private Limited

Director

03-01-86

03-01-86

18-08-08

Active

NO

2

U65921UP1986PLC007661

Associated Machinery Corporation Limited

Director

03-02-86

03-02-86

-

Active

NO

 

 

Name :

Mr. Pawan Tyagi

Designation :

Director

Address :

B – 23, Ashok Nagar, Ghaziabad – 201 001, Uttar Pradesh, India

Date of Birth/Age :

10.09.1965

Qualification :

B.Com, MBA

Date of Appointment :

05.02.1986

DIN No.:

00444760

Other Directorship :

 

S.No.

CIN

Name of the Company

Current designation of the director

Date of appointment at current designation

Original date of appointment

Date of cessation

Company Status

Defaulting status

1

U65921UP1986PLC007661

Associated Machinery Corporation Limited

Director

05-02-86

05-02-86

-

Active

NO

2

U31300UP1986PTC008139

Citizen Wires Private Limited

Director

26-05-88

26-05-88

-

Active

NO

3

U27209UP1986PTC007660

Broadway Machines Private Limited

Director

25-11-88

25-11-88

-

Active

NO

4

U21091UP1995PTC018356

Pratik Papers Private Limited

Director

08-07-95

08-07-95

-

Active

YES

5

U29268DL2007PTC163176

Progressive Fasteners Private Limited

Director

08-06-07

08-06-07

-

Active

YES

6

U24232UP1995PTC018793

Bhagwati Pharmaceutical Private Limited

Additional director

17-07-08

17-07-08

01-07-11

Active

NO

 

 

Name :

Ms. Manju Tyagi

Designation :

Director

Address :

B – 23, Ashok Nagar, Ghaziabad – 201 001, Uttar Pradesh, India

Date of Birth/Age :

08.02.1967

Qualification :

MA

Date of Appointment :

20.07.2009

DIN No.:

01323634

Other Directorship :

 

S.No.

CIN

Name of the Company

Current designation of the director

Date of appointment at current designation

Original date of appointment

Date of cessation

Company Status

Defaulting status

1

U31300UP1986PTC008139

Citizen Wires Private Limited

Director

26-05-88

26-05-88

-

Active

NO

2

U27209UP1986PTC007660

Broadway Machines Private Limited

Director

15-02-07

15-02-07

-

Active

NO

3

U29268DL2007PTC163176

Progressive Fasteners Private Limited

Director

09-05-07

09-05-07

25-02-08

Active

YES

4

U74899DL1986PTC025386

Kuber Land And Agro Industries Private Limited

Additional director

05-08-08

05-08-08

11-07-11

Active

NO

5

U24232UP1995PTC018793

Bhagwati Pharmaceutical Private Limited

Director

26-10-08

26-10-08

11-07-11

Active

NO

6

U65921UP1986PLC007661

Associated Machinery Corporation Limited

Director

20-07-09

20-07-09

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

M.K. Ishwar and Associates

Designation :

Company Secretaries

Address :

RZ – 21, Matiala Extension, Uttam Nagar, New Delhi – 110 059, India

Tel No. :

91-11-25338753

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2010

 

Names of Shareholders

 

No. of Shares

 

Pawan Tyagi

 

83200

Raj Prakash Tyagi

 

16050

Manju Tyagi

 

1050

 


List of Allotment (As on 11.12.2010)

 

Names of Allottees

 

No. of Shares

 

Raj Prakash Tyagi

 

5000

Pawan Tyagi

 

46000

Manju Tyagi

 

1300

Mrigakshi Tyagi

 

2000

Prakshi Tyagi

 

1000

R P Tyagi and Sons (HUF)

 

5000

Broadway Machines Private Limited, India

 

25000

Praveen Kumar Jain

 

1000

S P Chaturvedi

 

1000

Kamal Sharma

 

1000

N K Singh Rawat

 

1000

Total

 

89300

 

As on 30.09.2010

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

100.00

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturers and Exporters of Wire Drawing and Wire Working Machine for Ferrous – Non Ferrous Metals.

 

 

Products :

·         Wire Drawing Machine

·         Machine Wire

·         Galvanised Wire

·         Gravity Block

·         Coiler Machine

·         Wire Flattening Mill

·         Rod Breakdown Machine

·         Wire Spooling Machine

·         Mechanical Descaler

 

 

Exports :

 

Products :

Wire Machines

Countries :

China

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit 

 

PRODUCTION STATUS AS ON 31.03.2010

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Wire Drawing Machines

--

NA

NA

459

Other Machines and Machinery Parts

--

NA

NA

865

 

 

GENERAL INFORMATION

 

Customers :

End Users

 

 

No. of Employees :

3 (Approximately) - In Branches

 

 

Bankers :

·         Bank of India, Navyug Market Branch, Ghaziabad – 201 001, Uttar Pradesh, India

·         ICICI Limited

·         Bank of India, Mumbai

·         HDFC Bank

 

 

Facilities :

Secured Loans

As on 31.03.2010

Rs. in millions

As on 31.03.2009

Rs. in millions

Kotak Mahindra Primus Limited

(Against hypothecation of vehicles)

0.035

1.066

CC Limit (From Bank of India)

(Against hypothecation of Stock, Spares, Receivables and Collaterally secured by Equitable Mortgage of Factory Land and Building)

53.547

30.053

Term Loan from HDFC

(Against hypothecation of vehicle)

1.936

2.345

Term Loan from Bank of India

(Against hypothecation of plant and machinery and EQM of factory land and building)

1.945

2.209

Total

57.463

35.673

 

 

Unsecured Loans

As on 31.03.2010

Rs. in millions

As on 31.03.2009

Rs. in millions

From Directors and Relatives

0.000

0.000

From Others

0.098

0.098

Total

0.098

0.098

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Sahni Bansal and Associates

Chartered Accountants

Address :

II Floor, Roopal Palace, 37, Navyug Market, Ghaziabad – 201 001, Uttar Pradesh, India

Tel. No.:

91-120-2791400

 

 

CAPITAL STRUCTURE

 

After 30.09.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

200000

Equity Shares

Rs.100/- each

Rs.20.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

197030

Equity Shares

Rs.100/- each

Rs.19.703 millions

 

As on 30.09.2010

 

Authorised Capital :

No. of Shares

Type

Value

Amount

150000

Equity Shares

Rs.100/- each

Rs.15.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

107730

Equity Shares

Rs.100/- each

Rs.10.773 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

10.773

8.658

3.158

2] Share Application Money

0.000

2.115

5.000

3] Reserves & Surplus

12.280

11.407

10.886

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

23.053

22.180

19.044

LOAN FUNDS

 

 

 

1] Secured Loans

57.463

35.673

14.886

2] Unsecured Loans

0.098

0.098

0.098

TOTAL BORROWING

57.561

35.771

14.984

DEFERRED TAX LIABILITIES

1.949

1.739

1.470

 

 

 

 

TOTAL

82.563

59.690

35.498

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

21.233

19.504

14.181

Capital work-in-progress

0.000

0.000

0.000

 

 
 
 

INVESTMENT

2.035

0.000

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

109.112
111.866

114.972

 

Sundry Debtors

66.087
40.366

27.723

 

Cash & Bank Balances

3.252
2.140

2.126

 

Other Current Assets

0.064
0.021

0.063

 

Loans, Advances and Deposits

2.779
4.000

5.194

Total Current Assets

181.294
158.393
150.078

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

57.565
86.008
105.044

 

Other Current Liabilities

63.560
31.413
23.041

 

Provisions

0.894
0.786

0.676

Total Current Liabilities

122.019
118.207
128.761

Net Current Assets

59.275
40.186
21.317

 

 

 

 

MISCELLANEOUS EXPENSES

0.020

0.000

0.000

 

 

 

 

TOTAL

82.563

59.690

35.498

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Turnover

197.053

161.925

114.631

 

 

Miscellaneous Income

1.901

1.425

1.402

 

 

TOTAL                                     (A)

198.954

163.350

116.033

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Expenses

180.763

145.998

122.525

 

 

Administrative Expenses

7.120

5.486

4.245

 

 

Selling Expenses

1.185

1.317

0.523

 

 

Capital Increase Expenses Written Off

0.005

0.000

0.000

 

 

Increase / Decrease in Stocks

(0.138)

2.721

(15.215)

 

 

TOTAL                                     (B)

188.935

155.522

112.078

 

 

 

 

 

Less

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

10.019

7.828

3.955

 

 

 

 

 

Less

FINANCING CHARGES                          (D)

6.744

4.989

2.058

 

 

 

 

 

 

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

3.275

2.839

1.897

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

1.986

1.795

1.189

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

1.289

1.044

0.708

 

 

 

 

 

Less

TAX                                                                  (H)

0.417

0.523

0.217

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

0.872

0.521

0.491

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

5.573

5.052

4.561

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

6.445

5.573

5.052

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

8.903

20.824

3.097

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Material and Stores

10.407

25.171

Nil

 

TOTAL IMPORTS

10.407

25.171

Nil

 

 

 

 

 

 

Earnings Per Share (Rs.)

8.09

--

--

 


KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)

0.44
0.32
0.42

 

 

 
 
 

Net Profit Margin

(PBT/Sales)

(%)

0.65
0.64
0.62

 

 

 
 
 

Return on Total Assets

(PBT/Total Assets}

(%)

0.64
0.59
0.43

 

 

 
 
 

Return on Investment (ROI)

(PBT/Networth)

 

0.06
0.05
0.04

 

 

 
 
 

Debt Equity Ratio

(Total Liability/Networth)

 

7.79
6.94
7.55

 

 

 
 
 

Current Ratio

(Current Asset/Current Liability)

 

1.49
1.34
1.17

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

 

1.

Year of Establishment

YES

2.

Locality of the firm

YES

3.

Constitutions of the firm

YES

4.

Premises details

YES

5.

Type of Business

YES

6.

Line of Business

YES

7.

Promoter’s background

--

8.

No. of employees

YES

9.

Name of person contacted

YES

10.

Designation of contact person

YES

11.

Turnover of firm for last three years

NO

12.

Profitability for last three years

NO

13.

Reasons for variations <> 20%

NO

14.

Estimation for coming financial year

NO

15.

Capital in the business

NO

16.

Details of sister concerns

NO

17.

Major Suppliers

NO

18.

Major Customers

NO

19.

Payment terms

YES

20.

Export / Import details (is applicable)

YES

21.

Market information

--

22.

Litigation that the firm / promoter involved in

--

23.

Banking Details

YES

24.

Banking facility details

NO

25.

Conduct of the banking account

--

26.

Buyer visit details

--

27.

Financials, if provided

NO

28.

Incorporation details, if applicable

--

29.

Last accounts filed at ROC

--

30.

Major Shareholders, is available

--

 

FORM 8

 

Corporate identity number of the company

U65921UP1986PLC007661

Name of the company

ASSOCIATED MACHINERY CORPORATION LIMITED

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

F-64, Site No. 1, Industrial Area, Buland Shahar Road, Ghaziabad – 201 001, Uttar Pradesh, India

This form is for

Modification of charge

Charge identification number of the modified 

90281053

Type of charge

·         Immovable property

·         Book debts

·         Movable property (not being pledge)

·         Others

o        Plant and Machinery

Particular of charge holder

Bank of India

Navyug Market Branch, Ghaziabad – 201 001, Uttar Pradesh, India

Nature of instrument creating charge

1.Hypothecation cum Loan Agreement (Plant and machinery Stocks and Book Debts  ( IFD-X)

2. Supplemental Agreement of Hypothecation (L-481)

3. Letter evidencing deposit of title deeds for extension of equitable mortgage

Date of instrument Creating the charge

16.12.2010

Amount secured by the charge

Rs.51.770 millions

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

Rate of interest

Interest to be charged @ 4.50% above Base Rate , presently 13.00% per annum with monthly rests or at such other rate(s) as may be notified by the Bank to the Borrower from time to time.

 

Terms of repayment

(i) Working Capital - Repayable on demand.

(ii) Term Loan -  Repayable as per existing repayment

 

Margin

25% on Raw material

25% on Finished goods

25% on Stores

25% on goods in process

40% on Book Debts

25% on Term Loan

 

Extent and operation of the charge

The Company's movable and immovable properties are hypothecated and mortgaged to secure following credit facilities aggregating to Rs.51.770 millions granted by the Bank to the Borrower:-

1. CC(stocks)          Rs.45.000 millions

2. CC (Book Debts) Rs.10.000 millions

MAXIMUM 1 and 2   Rs.50.000 millions

3. Term Loan           Rs.  1.770 millions

                 TOTAL    Rs.51.770 millions

Short particulars of the property or asset(s) charged (including complete address and location of the property)

·         All tangible movable machineries and plants (both present and future)  lying at the Borrower's godown at Ghaziabad or wherever else or in transit.

·         All tangible movable properties, assets and all stocks of raw materials such as iron, steels, bearing etc. of the Borrower.

·         Hypothecation of all the Borrower's present and future book debts, outstandings, money receivable ,claims, bills etc.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-63 area 774 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-64 area 771 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-65 area 797 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-66 area 820 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-67 area 796 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

·         Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.F-68 area 797 Sq. Yards, at Bulandshahr Road, Industrial Area, Site-I, Ghaziabad.

Particulars of the present modification

The aggregate amount of various credit facilities granted by the Bank has now been reduced/modified from Rs.54.687 millions to Rs.51.770 millions. Therefore, total amount of charge secured against hypothecation of all stocks, book debts, plant and machinery etc. and equitable mortgage of immovable property has now been reduced/modified from Rs.54.687 millions to Rs.51.770 millions.

 


FIXED ASSETS

 

·         Land

·         Building

·         Plant and Machinery

·         Furniture and Fixtures

·         Motor Vehicles

·         Office Equipments

·         Computer

·         Two Wheeler


 

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.49.03

UK Pound

1

Rs.76.60

Euro

1

Rs.66.80

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

4

--CREDIT LINES

1~10

2

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

29

 

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.