MIRA
INFORM REPORT
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Report Date : |
08.09.2011 |
IDENTIFICATION DETAILS
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Name : |
SANMAR FOUNDRIES LIMITED (w.e.f 04.04.2003) |
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Formerly Known As: |
GEOSOURCE ( |
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Registered Office : |
9, |
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Country : |
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Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
28.03.1983 |
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Com. Reg. No.: |
18-009911 |
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Paid-Up Capital : |
Rs. 500.000 Millions |
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CIN No.: [Company
Identification No.] |
U33112TN1983PLC009911 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHES16402B |
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PAN No.: [Permanent
Account No.] |
AAHCS1543E |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer of Swivel, Joints and Flow meters |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
B (28) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 1600000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is a part of Sanmar Group, a well reputed group in South
India. It is an established company having moderate track. There appears a huge
accumulated losses recorded by the company. Profitability of the company is
under pressure. 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 – June 30, 2010
|
Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
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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 |
LOCATIONS
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Registered Office/ Corporate Office : |
9, |
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Tel. No.: |
91-44-28128400/ 28112437/ 28128722 |
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Fax No: |
91-44-28112627 |
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E-Mail : |
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Website : |
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Factory : |
87/1, |
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Tel. No.: |
91-4339-220249/ 220016/17 |
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Fax No.: |
91-4339-220249/ 220012 |
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Branches : |
Located At: ·
New Delhi ·
Mumbai ·
Kolkata ·
Vadodara |
DIRECTORS
As On 30.08.2010
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Name : |
Mr. Manachanallur Narayanaswamy Radhakrishnan |
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Designation : |
Director |
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Address : |
12, Besant Avenue, Adyar, Chennai-600020, Tamilnadu, India |
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Date of Birth/Age : |
03.08.1943 |
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Date of Appointment : |
01.04.2008 |
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DIN No.: |
00011091 |
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Name : |
Mr. Subbaiah Sankaran |
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Designation : |
Director |
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Address : |
2/1, |
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Date of Birth/Age : |
07.05.1954 |
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Date of Appointment : |
01.04.2004 |
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DIN No.: |
00009172 |
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Name : |
Mr. Venkatarmanan Arumbakkam Ramesh |
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Designation : |
Director |
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Address : |
Plot No. 2, Anmol Garden 66/1, Naidu Street Kottur, Chennai- 600085,
Tamilnadu, India. |
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Date of Birth/Age : |
31.12.1949 |
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Date of Appointment : |
07.11.2008 |
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DIN No.: |
00011204 |
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Name : |
Mr. Pranatharthiharan Natarajan |
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Designation : |
Whole Time Director |
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Address : |
No. 6, Sreshta Suba Sri, 56/46, First |
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Date of Birth/Age : |
10.10.1955 |
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Date of Appointment : |
28.03.2005 |
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DIN No.: |
00018397 |
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Name : |
Mr. Valapet Krishnaswamy Parthasarathy |
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Designation : |
Director |
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Address : |
Flat No. 8/ 243, |
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Date of Birth/Age : |
31.01.1939 |
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Date of Appointment : |
07.11.2008 |
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DIN No.: |
00022559 |
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Name : |
Mr. Srinivasan Vijayaraghavachari Gopal |
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Designation : |
Director |
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Address : |
Srikrish, 47 A- 4, |
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Date of Birth/Age : |
10.09.1950 |
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Date of Appointment : |
07.11.2008 |
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DIN No.: |
00012142 |
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Name : |
Mr. Pavattakudi Sundaresan Jayaraman |
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Designation : |
Director |
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Address : |
Flat No. B 2, Ashok Aishwaryam, New No. 13, Habibullah Road, T Nagar,
Chennai- 600017, Tamilnadu, India. |
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Date of Birth/Age : |
08.05.1950 |
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Date of Appointment : |
07.11.2008 |
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DIN No.: |
00011108 |
KEY EXECUTIVES
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Name : |
Mr. Satya Narayan Nayak |
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Designation : |
Company Secretary |
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Address : |
2/2, |
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Date of Birth/Age : |
05.06.1979 |
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Date of Appointment : |
07.07.2008 |
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Date of Cessation : |
01.07.2010 |
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Pan No.: |
AECPN2021E |
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Name : |
S Vasudevan |
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Designation : |
Company Secretary |
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Address : |
New No. 51, Old No. 25, Thirumlai Pillai Road, T Nagar, Chennai –
600017, Tamilnadu, India |
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Date of Birth/Age : |
23.05.1969 |
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Date of Appointment : |
01.07.2010 |
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Pan No.: |
AABPV2076J |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As On 30.08.2010
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Names of Equity Shareholders |
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No. of Shares |
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Sanmar Engineering Corporation Limited – India |
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3999994 |
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Naraanan Sankar |
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1 |
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Vijay Sankar |
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1 |
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Manachanallur Narayanaswamy Radhakrishnan |
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1 |
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M Raman |
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1 |
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Ramachandran Kumar |
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1 |
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SHL Trading Limited – India |
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1 |
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TOTAL |
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4000000 |
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Names of Preferences Shareholders |
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No. of Shares |
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Sanmar Engineering Corporation Limited – India |
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10000000 |
As On 31.03.2011
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List of Allottees (Preference Shares) |
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No. of Shares |
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Sanmar Industrial Filters Limited – India |
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13000000 |
As On 30.08.2010
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Category |
Percentage |
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Bodies corporate |
100.00 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Swivel, Joints and Flow meters |
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Products : |
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PRODUCTION STATUS (As On 31.03.2010)
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Particulars |
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Unit |
Installed
Capacity |
Actual
Production |
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Swivel Parts |
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Nos |
7200 |
2620 |
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Castings |
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Nos |
25000 |
6562 |
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Swivel Actuators |
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Nos |
12000 |
2560 |
GENERAL INFORMATION
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No. of Employees : |
Not Available |
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Bankers : |
·
Kotak Mahindra Bank Limited, 36-38A, Nariman Bhavan,
Nariman Point, Mumbai-400021, Maharashtra, India ·
Bank of Baroda, Corporate Financial Services
Branch, T Nagar, Chennai-600017, Tamilnadu, India ·
Corporation Bank – 101 Armenian Street, George
Town, Chennai – 600001, Tamilnadu, India |
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Facilities : |
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Banking
Relations : |
-- |
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Financial Institute : |
·
State Industries Promotion Corporation of
Tamilnadu Limited (SIPCOT Limited) – No. 51 and 52, Greams Road, Thousand
Lights, Madras – 600006, Tamilnadu, India |
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Auditors : |
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Name : |
S R Batliboi and Associates Chartered Accountant |
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Address : |
II Floor, TPL House- No. 3, |
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Tel. No.: |
91-44-42194400 |
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Fax No.: |
91-44-24311450 |
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Pan No.: |
AABFS3421N |
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Holding Company: |
·
Sanmar Engineering Corporation Limited CIN: U29199TN2001PLC047307 |
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Associates/ Fellow Subsidiaries : |
·
BS and B Safety
Systems (India) Limited ·
Flowserve Sanmar
Limited ·
Kalamkriya Limited ·
Chemplast Sanmar
Limited ·
Cathedral Corporate
Finance ·
SHL property Holding
Limited ·
Tyco Sanmar Limited ·
Fisher Sanmar
Limited ·
Cabot Sanmar Limited
·
Xomox Sanmar Limited ·
Matrix Metals
Corporation. USA ·
Sanrnar Specialty
chemicals Limited ·
Sanmar Engineering
Services Limited ·
Stargate Realty
Private Limited |
CAPITAL STRUCTURE
As On 31.03.2010
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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4000000 |
Equity Shares |
Rs.100/- Each |
Rs.400.000 Millions |
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10000000 |
Compulsory Convertible Preference Shares |
Rs. 10/- each |
Rs. 100.000 Millions |
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Total |
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Rs. 500.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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4000000 |
Equity Shares |
Rs.100/- Each |
Rs.400.000 Millions |
|
10000000 |
Compulsory Convertible Preference Shares |
Rs. 10/- each |
Rs. 100.000 Millions |
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Total |
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Rs. 500.000
Millions |
Note:
a)
The entire paid up
capital is held by the holding company. Sanmar Engineering Corporation Limited
and its nominees.
b)
The entire preference
share capital is held by the holding Company. Sanmar Engineering Corporation
Limited
c)
1,00,00.000
Compulsorily Convertible Preference Shares were allotted on 31.03.2010 and are not entitled to any dividend.
d)
The Preference Shares
are convertible into equity shares. on the expiry of 15 (fifteen) years from
the date of allotment of the Preference Shares, at such premium as the Board
and shareholders of the Company may decide not later than 60 days before the
conversion date.
After 30.08.2010
Authorised Capital : Rs. 630.000
Millions
Issued, Subscribed & Paid-up Capital : Rs. 630.000 Millions
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
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|
SHAREHOLDERS FUNDS |
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1] Share Capital |
500.000 |
400.000 |
400.000 |
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2] Share Application Money |
206.200 |
506.200 |
432.400 |
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3] Reserves & Surplus |
0.000 |
0.000 |
40.942 |
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4] (Accumulated Losses) |
(291.231) |
(74.815) |
0.000 |
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NETWORTH |
414.969 |
831.385 |
873.342 |
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LOAN FUNDS |
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1] Secured Loans |
1631.573 |
1622.120 |
1375.090 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
1631.573 |
1622.120 |
1375.090 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
2046.542 |
2453.505 |
2248.432 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
2011.235 |
2032.040 |
785.120 |
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Capital work-in-progress |
99.500 |
145.136 |
968.086 |
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INVESTMENT |
0.641 |
0.641 |
0.641 |
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DEFERREX TAX ASSETS |
196.000 |
0.000 |
15.865 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
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Inventories |
359.332
|
415.861
|
366.638 |
|
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Sundry Debtors |
131.661
|
225.629
|
213.489 |
|
|
Cash & Bank Balances |
9.691
|
5.615
|
5.981 |
|
|
Other Current Assets |
62.574
|
103.947
|
110.101 |
|
|
Loans & Advances |
97.290
|
162.012
|
126.366 |
|
Total
Current Assets |
660.548
|
913.064
|
822.575 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
256.448
|
465.512
|
231.437 |
|
|
Other Current Liabilities |
164.934
|
165.554
|
105.488 |
|
|
Provisions |
0.000
|
6.310
|
6.930 |
|
Total
Current Liabilities |
421.382
|
637.376
|
343.855 |
|
|
Net Current Assets |
239.166
|
275.688
|
478.720 |
|
|
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|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
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|
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|
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TOTAL |
2546.542 |
2453.505 |
2248.432 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
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SALES |
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Income |
1238.068 |
1529.471 |
1561.154 |
|
|
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Other Income |
33.965 |
82.102 |
61.378 |
|
|
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TOTAL (A) |
1272.033 |
1611.573 |
1622.532 |
|
|
|
|
|
|
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Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of goods sold |
1026.325 |
1219.456 |
1220.964 |
|
|
|
Salaries, wages and amenities to staff |
188.317 |
170.995 |
153.301 |
|
|
|
Repairs and maintenance |
57.393 |
66.110 |
51.447 |
|
|
|
Other Expenses |
79.539 |
57.875 |
80.637 |
|
|
|
TOTAL (B) |
1351.574 |
1514.436 |
1506.349 |
|
|
|
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Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(79.541) |
97.137 |
116.183 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
202.214 |
106.350 |
70.343 |
|
|
|
|
|
|
|
|
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|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(281.755) |
(9.213) |
45.840 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
130.661 |
86.767 |
69.659 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(412.416) |
(95.980) |
(23.819) |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
(196.000) |
(19.777) |
30.483 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
(216.416) |
(115.757) |
(54.302) |
|
|
|
|
|
|
|
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|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(74.815) |
40.942 |
95.244 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(291.231) |
(74.815) |
40.942 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
661.795 |
913.456 |
773.471 |
|
|
TOTAL EARNINGS |
661.795 |
913.456 |
773.471 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials and Components |
9.240 |
94.947 |
125.837 |
|
|
|
Stores & Spares |
6.448 |
14.281 |
13.106 |
|
|
|
Capital Goods |
0.987 |
44.001 |
293.965 |
|
|
TOTAL IMPORTS |
16.675 |
153.229 |
432.908 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(54.10) |
(28.94) |
(9.33) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2010 |
31.03.2009 |
31.03.2008 |
|
PAT / Total Income |
(%) |
(17.01)
|
(7.18)
|
(3.35) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(33.31)
|
(6.27)
|
(1.52) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(15.44)
|
(4.16)
|
(1.88) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.99)
|
(0.11)
|
(2.73) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
4.03
|
2.72
|
1.97 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.57
|
1.43
|
2.39 |
LOCAL AGENCY FURTHER INFORMATION
Operations:
The adverse impact of global economic
slowdown continued during the year, resulting in drop of 19%in revenues. While
domestic sales dropped by 6%, exports revenues fell by 28%. There was drop in
operating margins mainly on account of increase in cost of power and other
input materials.
The Company is making good
progress in respect of new business development. The Company has also
implemented measures for increasing operational efficiency and improving
capacity utilisation.
FORM 8
|
Corporate
identity number of the company |
U33112TN1983PLC009911 |
|
Name of the
company |
SANMAR FOUNDRIES LIMITED |
|
Address of the
registered office or of the principal place of business in |
9, |
|
This form is for |
Modification of
charge |
|
Type of charge |
Immovable
Property |
|
Particular of
charge holder |
Bank of E-mail: infima@bankofbaroda.com |
|
Nature of
description of the instrument creating or modifying the charge |
Supplemental
Memorandum of entry dated 12.11.2010 |
|
Date of
instrument Creating the charge |
12.11.2010 |
|
Amount secured by
the charge |
Rs. 200.000 Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest:
1% over BPLR Terms of
Repayment: Repayable in 60 monthly installments commencing from 24 months
after the first disbursement. Extent and
Operation of the charge: First charge on the fixed assets of the company
ranking pari passu with other banks |
|
Short particulars
of the property charged |
Immovable
properties of the Company on a pari passu basis with other lenders as detailed
in first schedule to the Supplemental Memorandum of entry |
|
Particulars of
the present modification |
The present
modification is for the purpose of securing the facility additionally by the
immovable properties of the company situated within the village limits of
Vadugapatti, KulatturTaluka, Pudukottai Dist. |
Fixed Assets:
·
Land
·
Building
·
Plant and Machinery
·
Furniture and Fixtures
·
Office Equipments
·
Vehicles
·
Software
AS PER WEBSITE DETAILS
PROFILE:
Subject offers a distinctive value proposition that differentiates it
from others in the industry. The casting capabilities include:
·
Casting few grams to 5Ton single piece weight
·
Fully machined parts and sub assemblies
·
Complex high mix low volume engineered parts
·
Wide range of alloys – Carbon steels, Low alloy
steels, Stainless Steel and High alloys
·
Full range of in-house testing facilities available
to offer upgrade (Radiography level II) cast parts for severe service
applications
BUSINESS DESCRIPTION
Subject is a provider of stainless steel casting services in India. The company offers casting services to the manufacturers of valves, pumps, locomotives and construction equipment. It also designs and develops castings for gate, globe, check, ball and butterfly valves. In addition, the company owns and operates a fully equipped manufacturing facility that undertakes sand casting, floor moulding, ceramic injection and tool assembly operations. It also manages a testing division that provides cast part upgrading services for various industrial applications.
PRESS RELEASE:
New Indian Express (India): 01.07.2011
VIRALIMALAI, July 1 -- As the engines hum and metals clank,
the Viralimalai plant of Sanmar Group looks more like a global engineering hub
as workers and engineers tirelessly toil to meet the deadline of global
customers.
"We have grown in the last 35 years from a Rs 2.000
millions company to Rs 12000.000 millions company and expect to reach Rs
16000.000 millions sales this year," says Vijay Sankar, deputy chairman of
Sanmar Group, a synergistically integrated collection of engineering companies
and steel foundaries.
Located on the Madurai National Highway, the plant is
bustling with activity as orders have poured in from various parts across the
globe. These include valves for power plants, rupture disks for nuclear plants,
safety relief valves for refineries besides automobile components for global
majors.
The success of Sanmar lies in the joint ventures or
so-called "marriages" with the global leaders, says Vijay, adding
that there had been "divorces" too, but then they were not the bitter
ones.
After the company started production on 01.07.1976, as
Durametallic India after tying up with US firm Durametallic Corporation,
Kalamazoo, Michigan, a global leader in engineered mechanical seals, there was
no looking back for the company.
Now it has five joint ventures with top US firms. These
include Flowserve Sanmar, BS and B Safety Systems (India), Xomox Sanmar with
its two divisions - Xomox Valves and Pacific Valves, Tyco Sanmar, Sanmar
Foundries, Matrix Metals and Sanmar Engineering services. It also has seven
legal entities and 12 business units in five locations of the world. These
include Iowa, Houston and Mexico in North America, Karapakkam and Viralimalai
in Tamil Nadu.
The firm has provided rupture disks to the Bhavini reactor
besides the liquid sodium pump which was for the first time made in India, said
Shekhar Shroff, engineering director of Sanmar Engineering Corporation. "We
also meet the requirements of Caterpillar which has plants both in India and
US," he added.
"We also provided steel for desalination plant in
Nemilli which we expect to function next year," said Shroff.
"Our unique sales proposition is the integrated value
chain," says chairman of Sanmar Engineering M N Radhakrishnan. The company
has inhouse foundry besides the state-of-the art facilities with manufacturing
process same as that of the joint venture partner besides lowest global cost
position for engineered products, he says.
The steel foundry of the company has a unique onshore
offshore business model as it has sustained long-term customer relationships
due to flexible and multi-location business model besides global delivery model
where 30-40 per cent casting requirements are sourced locally.
"Sanmar has set a target of 21 per cent growth over the
next five years to become Rs 35000.000 millions company and we vow to continue
to work towards a system based on trust and transparency," says Vijay.
Published by HT Syndication with permission from New Indian Express. For any
query with respect to this article or any other content requirement, please
contact Editor at htsyndication@hindustantimes.com
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.46.02 |
|
|
1 |
Rs.73.61 |
|
Euro |
1 |
Rs.64.78 |
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 |
2 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
28 |
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.