MIRA
INFORM REPORT
|
Report Date : |
17.09.2011 |
IDENTIFICATION DETAILS
|
Name : |
PBM POLYTEX LIMITED |
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Registered
Office : |
Opposite Railway Station, Petlad – 388 450, District Anand, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
24.11.1919 |
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Com. Reg. No.: |
04-000495 |
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Capital Investment
/ Paid-up Capital : |
Rs.81.296
millions |
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CIN No.: [Company Identification
No.] |
L17110GJ1919PLC000495 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
BRDP01287G |
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PAN No.: [Permanent Account No.] |
AAACP9271H |
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Legal Form : |
Public Limited Liability Company. Company’s Shares are listed on the
stock Exchange. |
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Line of Business
: |
Subject is engaged in the manufacture and sale of cotton
yarn. |
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No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 2553000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having satisfactory track. Trade
relations are reported as fair. Business is active. Payments are reported to
be usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – April 1, 2010
|
Country Name |
Previous Rating (31.12.2009) |
Current Rating (01.04.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
LOCATIONS
|
Registered Office : |
Opposite Railway Station, Petlad – 388 450, District Anand, |
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Tel. No.: |
91-2697-224001/ 224003 |
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Fax No.: |
91-2697-224009 |
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E-Mail : |
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Website : |
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Mumbai Office : |
12th
Floor, Raheja Chambers, 213, Nariman Point, Mumbai – 400 021, |
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Corporate Office : |
8th
Floor, “Ramakrishna Chambers”, |
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Tel. No.: |
91-265-2333586/ 2333587/ 2334841 |
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Fax No.: |
91-265-2338979 |
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Mills : |
(1) Opposite
Railway Station, Petlad – 388 450, District Anand, (2) Plot No. 16
to 19 Sector ‘B’, AKVN Industrial Area, Kheritaigaon, Borgaon, District
Chhindwara, (3) Wind Power
Generation Projects at (i) Village:
Suthari, Revenue Survey No. 870/p, Abdasa, Taluka, District Kutch, (ii) Village:
Okha Madhi, Survey No. 24 Part, Taluka Dwarka, District Jamnagar ( (iii) Village:
Methan Survey No. 284, Taluka Jamjodhpur, District Jamnagar ( (iv) Village:
Methan Survey No. 284/3 Paiki, Taluka Jamjodhpur, Distirct Jamnagar, |
DIRECTORS
As on 31.03.2011
|
Name : |
Mr. Krishan Kumar Patodia |
|
Designation : |
Chairman |
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Date of Birth/Age : |
26.05.1945 |
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Qualification : |
B.Sc. Text (Hons.) |
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Experience : |
46 years
experience in managing textile industries and gold medalist in textile
engineering. Also Managing Director of M/S Eurotex Industries and Exports
Limited. |
|
Date of Appointment : |
12.06.1979 |
|
Directorship of other Companies : |
v Eurotex
Industries and Exports Limited v Patodia Syntex
Limited v Shree Janardana
Mills Limited. v Maharastra Fiber
and Syntex Limited v Eurospin
Industries Limited v Shamnhu
Investments Private Limited v Rajiv Agencies
Private Limited v Thrust
Investments and Managements Private Limited v Mercury Gems
Private Limited v Patodia Company
Private Limited |
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|
|
|
Name : |
Mr. Gopal Patodia |
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Designation : |
Managing Director |
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Date of Birth/Age : |
64 Years |
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Qualification : |
B.Sc. B.Tech
[Chemical] |
|
Experience : |
41 Years |
|
Date of Appointment : |
01.04.1979 |
|
|
|
|
Name : |
Mr. Mohankumar Patodia |
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Designation : |
Managing Director |
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Date of Birth/Age : |
62 Years |
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Qualification : |
B.Com |
|
Experience : |
39 Years |
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Date of Appointment : |
01.08.2007 |
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|
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Name : |
Mr. Hariprasad Siotia |
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Designation : |
Director |
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|
|
Name : |
Mr. Brijbhushanlal Kabra |
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Designation : |
Director |
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Date of Birth/Age : |
26.06.1937 |
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Qualification : |
M.Sc. |
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Experience : |
Vast experience
in Textile Sales Management and manufacturing activities |
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Date of Appointment : |
28.12.1980 |
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Name : |
Mr. Dharam Paul |
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Designation : |
Director |
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Name : |
Mr. Jugalkishore Todi |
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Designation : |
Director |
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Date of Birth/Age : |
23.08.1939 |
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Qualification : |
B.Com |
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Experience : |
About 49 years
experience in trading and commercial activities and having knowledge of accounting
policies and procedure |
|
Date of Appointment : |
31.08.2006 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2011
|
Category of Shareholders |
No. of Shares |
Percentage of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
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|
|
|
|
|
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2,023,180 |
24.89 |
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|
4,008,052 |
49.30 |
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|
6,031,232 |
74.18 |
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Total shareholding of Promoter and Promoter Group (A) |
6,031,232 |
74.18 |
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(B) Public Shareholding |
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|
200 |
- |
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|
94,877 |
1.17 |
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|
95,077 |
1.17 |
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|
|
|
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|
190,818 |
2.35 |
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|
|
|
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|
1,418,541 |
17.45 |
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|
394,332 |
4.85 |
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|
2,003,691 |
24.65 |
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Total Public shareholding (B) |
2,098,768 |
25.82 |
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Total (A)+(B) |
8,130,000 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
- |
- |
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|
- |
- |
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|
- |
- |
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|
- |
- |
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Total (A)+(B)+(C) |
8,130,000 |
- |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs.0.100 millionBUSINESS DETAILS
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Line of Business : |
Subject is engaged in the manufacture and sale of cotton
yarn. |
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Products : |
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PRODUCTION STATUS (AS ON 31.03.2011)
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Particulars |
2010-2011 |
|
(a)
LICENCED CAPACITY at year end |
Not Applicable |
|
(b)
INSTALLED CAPACITY at year end (As
per Return submitted to the Government) |
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|
-
Spindles |
57,600 |
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-
Rotors |
840 |
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Particulars |
2010-2011 |
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Yarn
Production |
1,01,89,758 KGS. |
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GENERAL INFORMATION
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No. of Employees : |
Not Available |
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Bankers : |
v
State Bank of v
IDBI Bank Limited |
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Facilities : |
NOTES -
(DESCRIPTION OF SECURITIES): -
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Mahendra N. Shah and Company Chartered Accountants (FRN 105775W) |
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Address : |
3rd
Floor, ‘E’ Block, Capital Commercial Centre, |
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Associates and Enterprises with whom the Company
entered into transactions during the year : |
v
Patodia Syntex Limited v
Trikon Investments Private Limited v
Eurotex Industries and Exports Limited v
B. L. Patodia Family Trust v
Sambhu Investments Private Limited |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 millions |
|
|
|
|
|
Issued & Subscribed Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8130000 |
Equity Shares |
Rs.10/- each |
Rs.81.300
millions |
|
|
|
|
|
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
81,29,020 |
Equity Shares |
Rs.10/- each |
Rs.81.290
millions |
|
|
Add: Forfeited Shares (amount originally paid) |
|
Rs.0.006
million |
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Total |
|
Rs.81.296 millions |
(Of the above,
fully paid up Bonus, shares equivalent to the face value of
Rs.2,13,71,864/-have been allotted by Capitalization of Reserves)
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
81.296 |
81.296 |
81.296 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
556.891 |
412.042 |
391.079 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
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NETWORTH |
638.187 |
493.338 |
472.375 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
577.357 |
577.342 |
474.353 |
|
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
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TOTAL BORROWING |
577.357 |
577.342 |
474.353 |
|
|
DEFERRED TAX LIABILITIES |
121.614 |
125.524 |
138.524 |
|
|
|
|
|
|
|
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TOTAL |
1337.158 |
1196.204 |
1085.252 |
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APPLICATION OF FUNDS |
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|
|
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|
|
|
|
|
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FIXED ASSETS [Net Block] |
637.639 |
628.090 |
687.294 |
|
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Capital work-in-progress |
0.303 |
3.352 |
2.073 |
|
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|
|
|
|
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INVESTMENT |
29.260 |
29.260 |
29.260 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
567.690
|
444.151 |
254.585 |
|
|
Sundry Debtors |
152.933
|
98.713 |
86.282 |
|
|
Cash & Bank Balances |
18.505
|
10.547 |
11.881 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
65.932
|
94.612 |
79.975 |
|
Total
Current Assets |
805.060
|
648.023 |
432.723 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
72.138
|
39.848 |
44.287 |
|
|
Other Current Liabilities |
24.969
|
18.768 |
6.257 |
|
|
Provisions |
40.065
|
58.040 |
21.757 |
|
Total
Current Liabilities |
137.172
|
116.656 |
72.301 |
|
|
Net Current Assets |
667.888
|
531.367 |
360.422 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
2.068 |
4.135 |
6.203 |
|
|
|
|
|
|
|
|
TOTAL |
1337.158 |
1196.204 |
1085.252 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Sales and Other Operative Income |
1912.450 |
1493.271 |
1370.483 |
|
|
|
Other Income |
24.138 |
32.609 |
43.068 |
|
|
|
TOTAL (A) |
1936.588 |
1525.880 |
1413.551 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Increase/(Decrease) in Stocks |
(186.016) |
28.872 |
(11.840) |
|
|
|
Raw Materials Consumed |
1227.398 |
838.429 |
779.570 |
|
|
|
Manufacturing,
Administrative & Selling Expenses |
553.875 |
496.308 |
535.707 |
|
|
|
TOTAL (B) |
1595.257 |
1363.609 |
1303.437 |
|
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
341.331 |
162.271 |
110.114 |
|
|
|
|
|
|
|
|
|
Less |
INTEREST (D) |
34.256 |
29.081 |
25.595 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
307.075 |
133.190 |
84.519 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
71.672 |
85.629 |
87.933 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
235.403 |
47.561 |
(3.414) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
80.798 |
9.354 |
(4.289) |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
154.605 |
38.207 |
0.875 |
|
|
|
|
|
|
|
|
|
Less |
Short Provision of Earlier Years (Net) |
3.729 |
0.601 |
(0.943) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
36.185 |
67.599 |
67.667 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
General Reserve |
70.000 |
50.000 |
0.000 |
|
|
|
Proposed Dividend |
8.130 |
16.258 |
0.000 |
|
|
|
Corporate Dividend Tax |
1.319 |
2.763 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
107.612 |
36.185 |
67.599 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Exports : Direct (FOB Value) |
649.282 |
473.089 |
618.128 |
|
|
|
Through Merchant Exporters |
192.872 |
122.436 |
54.079 |
|
|
TOTAL EARNINGS |
842.154 |
595.525 |
672.207 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Cotton |
0.000 |
0.000 |
0.000 |
|
|
|
Machineries, Spares and Stores |
41.982 |
4.243 |
3.032 |
|
|
TOTAL IMPORTS |
41.982 |
4.243 |
3.032 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
18.56 |
4.63 |
(0.008) |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2011 |
|
Type |
|
|
1st
Quarter |
|
Net Sales |
|
|
512.100 |
|
Total Expenditure |
|
|
517.300 |
|
PBIDT (Excl OI) |
|
|
(5.200) |
|
Other Income |
|
|
0.000 |
|
Operating Profit |
|
|
(5.200) |
|
Interest |
|
|
8.000 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
(13.200) |
|
Depreciation |
|
|
17.000 |
|
Profit Before Tax |
|
|
(30.200) |
|
Tax |
|
|
(0.400) |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
(29.800) |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
(29.800) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
7.98
|
2.50 |
0.06 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
12.31
|
3.19 |
(0.25) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
16.32
|
3.72 |
(0.30) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.37
|
0.10 |
(0.01) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.12
|
1.41 |
1.16 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
5.87
|
5.55 |
5.99 |
LOCAL AGENCY FURTHER INFORMATION
OPERATIONAL REVIEW
In spite of steep
rise in cotton prices which touched up to Rs.0.062 million per candy the Financial
Results of the Company are better than anticipated because of favourable yarn
market. The Company however experienced a set back after December 2010 because
of ban on exports which was relaxed in middle of March 2011. Currently the
continuous down trend in yarn market is badly affecting the Financial Results
in spite of decline in cotton prices. The yarn stocks are increasing day by day
because of slackness in market. The four Wind Mills are running satisfactorily.
MODERNIZATION OF
MANUFACTURING PLANTS
The modernisation
programme undertaken for both the yarn manufacturing units of the company in
the year 2010-11 has almost has been completed. This will ensure getting
optimum production and also maintaining quality of the product.
MANAGEMENT DISCUSSIONS AND ANALYSIS REPORT
INDUSTRIAL
STRUCTURE AND DEVELOPMENT
The Textile
Industry plays major role in Indian Economy in terms of industrial production
employment and contribution to foreign exchange earnings through exports.
Textile Industry
suffered due to many adverse factors like increase in cotton support prices,
massive exports of cotton, economic slowdown etc in the years 2007-08 to
2009-10. The situation improved from last quarter of 2009-10 but again since
January 2011 there is slow down in demand both in domestic as well as
international market.
The company is
having two cotton yarn spinning units at Petlad (
OUTLOOK
The Management has
been able to find out market for its product i.e. cotton yarn with its
continuous efforts. The working of the windmills is satisfactory.
CONTINGENT LIABILITIES: (AS ON 31.03.2011)
(a) Estimated
amount of contracts remaining unexecuted on Capital Accounts not provided for
Rs.40.091 millions (Net of advances).
(b) Bills discounted
under Export Letter of Credit Rs.16.266 millions since realized in full.
(c) Income Tax
Demand of Rs.0.040 million for the A/c 2004-05 against which company has
preferred appeals.
(d) Bank Guarantee
for Rs.14.135 millions favouring Madhya Gujarat Vij Company Limited for
contract demand of electricity.
FIXED ASSETS:
v
Land (Lease Hold)
v
Land (Free Hold)
v
Buildings
v
Plant and Machinery
v
Electrical Installations
v
Furniture, Fixtures and Equipments
v
Vehicles
WEBSITE DETAILS:
BUSINESS DESCRIPTION
Subject is an India-based company. The Company is engaged in
the manufacture and sale of cotton yarn. As of March 31, 2010, the Company had
two yarn manufacturing units and four windmills. The Company has two yarn
spinning units one at Petlad, District Anand (
BOARD OF DIRECTORS
Krishan Kumar Patodia
Non-Executive
Chairman of the Board
Shri. Krishan Kumar Patodia is Non-Executive Chairman of the Board of PBM Polytex Limited. He holds B.Sc. Text (Hons.). He has 46 years experience in managing textile industries and gold medalist in textile engineering. Also Managing Director of M/S Eurotex Industries and Exports Limited. Directorship of other Companies : Eurotex Industries and Exports Limited. Patodia Syntex Limited. Shree Janardana Mills Limited. Maharastra Fiber and Syntex Limited. Eurospin Industries limited. Shamnhu Investments Private Limited. Rajiv Agencies Private Limited. Thrust Investments and Managements Private Limited. Mercury Gems Private Limited. Patodia Company Private Limited.
Brijbhushanlal Kabra
Non-Executive
Independent Director
Shri. Brijbnushanlal Kabra is Non-Executive Independent Director of subject He has a M.Sc degree. He has experience in Textile Sales Management and manufacturing activities.
Mohan Kumar Patodia
Managing Director,
Executive Director
Shri. Mohan Kumar Patodia is Managing Director, Executive Director of subject He is B.Com and Textile Technocrat. He has 39 years experience in the Textile Industry of more than 39 years. He holds experience in the Textile Industry in all the fields including raw material purchase, manufacturing, administration, finance, management and marketing.
Gopal Patodia
Managing Director,
Executive Director
Shri. Gopal Patodia is Managing Director, Executive Director of subject He has B.Sc, B.Tech (Chemical), having a varied experience in the Textile Industry of 41 years. He holds matured experience in all the fields including selection of raw material, purchases, manufacturing, administration, finance, management and marketing. The company has fared well under his supervision and administration
Dharam Paul
Non-Executive Independent
Director
Shri. Dharam Paul is Non-Executive Independent Director of subject He has B.Sc.(Textiles) Hons, M.B.A. degrees. He has 38 years experience in Textile management. His other Directorship is with Eurotex Industries and Exports Limited
Hari Prasad Siotia
Non-Executive
Director
Shri. Hari Prasad Siotia is Non-Executive Director of subject He has a B. Com degree. He has about five decades of experience in the field of cotton and yarn trading and manufacturing activity of cotton spinning. His other Directorships are Patodia Syntex Limited, Mercury Gems Private Limited, Eurotex Industries and Exports Limited, Eurospin Industries Limited, Shree Janardana Mills Private Limited, Patodia Company Private Limited and Paramount Cotton Company.
Jugalkishore Todi
Non-Executive
Independent Director
Shri. Jugalkishore Todi serves as Non-Executive Independent
Director of subject He has 49 years experience in trading commercial activities
and having knowledge of accounting policies and procedures. He holds B.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.47.46 |
|
|
1 |
Rs.74.95 |
|
Euro |
1 |
Rs.65.79 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
47 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.