MIRA INFORM REPORT

 

 

Report Date :

01.08.2012

 

IDENTIFICATION DETAILS

 

Name :

CENTRIC STEEL LIMITED [w.e.f. 14.05.2007]

 

 

Formerly Known As :

CENTRIC IRON AND STEEL INDUSTRIES LIMITED [w.e.f. 07.02.2007]

 

CENTRIC IRON AND STEEL INDUSTRIES PRIVATE LIMITED [w.e.f. 27.12.2006]

 

BASUDEV SCARVES PRIVATE LIMITED

 

 

Registered Office :

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra 

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

05.02.1986

 

 

Com. Reg. No.:

11-038866

 

 

Capital Investment / Paid-up Capital :

Rs.5.000 Millions

 

 

CIN No.:

[Company Identification No.]

U99999MH1986PLC038866

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNEC07403E

 

 

PAN No.:

[Permanent Account No.]

AABCB3566C

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer and Supplier of Precision ERW Tubes and Pipes.

 

 

No. of Employees :

Not Available

 

 

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 130000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

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

 

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

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – June 30, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

B - [Long Term Fund Based Limits]

B - [Term Loan]

Rating Explanation

High risk of default.

Date

July 2012

 

Rating Agency Name

ICRA

Rating

A4 [Short Term Non-Fund Based Limits]

Rating Explanation

Very high credit risk.

Date

July 2012

 

 

RBI DEFAILTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAILTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

LOCATIONS

 

Registered Office :

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra, India  

Tel. No.:

91-22-25668527/25669803

Fax No.:

91-22-25663058

E-Mail :

adhishkochhar@centricsteel.com

contact@centricsteel.com

 

 

Factory :

T-24, MIDC Industrial Area, Taloja, District Raigad-410208, Maharashtra, India

Tel. No.:

91-22-27411981

 

 

DIRECTORS

 

As on 30.09.2011

 

Name :

Mr. Niraj Vishwanath Kochhar

Designation :

Director

Address :

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra, India  

Date of Birth/Age :

15.08.1957

Date of Appointment :

14.05.2007

Din No.:

01727348

Other Directorship:

S. No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U27109MH1990PTC055744

VEDIK ALLOYS PRIVATE LIMITED

Director

09/03/1990

09/03/1990

-

Active

NO

2

U51420MH1990PTC055410

NIRAJ METAL AND ALLOYS PRIVATE LIMITED

Director

26/02/1991

26/02/1991

-

Active

NO

3

U51900MH1992PTC065650

GOLD STAR AGENCIES PRIVATE LIMITED

Director

28/02/1992

28/02/1992

23/03/2012

Active

NO

4

U28920MH1983PTC029260

LEO CODED VESSELS PRIVATE LIMITED

Director

06/08/1992

06/08/1992

-

Active

NO

5

U29230MH1997PTC111019

PRECISION METAL PROCESS EQUIPMENTS PRIVATE LIMITED

Director

01/10/1997

01/10/1997

23/03/2012

Active

NO

6

U24110MH1999PTC119961

ENERTECH ADDITIVES PRIVATE LIMITED

Director

20/05/1999

20/05/1999

22/03/2012

Active

NO

7

U99999MH1973PTC016924

S V STEEL AND ALLOYS PRIVATE LIMITED

Director

25/08/2003

25/08/2003

-

Active

NO

8

U99999MH1986PLC038866

CENTRIC STEEL LIMITED

Director

14/05/2007

14/05/2007

-

Active

NO

9

U29300MH1995PLC092969

GOLD STAR POLY WEAVE LIMITED

Director

01/12/2010

01/12/2010

-

Active

NO

 

 

Name :

Mrs. Rithu Niraj Kochhar

Designation :

Director

Address :

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra, India  

Date of Birth/Age :

06.10.1961

Date of Appointment :

14.05.2007

Din No.:

01147486

Other Directorship:

S. No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U27109MH1990PTC055744

VEDIK ALLOYS PRIVATE LIMITED

Director

09/03/1990

09/03/1990

-

Active

NO

2

U99999MH1973PTC016924

S V STEEL AND ALLOYS PRIVATE LIMITED

Director

26/03/1990

26/03/1990

06/02/2012

Active

NO

3

U51900MH1992PTC065650

GOLD STAR AGENCIES PRIVATE LIMITED

Director

28/02/1992

28/02/1992

23/03/2012

Active

NO

4

U28920MH1983PTC029260

LEO CODED VESSELS PRIVATE LIMITED

Director

06/08/1992

06/08/1992

-

Active

NO

5

U29230MH1997PTC111019

PRECISION METAL PROCESS EQUIPMENTS PRIVATE LIMITED

Director

01/10/1997

01/10/1997

23/03/2012

Active

NO

6

U24110MH1999PTC119961

ENERTECH ADDITIVES PRIVATE LIMITED

Director

20/05/1999

20/05/1999

12/03/2012

Active

NO

7

U99999MH1986PLC038866

CENTRIC STEEL LIMITED

Director

14/05/2007

14/05/2007

-

Active

NO

8

U27104MH2003PLC141873

FLAT COATERS INDIA LIMITED

Director

29/09/2009

03/11/2008

-

Active

NO

9

U29300MH1995PLC092969

GOLD STAR POLY WEAVE LIMITED

Director

01/12/2010

01/12/2010

-

Active

NO

 

 

Name :

Mr. Adhish Niraj Kochhar

Designation :

Director

Address :

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra, India  

Date of Birth/Age :

19.10.1982

Date of Appointment :

14.05.2007

Din No.:

01727646

Other Directorship:

S. No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U24110MH1999PTC119961

ENERTECH ADDITIVES PRIVATE LIMITED

Director

28/02/2002

28/02/2002

12/03/2012

Active

NO

2

U28920MH1983PTC029260

LEO CODED VESSELS PRIVATE LIMITED

Director

28/02/2002

28/02/2002

-

Active

NO

3

U51420MH1990PTC055410

NIRAJ METAL AND ALLOYS PRIVATE LIMITED

Director

15/05/2005

15/05/2005

-

Active

NO

4

U99999MH1986PLC038866

CENTRIC STEEL LIMITED

Director

14/05/2007

14/05/2007

-

Active

NO

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2011

 

Names of Shareholders

 

No. of Shares

Niraj Vishwanath Kochhar

 

24996

Rithu Niraj Kochhar

 

12300

Adhish Niraj Kochhar

 

4700

Rishab Kochhar

 

2701

Vedika Kochhar

 

1801

T.R. Mehta

 

1

Niraj Vishwanath Kochhar HUF

 

3501

 

 

 

Total

 

50000

 

As on 30.09.2011

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Supplier of Precision ERW Tubes and Pipes.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

Canara Bank, Corporate Service Branch, Nariman Point, Mumbai-400021, Maharashtra, India

 

 

Facilities :

SECURED LOAN

As on 31.03.2011

[Rs. in Millions]

As on 31.03.2010

[Rs. in Millions]

Working Capital Loan – Canara Bank

[Working capital limits are secured by hypothecation of stocks and book debts both present and future and second charge on fixed assets of the company]

59.911

39.968

Term Loan Canara Bank

[Term loan is secured against land and building, plant and machinery and by second charge on current assets of the company]

87.943

110.699

Total

147.854

150.667

 

 

 

UNSECURED LOAN

 

 

Adhish Kochhar

5.767

5.785

Rishabh Kochhar

2.318

2.318

Niraj Kochhar

11.685

11.685

Niraj Kochhar HUF

3.506

3.506

T R Mehta

0.250

0.250

Vedika Kochhar

3.809

3.791

Rithu Kochhar

5.094

5.094

Total

32.429

32.429

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Chhogmal and Company

Chartered Accountants

Address :

206, Apollo Chambers, Mogra Road, Andheri (East), Mumbai-400069, Maharashtra, India

Tel. No.:

91-22-66995808/28360511

Fax No.:

91-22-66995808

E-Mail :

chhogmal@gmail.com

info@chhogmal.co.in

Pan No.:

AAIPS9715N

 

 

CAPITAL STRUCTURE

 

As on 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

50000

Equity Shares

Rs.100/- each

Rs.5.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

50000

Equity Shares

Rs.100/- each

Rs.5.000 Millions

 


 

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

5.000

5.000

5.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

28.613

27.406

25.644

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

33.613

32.406

30.644

LOAN FUNDS

 

 

 

1] Secured Loans

147.854

150.667

129.288

2] Unsecured Loans

32.429

32.429

26.909

TOTAL BORROWING

180.283

183.096

156.197

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

213.896

215.502

186.841

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

143.595

147.734

152.389

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

0.766

1.530

2.331

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

80.041

58.529

18.307

 

Sundry Debtors

53.429

57.365

15.491

 

Cash & Bank Balances

0.434

0.294

0.129

 

Other Current Assets

0.646

0.346

0.346

 

Loans & Advances

11.670

13.813

16.508

Total Current Assets

146.220

130.347

50.781

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

75.029

62.296

14.568

 

Other Current Liabilities

1.124

1.781

4.084

 

Provisions

0.532

0.032

0.008

Total Current Liabilities

76.685

64.109

18.660

Net Current Assets

69.535

66.238

32.121

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

213.896

215.502

186.841

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Income

191.970

187.271

20.678

 

 

Other Income

0.019

0.053

0.346

 

 

TOTAL                                     (A)

191.989

187.324

21.024

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Expenses

152.226

153.408

34.438

 

 

Operating and Administration Expenses

10.577

4.848

1.852

 

 

Increase / Decrease in Stock

0.000

0.000

(17.110)

 

 

TOTAL                                     (B)

162.803

158.256

19.180

 

 

 

 

 

Less

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

29.186

29.068

1.844

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

20.822

20.792

7.003

 

 

 

 

 

 

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

8.364

8.276

(5.159)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

5.893

5.681

2.388

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX (E-F)                (G)

2.471

2.595

(7.547)

 

 

 

 

 

Less

TAX                                                                  (H)

1.264

0.834

(2.325)

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX (G-H)                  (I)

1.207

1.761

(5.222)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

2.266

0.505

5.727

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

3.473

2.266

0.505

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

24.15

35.22

(259.71)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

0.63

0.94

(24.84)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

1.29

1.39

(36.50)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.85

0.93

(3.71)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.07

0.08

(0.25)

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

7.64

7.63

5.70

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.91

2.03

2.72

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Check List by Info Agents

Available in Report (Yes / No)

1) Year of Establishment

Yes

2) Locality of the firm

Yes

3) Constitutions of the firm

Yes

4) Premises details

No

5) Type of Business

Yes

6) Line of Business

Yes

7) Promoter’s background

Yes

8) No. of employees

No

9) Name of person contacted

No

10) Designation of contact person

No

11) Turnover of firm for last three years

Yes

12) Profitability for last three years

Yes

13) Reasons for variation <> 20%

--

14) Estimation for coming financial year

No

15) Capital in the business

Yes

16) Details of sister concerns

No

17) Major suppliers

No

18) Major customers

No 

19) Payments terms

No

20) Export / Import details (if applicable)

No

21) Market information

--

22) Litigations that the firm / promoter involved in

--

23) Banking Details

Yes

24) Banking facility details

Yes

25) Conduct of the banking account

--

26) Buyer visit details

--

27) Financials, if provided

Yes

28) Incorporation details, if applicable

Yes

29) Last accounts filed at ROC

Yes

30) Major Shareholders, if available

Yes

31) PAN of Proprietor/Partner/Director, if available

No

32) Passport No of Proprietor/Partner/Director, if available

No

33) Voter ID No of Proprietor/Partner/Director, if available

No

 

NOTE:

 

The registered office of the company has been shifted from Plot No. T-24, MIDC Industrial Area, Taloja, District Raigad-410208, Maharashtra, India to the present address w.e.f. 21.07.2011.

 

BANKERS CHARGES REPORT AS PER REGISTRY

 

This form is for

Modification of charge

Charge identification number of the modified 

10075480

Corporate identity number of the company

U99999MH1986PLC038866

Name of the company

CENTRIC STEEL LIMITED

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

43, Sardar Pratap Singh Industrial Estate, No. 3, LBS Marg, Bhandup (West), Mumbai-400078, Maharashtra, India  

Type of charge

Book Debts

Movable Property [not being pledge]

Immovable Property 

Particular of charge holder

Canara Bank, Corporate Service Branch, Nariman Point, Mumbai-400021, Maharashtra, India

Email

cpkrishnan@canarabank.com

Nature of description of the instrument creating or modifying the charge

Supplemental common Hypothecation agreement dated 04/05/2012 and pronote dated 04/05/2012

Date of instrument Creating the charge

04.05.2012

Amount secured by the charge

Rs.222.500 Millions

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

Rate of Interest

Interest @ 4% per annum above base rate with a min of 14.50% per annum compounded monthly for value received

 

Terms of Repayment

on demand

 

Margin

25% on stock and book debts

 

Extent and Operation of the charge

working capital and term loan together = Rs. 222.500 Millions 

Short particulars of the property charged

For working capital limits = hypothecation of stock and book debts at Plot No. 24, Taloja Industrial Area and Gate No. 165, Near Chitli Fata, Pune Nashik Road, Village Kururli Khed, Pin Code – 410501

 

For term loan = hypothecation of plant and machinery, negative lien of leasehold land and building at Plot No. 24, Taloja Industrial Area.

 

Assets charged for term loan shall be available as collateral security for working capital limits and vice versa.

Date of latest modification prior to the present modification

29.10.2007

Particulars of the present modification 

Working capital limit enhanced from Rs.60.000 Millions to Rs.107.500 Millions

 

FIXED ASSETS:

 

·         Land

·         Factory Building

·         Plant and Machinery

·         Electrical Installation

·         Computer Systems

·         Vehicles

·         Furniture

 

WEBSITE DETAILS:

 

PROFILE:

 

Subject is a reputed manufacturer and supplier of Precision ERW Tubes and Pipes in India, advantageously located at Taloja, 30 kms outside Mumbai, Maharashtra. Their state of the art German designed high speed precision tube mill boasts of a fully automated line that has the capacity to produce high quality tubes at a rapid pace.

 

They manufacture these Tubes, Pipes as well as Square and Rectangular Hollow Sections from Cold Rolled, Hot Rolled, Pickled and Pre-Galvanized Carbon Steel Coils. They pride their selves at being one of the very few manufacturers of Pre-Galvanized Tubes. In addition, they also have a slitting line to serve their customer needs better along with all the necessary machines to satisfy their requirements whether it is cut to length or any other customer specification.

 

Subject also employs a complete setup for Production and Quality Control to ensure compliances to various specifications to measure the Chemical and Mechanical properties, along with Flaring and Flattening. Their 200 KW Solid State High Frequency Welder allows them to ensure a perfect and even weld on all their final products. With their Online Eddy Current Tester being able to detect even the minute pinhole on their tubes.

 

With their dynamic workforce being trained to adhere to their strict quality control and punctuality standards, they have ensured that their principles of excellence pervade throughout the organization. On-time delivery of products that exceed the existing benchmarks set in the industry is promised and delivered to all their valuable customers.

 

 

 


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.55.80

UK Pound

1

Rs.87.67

Euro

1

Rs.68.45

 

 

INFORMATION DETAILS

 

Report Prepared by :

TPT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

2

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

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.