MIRA INFORM REPORT

 

 

Report Date :

24.08.2012

 

IDENTIFICATION DETAILS

 

Name :

MESO PRIVATE LIMITED

 

 

Formerly Known As :

MERCANTILE ESSENTIAL OIL COMPANY (INDIA) PRIVATE LIMITED

 

 

Registered Office :

101, Centre Point, 1st Floor, Jijibhai Lane, Lalbaug, Opposite Parel Post Office, Parel, Mumbai – 400012, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

11.09.1992

 

 

Com. Reg. No.:

11-68508

 

 

Capital Investment / Paid-up Capital :

Rs.22.500 Millions

 

 

CIN No.:

[Company Identification No.]

U15140MH1992PTC068508

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMM09382C

 

 

PAN No.:

[Permanent Account No.]

AAACM7427Q

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing and Exporter of Perfumes, Cosmetics and Toiletries.

 

 

No. of Employees :

Information declined by the management.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (46)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

 

Maximum Credit Limit :

USD 2100000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an 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.

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Long Term Bank Facilities = BBB-

Rating Explanation

This rating are considered to have moderate degree of safety regarding timely servicing of financial obligation. Such carry moderate credit risk.

Date

01.12.2011

 

 

RBI DEFAULTERS’ LIST STATUS

 

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

 

 

EPF (Employee Provident Fund) DEFAULTERS’ 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.

 

 

INFORMATION DECLINED BY

 

Name :

Mr. Patil

Designation :

Office Executive

Contact No.:

91-22-66675151

Date :

23.08.2012

 

 

LOCATIONS

 

Registered Office :

101, Centre Point, 1st Floor, Jijibhai Lane, Lalbaug, Opposite Parel Post Office, Parel, Mumbai – 400012, Maharashtra, India

Tel. No.:

91-22-24166294/ 24166295/ 66675151

Fax No.:

91-22-24148226

E-Mail :

legal@meso-in.com

Website :

http://www.meso-in.com

 

 

Factory  :

Unit No. 193-194, 195, 204-210 A, 354, Kandla Special Economic Zone,  Gandhidham, Kutch – 370230, Gujarat, India

Tel. No.:

91-2836-252207/ 202

Fax No.:

91-2836-252307

Area :

60000 Sq. fts.

Location :

Owned

 

 

R and D :

Plot No. 1, 14 to 16, Nehru Nagar, Old Mahibalipuram, Kottivakkam, Chennai – 600034, Tamilnadu, India

Area :

50000 Sq. fts.

Location :

Owned

 

 

DIRECTORS

 

(AS ON 30.09.2011)

 

Name :

Mr. Kishor Sunderlal Sheth

Designation :

Chairman cum Managing Director

Address :

3, Beacom, 140, Madam Cama Road, Mumbai – 400 021, Maharashtra, India

Date of Birth/Age :

12.11.1938

Date of Appointment :

11.09.1992

DIN No.:

00257901

 

 

Name :

Mr. Ketan Kishor Sheth

Designation :

Whole Time Director

Address :

3, Beacom, 140, Madam Cama Road, Mumbai – 400 021, Maharashtra, India

Date of Birth/Age :

09.06.1967

Date of Appointment :

01.10.1997

Voter ID No.:  

MT/04/019/036946

DIN No.:

00298932

 

 

Name :

Mr. Hemant Ishwarlal Vashi

Designation :

Director

Address :

6-D, Sonawala Building, 4th Floor, Tardeo, Mumbai – 400007, Maharashtra, India

Date of Birth/Age :

07.07.1952

Date of Appointment :

03.12.1996

DIN No.:

00257844

 

 

Name :

Mr. Shashikant Sunderlal Sheth

Designation :

Director

Address :

Oberoi Sky Gardens, A-wing, 301B, 3rd Floor, Plot No. 119, Lokhandwala Complex, Mumbai – 400053, Maharashtra, India

Date of Birth/Age :

11.09.1946

Date of Appointment :

15.05.2006

DIN No.:

00296865

 

 

KEY EXECUTIVES

 

Name :

Mr. Patil

Designation :

Office Executive

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 30.09.2011)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

Kishor Sunderlal Sheth

 

20254

Madhukar Sunderlal Sheth Jointly with Ketan Kishor Sheth

 

6750

Shashikant Sunderlal Sheth

 

20250

Mahendra Sunderlal Sheth

 

20250

Chandrika Kishor Sheth

 

18000

Ketan Kishor Sheth Jointly with Ketan Kishor Sheth

 

40500

Sejal Ketan Sheth

 

18000

Ila Shashikant Sheth

 

20250

Jayesh Shashikant Sheth

 

40500

Nalini Mahendra Sheth

 

20250

 

 

 

Total

 

 

225004

 

 

(AS ON 30.09.2011)

Equity Shares Break – up

 

Category

 

Percentage

 

 

 

Directors or relatives of directors

 

100.00

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Exporter of Perfumes, Cosmetics and Toiletries.

 

 

Products :

Products Description

Item Code No.

 

Perfumes & Cosmetics

330299

 

 

PRODUCTION STATUS (AS ON 31.03.2011)

 

Particulars

 

Unit

Actual Production

 

 

 

i) Perfumes & Toilet Water

(in Tons)

153

ii) Beauty & Makeup Preparation

(in Tons)

486

iii) Hair Preparation

(in Tons)

235

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management.

 

 

Bankers :

Ř       State Bank of India

Overseas Branch, 2nd Floor, Arcade, Cuffe Parade, Mumbai – 400005, Maharashtra, India

 

 

Facilities :

Secured Loans

31.03.2011

31.03.2010

 

 

(Rs. In Millions)

 

 

 

Export Packing and Post Shipment Credit from State Bank of India

109.677

58.418

Bill Purchase from State Bank of India

6.167

37.077

PCFC - Citibank

12.415

0.000

 

 

 

Total

 

128.259

95.495

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Kamdar Desai and Patel

Chartered Accountants

Address :

Vasaikar House, 296 Cadell Road, Dadar (West), Mumbai – 400028, Maharashtra, India

PAN No.:

AAFK6984H

 

 

CAPITAL STRUCTURE

 

(AS ON 30.09.2011)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

300000

Equity Shares

Rs.100/- each

Rs.30.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

225004

Equity Shares

Rs.100/- each

Rs.22.500 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

22.500

22.500

22.500

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

497.049

495.676

456.896

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

519.549

518.176

479.396

LOAN FUNDS

 

 

 

1] Secured Loans

128.259

95.495

133.647

2] Unsecured Loans

1.043

0.000

0.000

TOTAL BORROWING

129.302

95.495

133.647

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

648.851

613.671

613.043

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

38.900

26.197

25.283

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

87.852

80.798

90.160

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

121.792

60.360

95.479

 

Sundry Debtors

175.238

166.031

158.758

 

Cash & Bank Balances

17.281

27.732

6.745

 

Other Current Assets

0.000

0.000

0.000

 

Loans & Advances

174.936

175.812

268.798

Total Current Assets

489.247

429.935

529.780

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditor

(45.279)

(83.626)

20.848

 

Other Current Liabilities

9.797

3.371

5.756

 

Provisions

2.630

3.514

5.576

Total Current Liabilities

(32.852)

(76.741)

32.180

Net Current Assets

522.099

506.676

497.600

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

648.851

613.671

613.043

 

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Turnover and Other Income

394.205

408.364

379.442

 

 

TOTAL                                     (A)

394.205

408.364

379.442

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                     (B)

349.650

348.681

324.845

 

 

 

 

 

Less

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

44.555

59.683

54.588

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

11.858

11.966

11.820

 

 

 

 

 

 

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

32.697

47.717

42.768

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

9.017

8.072

7.626

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

23.680

39.645

35.142

 

 

 

 

 

Less

TAX                                                                  (H)

0.217

0.864

1.289

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

23.463

38.781

33.853

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

461.396

444.796

406.707

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

484.859

483.577

440.560

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

F.O.B. Value of Exports

368.195

403.685

318.064

 

 

Freight and Insurance

9.285

7.709

7.888

 

TOTAL EARNINGS

377.480

411.394

325.952

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

97.860

55.070

58.421

 

 

Packing Materials

16.873

7.331

3.225

 

TOTAL IMPORTS

114.733

62.401

61.646

 

 

 

 

 

 

Earnings Per Share (Rs.)

104.28

172.36

--

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

5.95

9.71

9.26

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

4.48

8.69

6.33

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.05

0.08

0.07

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

(0.31)

(0.33)

0.35

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

(14.89)

(5.60)

16.46

 


 

LOCAL AGENCY FURTHER INFORMATION

 

SUNDRY CREDITORS DETAILS:

 

Particulars

31.03.2011

 

31.03.2010

31.03.2009

 

(Rs. In Millions)

 

 

 

 

Sundry Creditors

(45.279)

(83.626)

20.848

 

 

 

 

Total

 

(45.279)

(83.626)

20.848

 

 

 

Check list by info Agents

Available in Report

(Yes/ No)

 

 

Year of Establishment

Yes

Locality of the Firm

Yes

Constitution of the Firm

Yes

Premises details

Yes

Type of Business

Yes

Line of Business 

Yes

Promoter’s Background 

Yes

No. of Employees

No

Name of Person Contacted

Yes

Designation of Contact person

Yes

Turnover of Firm for last three years

Yes

Profitability for last three years

Yes

Reasons for variation <> 20%

-----

Estimation for coming financial year

No

Capital in the business

Yes

Details of sister concerns

No

Major Suppliers

No

Major Customers

No

Payments Terms

No

Export/ Imports Details (If applicable)

No

Market Information

-----

Litigations that the firm/ Promoters Involved in

-----

Banking details

Yes

Banking Facility Details

Yes

Conduct of the Banking Account

-----

Buyer visit details

-----

Financials, if provided

Yes

Incorporation details is applicable

Yes

Last Accounts filed at ROC

Yes

Major Shareholders, if available

Yes

Date of Birth of Proprietor/Partner/Director, if available

Yes

PAN of Proprietor/Partner/Director, if available

No

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

Yes

External Agency Rating, if available

Yes

 

 

OPERATIONS:

 

The Non Alcoholic Perfumes segment comprising of Malalabiya, Saratiya, Majamu and Sandaliya under Meso/Simmil Brands have remained more or less on same levels of previous year and continued to be a top contributor (71%) in the total sales of the Company. The company is making every effort to maintain its premier position in the markets by offering various schemes, incentives and promotions to the Distributors and consumers.

 

The Company has devised a completely a new strategy for its owned brands namely Instyle, Marhaba and Montego in the Alcoholic Perfume segments. Accordingly, instead of producing creating/adding new variants under these brands, the company has identified with its concentrated efforts, the running fragrances which are generally preferred in the Middle East and Sub Sahara and Sahara region where its Target market exists. Though the Global Markets became slightly favourable after subprime crisis of 2009 in USA markets, the social and market conditions in certain Middle East Asia became unfavourable during the year which caused Indian economy to decelerate and despite of these kind of negative business environment, the current year turnover increased marginally by 8.74% as a result of which profit after tax also increased by 39.5%. This performance is still satisfactory given the unfavourable operating environment in certain Middle East Asia during the financial year.

 

The directors are delighted to announce that, FMCG segment comprising of beauty and personal care products sales has grown over remarkably compare to Previous year. All the products under this segment have done well in one or other market of the Middle east/Africa Region. The company is planning to intensify its promotional activities with the use of TV and Print Media and hope to have a big spurt in the sales in the years to come.

 

Realizing the potential in FMCG segment and having tested success in making a regional brand it prompted the company to think global and act local. In order to cater to the consumers at the bottom of pyramid. in markets other than ME and Sahara region it opened doors for a third brand Instyle.

 

The Company’s licensing agreement for manufacturing and selling of Mahalabiya, Saratiya and Majamu using MESO brand in Sudan with a Sudanese company MSM International Cosmetics Company Limited has been working very well and has given desired results as expected. Inspired by this, the company is trying to explore more such opportunities at global level. The directors feel confident that this arrangement when started will bring in the exponential growth in sales and Profit in years to come.

 

The Company has developed market for its products in Far East Asia and East Africa. Further, the Brand Odeon has developed a good share in East Africa whereas the brand Devon has captured good market share in Far East Asia.

 

Operations of manufacturing unit at Kandla were satisfactory.

 

 

CREDIT RATING OF THE COMPANY:

 

The Company received Ratings for Letter of Credit and Export Packing Credit Facility both as CRISIL A3 from CRISIL Limited which signifies that both these Instruments have moderate degree of safety regarding timely payment of financial obligations. Such instruments carry higher credit risk as compared to instruments rated in the higher categories. The Company also got ratings from Dun and Bradstreet (D and B), for which DUNS Number 91-530-9822 is granted to your Company signifying that the Company is part of the global data base from Credit Rating Agency Dun and Bradstreet (D and B), Leading provider of international and Indian Credit Rating of D and B.

 

 

Merger with Vijeta Foods Private Limited:

 

a. Pursuant to the scheme of Amalgamation under section 391 to 394 of the Companies Act, 1956, with effect from 1st April, 2010 (appointed date), Vijeta Foods Private Limited have been merged with The Company. The scheme of Merger was approved by the Honorable Mumbai High Court vide order dated 29th March 2011.

 

b. Vijeta Foods Private Limited was incorporated under the Companies Act, 1956 and carried on business of manufacturing and processing of Food Products.

 

c. In terms of Scheme, all assets and liabilities of Vijeta Foods Private Limited have been transferred and stand vested with your company with effect from appointed date at their respective book values on that date. Thus, the profit or income arising to Vijeta Foods Private Limited, or expenditure or losses incurred by it from the appointed date are treated as the profit or income or expenditure or loss as the case may be, of the company. The schemes have been given effect to in these accounts. Reserve arising on the same is reflected as Capital Reserve.

 

d. 4 Equity Shares of Rs.100/- each of the company are issued to the shareholders of Vijeta Foods Private Limited in the ratio of 1/- fully paid up Equity Share of Rs.100/- each of the company for every 2,220 fully paid-up Equity Shares of Rs.10/- each held in Vijeta Foods Private Limited

 

 

 

FORM 8:

 

This form is for

Modification of charge

Charge identification number of the modified 

80060765

Corporate identity number of the company

U15140MH1992PTC068508

Name of the company

MESO PRIVATE LIMITED

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

101, Centre Point, 1st Floor, Jijibhai Lane, Lalbaug, Parel, Mumbai – 400012, Maharashtra, India

legal@meso-in.com

Type of charge

Book debts

Movable property (not being pledge)

Floating charge

Particular of charge holder

State Bank of India

Overseas Branch, 2nd Floor, Arcade, Cuffe Parade, Mumbai – 400005, Maharashtra, India

vlaxman@vsnl.com

Nature of description of the instrument creating or modifying the charge

Letter regarding the grant of Individual Limit within the Overall limit.

Date of instrument Creating the charge

10/07/2010

Amount secured by the charge

Rs.155.000 Millions

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

Rate of Interest

Interest as per RBI/Bank directive.

 

Terms of Repayment

On Demand.

 

Margin

EPC : 15%,

L/C AND BG :10%

 

Extent and Operation of the charge

Hypothecation by way of First charge of all goods, debts as specified in Item No. 15 as security for the due and repayment and discharge of the revised facilities of Rs.155.000 Millions, by the Company to the Bank on demand of all the monies including the principal sums, interest, cost, charges, expenses and other moneys payable by the Company to the Bank.

 

Short particulars of the property charged

All present and future goods, book debts and movable and other assets including documents of title to goods and other asset.

Particulars of the present modification 

The charge shall now stand reduced from Rs.170.000 Millions to Rs.155.000 Millions, in favour of the Bank.

 

 

FIXED ASSETS:

 

·         Factory Building

·         Plant & Machinery

·         Moulds

·         Air-conditioner

·         Office Equipments

·         Laboratory Equipments

·         Computer

·         Scooter / Mopeds

·         Motor Car

·         Furniture and Fixtures

·         Electric Fittings

·         Residential Flats

 

 


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.55.19

UK Pound

1

Rs.87.65

Euro

1

Rs.69.16

 

 

INFORMATION DETAILS

 

Information Gathered by :

JML

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

0

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

46

 

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.