MIRA INFORM REPORT

 

 

Report Date :

31.08.2012

 

IDENTIFICATION DETAILS

 

Name :

HALIDES CHEMICALS PRIVATE LIMITED

 

 

Registered Office :

A-02, M.I.D.C., Kurkumbh, Taluka Daund, District Pune-431105, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

10.04.1995

 

 

Com. Reg. No.:

11-087338

 

 

Capital Investment / Paid-up Capital :

Rs.10.000 Millions

 

 

CIN No.:

[Company Identification No.]

U24117PN1995PTC087338

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNEH04514G

 

 

PAN No.:

[Permanent Account No.]

AAACH4368G

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Exporter of Derivatives.

 

 

No. of Employees :

No Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (44)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 96000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track. There appears a huge dip in the profitability of the company. However, trade networth of the company appears to be satisfactory.

 

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 – 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

 

 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

 

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.

 

 

LOCATIONS

 

Registered Office :

A-02, M.I.D.C., Kurkumbh, Taluka Daund, District Pune-431105, Maharashtra, India

Tel. No.:

91-2117-235356 / 235661

Fax No.:

91-2117-235662

E-Mail :

info@halides-pltd.com

Website :

http://www.haldides-pltd.com

 

 

DIRECTORS

 

AS ON 28.09.2011

 

Name :

Mr. Dhananjay Vithal Nigudkar

Designation :

Director

Address :

Flat No.7, Shriniwas Gaurav Apartments, Plot No.4, S. No. 133, Kothrud, Pune – 411 029, Maharashtra, India

Date of Birth/Age :

26.01.1950

Date of Appointment :

10.04.1995

Din No.:

00026927

 

 

Name :

Mrs. Shailaja Dhananjay Nigudkar

Designation :

Director

Address :

Flat No.7, Shriniwas Gaurav Apartments, Plot No. 4, S. No. 133, Kothrud, Pune – 411 029, Maharashtra, India

Date of Birth/Age :

07.10.1957

Date of Appointment :

10.04.1995

Din No.:

00026986

 

 

Name :

Mr. Sameer Dhananjay Nigudkar

Designation :

Director

Address :

Shriniwas Gaurav Apartment, Flat No.5 and 7, Prabha Housing Society, Plot No.4, Kothrud, Pune – 411 038, Maharashtra, India

Date of Birth/Age :

19.02.1983

Date of Appointment :

27.06.2008

Din No.:

02205912

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

Company/ LLP Status

Defaulting status

1

U24117PN1995PTC087338

HALIDES CHEMICALS PRIVATE LIMITED

Director

25/07/2009

27/06/2008

Active

NO

2

U74900PN2011PTC141574

CUBEZ N CURVEZ STUDIO PRIVATE LIMITED

Director

09/12/2011

09/12/2011

Active

NO

 

 

Name :

Mr. Sanket Dhananjay Nigudkar

Designation :

Director

Address :

Shriniwas Gaurav Apartments, Flat No.5 and 7, Prabha Housing Society, Plot No.4, Kothrud, Pune – 411 038, Maharashtra, India

Date of Birth/Age :

02.05.1984

Date of Appointment :

27.06.2008

Din No.:

02227184

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

Company/ LLP Status

Defaulting status

1

U24117PN1995PTC087338

HALIDES CHEMICALS PRIVATE LIMITED

Director

25/07/2009

27/06/2008

Active

NO

2

U74900PN2011PTC141574

CUBEZ N CURVEZ STUDIO PRIVATE LIMITED

Director

09/12/2011

09/12/2011

Active

NO

 

 

Name :

Mr. Dilip Madhukar Gokhale

Designation :

Additional Director

Address :

101, Rajas Sakharam Complex, Kopar Cross Road Dombivali (West), Dombivali – 421 202, Maharashtra, India

Date of Birth/Age :

11.04.1964

Date of Appointment :

01.07.2010

Din No.:

03083226

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 28.09.2011

 

Names of Shareholders

 

No. of Shares

Dhananjay Vithal Nigudkar

 

418400

Shailaja Dhananjay Nigudkar

 

356100

Anita Arun Kaulgud

 

2400

Madhuri Sanjay Pachpor

 

40000

Sanjay V. Pachpor

 

10000

Ugrabhai Varanashidas Patel

 

80000

Maniben Ugrabhai Patel

 

80000

Sameer Dhananjay Nigudkar

 

6000

Sanket Dhanjay Nigudkar

 

6000

Avinash G. Bhave

 

100

Dilip Madhukar Gokhale

 

1000

TOTAL

 

1000000

 

AS ON 28.09.2011

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

78.75

Other

 

21.25

TOTAL

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Derivatives.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

v      Bank of Maharashtra

v      HDFC Bank Limited

v      State Bank of India, Small Industries Branch, Mumbai-Pune Road, Pune-411003, Maharashtra, India

v      State Bank of India, Hyderabad

v      Standard Chartered Bank

v      State Bank of India, Small Industries Branch, 562/7, River View Apartment, Opposite Savarkar Bhavan, Shivaji Nagar, Pune-411005, Maharashtra, India

 

 

Facilities :

Secured Loan

As on 31.03.2011

[Rs. in Millions]

As on 31.03.2010

[Rs. in Millions]

State Bank of India Cash Credit Account 

(Secured by Hypothecation of stocks, debtors and further guaranteed by Directors in their personal capacity)

5.126

14.740

Bill Discounted by SBI

9.926

0.000

SBI Open Term Loan New

4.771

0.000

SBI Carnama Loan

1.219

0.000

SBI Term Loan New

3.585

0.000

SBI PCFC A/C

(0.392)

0.000

SBI Term Loan Plant and Shed

3.518

4.435

TOTAL

27.753

19.175

 

 

 

Unsecured Loan

As on 31.03.2011

[Rs. in Millions]

As on 31.03.2010

[Rs. in Millions]

Deposit From Directors

 

 

Deposit From Shareholders

0.302

0.446

Interest Accrued and Due on Deposits

0.247

1.714

Directors Current Accounts

0.331

0.778

TOTAL

0.880

2.938

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

BSA and Associates

Chartered Accountants

Address :

102A, Samrudha Varad, Sathe Colony, 1099, Shukrawar Peth, Pune-411002, Maharashtra, India

PAN No.:

AMEPB1162E

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2011

 

Authorised Capital :

No. of Shares

Type

Value

Amount

1000000

Equity Shares

Rs. 10/- each

Rs.10.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

1000000

Equity Shares

Rs. 10/- each

Rs.10.000 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

10.000

10.000

10.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

14.082

14.783

2.287

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

24.082

24.783

12.287

LOAN FUNDS

 

 

 

1] Secured Loans

27.753

19.175

7.352

2] Unsecured Loans

0.880

2.938

7.435

TOTAL BORROWING

28.633

22.113

14.787

DEFERRED TAX LIABILITIES

0.101

0.083

0.000

 

 

 

 

TOTAL

52.816

46.979

27.074

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

31.488

25.626

12.706

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.033

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

12.013
9.098

8.165

 

Sundry Debtors

10.869
18.105

9.745

 

Cash & Bank Balances

0.427
0.208

0.742

 

Other Current Assets

9.896
5.719

2.327

 

Loans & Advances

2.468
1.988

0.481

Total Current Assets

35.673
35.118

21.460

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

12.521
6.327

6.017

 

Other Current Liabilities

0.233
0.528

0.196

 

Provisions

1.591
6.910

0.912

Total Current Liabilities

14.345
13.765

7.125

Net Current Assets

21.328
21.353

14.335

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

52.816

46.979

27.074

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

 

 

 

 

 

SALES

85.985

80.373

33.376

 

 

 

 

 

 

SALARY AND WAGES

2.372

1.509

NA

 

 

 

 

 

 

INTEREST AND BANK CHARGES

3.286

2.446

NA

 

 

 

 

 

 

PROFIT / LOSS AFTER TAX

1.508

12.611

0.880

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

68.231

22.422

11.517

 

 

Freight

3.957

1.708

1.366

 

TOTAL EARNINGS

72.188

24.130

12.883

 

 

 

 

 

 

IMPORT VALUE

13.768

16.619

6.566

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

1.51

12.61

0.88

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

Debt Equity Ratio

(Total Liability/Networth)

 

1.78

1.45

1.78

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.49

2.55

3.01

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Sr. No.

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]

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

Yes

33]

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

No

34]

External Agency Rating, if available

No

 

OPERATIONS AND PERFORMANCE:

 

1.       During the year under report one of the suppliers of “Bromine”, a major raw material required by the company, suffered heavy losses due to foods in Kutch region and due to which the suppliers, plant was also under closure for more than 2 months and as a result there was acute shortage of the above raw materials in the market. It eventually resulted in substantial increase in the price of the raw material. The company had given delivery schedules to its customer and to meet the schedule, the company had to buy the above raw material from whatever sources available and at a price demanded by the other suppliers which at times cost the company three times the normal price.

 

2.       To cover the manifold increase in the price of the raw material, the company requested its customers for a price revision. The company’s request was acceded to by some of the customers of the company. However, the revision of price accepted by the company’s customers was not sufficient to cover ever increasing price of the raw materials.

 

3.       As bromine prices went up, the price of other brominated products required for the production also went up which resulted in the erosion of the margins of the company.

 

4.       The company also uses succinic acid as a major raw material. Succinic acid is a crude oil based product. During last year the international prices of crude oil also witnessed an upward trend which caused the prices of succinic acid to go up substantially.

 

5.       During the year Maharashtra Government revised and increase the minimum wages for all the employees. Hence accordingly the company to pay the wages as per the revised rates. The outgo on account of salaries and wages increased by 57.19% thus resulting in strain on the company’s margins.

 

6.       The demand for the company’s products is increasing. To cater to the increased in demand the company expanded its capacity by installing new machines which were finance through bank borrowing. The interest rate regime hardened during the year and the outgo on account of interest also increased putting further pressure on the profits of the company. As explained in the above table, the company has paid 34.33% more interest in 2010-11 than 2009-10.

 

7.       Although the turnover of the company witnessed an increase during the year high cost of material, increase in employee cost and bank interest resulted in putting heavy strain on the margins of the company which led to substantial decrease in the profits of the company.

 

8.       The order book of the company is healthy and the company is also expecting surge in demand for its products from its international and domestic customers. The directors are making all efforts to control the costs and improve the margins.

 

9.       The directors propose to carry balance of profit of Rs.1.490 millions to balance sheets.

 

 

BANKERS CHARGES REPORT AS PER REGISTRY

 

This form is for

Modification of charge

Charge identification number of the modified 

10197561

Corporate identity number of the company

U24117PN1995PTC087338

Name of the company

HALIDES CHEMICALS PRIVATE LIMITED

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

A-02, M.I.D.C., Kurkumbh, Taluka Daund, District Pune-431105, Maharashtra, India

Type of charge

Book Debts

Movable Property [not being pledge]

Others 

Particular of charge holder

State Bank of India, Small Industries Branch, 562/7, River View Apartment, Opposite Savarkar Bhavan, Shivaji Nagar, Pune-411005, Maharashtra, India

Email

gajanan.kapre@sbi.co.in

Nature of description of the instrument creating or modifying the charge

Supplemental Agreement of Loan-cum-Hypothecation (SME-4)and Memorandum for recording extension of mortgage by Deposit of Title Deeds covering enhanced limits and /or creation of Equitable Mortgage on Additional Properties for Existing Limits and Enhanced Limits and Additional Facilities (SME-7) both the documents executed to cover the enhanced limit with additional security for enhanced limits.

Date of instrument Creating the charge

16.04.2012

Amount secured by the charge

Rs.49.954 Millions

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

Rate of Interest

@6.50% over Base Rate with minimum: 16.50% for DCC. For Term Loan:@7% above Base Rate present effective rate: 17% pa. Penal interest as per RBI's guidelines on default of any of the Term and Conditions.

 

Terms of Repayment

DCC: On Demand. The tenor would be of 12 months. The existing Terms Loans will be continue as per agreed terms and conditions the Fresh Term Loan of Rs.2.000 Millions will have to be repaid in 60 monthly installments starting from April2012 and ending on March2017 as denoted in the repayment schedule in the sanction letter duly acknowledged by the Company through its Directors. Interest will be paid along with installments as and when applied including moratorium period. The charge will be in continuous mode.

 

Margin

RM:25% SEMI AND FINISHED GOODS:30% Book Debts:40% PCFC10% Term Loan:35.48%

 

Extent and Operation of the charge

SBI SI Branch will have first and exclusive charge against all the present and future assets of the Bank including the assets that would come into existence through bank finance. The Company has extended the Collateral security by way of EM of factory land, Hypothecation of new plant and machineries fixtures equipment etc. All the Directors have set Personal Guarantee towards the repayment of entire loan with interest thereon. The charge will be in continuous mode till the repayment of entire loan.

 

Others

The Company, by virtue of the Board Resolution passed on 28/03/2012,has given assent to all the Terms and Conditions, Covenants, as provided in the Bank's Sanction Letter and have executed the related loan document(s)/ Agreement(s) through the Director(s),who have received  and signed the documents in physical form and who have been authorized to file eform-8 for the modifications in the existing limits and in the nature and scope of the charge on agreed terms.

Short particulars of the property charged

All the present and future current assets located at Works and at Registered Office of the Company.

 

Collateral Security: EM of factory land admeasuring 4050 SMT together with a building admea. Built up area 10438 SFT + Parkingarea 1292SFT situated at Plot No.A-2, MIDC Kurkumbh Tal. Daund Distt Pune.

 

Collateral: Hypothecation of existing Plant and Machinery. Extension of New Plant and Machineries.

Particulars of the present modification 

By this present modification, the exiting limit of Rs.49.535 Millions has been enhanced to Rs.49.954 Millions with additional sanction of New Term Loan of Rs.2.000 Millions. The Company has extended collateral security by way of EM of factory land and building to cover the enhanced limit.

 

FIXED ASSETS: 

 

v      Computer

v      Electrical Installation

v      Factory Shed

v      Furniture and Fixture

v      Land

v      Office Equipments

v      Plant and Machinery

v      Vehicles – Honda

 

 


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.55.65

UK Pound

1

Rs.88.10

Euro

1

Rs.69.84

 

 

INFORMATION DETAILS

 

Report Prepared by :

TPT


 

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

4

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

4

--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

 

44

 

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.