|
Report Date : |
20.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
TRANSFORMERS AND ELECTRICALS KERALA LIMITED |
|
|
|
|
Registered
Office : |
AP, VII/336, Angamali South P O, Eranakulam-683573, Kerala |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2012 (Profit and Loss Account) |
|
|
|
|
Date of
Incorporation : |
09.12.1963 |
|
|
|
|
Com. Reg. No.: |
09-002043 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 429.674 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U31102KL1963SGC002043 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CHNT01432E |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACT6205D |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter of power transformers, switch gears,
isolated phase etc |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
A (61) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 4200000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a State Government Company of Kerala. The subject had collaboration and transfer 44.6% of paid up share to
NTPC Limited. It is the well established and reputed company having good track
record. Fundamental are appear to be healthy and strong liquidity position
appears to strong. Credit worth of the company is good. Trade relations are reported to be fair. Business is active. Payments
are reported regular and as per commitments. The company can be considered normal for business dealings on a safe
and secured 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 : |
AP, VII/336, Angamali South P O, Eranakulam-683573, Kerala, India |
|
Tel. No.: |
91-484-2510251 / 2454597 |
|
Fax No.: |
91-484-2452363 / 2452873 |
|
E-Mail : |
|
|
Website : |
DIRECTORS
AS ON 11.08.2011
|
Name : |
Mr. Thotanchath Balakrishnan |
|
Designation : |
Chairman |
|
Address : |
9 C, SFS, Kingswood, Jawahar Nagar, Kawadiar P.O.
Thriuvananthapuram-695003, Kerala, India |
|
Date of Birth/Age : |
03.10.1951 |
|
Date of Appointment : |
21.06.2007 |
|
DIN No.: |
00052922 |
|
|
|
|
Name : |
Mr. Thenuvila Osman Khan Sooraj |
|
Designation : |
Nominee Director |
|
Address : |
Ushus MRA 180, Vadayakad, Vanchiyoor P O Trivandrum,
Trivandrum-695024, Kerala, India |
|
Date of Birth/Age : |
31.05.1958 |
|
Date of Appointment : |
18.06.2009 |
|
DIN No.: |
00518809 |
|
|
|
|
Name : |
Mr. Siva Kumar Kristam |
|
Designation : |
Nominee Director |
|
Address : |
D3, NTPC Township, Sector 33, Noida-201301, Uttar Pradesh, India |
|
Date of Birth/Age : |
01.11.1951 |
|
Date of Appointment : |
18.06.2009 |
|
DIN No.: |
02299217 |
|
|
|
|
Name : |
Mr. Shailendra Pal Singh |
|
Designation : |
Nominee Director |
|
Address : |
158, Madanlal Block, Asian Games Village Complex, New Delhi-110049,
India |
|
Date of Birth/Age : |
12.02.1953 |
|
Date of Appointment : |
18.06.2009 |
|
DIN No.: |
02296585 |
|
|
|
|
Name : |
Mr. Dinesh Kumar Jain |
|
Designation : |
Nominee Director |
|
Address : |
305, Technology Apartments, IP Extension, New Delhi-110092, India |
|
Date of Birth/Age : |
23.06.1952 |
|
Date of Appointment : |
07.07.2010 |
|
DIN No.: |
00820290 |
|
|
|
|
Name : |
Mr. Arun Kumar Gupta |
|
Designation : |
Managing Director |
|
Address : |
47, Shanti Vihar, Delhi-110092, India |
|
Date of Birth/Age : |
15.07.1957 |
|
Date of Appointment : |
26.04.2011 |
|
DIN No.: |
03501962 |
KEY EXECUTIVES
|
Name : |
Mr. Joffy George Chalakkal |
|
Designation : |
Secretary |
|
Address : |
Masters Villa, Chalakkal House, Velur P O, Trichur-680601, Kerala,
India |
|
Date of Birth/Age : |
31.05.1979 |
|
Date of Appointment : |
11.07.2007 |
|
PAN No.: |
AFFPC8452A |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 11.08.2011
Note: Shareholder
details file attached.
AS ON 11.08.2011
|
Equity Shares
Break Up |
Percentage of
Holding |
|
Government
[Central and State] |
54.56 |
|
Government
companies |
44.60 |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s),
Non-resident Indian(s) or Overseas Corporate bodies or Others |
0.02 |
|
Bodies corporate |
0.04 |
|
Other top fifty shareholders |
0.29 |
|
Others |
0.49 |
|
TOTAL |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of power transformers, switch gears,
isolated phase etc |
||||||||
|
|
|
||||||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|
|
|
|
Bankers : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Paulson and Company Chartered Accountants |
|
Address : |
VII/2830, Main Road, Kaloor, Kochin-682017, Kerala, India |
|
PAN No.: |
AAHFP2419D |
CAPITAL STRUCTURE
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
125000000 |
Equity Shares |
Rs.10/- each |
Rs. 1250.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
42975400 |
Equity Shares |
Rs.10/- each |
Rs. 429.754
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
429.674 |
429.674 |
|
|
2] Share Application Money |
|
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
|
640.709 |
558.643 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
|
NETWORTH |
|
1070.383 |
988.317 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
0.000 |
0.000 |
|
|
2] Unsecured Loans |
|
0.000 |
0.000 |
|
|
TOTAL BORROWING |
|
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
1070.383 |
988.317 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
63.406 |
50.602 |
|
|
Capital work-in-progress |
|
12.614 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
0.070 |
0.070 |
|
|
DEFERREX TAX ASSETS |
|
6.720 |
7.300 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
562.473 |
454.772 |
|
|
Sundry Debtors |
|
543.584 |
551.422 |
|
|
Cash & Bank Balances |
|
322.358 |
337.986 |
|
|
Other Current Assets |
|
0.000 |
0.000 |
|
|
Loans & Advances |
|
61.986 |
63.658 |
|
Total
Current Assets |
|
1490.401 |
1407.838 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
133.073 |
37.829 |
|
|
Other Current Liabilities |
|
263.259 |
291.088 |
|
|
Provisions |
|
106.496 |
148.576 |
|
Total
Current Liabilities |
|
502.828 |
477.493 |
|
|
Net Current Assets |
|
987.573 |
930.345 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
1070.383 |
988.317 |
|
NOTE: Current year
balance sheet not available.
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1968.600 |
1920.403 |
2084.326 |
|
|
|
Other Income |
55.100 |
51.608 |
24.928 |
|
|
|
TOTAL (A) |
2023.700 |
1972.011 |
2109.254 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Consumption
materials changes inventories |
1202.400 |
1132.204 |
1103.954 |
|
|
|
Manufacturing
service costs |
0.000 |
72.735 |
60.003 |
|
|
|
Employee related
expenses |
452.600 |
390.584 |
375.499 |
|
|
|
Administrative
selling other expenses |
137.500 |
76.903 |
96.360 |
|
|
|
Change In
Inventories of Finished Goods, Work in Progress |
7.100 |
0.00 |
0.000 |
|
|
|
Prior Period
Items |
(5.200) |
(0.070) |
(3.250) |
|
|
|
TOTAL (B) |
1794.400 |
1672.356 |
1632.566 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
229.300 |
299.655 |
476.688 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
19.000 |
11.705 |
12.298 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
210.300 |
287.950 |
464.390 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
17.600 |
12.567 |
8.599 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
192.700 |
275.383 |
455.791 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
60.600 |
153.367 |
158.986 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
132.100 |
122.016 |
296.805 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
NA |
88.160 |
200.063 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
NA |
0.000 |
308.500 |
|
|
|
Dividend |
NA |
34.374 |
85.935 |
|
|
|
Tax on Dividend |
NA |
5.576 |
14.273 |
|
|
BALANCE CARRIED
TO THE B/S |
NA |
170.226 |
88.160 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
NA |
NA |
326.688 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
NA |
NA |
6.961 |
|
|
|
Others |
NA |
NA |
14.106 |
|
|
TOTAL IMPORTS |
NA |
NA |
21.067 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
-- |
2.84 |
6.91 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
6.53
|
6.19 |
14.07 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
9.79
|
14.34 |
21.87 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
NA
|
17.65 |
31.10 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
NA
|
0.26 |
0.46 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
NA
|
0.47 |
0.48 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
NA
|
2.96 |
2.95 |
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) |
Yes |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
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] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
No |
FINANCIAL
HIGHLIGHTS
During the year,
Sales Turnover net of excise duty, increased by 2.51% from Rs.1920.400 Millions
in 2010-11 to 1968.600 in 2011-12. Profit after tax for the year 2011-12 is
placed at Rs.132.100 Millions as against Rs.122.000 Millions during 2010-11
registering a growth of 8.28%. Net Worth of the company has gone up from Rs.
1070.300 Millions to Rs.1162.400 Millions registering an increase of 8.61%.
Despite difficult,
hard and adverse market conditions the Company has recorded it's highest ever
production of 5806 MVA, and the plant utilization factor of 130% as against the
industry average of 70-75%. This is, indeed, a unique distinction which was
made possible with a great team effort administrated by each and every member
of the TELK family right from the workmen to senior most officers, resulting in
an increase of 12% production when compared to the previous year. However, the
poor market conditions and the intense price war did not allow the
corresponding increase in the turnover which recorded an increase of only
2.51%.
Efforts were also
made towards cost reduction in different areas like design and engineering
optimization, economy in procurement through long term rate contract and
optimum economic order quantities through careful inventory planning. The
overall productivity level also registered an increase from 6.4 MVA per
employee in the previous year to 7.42
MVA per employee in the current year. The overtime payments were
also reduced from Rs.25.000 Millions
last year to Rs.12.000 Millions in the current year. However, all these cost
cutting initiatives and increase in productivity were neutralized by the
adverse market conditions because of which the gross profit margins got
reduced. In spite of this, the net profit registered an incremental growth of
8.28%.
The Company will
complete 50 years in December 2013. It is a matter of great pride to reflect on
the progress made by the Company, especially over the last 5 years after the
Joint Venture was formed between Government of Kerala and NTPC Limited. With
the whole hearted support of both the JV Partners, the Company has created many
growth drivers and now completely turned around to become a profit making and dividend
paying Company with a net worth of over Rs.1150.000 Millions. This performance
is stellar when reviewed against the backdrop of extremely adverse market
conditions and poor economic growth in the Electrical Manufacturing Industry.
All the employees of the Company have performed very well, driven by a strong
and motivated team.
FIXED ASSETS
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 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 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. 54.73 |
|
|
1 |
Rs. 89.01 |
|
Euro |
1 |
Rs. 72.47 |
INFORMATION DETAILS
|
Report Prepared
by : |
DPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
61 |
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.