MIRA INFORM REPORT

 

 

Report Date :

21.12.2012

 

 

 

 

IDENTIFICATION DETAILS

 

Name :

PEARL POLYMERS LIMITED

 

 

Registered Office :

204, Rohit House 3, Tolstoy Marg, New Delhi - 110001

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

12.02.1971

 

 

Com. Reg. No.:

05-005535

 

 

Capital Investment / Paid-up Capital :

Rs. 271.568 Millions

 

 

CIN No.:

[Company Identification No.]

L25209DL1971PLC005535

 

 

Legal Form :

A Public Limited Liability company. The company’s Share are Listed on the Stock Exchange.

 

 

Line of Business :

Manufacturer and Exporter of PET Containers and Bottles

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

C

 

RATING

STATUS

PROPOSED CREDIT LINE

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

Status :

Under Liquidation Process

 

 

Payment Behaviour :

-

 

 

Litigation :

-

 

 

Comments :

Subject is a company which is under the liquidation process.

 

The operations are carried out by the subject during 2012 and it has incurred loss.

 

Business is active. Payments are reported to be slow.

 

The considered for business dealings only 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 :

204, Rohit House 3, Tolstoy Marg, New Delhi - 110001 India

Tel. No.:

91-11-41417917-21

Fax No.:

91-11-41417596

E-Mail :

mcafiling@gmail.com

info@pearlpet.com

Website :

http://www.pearlpet.net

 

 

Work 1:

B-3/2, MIDC District  Raigad, Mahad- 403302,Maharashtra, India

 

 

Work 2 / North Marketing Office :

2-A, Sector-18, HSIIDC Industrial Area, Gurgaon-122016, Haryana, India

Tel. No.:

91-124-4096000

Fax No.:

91-124-4010191 / 91-9310782103

E-Mail :

info@pearlpet.com

 

 

Work 3 / South Marketing Office :

13-A, Part-I Jigani Industrial Area, District Anekal, Bangalore - 562106, Karnataka, India

Tel. No.:

91-80-7825326 / 7825577 / 91-7483121061

Fax No.:

91-80-7825579

 

 

Work 4:

Khasra Number 512-513, Village-Sandholi (Baddi), Tehsil-Nalagarh District- Solan, Himachal Pradesh, India

 

 

Work 5:

Plot Number 45, Sector-3, Village Kalyanpur, Tehsil Kichha, District U.S. Nagar, IIE, Pantnagar, Uttaranchal, India

 

 

West Marketing Office :

Kamanwala Chambers, 2nd Floor, New Udyog Mandir Premises Number 2 Mogul lane, Mahim (West), Mumbai – 400016

Tel. No.:

91-22-24457644 / 24450716-17 / 91-9323732505

Fax No.:

91-22-24449348

 

 

DIRECTORS

 

As on: 31.03.2012

 

Name :

Mr. Chand Seth

Designation :

Chairman and Managing Director

 

 

Name :

Mr. Varun Seth

Designation :

Whole-Time Director

 

 

Name :

Dr. Sai Ramachandran

Designation :

Director

 

 

Name :

Mr. Ramesh Mehra

Designation :

Director

 

 

Name :

Mr. Mahavir Singh

Designation :

Nominee Director (HSIIDC)

 

 

KEY EXECUTIVES

 

Name :

Ms. Chandni Gupta

Designation :

Company Secretary

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 30.09.2012

 

Category of Shareholder

Total No. of Shares

Total Shareholding as a % of total No. of Shares

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

 

 

Individuals / Hindu Undivided Family

3452638

20.51

Bodies Corporate

5703165

33.88

Sub Total

9155803

54.39

(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

9155803

54.39

(B) Public Shareholding

 

 

(1) Institutions

 

 

Mutual Funds / UTI

5410

0.03

Financial Institutions / Banks

460

0.00

Insurance Companies

670162

3.98

Foreign Institutional Investors

8700

0.05

Sub Total

684732

4.07

(2) Non-Institutions

 

 

Bodies Corporate

2204687

13.10

Individuals

 

 

Individual shareholders holding nominal share capital up to Rs.0.100 Million 

2351140

13.97

Individual shareholders holding nominal share capital in excess of Rs.0.100 Million 

2169026

12.88

Any Others (Specify)

269544

1.60

Clearing Members

46254

0.27

NRIs/OCBs

223290

1.33

Sub Total

6994397

41.55

Total Public shareholding (B)

7679129

45.61

Total (A)+(B)

16834932

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

(1) Promoter and Promoter Group

0

0.00

(2) Public

0

0.00

Sub Total

0

0.00

Total (A)+(B)+(C)

16834932

0.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of PET Containers and Bottles

 

 

Products :

Industrial Products

 

Pearl Pet - Retail

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

  • Bank of Baroda
  • Allahabad Bank
  • IDBI Bank

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2012

As on

31.03.2011

Long Term Borrowings

 

 

Term Loans from banks

25.000

41.000

Term Loans from Other Parties

71.622

70.698

Vehicle Loans from banks

6.775

9.374

Short Term Borrowings

 

 

Loan Repayable on demand from Banks

226.563

227.678

Total

329.960

348.750

Unsecured Loan

As on

31.03.2012

As on

31.03.2011

Long Term Borrowings

 

 

Deferred Sales Tax

0.000

2.963

Deposits from Others

2.628

2.541

Other Loans and Advances

0.000

45.839

Short Term Borrowings

 

 

Loans and Advances from Related Parties

0.000

5.087

Deposits

74.894

156.544

Other Loans and Advances

10.000

30.000

Total

87.522

242.974

 

 

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

J.C Bhalla and Company

Chartered Accountant

Address :

B-5, Sector-6, Noida-201301, Uttar Pradesh, India

 

 

Related parties where control exists :

  • Amit Apartments Limited
  • Beta Finance and Trading Private Limited
  • Emperor Travels and Tours Private Limited
  • Gama Investments Private Limited
  • Pearl Apartments Limited
  • Pacific Pearl Finance and Leasing Limited
  • Pearl Engineering Polymers Limited
  • Pearl International Tours and Travels Limited
  • Theta Investments Private Limited
  • Pearl Telefonics Limited

 

 

CAPITAL STRUCTURE

 

As on: 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30000000

Equity Shares

Rs.10/- each

Rs.300.000 Millions

2000000

Non Cumulative Redeemable Preference Shares

Rs. 100/- each

Rs.200.000 Millions

 

 

 

 

 

Total

 

Rs.500.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

 

 

16834932

Equity Shares

Rs.10/- each

Rs.168.349 Millions

 

1033000

5% Non Cumulative Redeemable Preference Shares

Rs. 100/-each

Rs.103.300 Millions

 

 

Less: Calls in Arrears

 

Rs. 0.081 Millions

 

 

Total

 

Rs.271.568 Millions

 

After: 20.09.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30000000

Equity Shares

Rs.10/- each

Rs.300.000 Millions

2000000

Non Cumulative Redeemable Preference Shares

Rs. 100/- each

Rs.200.000 Millions

 

 

 

 

 

Total

 

Rs.500.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

 

 

16834932

Equity Shares

Rs.10/- each

Rs.168.349 Millions

 

1033000

5% Non Cumulative Redeemable Preference Shares

Rs. 100/-each

Rs.103.300 Millions

 

 

Total

 

Rs.271.649 Millions

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

271.568

185.768

227.768

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

304.319

304.990

298.281

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

575.887

490.758

526.049

LOAN FUNDS

 

 

 

1] Secured Loans

329.960

348.750

376.297

2] Unsecured Loans

87.522

242.974

232.198

TOTAL BORROWING

417.482

591.724

608.495

DEFERRED TAX LIABILITIES

94.204

97.196

98.734

 

 

 

 

TOTAL

1087.573

1179.678

1233.278

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

762.225

771.998

762.517

Capital work-in-progress

0.057

0.000

6.321

 

 

 

 

INVESTMENT

66.653

86.787

86.788

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

235.412

217.130

183.008

 

Sundry Debtors

335.170

319.899

322.682

 

Cash & Bank Balances

40.487

32.781

58.586

 

Other Current Assets

28.055

26.163

0.000

 

Loans & Advances

41.107

182.287

110.878

Total Current Assets

680.231

778.260

675.154

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

227.801

248.121

222.312

 

Other Current Liabilities

158.434

175.658

46.310

 

Provisions

35.358

33.588

28.880

Total Current Liabilities

421.593

457.367

297.502

Net Current Assets

258.638

320.893

377.652

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1087.573

1179.678

1233.278

 


PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

2144.631

1892.939

1716.941

 

 

Other Income

21.230

15.300

13.801

 

 

TOTAL                                     (A)

2165.861

1908.239

1730.742

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of materials consumed

1362.693

1108.713

 

 

 

Purchase of traded goods

0.000

7.498

 

 

 

Changes in inventories of finished goods Stock in Process and Stock in Trade

(26.364)

(25.120)

1548.562

 

 

Employees benefits expense

182.034

170.677

 

 

 

Other expenses

478.977

472.536

 

 

 

Prior period adjustments

0.060

(0.409)

 

 

 

 

 

 

 

 

 

TOTAL                                     (B)

1997.400

1733.895

1548.562

 

 

 

 

 

Less

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

168.461

174.344

182.180

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

91.028

88.715

71.295

 

 

 

 

 

 

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

77.433

85.629

110.885

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

84.095

79.059

75.347

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

(6.662)

6.570

35.538

 

 

 

 

 

Less

TAX                                                                  (H)

(2.992)

(0.146)

12.557

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

(3.670)

6.716

22.981

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

39.449

69.740

44.767

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Proposed Dividend (incl. tax)

0.001

0.007

0.008

 

 

Transfer to Capital Redemption Reserve

17.500

42.000

10.500

 

 

Transfer from Debenture Redemption Reserve

0.000

(5.000)

(12.500)

 

BALANCE CARRIED TO THE B/S

18.278

39.449

69.74

 

 

 

 

 

 

FOREIGN EXCHANGE EARNING (FOB)

6.535

2.409

NA

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

174.300

8.967

0.184

 

 

Capital Goods

0.000

0.000

1.153

 

 

Traded Goods

0.000

5.702

0.000

 

TOTAL IMPORTS

174.300

14.669

1.337

 

 

 

 

 

 

Earnings Per Share (Rs.)

(0.22)

0.40

NA

 

QUARTERLY / SUMMARISED RESULTS

 

PARTICULARS

 

 

30.06.2012

30.09.2012

 

 

1st Quarter

2nd Quarter

Net Sales

 

523.230

526.220

Total Expenditure

 

510.560

511.100

PBIDT (Excl OI)

 

12.670

15.120

Other Income

 

3.430

8.550

Operating Profit

 

16.100

23.670

Interest

 

21.290

20.870

Exceptional Items

 

0.000

(3.400)

PBDT

 

(5.190)

(0.600)

Depreciation

 

21.500

21.390

Profit Before Tax

 

(26.690)

(21.990)

Tax

 

0.000

0.000

Profit After Tax

 

0.000

(21.990)

Net Profit

 

(26.690)

(21.990)

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

(0.17)

0.35

1.33

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

(0.31)

0.34

2.05

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(0.46)

0.42

2.47

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.01)

0.01

0.07

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

1.46

2.14

1.72

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.61

1.70

2.27

 

 

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

 No

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

Yes

17]

Major suppliers

Yes

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

No

31]

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

No

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

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

Industry Structure and Development:

 

The plastic industry of India has a big market potentiality and is gradually prospering. This, potentiality of the market will surely actuate the entrepreneurs to invest in this industry. Entrepreneurs are trying to provide high quality plastic products; it is amongst the booming industries at the global level. The plastic Industry chain can be classified into two primary segments, viz. the Upstream which is the manufacturing of polymers and the Downstream which is the conversion of polymers into plastic articles. It has become the key drivers of innovations & application development. The rising general demand for plastics as a substitute for other materials mutes the cyclical effects. The potentiality of plastic industry India propels other associated industries to grow side by side. The Company is one of the leading manufacturers and exporters of PET bottles and containers representing the Indian Plastic Industry under the brand name “PEARLPET” with dominance in both institutional and retail segment. Its production facilities, most strategically placed at 5 locations namely: Baddi, Gurgaon, Pant Nagar, Mahad and Jigani, in close proximity to our diversified customer base, involved in manufacturing of blow-moulded PET bottles & containers and other injection-moulded plastic products.

 

Financial performance with respect to operational performance:

 

During the year under review, the Company registered a turnover of Rs. 2262.500 Millions, thereby reporting a growth of 13% over the previous year's turnover of Rs. 2002.400 Millions. The Gross sales have improved tremendously over a period of last five years by approx 50% since the Financial Year 2007-2008.

 

However, on account of significant increase in raw material prices, and change in inventories, the Company incurred a loss of Rs. 3.670 Millions. However, the Company is forward looking about improving and expanding its operations to capture the market potential to its advantage.

 

Economic Scenario and Industry Outlook:

 

Last few years have been tumultuous for plastics and petrochemicals sector due to steep rise in oil prices, which has adversely affected the global economies. However, worldwide plastics Industry witnessed a steady growth rate this year which is reflected in the increased consumption figures of all types of plastic materials. On the purchase power parity basis, it is one of the top five global industries and is expected to be the third largest by the turn of this decade.

 

World-wide, the plastics and polymer consumption will have an average growth rate of 5% and it will touch a figure of 227 million tons by 2015. Globally, it is projected that PET (Bottle grade) will have the highest growth rate of about 11% Annual Average Growth Rate (AAGR) amongst all polymers.

 

The Indian plastic industry has a Demand Potential of 12.5 MMT, and Investment Potential of Rs. 840000.000 Millions in 2011-12. According to vision 2015, the consumption of Polymers will increase upto 15% CAGR i.e. 18.9 million tones and the turnover of plastic Industry is expected to increase up to Rs.0.1 33 Million. The number of processing units from the current 30,000 is expected to increase to 40,000, a 33% growth which will in-turn also increase the employment potential of the sector. The per capita consumption of plastic products in India is growing and is moving towards 8% GDP Growth in near future.


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 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.54.74

UK Pound

1

Rs.89.02

Euro

1

Rs.72.48

 

 

INFORMATION DETAILS

 

Report Prepared by :

RAJ

 


 

 

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.