MIRA
INFORM REPORT
|
Report Date : |
21.02.2012 |
IDENTIFICATION DETAILS
|
Name : |
VANACHAI PANEL
INDUSTRIES CO., LTD. |
|
|
|
|
Registered Office : |
2/1
Pibulsongkram Road, Bangsue, Bangkok 10800, |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
1995 |
|
|
|
|
Com. Reg. No.: |
0105538073822 [Former :
[1] 1626/2538] |
|
|
|
|
Legal Form : |
Private Limited Company
|
|
|
|
|
Line of Business : |
Manufacturer Particle Boards And Related Products |
|
|
|
|
No. of Employees : |
990 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No complaints |
|
Litigation : |
Clear |
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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
SUMMARY
BUSINESS
ADDRESS : 2/1
PIBULSONGKRAM ROAD, BANGSUE,
BANGKOK 10800,
THAILAND
TELEPHONE : [66] 2585-4900-3,
2913-2180-9
FAX :
[66] 2587-0516,
2587-9556
E-MAIL
ADDRESS : vanachaipanel@thailand.com
vanachai@vanachai.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1995
REGISTRATION
NO. : 0105538073822 [Former : [1]
1626/2538]
CAPITAL REGISTERED : BHT. 4,300,000,000
CAPITAL PAID-UP : BHT.
4,300,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MR.
WATTANA JAROENNAWARAT, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 990
LINES
OF BUSINESS : PARTICLE BOARDS
AND RELATED PRODUCTS MANUFACTURER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was established
on June 22,
1995 as a
private limited company
under the name style VANACHAI
PANEL INDUSTRIES CO., LTD. It is a wholly
owned subsidiary of Vanachai Group Public Company Limited.
The subject currently
employs 990 staff.
Vanachai Group
has been in the timber
industry since 1943,
and over the
years it has accumulated a
wealth of professional
experience while continually
refining its vision. In 1978,
the Group made a successful
transition from traditional
timber products into
the engineering wood
base panel industry - then an
exciting new phenomenon poised
to take the
construction and furniture
industries by storm - and quickly earned
a reputation as
the leading pioneer
and innovator in
the field.
The Vanachai Group is the
largest wooden industry in Thailand with experience accumulated
over 50 years,
puts them into
a secure position,
which is fit
to be called
stability.
On
December 20, 2000 the
subject achieved the
International Standard [ISO
9002] from SGS
Yarsley International, UK.
The
subject’s registered address
is 2/1 Pibulsongkram
Road, Bangsue, Bangkok
10800, and this is
the subject’s current
operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Patta Sahawat
|
[x] |
Thai |
40 |
|
Ms. Yupaporn Boongate |
[x] |
Thai |
58 |
|
Mr. Sompop Sahawat |
[+] |
Thai |
60 |
|
Mr. Wattana Jaroennawarat |
[+] |
Thai |
52 |
|
Mr. Suthep Chaipattanawanich |
|
Thai |
49 |
|
Mr. Vasant Jaroennawarat |
|
Thai |
57 |
|
Mr. Somprasong Sahawat |
|
Thai |
36 |
AUTHORIZED PERSON
One of
the mentioned directors
[x] can jointly
sign with one
of the directors
[+] on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Sompop Sahawat
is the Chairman
He is Thai nationality
with the age
of 60 years
old.
Mr. Wattana Jaroennawarat is
the Managing Director.
He is Thai
nationality with the
age of 52
years old.
Ms. Yupaporn Boongate
is the Executive
Director.
She is Thai
nationality with the
age of 58 years
old.
Mr. Patta Sahawat is
the General Manager.
He is Thai
nationality with the
age of 40
years old.
Mr. Visith Mangkang
is the Factory
Manager.
He is Thai
nationality.
Mr. Pairoj Sutthibanyad is
the Production Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The
subject’s activity is a
manufacturer of particle
boards which has been
made from rubber wood,
as well as
related products, including
Medium Density Fiber
Board [MDFB], Melamine Laminated
Particle Board [MLPB]
and Melamine Laminate
Board [MLB].
PRODUCTION
Particle Board :
750,000 cubic meters
per year
MDF Board :
510,000 cubic meters
per year
Laminate Board :
100,000 cubic meters per
year
PURCHASE
Most
of raw materials
mainly rubber logs
are purchased from
local suppliers, and
the remaining including wood
and chemical are imported from
Malaysia, Singapore, Myanmar, Taiwan,
Laos, Republic of
China and Germany.
MAJOR SUPPLIERS
Vanachai Group Public
Company Limited :
Thailand
Vanachai Chemical Industries
Co., Ltd. : Thailand
SALES
100% of the
products are sold
and exported by
Woodtek International Co.,
Ltd., the subject’s
affiliated company.
PARENT COMPANY
Vanachai Group Public
Company Limited
Business Type : Manufacturer of MDF
& Moulded Door
Skins
Address : 2/1
Pibulsongkram Road, Bangsue,
Bangkok 10800
Tel :
[66] 2585-4900-3, 2586-9682-6.
SUBSIDIARIES & AFFILIATED
COMPANIES
Vanachai Group of
Companies consists of
the followings:
Particle Planner Co.,
Ltd.
Business Type : Manufacturer
of particle board
Vanachai Chemical Industries
Co., Ltd.
Business Type : Manufacturer
of adhesive chemical
Woodtek International Co.,
Ltd.
Business Type : Marketing
of all products
within the group
Doctor Wood Co., Ltd.
Business Type : Manufacturer of
plywood products
Vanachai Plywood Co.,
Ltd.
Business Type : Warehouse
rental service
Vanachai Inter Trading
Group Co., Ltd.
Business Type : Holding company
Mae Yai Co.,
Ltd.
Business
Type : Manufacturer of
flush door &
mould door and veneered MDF.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no
legal suits filed
against the subject for
the past two
years.
CREDIT
Sales are by
cash or on the
credits term of
30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
L/C at sight
or T/T.
BANKING
Krung Thai Bank
Public Co., Ltd.
[Head Office : 35
Silom Rd., Sukhumvit
Rd., Klongtoeynua, Wattana,
Bangkok 10110]
Bangkok Bank Public
Co., Ltd.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok 10500]
Kasikornbank Public Co., Ltd.
[Head Office : 1
Kasikorn Lane, Rajburana
Rd., Bangkok 10140]
TMB Bank Public
Co., Ltd.
[Phaholyothin Branch : 3000
Phaholyothin Rd., Ladyao,
Jatujak, Bangkok 10900]
EMPLOYMENT
The
subject employs approximately
990 staff.
LOCATION DETAILS
The premise
is rented and shared
with companies within
a group for
operating administrative office
on 2,020 square meters
at the heading
address. Premise is
located in commercial/residential area.
Factory I
is located at
8/8 Moo 1
T. Kaonopan A.
Wiengsra, Suratthani 84190.
Tel : [66]
77 301-103, 77
278-500, Fax [66]
77 301-116
Factory II
is located at 115 Moo
3, T. Thongluang, A. Wiengsra,
Suratthani 84190. Tel :
[66] 77 363-000-10,
Fax : [66] 77
361-081
REMARK
MAXIMUM CREDIT SHOULD
BE GRANTED AT
EUR 10,000,000.
COMMENT
Vanachai Group is
the largest wooden
industrial in Thailand
with experience accumulated
over 50 years
puts them into a
secure position, which
is called “stability”.
The
company is also placed
top priority on product
excellence. Its products
have been served
domestic and export
markets. Since late
2009 overall economy has
gradually improved from
impact by financial
problem in U.S.A. Its
business has finally
recovered since the
second half of
2010. This has
also proved that
the strengthen of the company
itself and its
affiliate companies has rapidly recovered from
crisis and finally back
to a solid
performance and the
fastest growing Particle Board and
MDF Broad manufactures in
the country.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 8,000,000 divided
into 800,000 shares
of Bht. 10
each.
The capital was
increased later as
followings :
Bht. 450,000,000 on
April 18, 1996
Bht. 600,000,000 on
September 19, 1997
Bht. 1,600,000,000 on
August 8, 2002
Bht. 4,300,000,000
on September 25,
2007
The
latest registered capital
was increased to Bht. 4,300,000,000
divided into 430,000,000 shares
of Bht. 10
each with fully paid.
THE SHAREHOLDERS LISTE WERE
[as at April
28, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Vanachai Group Public
Company Limited Nationality: Thai Address : 2/1
Pibulsongkram Rd., Bangsue,
Bangkok 10800 |
429,999,993 |
100.00 |
|
Ms. Phattra Sahawat Nationality: Thai Address : 984/36-984/38 Sukhumvit 71 Rd.,
Klongtonnua, Watana, Bangkok
|
1 |
- |
|
Mr. Somprasong Sahawat Nationality: Thai Address : 49/3
Moo 4, Taladkwan, Muang, Nonthaburi |
1 |
- |
|
Mr. Sompop Sahawat Nationality: Thai Address : 2/1
Pibulsongkram Rd., Bangsue,
Bangkok 10800 |
1 |
- |
|
Ms. Yupaporn Boongate Nationality: Thai Address : 25
Phaholyothin 21 Rd., Ladyao,
Jatujak, Bangkok 10900 |
1 |
- |
|
Mr. Vasant Jaroennawarat Nationality: Thai Address : 41/2
Moo 3, Bangkrood, Banpho,
Chachoengsao |
1 |
- |
|
Mr. Wattana Jaroennawarat Nationality: Thai Address : 41/2
Moo 3, Bangkrood, Banpho,
Chachoengsao |
1 |
- |
|
Mrs. Siriporn Chaipattanawanich Nationality: Thai Address : 80/19
Moo 1, Thakham,
Bangkhunthien, Bangkok |
1 |
- |
Total
Shareholders : 8
Share Structure
[as at April
28, 2011]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
8 |
430,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
8 |
430,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO
Ms. Prapasri
Leelasupa No. 4664
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2010 &
2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalents |
174,554,441.12 |
351,730,544.78 |
|
Trade Accounts Receivable |
630,320,639.27 |
912,776,888.82 |
|
Loan to Related Company |
150,000,000.00 |
- |
|
Inventories |
572,294,556.48 |
542,812,034.54 |
|
Spare Parts for
Maintenance |
270,857,743.01 |
239,854,805.66 |
|
Account Receivable - Revenue Department |
38,172,312.78 |
39,014,067.35 |
|
Other Current Assets
|
21,808,220.27 |
32,675,493.93 |
|
|
|
|
|
Total Current Assets
|
1,858,007,912.93 |
2,118,863,835.08 |
|
Fixed Assets |
7,709,091,401.66 |
8,167,546,092.54 |
|
Unutilized Property |
43,467,304.15 |
36,040,404.15 |
|
Other Assets |
600,617.53 |
1,227,794.04 |
|
Total Assets |
9,611,167,236.27 |
10,323,678,125.81 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
470,000,000.00 |
720,014,653.73 |
|
Trade Accounts &
Notes Payable |
736,810,635.32 |
624,634,316.42 |
|
Current Portion of Long-term
Liabilities |
780,000,000.00 |
780,000,000.00 |
|
Other Payable |
152,757,983.80 |
196,492,261.10 |
|
Accrued Expenses |
91,612,323.62 |
76,465,354.21 |
|
Advance Income |
51,020,518.32 |
16,603,655.74 |
|
Other Current Liabilities |
7,817,617.10 |
13,047,523.43 |
|
|
|
|
|
Total Current Liabilities |
2,290,019,078.16 |
2,427,257,764.63 |
|
Long-term Loan from
Financial Institution |
1,570,000,000.00 |
2,350,000,000.00 |
|
Total Liabilities |
3,860,019,078.16 |
4,777,257,764.63 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 10
par value authorized, issued
and fully paid share capital 430,000,000
shares |
4,300,000,000.00 |
4,300,000,000.00 |
|
|
|
|
|
Capital Paid |
4,300,000,000.00 |
4,300,000,000.00 |
|
Retained Earning Appropriated for
Statutory Reserve |
122,000,000.00 |
105,900,000.00 |
|
Unappropriated |
1,329,148,158.11 |
1,140,520,361.18 |
|
Total Shareholders' Equity |
5,751,148,158.11 |
5,546,420,361.18 |
|
Total Liabilities &
Shareholders' Equity |
9,611,167,236.27 |
10,323,678,125.81 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2010 |
2009 |
|
|
|
|
|
Sales |
6,137,772,181.64 |
4,382,246,186.73 |
|
Gain on Exchange Rate |
16,896,285.85 |
10,281,398.08 |
|
Other Income |
18,914,901.10 |
22,921,988.40 |
|
Total Revenues |
6,173,583,368.59 |
4,415,449,573.21 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
4,559,113,422.80 |
3,493,916,319.97 |
|
Selling Expenses |
878,317,054.92 |
691,035,211.15 |
|
Administrative Expenses |
111,041,433.14 |
171,974,100.13 |
|
Directors’ Remuneration |
5,416,230.00 |
5,067,353.54 |
|
Total Expenses |
5,553,888,140.86 |
4,361,992,984.79 |
|
|
|
|
|
Profit before Financial Cost |
619,695,227.73 |
53,456,588.42 |
|
Financial Cost |
[96,767,430.80] |
[131,288,090.00] |
|
|
|
|
|
Net Profit / [Loss] |
522,927,796.93 |
[77,831,501.58] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.81 |
0.87 |
|
QUICK RATIO |
TIMES |
0.42 |
0.52 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
0.80 |
0.54 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.64 |
0.42 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
45.82 |
56.71 |
|
INVENTORY TURNOVER |
TIMES |
7.97 |
6.44 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
37.48 |
76.03 |
|
RECEIVABLES TURNOVER |
TIMES |
9.74 |
4.80 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
58.99 |
65.25 |
|
CASH CONVERSION CYCLE |
DAYS |
24.31 |
67.48 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
74.28 |
79.73 |
|
SELLING & ADMINISTRATION |
% |
16.12 |
19.69 |
|
INTEREST |
% |
1.58 |
3.00 |
|
GROSS PROFIT MARGIN |
% |
26.30 |
21.03 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
10.10 |
1.22 |
|
NET PROFIT MARGIN |
% |
8.52 |
(1.78) |
|
RETURN ON EQUITY |
% |
9.09 |
(1.40) |
|
RETURN ON ASSET |
% |
5.44 |
(0.75) |
|
EARNING PER SHARE |
BAHT |
1.22 |
(0.18) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.40 |
0.46 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.67 |
0.86 |
|
TIME INTEREST EARNED |
TIMES |
6.40 |
0.41 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
40.06 |
|
|
OPERATING PROFIT |
% |
1,059.25 |
|
|
NET PROFIT |
% |
771.87 |
|
|
FIXED ASSETS |
% |
(5.61) |
|
|
TOTAL ASSETS |
% |
(6.90) |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
26.30 |
Impressive |
Industrial Average |
18.38 |
|
Net Profit Margin |
8.52 |
Impressive |
Industrial
Average |
0.77 |
|
Return on Assets |
5.44 |
Impressive |
Industrial
Average |
0.88 |
|
Return on Equity |
9.09 |
Impressive |
Industrial
Average |
2.45 |
Gross Profit Margin used to assess a firm's
financial health by revealing the proportion of money left over from revenues
after accounting for the cost of goods sold. Gross profit margin serves as the
source for paying additional expenses and future savings. Gross Profit Margin
is 26.3%. When compared with the industry average, the ratio of the company was
higher, this indicated that company was more profitable than the same industry.
Net Profit Margin is the indicator of the
company's efficiency in that net profit takes into consideration all expenses
of the company. A low profit margin indicates a low margin of safety, higher
risk that a decline in sales will erase profits and result in a net loss. Net
Profit Margin ratio is 8.52%, higher figure when compared with those of its
average competitors in the same industry, indicated that business was an
efficient operator in a dominant position within its industry.
Return on Assets measures how efficiently
profits are being generated from the assets employed in the business when
compared with the ratios of firms in a similar business. A low ratio in
comparison with industry averages indicates an inefficient use of business
assets. Return on Assets ratio is 5.44%, higher figure when compared with those
of its average competitors in the same industry, indicated that business was an
efficient profit in a dominant position within its industry.
Return on Equity indicates how profitable a
company is by comparing its net income to its average shareholders' equity, ROE
measures how much the shareholders earned for their investment in the company.
Return on Equity ratio is 9.09%, higher figure when compared with those of its
average competitors in the same industry, indicated that business was an
efficient profit in a dominant position within its industry.
Trend
of the average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY RATIO
|
Current Ratio |
0.81 |
Risky |
Industrial
Average |
1.34 |
|
Quick Ratio |
0.42 |
|
|
|
|
Cash Conversion Cycle |
24.31 |
|
|
|
The Current Ratio is to ascertain whether a
company's short-term assets are readily available to pay off its short-term liabilities.
The company's figure is 0.81 times in 2010, decrease from 0.87 times, then the
company may have problems meeting its short-term obligations. When compared
with the industry average, the ratio of the company was lower.
The Quick Ratio is a liquidity indicator
that further refines the current ratio by measuring the amount of the most
liquid current assets there are to cover current liabilities. The company's
figure is 0.42 times in 2010, decrease from 0.52 times, then the company has
not enough current assets that presumably can be quickly converted to cash for
pay financial obligations.
The Cash Conversion Cycle measures the
number of days a company's cash is tied up in the production and sales process
of its operations and the benefit from payment terms from its creditors. It
meant the company could survive when no cash inflow was received from sale for
25 days.
Trend
of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.40 |
Impressive |
Industrial
Average |
0.64 |
|
Debt to Equity Ratio |
0.67 |
Impressive |
Industrial
Average |
1.68 |
|
Times Interest Earned |
6.40 |
Impressive |
Industrial
Average |
0.75 |
Debt to Equity Ratio a measurement of how much
suppliers, lenders, creditors and obligors have committed to the company versus
what the shareholders have committed. A lower the percentage means that the
company is using less leverage and has a stronger equity position.
Times Interest Earned measuring a company's
ability to meet its debt obligations. Ratio is 6.41 higher than 1, so the
company can pay interest expenses on outstanding debt.
Debt Ratio shows the proportion of a
company's assets which are financed through debt. The company's figure is 0.4
less than 0.5, most of the company's assets are financed through equity.
Trend
of the average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
0.80 |
Deteriorated |
Industrial
Average |
2.87 |
|
Total Assets Turnover |
0.64 |
Acceptable |
Industrial
Average |
1.15 |
|
Inventory Conversion Period |
45.82 |
|
|
|
|
Inventory Turnover |
7.97 |
Impressive |
Industrial
Average |
2.23 |
|
Receivables Conversion Period |
37.48 |
|
|
|
|
Receivables Turnover |
9.74 |
Impressive |
Industrial
Average |
4.10 |
|
Payables Conversion Period |
58.99 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.21 |
|
|
1 |
Rs.77.75 |
|
Euro |
1 |
Rs.64.58 |
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 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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.