|
Report Date : |
22.02.2012 |
IDENTIFICATION DETAILS
|
Name : |
P.T. PABRIK
KERTAS TJIWI KIMIA TBK |
|
|
|
|
Formerly Known As : |
P.T. PABRIK
KERTAS TJIWI KIMIA |
|
|
|
|
Registered Office : |
Jl. Raya Surabaya-Mojokerto Km. 44 Desa Kramat
Temanggung Kecamatan Tarik, Sidoarjo, East Java |
|
|
|
|
Country : |
Indonesia |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
02.10.1972 |
|
|
|
|
Com. Reg. No.: |
No.
AHU-42925.AH.01.02.Tahun 2009 (latest permit) |
|
|
|
|
Legal Form : |
Public Listed
Company |
|
|
|
|
Line of Business : |
Cultural and
Industrial Paper Manufacturing |
|
|
|
|
No. of Employees : |
12,482 persons |
RATING & COMMENTS
|
MIRAs Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
US$. 167.0 million |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
Slow |
|
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) |
|
Indonesia |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
P.T. Pabrik Kertas TJIWI KIMIA Tbk
Head Office &
Factory
Jl. Raya Surabaya-Mojokerto Km. 44
Desa Kramat Temanggung
Kecamatan Tarik,
Sidoarjo, East Java
Indonesia
Phones -
(0321) 361552, 361574-77
Fax -
(0321) 361615
Telex -
31094 TJIWI MR
P.O. Box - 115 MOJOKERTO
Land Area - 36.0 hectares
Building Space - 4.5 hectares
Region - Industrial Zone
Status - Owned
Branches
a.
Jakarta Office
Plaza BII, Tower II, 9th
Floor
Jalan
M.H. Thamrin No. 51
Jakarta 10350
Phones
- (021) 392966-69
Fax -
(021) 3927685
E-mail -
app_investors@app.co.id
b.
Singapore Office
Room
1609, 16th Floor, SHENTON HOUSE
3
Shenton Way
Singapore
Phones - (65)
2209166-69
c.
Surabaya Office
Jalan
Rajawali No. 31-33
Surabaya
East
Java
Phones -
(031) 3530520, 33524130, 3524133
Fax - (031) 3525409
Date of
Incorporation :
a. 02 October 1972 as P.T. Pabrik Kertas
TJIWI KIMIA
b. 08 July 1996 as P.T. Pabrik Kertas TJIWI
KIMIA Tbk.
Legal Form :
P.T. Tbk.
(Perseroan Terbatas Terbuka) or Public Listed Company
Company Reg. No. :
The Ministry of
Law and Human Rights
a. No.
Y.A. 5/439/25 (initial permit)
Dated 22 December 1975
b. No.
AHU-42925.AH.01.02.Tahun 2009 (latest permit)
Dated 01 September 2009
Company Status :
Domestic Investment (PMDN) Company
Permit by the Government Department :
a. The Department of Industry
No. 2040/St-J/XII/1974
Dated
14 December 1974
b. The Capital Investment
Coordinating Board
-
No. 564/III/PMDN/1987
Dated 11 November 1987
-
No. 212/III/PMDN/1996
Dated 31 May 1996
Related Companies :
A Member of the SINAR MAS Group
Capital Structure :
Authorized Capital - Rp. 5,000,000,000,000
Issued Capital - Rp. 1,335,702,240,000
Paid up Capital - Rp. 1,335,702,240,000
Shareholders/Owners :
a. P.T. PURINUSA EKAPERSADA - Rp 796,178,235,000 (60%)
b. The Public -
Rp 539,524,005,000 (40%)
Lines of Business
:
a. Cultural
and Industrial Paper Manufacturing
b. Caustic
Soda Manufacturing
c. Investment
Holding
Production
Capacity :
a. Industrial and Cultural Papers -
194,000 tons p.a.
b. Corrugated
Paper Boxes - 98,300 tons p.a.
c. Kraft Papers -
186,000 tons p.a.
d. Caustic
Soda - 14,900
tons p.a.
e. Computer
and Telex Papers - 10,800 tons p.a.
f. NRC, Coated and Cultural Papers -
130,800 tons p.a.
g. Fine
Papers for Laminating - 7,200 tons p.a.
h. Lining Papers - 7,200 tons p.a.
i. Tissue
Papers - 3,600 tons p.a.
j. Duplex
Coated Papers - 51,600 tons
p.a.
k. Cardboards - 14,600 tons p.a.
l. Pulps
and Baggases - 117,600 tons p.a.
m. Writing
Books - 30 million pcs.p.a.
n. HVS
and Writing Papers -
210,000 tons p.a.
o. Silicon
Papers -
20,000 tons p.a.
p. Cast
Coating Papers - 10,000 tons p.a.
q. High
Quality Exercise Book, Note
Book,
Computer Continuous Form
Box Stationery -
300,000 tons p.a
r. Calcium
Hypochloride - 7,200
tons p.a.
s. Liquid
Calcium Hypochloride -
64,000 tons p.a.
t. Calcium
Oxide - 36,000
tons p.a.
Total Investment :
a.
Equity Capital -
Rp. 1,335.3 billion
b.
Loan Capital -
Rp. 15,295.0 billion
c.
Total Investment -
Rp. 16,630.3 billion
Started Operation :
1 9 7 7
Brand Name :
Bola Dunia, Anchor
Brand, Betet, Clean Coated Board, Evergreen, Globe Brand, Golden Art, etc
Technical Assistance :
None
Number of Employee :
12,482 persons
Marketing Area :
Domestic - 70%
Export -
30%
Main Customers :
a. P.T. SURYA JAYA
PLACE (Distributor)
b. P.T. PERMATA
BIRU INDAH (Distributor)
c. P.T. SUTIO
JAYATAMA (Distributor)
d. P.T. MARGONO (Distributor)
e. Buyers in Middle East, Africa, Europe, USA, Australia and Asia
Market Situation :
Very Competitive
Main Competitors :
a. P.T. SURABAYA
AGUNG KERTAS
b. P.T. RIAU ANDALAN KERTAS
c. P.T. KERTAS LECES
d. P.T. SUPARMA Tbk
e. Etc.
Business Trend :
Fluctuating
B a n k e r s :
a. P.T.
Bank INTERNATIONAL INDONESIA Tbk
Plaza BII, Menara II, 7th Floor
Jalan
M.H. Thamrin No. 51
Jakarta 10350
b. The Bank of AMERICA N.T. & S.A.
Gedung
Bursa Efek Jakarta, Menara I
Jalan Jend. Sudirman
Kav. 52-53
Jakarta Selatan
c. The
LONG-TERM CREDIT Bank of Japan Ltd.
Singapore
d.
DEUTSCHE
Bank, AG
Jalan
Imam Bonjol No. 80
Jakarta
Pusat
e. P.T. INDOSUEZ INDONESIA Bank
Jakarta
Branch
SUMMITMAS
TOWER II, 19th Floor
Jalan
Jend. Sudirman Kav. 61-62
Jakarta
Selatan
f.
P.T.
INTERNATIONAL NEDERLANDEN
INDONESIA,
Bank
SUMMITMAS
TOWER II, 14th Floor
Jalan
Jend. Sudirman Kav. 61-62
Jakarta
Selatan
Auditor :
Jimmy Budhi & Partners (A member of Moores Rowland International)
Litigation :
No litigation record in our database
Annual Sales :
2007 US$.
1,154.9 million
2008 US$.
1,358.8 million
2009 US$.
1,174.1 million
2010 US$.
1,338.8 million
2011 US$. 721.1 million (as of 30 June)
Net Profit (Loss)
:
2007 US$. 10.6 million
2008 US$. 51.7 million
2009 US$. 31.6 million
2010 US$. 46.6 million
2011 US$. 40.6 million (as of 30 June)
Payment Manner :
Sometime delay
Financial Comments :
Satisfactory
Board of Management :
President Director - Mr. Yudi Setiawan Lin
Directors - a.
Mrs. Linda Suryasari Wijaya Limantara
b. Mrs. Indah Suryasari Wijaya Limantara
b. Mr. Hendra Jaya Kosasih
c. Mr. Anton Mailoa
d. Mr. Suresh Kilam
e. Mr. Raymond Liu, Ph.D.
f. Mr.
Ir. Buyung Wahab, MM.
Director & Corporate
Secretary - Mr. Agustian R.
Partawidjaja or Yan Partawidjaja
Board of Commissioners :
President
Commissioner - Mr. Teguh
Ganda Widjaja AKA Oei Tie Goan
Vice
Pres. Commissioner - Mr.
Ir. Gandi Sulistiyanto Soeherman
Commissioners - a. Drs. John
Ferdinand Pandelaki
b. Mr. Arthur Tahja
c. Drs. Pande Putu Raka, MA
d. Letjen TNI (ret) Soetedjo
e. DR. Ramelan, SH, MH
Signatories :
President Director (Mr. Yudi Setiawan
Lin) or one of the Directors (Mrs. Linda Suryasari Wijaya Limantara, Mrs. Indah
Suryasari Wijaya Limantara, Mr. Hendra Jaya Kosasih, Mr. Anton Mailoa, Mr.
Suresh Kilam, Mr. Raymond Liu, Ph.D., Mr. Ir. Buyung Wahab, MM., and Mr.
Agustian R. Partawidjaja or Yan Partawidjaja) which
must be approved by the Board of Commissioners
Management Capability :
Good
Business Morality :
Good
Credit Risk :
Average
Credit Recommendation :
Credit should be proceeded with monitor
Proposed Credit Limit :
Small amount periodical review
Maximum Credit Limit :
US$. 167.0 million on the 90 days of payments
Originally named
P.T. Pabrik Kertas TJIWI KIMIA, it was established in October 1972 with an
authorized capital of Rp. 200,000,000.- issued capital of Rp. 50,000,000.- wholly paid-up. Founders and
original shareholders are Dr. Eka Tjipta Widjaja AKA Oei Ek Tjhong and the late
his son-in-law Mr. Rudy Maeloa AKA Loa Bon Peang (died on 5 April 1988) Chinese
origin Indonesian business family. The Articles of Association was made by Mr.
Ridwan Suselo, SH., a public notary in Jakarta and it was approved by the
Ministry of Justice Republic Indonesia under its Decision Letter No. Y.A.
5/439/25 dated 22 December 1975.
Its articles of
association have subsequently been changed for a couple of times. In April
1990, the company went public by releasing its 6.74% shares to the public through
Jakarta Stock Exchange (BEJ) and Surabaya Stock Exchange (BES). In July 1996,
the company renamed to P.T. Pabrik Kertas TJIWI KIMIA Tbk. (P.T. PKTKT). Later
in June 1997, the authorized capital was increased again to Rp.
5,000,000,000,000.- In July 1997, P.T. PKTKT undertook right issue I and the
issued capital has from that time on increased to Rp. 1,321,526,432,000.- Later of July 2008, P.T. PKTKT issued the
bonus shares and concurrently the issued and paid-up capital rose again to Rp.
1,335,702,240,000. As of 31 December
2010, the majority business stakes of the company is controlled by P.T.
PURINUSA EKAPERSADA (60%) and the rest is owned by Publics (40%).
The amendment
Articles of Association was made by Mrs. Linda Herawati, SH., a public notary
in Jakarta and it was approved by the Ministry of Law and Human Right in its
Decision Letter No. AHU-42925.AH.01.02.TH.2009, dated 01 September 2009. No changes have been effected in term of its
shareholding composition and capital structures to date.
P.T. PURINUSA
EKAPERSADA (63.4%), a private company whose majority business stakes is
controlled by the Eka Tjipta Widjaja family.
Mr. Eka Tjipta Widjaja AKA Oei Ek Tjhong is the founder of the SINAR MAS
Group is a very large-size private business group in the country.
P.T. PKTK is the largest
paper making plant in Indonesia whose plant is located in Desa Kramat
Temanggung, Kecamatan Tarik, Sidoarjo, East Java operating as from 1977. Its
major production is industrial and cultural papers, corrugated papers, kraft
papers, computer and telex papers, NRC, Coated and Fine Papers, Lining and
Tissue Papers, Duplex Coated Papers, HVS and Writing papers, Cast Coating
papers and others.
Besides that, it
also produces paper chemicals including caustic soda, calcium hypocloride,
liquid calcium hypochloride and calcium oxide.
Its production is marketed by the SINAR MAS Group member who has
controlled an extensive marketing network in many countries including the USA,
the European countries, Japan, the People's Republic of China, Australia,
India, Hong Kong, Thailand, Singapore and Malaysia.
Beside that P.T.
PKTK is also engaged in investment holding by controlling 99% shares of P.T.
Mega Kertas Pratama (distributor of paper products), 100% shares of Tjiwi Kiia Trading
III (BVI) Limited (distributor of paper products), 100% shares of Tjiwi Kimia
Finance Mauritius Ltd., (financing company), 100% shares of TK Trading Limited
(distributor of paper products), 100% shares of Tjiwi Kimia Trading (II) Ltd.,
(distributor of paper products), 100% shares of TK Import & Export Ltd.,
(distributor of paper products), 100% shares Tjiwi Kimia Finance BV.,
(financing company), 100% shares of Marshall Enterprises Ltd., (investment) and
60% shares of P.T. Sumalindo Hutani Jaya (integrated wood-based industry).
Generally, the national pulp
and paper production realization in the period of 1996 to 2003 increased from
year to year despite economic crisis battering Indonesia in 1997. Within the
period of 1995-1997, the increase in pulp and paper production was triggered by
high economic growth enabling manufacturing industry sector to grasping rapid
progress. The economic crisis striking Indonesia as from the middle of 1997 up
to now has evidently brought no problem to national pulp and paper production.
But, the pulp and paper prices tended to decline on the international market
within the last four years until the end of 2006. The plunge down of pulp and
paper prices on the international market was attributable to over supply of such
commodity. But, we observed that Indonesian pulp and paper export has kept on
rising until the end of 2006. Beside that the domestic price of pulp has also
been dwindling due to the relatively large amount of pulp supplies for domestic
demand.
Projected Condition of National Paper Industries 2007 2010
(In thousand tons)
|
Description |
2007 |
2008 |
2009 |
2010 |
|
Paper Capacity |
10,707 |
10,957 |
10,957 |
10,957 |
|
Paper Production |
8,271 |
8,580 |
8,940 |
8,975 |
|
Imports |
245 |
214 |
208 |
245 |
|
Export |
2,513 |
2,571 |
2,700 |
2,900 |
|
Domestic Consumption |
6,004 |
6,223 |
6,449 |
6,320 |
Sources: Department of Industry
(Depperin) and BI
According to
financial statement the total sales turnover of P.T. PKTK in 2002 amounted to US$
778.5 million with a net loss of US$ 47.4 million increased to US$ 870.1
million with a net loss of US$ 30.3 million in 2003 to US$ 900.3 million with a
net profit of US$ 185.1 million in 2004 and
to US$ 926.4 million with a net profit of US$ 18.0 million in 2005. The company's sales turnover in 2006 amounted
to US$ 956.7 million with a net loss of US$ 63.3 million rose to Rp. 1,154.9
million with a net profit of Rp. 10.3 million in 2007, to US$ 1,358.8 million with
a net profit of US$ 51.7 million in 2008 declined to US$ 1,174.1 million with a
net profit of US$ 31.6 million in 2009 and rose again to US$ 1,338.8 million
with a net profit of US$ 46.6 million in 2010, with total assets of US$ 2,329.8
million. Pursuant to the Indonesia Stock
Exchange (ISX), as of 30 June 2011 its sales turnover amounted to US$ 721.1
million with a net profit of US$ 40.6 million.
Financial statement as 0f 31 December 2007, 2008, 2009 and as 2010 are
attached.
The management
is headed by Mr. Yudi Setiawan Lin AKA Lim Yun Shiang (64) an experienced
professional manager in pulp & paper industry and marketing. He graduated
from China Culture Academy, Taiwan, ROC, in Pulp & Paper Technology. He
started his career in TA HUNG PAPER MILL (Taiwan). He joined the company since
1978 and posted as director since 1991 and as president director since
1994. In daily activities, he is
supported by the WIDJAJA Family, such as, Mr. Teguh Ganda Widjaja AKA Oei Tjie
Goan (66), Mr. Muktar Widjaja AKA Oei Siong Lian (57) and Mr. Franky Oesman
Widjaja AKA Oei Jong Nuan (53) and a number of other local and foreign
professionals like Mr. Dipl. Ing. Sureh Kilam, MBA of India, Mr. Hendra Jaya
Kosasih, Mr. Anton Mailoa and others.
The management has maintained a wide business relation among private
national and foreign businessmen as well as among government agencies. As far as business is concerned the
management of P.T. PKTKT has never involved in any fraudulent dealings.
P.T. Pabrik
Kertas TJIWI KIMIA Tbk., (P.T. PKTKT) is sufficiently fairly good for business
transaction.
Attachment:
P.T. Pabrik Kertas TJIWI KIMIA Tbk
FINANCIAL STATEMENTS
Per 31 December
2007, 2008, 2009 and 2010
(in thousand US dollar )
|
DESCRIPTION |
31
December |
|||
|
2010 |
2009 |
2008 |
2007 |
|
|
1. ASSETS |
|
|
|
|
|
a. Current Assets |
|
|
|
|
|
- Cash and Cash
Equivalent |
|
|
|
|
|
* Third Parties |
141,519 |
89,729 |
44,152 |
31,750 |
|
* Related Parties |
23,452 |
29,671 |
6,618 |
0 |
|
- Trade Receivable |
|
|
|
|
|
* Third Parties |
56,383 |
64,885 |
96,891 |
95,194 |
|
* Related Parties |
191,563 |
250,147 |
155,843 |
86,950 |
|
- Other Trade
Receivable net |
506 |
160 |
21 |
6,885 |
|
- Inventories |
287,212 |
265,170 |
251,702 |
322,110 |
|
- Advances and prepaid
expenses |
110,054 |
110,671 |
149,965 |
77,206 |
|
- Prepaid Taxes |
17,382 |
22,781 |
22,656 |
31,710 |
|
- Other current assets |
|
|
|
|
|
* Third Parties |
25,374 |
42,778 |
47,290 |
61,355 |
|
* Related Parties |
64,254 |
44,809 |
305 |
-- |
|
Total Current Assets |
917,699 |
920,801 |
775,444 |
713,160 |
|
b. Non-current Assets |
|
|
|
|
|
- Trade receivables
related parties |
66,2898 |
80,701 |
85,259 |
94,258 |
|
- Other receivables
related parties |
148,610 |
159,363 |
160,370 |
160,640 |
|
- Deferred Tax Assets |
650 |
36 |
-- |
-- |
|
- Long-term Investment |
1,112 |
1,064 |
-- |
-- |
|
- Industrial Timber
Estate net of accumulated
amortization |
2,002 |
2,234 |
-- |
-- |
|
- Industrial Timber
Estate under development |
9,042 |
6,262 |
-- |
-- |
|
- Fixed assets net of
acc. depreciation |
1,174,173 |
1,176,712 |
1,239,583 |
1,196,220 |
|
- Goodwill net of acc.
amortization |
6,391 |
8,022 |
-- |
-- |
|
- Other non-current
assets |
3,787 |
2,583 |
2,713 |
3,013 |
|
Total Non-Current Assets |
1,412,055 |
1,436,976 |
1,487,924 |
1,454,131 |
|
TOTAL ASSETS = TOTAL LIABILITIES AND EQUITY |
2,329,754 |
2,357,777 |
2,263,368 |
2,167,291 |
|
2. LIABILITIES
AND EQUITY |
|
|
|
|
|
a. Current Liabilities |
|
|
|
|
|
- Short term Liabilities |
105,997 |
89,167 |
96,198 |
51,145 |
|
- Trade Payable |
|
|
|
|
|
* Third Payables |
60,164 |
69,106 |
88,246 |
75,820 |
|
* Related Payable |
17,874 |
30,432 |
13,877 |
-- |
|
- Other Payables third
parties |
11,545 |
14,710 |
8,616 |
8,221 |
|
- Advances from customers |
|
|
|
|
|
* Third parties |
8,795 |
5,557 |
7,358 |
8,470 |
|
* Related parties |
238 |
267 |
72 |
-- |
|
- Accrued Expanses |
47,026 |
76,908 |
46,976 |
41,889 |
|
- Taxes Payable |
12,224 |
19,283 |
4,815 |
705 |
|
- Current maturities of
long-term liabilities |
|
|
|
|
|
* Lease liabilities |
138 |
198 |
152 |
-- |
|
* Bank loan |
8,137 |
7,783 |
6,681 |
55 |
|
* Loans, notes payable
and bonds |
146,259 |
75,600 |
27,000 |
40,292 |
|
Total Current Liabilities |
418,397 |
389,011 |
299,992 |
281,542 |
|
|
|
|
|
|
|
b. Non-Current Liabilities |
|
|
|
|
|
- Deferred Tax
Liabilities |
53,684 |
68,503 |
47,956 |
56,153 |
|
- Other Payables
related parties |
8,853 |
991 |
7,318 |
345 |
|
- Employee Benefits
Obligation |
41,590 |
36,108 |
26,724 |
26,750 |
|
- Long term liabilities |
|
|
|
|
|
* Lease liabilities |
161 |
359 |
278 |
290 |
|
* Bank loan |
16,274 |
23,349 |
26,724 |
-- |
|
* Loans net |
304,188 |
341,069 |
336,051 |
-- |
|
* Notes payable and
bonds |
965,764 |
932,176 |
931,754 |
1,273,847 |
|
- Current maturities of
long-term liabilities |
|
|
|
|
|
* Lease liabilities |
(138) |
(198) |
(152) |
-- |
|
* Bank loan |
(8,137) |
(7,783) |
(6,681) |
-- |
|
* Loans, notes payable
and bonds |
(146,259) |
(75,000) |
(27,000) |
(40,292) |
|
Total Non-Current Liabilities |
1,235,980 |
1,318,974 |
1,343,035 |
1,317,093 |
|
3. TOTAL EQUITY |
|
|
|
|
|
- Issued and Paid up Capital |
537,169 |
537,170 |
537,170 |
537,170 |
|
- Additional paid in capital |
30,201 |
30,201 |
30,201 |
30,201 |
|
- Exchange differences due to
financial statements translation |
415 |
381 |
-- |
-- |
|
- Retained Earnings |
107,592 |
82,041 |
52,970 |
1,284 |
|
Total Equity |
675,377 |
649,793 |
620,341 |
568,655 |
|
|
|
|
|
|
|
3. INCOME
STATEMENT |
|
|
|
|
|
a. Total/Net Sales |
1,338,766 |
1,174,106 |
1,358,794 |
1,154,885 |
|
b. Cost of Goods Sold |
1,117,277 |
946,075 |
1,151,637 |
996,585 |
|
c. Gross Profit |
221,489 |
228,031 |
207,157 |
158,300 |
|
d. Operating Expenses |
142,467 |
108,200 |
121,228 |
116,671 |
|
e. Operating Profit (Loss) |
79,022 |
119,831 |
85,929 |
41,629 |
|
f. Other Income (Expenses) |
(16,965) |
(47,423) |
(42,316) |
(33,345) |
|
g. Profit (Loss) Before
Income Tax |
62,057 |
72,408 |
43,613 |
8,284 |
|
h. Tax Benefit (Expense) -
Net |
(15,485) |
(40,911) |
(8,073) |
1,775 |
|
i. Income Before Pre-Acquisition Loss |
46,572 |
31,497 |
51,686 |
10,059 |
|
j. Pre-acquisition loss |
-- |
157 |
-- |
-- |
|
m. Net Profit (Loss) |
46,572 |
31,654 |
51,686 |
10,059 |
Note: Audited by Tjiendradjaja &
Handoko Tomo (a public accountant)
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.08 |
|
|
1 |
Rs.77.80 |
|
Euro |
1 |
Rs.65.17 |
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 SCs 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.