|
Report Date : |
24.07.2012 |
IDENTIFICATION DETAILS
|
Name : |
MENON PISTON RINGS PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
197-A, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2011 |
|
|
|
|
Date of
Incorporation : |
25.10.1985 |
|
|
|
|
Com. Reg. No.: |
11-037862 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs.81.220 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U29113MH1985PTC037862 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
KLPM01643F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCM2375A |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of Auto Components. |
|
|
|
|
No. of Employees
: |
Information declined by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 580000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track record.
Trade relations are reported to be fair.
Business is active. Payment are reported to be usually correct and as
per commitment. The company can be considered normal for business dealings at usual
trade terms and condition. |
NOTES :
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
EXTERNAL AGENCY RATING
|
Agency Name |
Rating |
|
CRISIL |
BBB |
Rating Explanations
|
AAA (Highest Safety) |
Instruments with this
rating are considered to have the highest degree of safety regarding timely
servicing of financial obligations. Such instruments carry lowest credit
risk. |
|
AA (High Safety) |
Instruments with this rating
are considered to have high degree of safety regarding timely servicing of
financial obligations. Such instruments carry very low credit risk. |
|
A (Adequate Safety) |
Instruments with this rating
are considered to have adequate degree of safety regarding timely servicing
of financial obligations. Such instruments carry low credit risk. |
|
BBB (Moderate Safety) |
Instruments with this rating
are considered to have moderate degree of safety regarding timely servicing
of financial obligations. Such instruments carry moderate credit risk. |
|
BB (Moderate Risk) |
Instruments with this
rating are considered to have moderate risk of default regarding timely
servicing of financial obligations. |
|
B (High Risk) |
Instruments with this
rating are considered to have high risk of default regarding timely servicing
of financial obligations. |
|
C (Very High Risk) |
Instruments with this rating
are considered to have very high risk of default regarding timely servicing
of financial obligations. |
|
D (Default) |
Instruments with this
rating are in default or are expected to be in default soon. |
RBI DEFAILTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAILTERS’ 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.
INFORMATION DECLINED
Management Non Co-Operative
(91-230-2465052)
LOCATIONS
|
Registered Office / Factory 1 (Ring
Plant): |
197-A, Sambhapur Kasarwadi Road, Toap, Kolhapur – 416122, Maharashtra,
India |
|
Tel. No.: |
91-230-2465052 / 2465020 |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Head Office / Factory 2 : |
Shiroli, Kolhapur - 416122, Maharashtra, India |
|
Tel. No.: |
91-230-2468041/2468042 |
|
|
|
|
Factory 3 : |
H-1, MIDC, Kupwad Block, Sangli – 416436, Maharashtra, India |
|
Tel. No.: |
91-33-2345179 / 89 |
|
|
|
|
Factory 4 : |
B-58/59, MIDC, Shiroli, Kolhapur - 416122, Maharashtra, India |
|
Tel. No.: |
91-230-2468103 |
DIRECTORS
As on 25.08.2011
|
Name : |
Mr. Ram Krishna Menon |
|
Designation : |
Director |
|
Address : |
Menon Enclave, I E Ward, Laxdminarayan Nagar, Kasaba Karveer, Kolhapur
– 416005, Maharashtra, India |
|
Date of Birth/Age : |
25.02.1930 |
|
Date of Appointment : |
25.10.1985 |
|
DIN No.: |
00111469 |
|
|
|
|
Name : |
Mr. Sachin Ram Menon |
|
Designation : |
Managing Director |
|
Address : |
Menon Enclave, I E Ward, Laxdminarayan Nagar, Kasaba Karveer, Kolhapur
– 416005, Maharashtra, India |
|
Date of Birth/Age : |
27.06.1963 |
|
Date of Appointment : |
22.03.1994 |
|
DIN No.: |
00134488 |
|
|
|
|
Name : |
Mr. Nitin Ram Menon |
|
Designation : |
Director |
|
Address : |
Menon Enclave, I E Ward, Laxdminarayan Nagar, Kasaba Karveer, Kolhapur
– 416005, Maharashtra, India |
|
Date of Birth/Age : |
26.11.1967 |
|
Date of Appointment : |
23.12.1994 |
|
DIN No.: |
00692754 |
|
|
|
|
Name : |
Mr. Ramesh Dattatray Dixit |
|
Designation : |
Director |
|
Address : |
Plot No.26, Sanyukta Maharashtra Co-Operative Housing Society, Rajarampuri, 13th lane, Kolhapur
– 416008, Maharashtra, India |
|
Date of Birth/Age : |
25.12.1943 |
|
Date of Appointment : |
23.12.1994 |
|
DIN No.: |
00626827 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 25.08.2011
|
Names of Shareholders |
|
No. of Equity
Shares |
|
|
|
|
|
Ram Krishna Menon |
|
12500 |
|
Sachin Ram Menon |
|
2764000 |
|
Nitin Ram Menon |
|
25000 |
|
Radhamani Ram Menon |
|
12500 |
|
Savita Satish Gopi |
|
25000 |
|
Sachin Menon Family Trust, India |
|
1713666 |
|
Gayathri Sachin Menon |
|
578000 |
|
Menon Metals and Alloys Private Limited, India |
|
1750000 |
|
Nevedita Benefit Trust, India |
|
641334 |
|
Total
|
|
7522000 |
`
|
Names of Shareholders |
|
No. of Equity
Shares |
|
|
|
|
|
Sachin Ram Menon |
|
60000 |
|
Total
|
|
60000 |
As on 25.08.2011
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Bodies corporate |
23.00 |
|
Directors or relatives of Directors |
46.00 |
|
Other top fifty shareholders |
31.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Auto Components. |
||||||
|
|
|
||||||
|
Products : |
|
PRODUCTION STATUS
As on 31.03.2011
|
Particulars |
Unit |
Registered
Capacity |
Installed
Capacity |
Actual
Production |
|
|
|
|
|
|
|
Piston Rings |
Nos. |
9,000,000 |
6,000,000 |
5,722,377 |
|
General Casting |
Nos. |
9,000,000 |
6,000,000 |
3,850,828 |
GENERAL INFORMATION
|
Customers : |
Domestic ·
TATA ·
Suzuki ·
Greaves ·
Kirloskar ·
New Holland ·
Eicher Overseas ·
Arrow Engine Company ·
Mack |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
No. of Employees : |
Information declined by the management |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Bankers : |
The Saraswat Co-operative Bank Limited, Rajarampuri, 7th
lane, Kolhapur – 416008, Maharashtra, India |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
P. M. Vardhe and Company Chartered Accountants |
|
Address : |
630 / E, Shahupuri, 1st Lane, Kolhapur, Maharashtra-416001, India |
|
PAN No.: |
AANPV5690A |
CAPITAL STRUCTURE
After 25.08.2011
Authorised Capital : Rs.112.500
Millions
Issued, Subscribed & Paid-up Capital : Rs.108.720 Millions
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
79,00,000 |
Equity Shares |
Rs.10/- each |
Rs.79.000 Millions |
|
60,000 |
20% Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs.6.000 Millions |
|
|
Total |
|
Rs.85.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
7522000 |
Equity Shares |
Rs.10/- each |
Rs.75.220
Millions |
|
60000 |
20% Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs.6.000
Millions |
|
|
Total |
|
Rs.81.220 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 |
81.220 |
61.220 |
61.220 |
|
|
2] Share Application Money |
0.382 |
0.382 |
0.382 |
|
|
3] Reserves & Surplus |
62.567 |
40.969 |
27.959 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
144.169 |
102.571 |
89.561 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
141.976 |
99.513 |
91.830 |
|
|
2] Unsecured Loans |
81.669 |
83.869 |
84.703 |
|
|
TOTAL BORROWING |
223.645 |
183.382 |
176.533 |
|
|
DEFERRED TAX LIABILITIES |
21.728 |
18.612 |
16.481 |
|
|
|
|
|
|
|
|
TOTAL |
389.542 |
304.565 |
282.575 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
212.881 |
175.126 |
150.955 |
|
|
Capital work-in-progress |
10.219 |
3.768 |
5.618 |
|
|
|
|
|
|
|
|
INVESTMENT |
27.029 |
27.029 |
27.029 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
90.414
|
64.614 |
66.739 |
|
|
Sundry Debtors |
74.801
|
56.240 |
58.453 |
|
|
Cash & Bank Balances |
5.989
|
7.905 |
3.290 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
39.396
|
33.591 |
28.523 |
|
Total
Current Assets |
210.600
|
162.350 |
157.005 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
53.404
|
40.415 |
40.591 |
|
|
Other Current Liabilities |
0.000
|
0.000 |
0.000 |
|
|
Provisions |
17.783
|
23.293 |
17.441 |
|
Total
Current Liabilities |
71.187
|
63.708 |
58.032 |
|
|
Net Current Assets |
139.413
|
98.642 |
98.973 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
389.542 |
304.565 |
282.575 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
502.500 |
393.800 |
325.700 |
|
|
|
Other Income |
18.032 |
1.676 |
(15.054) |
|
|
|
TOTAL (A) |
520.532 |
395.476 |
310.646 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Usual Working Expenses |
454.937 |
352.027 |
271.052 |
|
|
|
TOTAL (B) |
454.937 |
352.027 |
271.052 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
65.595 |
43.449 |
39.594 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
20.468 |
13.069 |
14.783 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
45.127 |
30.380 |
24.811 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
14.616 |
9.131 |
8.423 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
30.511 |
21.249 |
16.388 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
27.819 |
16.959 |
9.665 |
|
|
|
|
|
|
|
|
|
Add / (Less) |
(SHORT) / EXCESS
PROVISION |
0.062 |
0.355 |
(0.124) |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
3.150 |
2.150 |
1.700 |
|
|
|
Dividend |
7.723 |
7.346 |
6.214 |
|
|
|
Tax on Dividend |
1.253 |
1.249 |
1.056 |
|
|
BALANCE CARRIED TO
THE B/S |
46.266 |
27.819 |
16.959 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Deemed Exports |
46.044 |
38.649 |
62.471 |
|
|
TOTAL EARNINGS |
46.044 |
38.649 |
62.471 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
21.650 |
10.333 |
13.014 |
|
|
|
Plant and Machinery |
7.436 |
0.000 |
0.000 |
|
|
TOTAL IMPORTS |
29.086 |
10.333 |
13.014 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.02 |
3.47 |
2.68 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
5.86
|
5.37 |
5.28 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
8.98
|
7.71 |
7.62 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
10.66
|
9.00 |
8.06 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.31
|
0.30 |
0.28 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.05
|
2.41 |
2.62 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.96
|
2.55 |
2.71 |
LOCAL AGENCY FURTHER INFORMATION
SUNDRY CREDITORS:
(Rs.
In Millions)
|
Particulars
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
Sundry
Creditors |
|
|
|
|
- Due Small Micro Enterprises |
0.000 |
0.000 |
0.000 |
|
- Due Others |
53.404
|
40.415 |
40.591 |
|
Total |
53.404 |
40.415 |
40.591 |
|
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 |
No |
|
6] |
Line of Business |
No |
|
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 |
Yes |
|
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 Director, if
available |
No |
|
32] |
Passport No of Director,
if available |
No |
|
33] |
Voter ID No of Director,
if available |
No |
FINANCIAL REVIEW:
The Indian auto component industry is emerging as a global hub for auto component manufacturers. This industry is one of the front runners for grabbing the global auto component outsourcing market. The value of outsourcing auto components from India includes low labour cost, availability of raw material, technically skilled man power and assurance of quality products. In view of these developments the company is focusing on innovation and cost proning exercise to face the domestic as well as global challenges. The company is gearing to the new reality and is in the process of substantially investing in capacity expansion by introducing new world class machineries. During the year 2010-11 the company has achieved the turnover of Rs. 502.500 Millions as compared to Rs. 393.800 Millions during the previous financial year whereas profit after tax for the year is Rs. 30.500 Millions as against Rs. 21.200 Millions in the previous financial year. The Directors are pleased to inform that as indicated last year, the Company has entered into manufacturing of S. G. Iron components. We have received a good response from various customers for our products. We hope to achieve further higher turnover in the next financial year.
CONTINGENT LIABILITY:
(Rs. In Millions)
|
Particulars |
31.03.2011 |
31.03.2010 |
|
|
|
|
|
Bank Guarantees : |
0.685 |
0.803 |
|
The Income Tax Assessments are completed upto the Assessment Year 2008-2009 (relevant to the accounting year ended 31st March, 2008). Liability, if any, in respect of the pending assessments is unascertainable. |
-- |
-- |
|
Central Sales tax and VAT Assessments are completed upto financial year 2004-05. The liability in respect of pending assessments is unascertainable. |
-- |
-- |
|
|
|
|
FIXED ASSETS:
·
Land and Building
·
Machinery
·
Electrical Installation
·
Office Equipments
·
Tools and Equipments
·
Patterns
·
Furniture and Fixtures
·
Vehicles
·
Computer
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 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.56.76 |
|
|
1 |
Rs.86.80 |
|
Euro |
1 |
Rs.67.43 |
INFORMATION DETAILS
|
Information Gathered
by : |
SBA |
|
|
|
|
Report Prepared
by : |
BSN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
47 |
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.