MIRA
INFORM REPORT
|
Report Date : |
28.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
TATA COMMUNICATIONS TRANSFORMATION SERVICES LIMITED [w.e.f.
19.02.2008] |
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Formerly Known
As : |
VSNL GLOBAL SERVICES LIMITED |
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Registered
Office : |
C -21/ C 36, G Block, Bandra Kurla Complex, Mumbai – 400098, |
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Country : |
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Financials (as
on) : |
31.03.2011 |
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Date of
Incorporation : |
06.10.2006 |
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Com. Reg. No.: |
11-165083 |
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Capital
Investment / Paid-up Capital : |
Rs.5.000 Millions |
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CIN No.: [Company Identification
No.] |
U93090MH2006PLC165083 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMV14350A |
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PAN No.: [Permanent Account No.] |
AACCV3189Q |
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Legal Form : |
A Closely Held Pubic Limited Liability Company |
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Line of Business
: |
Providing Business Process Outsourcing Services including Call Center
Services. |
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No. of Employees
: |
Information denied by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
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 |
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Maximum Credit Limit : |
USD 2000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a Tata Group Company. It is well established and reputed
company having good track. Financial company performance seems to be good.
Fundamentally company is strong. Trade
relations are reported to be fair. Business is active. Payments are reported
to be regular and as per commitments. The company can be considered normal for business dealings at usual
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.
INFORMATION DECLINED BY
Management non co-operative.
LOCATIONS
|
Registered Office : |
C -21/ C 36, G Block, Bandra Kurla Complex, Mumbai – 400098,
Maharashtra, India |
|
Tel. No.: |
91-22-66578765 / 66591965 |
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Fax No. : |
91-22-67251962 |
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E-Mail : |
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Website : |
DIRECTORS
As on 26.09.2011
|
Name : |
Mr. Ajay Kumar Pandey |
|
Designation : |
Director |
|
Address : |
Sea World, 1st Floor, Perry Cross Road, Bandra (West),
Mumbai-400050, Maharashtra, India |
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Date of Birth/Age : |
24.09.1961 |
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Date of Appointment : |
01.07.2011 |
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Din No.: |
00065622 |
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Name : |
Mr. Satish Gopal Ranade |
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Designation : |
Director |
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Address : |
15-8 JPM Society, |
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Date of Birth/Age : |
14.09.1953 |
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Date of Appointment : |
06.10.2006 |
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Din No.: |
00058116 |
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|
Name : |
Mr. Srinivasa Rao Addepalli |
|
Designation : |
Director |
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Address : |
1002 Dosti Dailsy, Dosti Acres Near Antop Hill, Wadala East,
Mumbai-400037, |
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Date of Birth/Age : |
23.03.1975 |
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Date of Appointment : |
06.10.2006 |
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Din No.: |
00362918 |
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Name : |
Mr. Sanjay Govind Baweja |
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Designation : |
Director |
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Address : |
H – 29 Street 11, Ranjinder Nagar, |
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Date of Birth/Age : |
11.10.1960 |
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Date of Appointment : |
24.07.2009 |
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Din No.: |
00232126 |
KEY EXECUTIVES
|
Name : |
Mr. Rishabh Nath Aditya |
|
Designation : |
Secretary |
|
Address : |
A – 604, Dheeraj Gaurav, Heights 11 Off, New Link Road, Andheri West, Mumbai
– 400053, India |
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Date of Birth/Age : |
26.01.70 |
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Date of Appointment : |
09.11.2006 |
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Pan No.: |
AACPA4865F |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 26.09.2011
|
Names of Shareholders |
|
No. of Shares |
|
Tata Communication Limited, |
|
499400 |
|
V |
|
100 |
|
Satish Gopal Ranade |
|
100 |
|
Aroon Dasappa |
|
100 |
|
Srinivasa Rao Addepalli |
|
100 |
|
Rishabh Nath Aditya |
|
100 |
|
Ashok Someshwar |
|
100 |
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|
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Total |
|
500000 |
As on 26.09.2011
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
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|
Bodies
corporate |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Providing Business Process Outsourcing Services including Call Center
Services. |
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management. |
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Bankers : |
Not Available |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
S.B. Billimoria and Company Chartered Accountants |
|
Address : |
706 ‘B’ Wing, 7th Floor, ICC Trade Tower, International
Convention Centre, Senapati Bapat Road, Pune -411016, Maharashtra, India |
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Tel. No.: |
91-20-66244600 |
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Fax No.: |
91-20-66244605 |
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Holding Companies : |
Tata Communications Limited, |
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Investing party
of Holding Company : |
·
Panatone Finvest Limited ·
Tata Sons Limited ·
The Tata Power Company Limited |
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Fellow
Subsidiaries : |
·
Tata Communications Internet Services Limited ·
Tata Communications Banking Infra Solutions
Limited ·
Tata Communications Lanka Limited ·
Tata Communications International Pte Limited ·
VSNL SNOSPV Pte Limited ·
S and A Internet Services Private Limited ·
Tata Communications (Australia) Pty Limited ·
Tata Communications (America) Inc ·
VSNL International (ITXC) Corp ·
Tata Communications(Belgium SPRL) ·
Tata Communications (Bermuda) Limited ·
Tata Communications Services (Bermuda) Limited ·
Tata Communications (Canada) ULC ·
Tata Communications (France) SAS ·
Tata Communications Deutschland GmbH ·
Tata Communications (Guam) LLC ·
Tata Communications (Hong Kong)Limited ·
Tata Communications (Hungary) LLC ·
Tata Communications (Ireland) Limited ·
Tata Communications(Italy) Srl ·
Tata Communications (Japan) KK. ·
ITXC IP Holdings Sarl ·
Tata Communications (Netherlands) BV ·
Tata Communications (Nordic) AS ·
Tata Communications (Poland) Sp. Zoo ·
Tata Communications (Portugal) Unipessoal LDA ·
Tata Communications (Portugal) Instalacaco E
Manutencao De Redes LDA ·
Tata Communications (Puerto Rico) Inc ·
Tata Communications (Russia) LLC ·
Tata Communications Services (International) Pte.
Limited ·
Videsh Sanchar Nigam Spain Srl ·
Tata Communications (Sweden) AB ·
Tata Communications (Switzerland) GmbH ·
Tata Communications (UK) Limited ·
Tata Communications (Middle East)FZ-LLC ·
TCPoP Communication GmbH ·
Tata Communications (Taiwan) Limited ·
BitGravity Inc. |
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Joint Venture of
Holding Company : |
·
United Telecom Limited ·
Cochin Submarine Cable Depot (India) Private Limited
(Under Liquidation) |
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|
Joint Venture of
Fellow Subsidiary : |
·
SEPCO Communications Pty. Limited (held through
VSNL SNOSPV Pte Limited) ·
Neotel (Pty) Limited - subsidiary of SEPCO (held
through VSNL SNOSPV Pte Limited) |
CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000 |
Equity Shares |
Rs.10/- each |
Rs.5.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000 |
Equity Shares |
Rs.10/- each |
Rs.5.000 Millions |
NOTE: Out of which 499400 shares are held by Tata Communications Limited, the
Holding company and balance are held by nominee directors.
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 |
5.000 |
5.000 |
5.000 |
|
|
2] Share Application Money |
0.000 |
3.556 |
0.000 |
|
|
3] Reserves & Surplus |
515.148 |
381.311 |
156.390 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
520.148 |
389.867 |
161.390 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
69.627 |
0.000 |
90.672 |
|
|
TOTAL BORROWING |
69.627 |
0.000 |
90.672 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
3.556 |
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|
|
|
|
|
|
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TOTAL |
589.775 |
389.867 |
255.618 |
|
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|
|
|
|
|
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APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
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FIXED ASSETS [Net Block] |
166.883 |
189.936 |
179.010 |
|
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Capital work-in-progress |
0.000 |
0.000 |
41.980 |
|
|
|
|
|
|
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|
INVESTMENT |
160.266 |
187.196 |
0.000 |
|
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DEFERREX TAX ASSETS |
6.178 |
0.000 |
0.000 |
|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
0.000
|
0.000 |
0.000 |
|
|
Sundry Debtors |
239.740
|
173.423 |
187.283 |
|
|
Cash & Bank Balances |
22.267
|
20.014 |
10.550 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
348.397
|
127.191 |
137.017 |
|
Total
Current Assets |
610.404
|
320.628 |
334.850 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
322.338
|
275.564 |
247.483 |
|
|
Other Current Liabilities |
0.000
|
0.000 |
0.000 |
|
|
Provisions |
31.618
|
32.329 |
52.739 |
|
Total
Current Liabilities |
353.956
|
307.893 |
300.222 |
|
|
Net Current Assets |
256.448
|
12.735 |
34.628 |
|
|
|
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|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
589.775 |
389.867 |
255.618 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
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SALES |
|
|
|
|
|
|
|
Income |
1165.403 |
1225.290 |
955.295 |
|
|
|
Other Income |
26.445 |
15.213 |
32.164 |
|
|
|
TOTAL (A) |
1191.848 |
1240.503 |
987.459 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing Service Cost |
60.931 |
55.252 |
|
|
|
|
Employee Related Expenses |
626.055 |
591.495 |
801.632 |
|
|
|
Administrative Selling and Other Expenses |
308.293 |
298.130 |
|
|
|
|
TOTAL (B) |
995.279 |
944.877 |
801.632 |
|
|
|
|
|
|
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|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
196.569 |
295.626 |
185.827 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1.176 |
0.679 |
6.115 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
195.393 |
294.947 |
179.712 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION (F) |
57.278 |
51.509 |
36.444 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
138.115 |
243.438 |
143.268 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
4.278 |
18.516 |
17.632 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
133.837 |
224.922 |
125.636 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
133.837 |
224.922 |
125.636 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
995.765 |
1097.107 |
833.543 |
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Capital Goods |
8.949 |
5.309 |
18.134 |
|
|
TOTAL IMPORTS |
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
267.67 |
449.84 |
251.27 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
11.23
|
18.13 |
12.72
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
11.85
|
19.87 |
14.99
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
17.77
|
47.68 |
27.88
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.27
|
0.62 |
0.88
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.81
|
0.79 |
2.42
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.72
|
1.04 |
1.11
|
LOCAL AGENCY FURTHER INFORMATION
DETAILS OF SUNDRY CREDITORS:
|
Particulars |
31.03.2011 (Rs. in millions) |
31.03.2010 (Rs. in millions) |
31.03.2009 (Rs. in millions) |
|
Sundry Creditors |
322.338
|
275.564 |
247.483 |
NOTE:
TRADE CREDITORS
INCLUDES:
i) Amount due to
Tata Communications Limited, the Holding Company, Rs.61.438 Millions (Previous
Year - Rs. 27.671 Millions)
ii) Amount due to Tata
Communications (UK) Limited, fellow subsidiary - Rs.4.164 Millions (Previous
Year - Rs. 9.209 Millions)
iii) Amount due to
Tata Communications (Netherlands) BV, fellow subsidiary - Rs.0.116 Million
(Previous Year - Rs. 0.116 Million)
iv) Amount due to
Tata Communications (America) Inc, fellow subsidiary - Rs.12.307 Millions
(Previous Year - Rs.NIL)
v) Amount due to
Tata Communications Services (America), fellow subsidiary - Rs.0.232 Million
(Previous Year -Rs.2.823 Millions)
vi) Amount due to Tata Communications (US) Inc,
fellow subsidiary - Rs.4.857 Millions (Previous Year - Rs. 14.871 Millions)
Vii) Amount due to
Neotel Pty Limited - Rs.2.408 Millions (Previous Year Rs. NIL)
VIII) Amount due to
Tata Communications Canada (ULC)-Rs.25.755 Millions (Previous Year Rs.0.217
Million)
ix) Amount due to Micro Small and Medium Enterprises
IT INCLUDES:
Rs.
in Millions
|
CURRENT LIABILITIES |
2011 |
2010 |
|
Trade Creditors |
270.197 |
230.375 |
|
Unearned Income |
0.929 |
3.887 |
|
Other
Liabilities |
50.366 |
41.302 |
|
Advance from
Customers |
0.846 |
0.000 |
|
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 |
Yes |
|
17) Major suppliers |
No |
|
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 |
No |
|
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 |
NOTE: The
registered office of the company has been shifted from Lokmanya Videsh Sanchar Bhawan,
Kashinath Dhuru Marg, Prabhadevi, Mumbai-400028, Maharashtra, India to the
present address w.e.f. 25.10.2009.
STRATEGIC OVERVIEW
AND OPERATIONS:
OSP REGISTRATION:
The global reach and
industry expertise of the Company drives and delivers a new world of business
transformation. The Company aims to provide to its customers value-driven,
globally managed solutions leveraging its Domain expertise and leadership in
emerging markets.
The Company is a
100% subsidiary of Tata Communications Limited (“Parent”) set up to
independently provide to the telecom carriers and enterprise customers
worldwide, business transformation, telecom BPO and consultancy services. The
Company devises and delivers solutions to its customers for every stage of
carrier business lifecycle including but not limited to network planning,
design and engineering, implementation and operations (Service Delivery,
Assurance, and Management) functions.
The Company has
established two world class delivery centres in Pune and Chennai. The
facilities at these centres are completely insulated from the operations of its
Parent, preserving full confidentiality in managing all customers' business
processes.
With the
headquarters in Mumbai, the Company has partner offices in Europe and North
America. The Company is committed to carry its operations with the rich
traditions and business ethics of the Tata Group the company has created and
deployed its own Processes and Platforms for identified telecom practice areas
and internal support functions, which differentiates it from its competitors in
the market place.
AWARDS AND
CERTIFICATIONS:
Since early 2008
as a signatory to the Tata Business Excellence Model (TBEM) based on Malcolm Baldrige
model, as the framework for continuous organisational improvement practices the
organisation is subject to stringent assessment of corporate practices.
A key concern for
the customers is the security of their information. As a part of process to address
this concern, in 2007 the company was certified to the requirements of ISO
27001, which is the global standard that deals information security. The
certifying authority has confirmed the continuance of the ISO 27001
certification, after conducting the re-certification audit in November 2010.
The company is also certified to the Quality Management Standard (ISO 9001),
Environment Management System (ISO 140010, and Occupational Health and Safety
(OHSAS 18001), Further, in order give confidence to customers regarding
continuity of services in case of unforeseen events, the company became one of
the first in the Telecom sector to achieve certification to the BS 25999
standard for business continuity.
CONTINGENT
LIABILITIES:
The Company has
given a Bank Guarantee in favour of Commissioner of Customs, Software
Technology Park of India, Chennai Rs.465.000 Millions. Apart from the above,
the Company did not have any contingent liability to report as on 31st March,
2011 (Previous year Rs. 5525.000 Millions).
FIXED ASSETS:
- Leasehold
Improvements
- Furniture and
Fixtures
- Office
Equipments
- Computers
- Electrical
Fittings
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 records 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.57.22 |
|
|
1 |
Rs.89.42 |
|
Euro |
1 |
Rs.71.46 |
INFORMATION DETAILS
|
Information
Gathered by : |
SBA |
|
|
|
|
Report Prepared
by : |
TPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
65 |
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.