MIRA
INFORM REPORT
|
Report Date : |
19.03.2012 |
IDENTIFICATION DETAILS
|
Name : |
RAJSHREE SUGARS AND
CHEMICALS LIMITED |
|
|
|
|
Registered Office : |
The Uffizi, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2011 |
|
|
|
|
Date of Incorporation : |
13.12.1985 |
|
|
|
|
Com. Reg. No.: |
18-001706 |
|
|
|
|
Capital Investment / Paid-up Capital : |
Rs.237.917 Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L01542TZ1985PLC001706 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CMBR03062D |
|
|
|
|
Legal Form : |
Public limited liability company The company’s shares are listed on the
Stock Exchanges. |
|
|
|
|
Line of Business : |
Manufacturer of Sugar and
Chemicals like Acetic Acid, Acetic Anhydride,
Butanol, Ethyl acetate, Poly Vinyl Alcohol and Vinyl Acetate |
|
|
|
|
No. of Employees: |
Not Available |
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 4846896 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track. There
appears some losses being incurred by the company in the current year.
However, trade relations are reported as fair. Business is active. Payments
are reported to be usually correct. 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.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered Office / Corporate Office: |
The Uffizi, |
|
Tel. No.: |
91-422-2580981 / 2580982 / 2580983 / 4226222 |
|
Fax No.: |
91-422-2577929 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory: |
Unit – I Sugar,
Cogeneration and Distillery Varadaraj Nagar Post Near Vaigai Dam,
Theni-625562, Phone
No. : 91 - 4546 - 242309, 237250, 237251, 242302 Fax:
91 - 4546 - 242302 Email
ID: vnagar@rajshreesugars.com Unit - II Sugar
and Cogeneration Mundiampakkam Post,
Villupuram-605601, Phone
No. : 91 - 4146 - 232401, 232402 Fax:
91 - 4146 - 232403 Email
ID: mpakkam@rajshreesugars.com
Unit - III Sugar
and Cogeneration Phone
No. : 91-9965630991 Email
ID : gingee@rajshreesugars.com
|
DIRECTORS
AS ON 31.03.2011
|
Name : |
Mr. Raja M. J. Abdeen |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. P. Surulinarayanasami |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. G R
Karthikeyan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. K Mohan
Naidu |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. G. S. V.
Subba Rao |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R. C. H.
Reddy |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. R.
Varadarajan |
|
Designation : |
Director and
Chief Operating Officer |
|
Date of Birth/Age : |
51 Years |
|
Qualification : |
MBA |
|
Experience : |
26 Years |
|
Date of Appointment : |
16.07.1987 |
|
Last Employment: |
Head Department of |
|
|
|
|
Name : |
Ms. Rajshree
Pathy |
|
Designation : |
Chairman and
Managing Director |
|
Date of Birth/Age : |
53 Years |
|
Qualification : |
B. Com |
|
Experience : |
33 Years |
|
Date of Appointment : |
16.03.1989 |
|
Last Employment: |
General Manager, Ganga Textiles Limited |
KEY EXECUTIVES
|
Name : |
Mr. A. Sathyamurthy |
|
Designation : |
Chief Financial Officer |
|
Date of Birth/Age : |
38 Years |
|
Qualification : |
B. Com, A.I.C.W.A |
|
Experience : |
17 Years |
|
Date of Appointment : |
06.12.2009 |
|
Last Employment: |
Chief Financial Officer Supermarket in Aditya Birla Retail Limited |
|
|
|
|
Name : |
Mr. R. S Gowdhaman |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.12.2011
|
Category of
Shareholder |
Total No. of
Shares |
Percentage of
Holding |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
8625107 |
36.25 |
|
Bodies Corporate |
20760 |
0.09 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
624027 |
2.62 |
|
|
1530 |
0.01 |
|
|
|
|
|
|
|
|
|
|
1963170 |
8.25 |
|
|
|
|
|
|
|
|
|
|
6545150 |
8.25 |
|
|
2081837 |
8.75 |
|
|
|
|
|
|
|
|
|
|
1224.559 |
5.15 |
|
|
294955 |
1.24 |
|
|
38033 |
0.16 |
|
|
201.365 |
0.85 |
|
|
100 |
-- |
|
Directors & their Relatives & Friends |
2171107 |
1131107 |
|
|
|
|
|
(C) Shares held by
Custodians and against which Depository Receipts have been issued |
-- |
-- |
|
|
|
|
|
Total |
23791700 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Individual shareholders holding nominal
share capital up to Rs. 0.100 Millions BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Sugar and
Chemicals like Acetic Acid, Acetic Anhydride,
Butanol, Ethyl acetate, Poly Vinyl Alcohol and Vinyl Acetate |
||||||||
|
|
|
||||||||
|
Products : |
|
PRODUCTION STATUS AS ON 31.03.2011
|
Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
|
Sugar |
MT |
NA |
11000 TCD |
168743* |
|
Molasses |
MT |
NA |
NA |
82388 |
|
Bagasse |
MT |
NA |
NA |
475227 |
|
Industrial Alcohol |
Liter |
45 KLPD |
45 KLPD |
6087978 |
|
Electricity |
KWH |
NA |
54.5 MW |
226329330 |
|
Organic Manure |
MT |
NA |
30 T/Day |
3684 |
* Including sugar produced from raw sugar
GENERAL INFORMATION
|
Bankers : |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Srikishen and
Company Chartered
Accountant |
|
Address : |
Kanapathy Towers, 3rd Floor, 1391/A-1,
Sathy Road, Ganapathy, Coimbatore 641 006, India |
|
|
|
|
Memberships : |
|
CAPITAL STRUCTURE
AS ON 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
30000000 |
Equity Share |
Rs.10/- Each |
Rs. 300.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
22691700 |
Equity Share |
Rs.10/- Each |
Rs. 226.917
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 |
237.917 |
226.917 |
226.917 |
|
|
2] Share Application Money |
0.000 |
17.050 |
0.000 |
|
|
3] Reserves & Surplus |
973.807 |
1285.782 |
933.733 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
1211.724 |
1529.749 |
1160.650 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
4990.696 |
4319.151 |
3986.993 |
|
|
2] Unsecured Loans |
8.320 |
18.456 |
4.534 |
|
|
TOTAL BORROWING |
4999.016 |
4337.607 |
3991.527 |
|
|
DEFERRED TAX LIABILITIES |
454.526 |
513.120 |
403.467 |
|
|
|
|
|
|
|
|
TOTAL |
6665.266 |
6380.476 |
5555.644 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
4178.906 |
3835.362 |
4105.450 |
|
|
Capital work-in-progress |
216.811 |
28.438 |
4.505 |
|
|
|
|
|
|
|
|
INVESTMENT |
476.447 |
476.337 |
476.337 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1307.647
|
1718.485 |
1045.742
|
|
|
Sundry Debtors |
315.443 |
244.156 |
118.334 |
|
|
Cash & Bank Balances |
180.889 |
315.354 |
166.668 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000
|
|
|
Loans & Advances |
107.060
|
902.970 |
743.289
|
|
Total
Current Assets |
1911.039
|
3180.965 |
2074.033 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
824.197
|
779.676 |
0.000
|
|
|
Other Current Liabilities |
110.477
|
129.333 |
1036.383
|
|
|
Provisions |
152.263
|
231.617 |
68.298
|
|
Total
Current Liabilities |
1086.937
|
1140.626 |
1104.681
|
|
|
Net Current Assets |
1793.102
|
2040.339 |
969.352
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
6665.266 |
6380.476 |
5555.644 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
6148.886 |
5239.651 |
3555.345 |
|
|
|
Other Income |
23.849 |
60.575 |
15.543 |
|
|
|
Interest Income |
39.976 |
42.779 |
21.236 |
|
|
|
TOTAL (A) |
6212.711 |
5343.005 |
3592.124 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Raw material consumed |
4442.494 |
3510.167 |
2169.064 |
|
|
|
Manufacturing Expenses |
521.248 |
517.924 |
342.029 |
|
|
|
Employee Cost |
242.191 |
211.466 |
197.513 |
|
|
|
Administrative Expenses |
217.558 |
180.025 |
142.338 |
|
|
|
Increased / (Decreased) In Stock |
198.496 |
(469.871) |
(20.087) |
|
|
|
TOTAL (B) |
5621.987 |
3949.711 |
2830.857 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
590.724 |
1393.294 |
761.267 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
536.026 |
474.797 |
260.006 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
54.698 |
918.497 |
501.261 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
230.308 |
226.901 |
135.610 |
|
|
|
|
|
|
|
|
|
|
Profit before Exceptional items and Tax |
(175.610) |
691.596 |
365.651 |
|
|
Add: |
Compensation on acquisition
|
0.000 |
0.621 |
0.733 |
|
|
Less: |
Prior period Expense |
0.000 |
36.021 |
24.786 |
|
|
Less |
Extraordinary item |
250.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
(425.610) |
656.196 |
341.598 |
|
|
|
|
|
|
|
|
|
Less |
TAX (I) |
56.435 |
224.503 |
118.829 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-I) (J) |
(369.175) |
431.693 |
222.769 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
485.782 |
183.733 |
7.512 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
0.000 |
50.000 |
20.000 |
|
|
|
Dividend |
0.00 |
68.075 |
22.692 |
|
|
|
Tax on Dividend |
0.000 |
11.569 |
3.856 |
|
|
BALANCE CARRIED
TO THE B/S |
116.607 |
485.782 |
187.733 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
879.365 |
0.000 |
0.000 |
|
|
|
Other Earnings |
62.887 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
942.252 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
685.304 |
1265.394 |
0.000 |
|
|
|
Stores & Spares |
0.000 |
14.932 |
0.000 |
|
|
|
Capital Goods |
14.880 |
0.000 |
0.000 |
|
|
TOTAL IMPORTS |
700.184 |
1280.326 |
0.000 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(16.04) |
19.02 |
-- |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 |
30.09.2011 |
31.12.2011 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Sales Turnover |
1491.200 |
1754.400 |
1770.700 |
|
Total Expenditure |
1200.100 |
1495.600 |
1811.300 |
|
PBIDT (Excl
OI) |
281.100 |
258.800 |
(40.600) |
|
Other Income |
0.000 |
0.000 |
0.000 |
|
Operating
Profit |
281.100 |
258.800 |
(40.600) |
|
Interest |
150.100 |
169.800 |
148.100 |
|
Exceptional
Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
131.000 |
89.000 |
(188.700) |
|
Depreciation |
62.700 |
63.400 |
65.000 |
|
Profit
Before Tax |
68.300 |
25.600 |
(253.000) |
|
Tax |
13.000 |
9.300 |
0.000 |
|
Reported PAT |
55.300 |
16.300 |
(253.000) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
55.300 |
16.300 |
(253.000) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
(5.94) |
8.08 |
6.20 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(2.85) |
12.52 |
9.61 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(6.99) |
9.35 |
5.53 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.35) |
0.43 |
0.29 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
5.02 |
2.93 |
4.39 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.76 |
2.79 |
1.88 |
LOCAL AGENCY FURTHER INFORMATION
FINANCIAL PERFORMANCE
The
Company earned an income of Rs.6414.700 Millions in the year 2010-11 as against Rs.5521.600 Millions
during the previous year. The Company incurred a net loss of Rs.369.200 Millions as
against the net profit of Rs.431.700 Millions during the previous year.
The
above net loss includes one time expenditure of Rs.250.000 Millions
towards out of court settlement of the Derivative disputes with Axis Bank Ltd.
With reference to the operations, lesser sugar price realizations coupled with
increased raw materials cost added to the loss in operations during the year.
OPERATIONAL PERFORMANCE
Sugar Division
The
sugarcane crushing in 2010-11 has increased substantially over the previous
year on account of adequate sugarcane planting in the command area of the
factories. The sugarcane crushed during the year 2010-11 was as follows:
|
|
SUGARCANE CRUSHED (MT) |
|
|
|
2010-11 |
2009-10 |
|
Unit I |
230,453 |
234,187 |
|
Unit II |
912,733 |
717,988 |
|
Unit III |
581,953 |
475,757 |
|
Total |
1,725,139 |
1,427,932 |
The
company has produced 168,743 MT of sugar (including 14,084 MT of sugar processed
from raw sugar) as against 174,472 MT of sugar (including 44,429 MT of sugar
processed from raw sugar) in the previous year. The company has sold 165,452 MT
of Sugar as against 166,476 MT during the previous year. The company has
exported 17,212 MT of sugar during the year under review to benefit from the
higher price prevailing in the International market.
Distillery Division
The
Company produced 6,087,978 litres of Alcohol in 2010-11 as against 10,326,903
litres of Alcohol in the previous year on account of lesser cane crushed in the
Unit 1. The company sold 61,179 tons of molasses in the year 2010-11 as against
25,271 tons of molasses sold during 2009-10. In view of higher conversion cost
of operations of Distillery unit with externally sourced biomas fuel (due to
lesser availability of cane), the company sold molasses to take advantage of
the higher margin.
Cogeneration of Power
The
Cogeneration plants in Unit I, II and III generated 226.33 million units of
electricity in 2010-11, as against 190.95 million units of power generated
during the previous year. After captive consumption, 158.03 million units of
power were exported to TNEB as against 127.98 million units exported in the
previous year. The company has received 110,696 units of carbon credits during
the year ended 31st March 2011 which has been accounted during the year.
Operations of subsidiary company
There
has been substantial improvement in the performance of the wholly owned
subsidiary Company, Trident Sugars Limited, which crushed 396,506 MT of
sugarcane during the financial year 2010-11 as against 310,632 MT in the
previous year. The company produced 41,100 MT of sugar and sold 44,879 MT of
Sugar during the financial year as against 30,702 MT of production and 21,600
MT of sales in the previous year. The annual accounts of the subsidiary company
is enclosed alongwith the accounts of the Company.
Allotment of equity shares
Pursuant
to the special resolution passed by the shareholders at the Extraordinary General
Meeting held on 28th May 2009, the Company has allotted 1,100,000 Equity Shares
at `.10/- each at a price
of `.62/- each including a
premium of `.52/- per share to Ms.Rajshree Pathy, Chairperson and Managing
Director on 9th December 2010 on receipt of the entire payment, on exercise of
the rights attached to the share warrants. The said 1,100,000 equity shares are
subject to lock-in for 3 years upto 9th December 2013.
After
this allotment, the paid-up capital has increased to Rs.237.917 Millions. The
share premium account has also gone up by Rs57.200 Millions
FUTURE OUTLOOK
Sugarcane
crushing for 2010-11 season is expected to be better than the crushing season
of 2009-10 on account of increase in cane planting and better monsoon. The Unit
II at Mundiampakkam has recorded the highest cane planting in Tamilnadu,
thereby ensuring better cane availability for the subsequent year as well. With
this improvement in cane crushing, the value addition from the Cogeneration and
Distillery is expected to be better during the current year.
The
company has commenced construction activities for a green-field distillery with
an installed capacity of 80 KL per day as part of its 3500 TCD integrated sugar
complex at Semmedu village, Gingee, Villupuram District in Tamil Nadu. The
molasses produced from Unit II and Unit III will be the feedstock for
conversion into alcohol in the new Distillery. They expect to commission the
plant by the end of this financial year.
MANAGEMENT DISCUSSION and ANALYSIS
Industry Scenario and Development
The
sugar industry is one of the world's major agro-based industries. Around 75% of
the global sugar production comes from the top 10 producers, of which the top
three (Brazil, India and the European Union) contribute 40% of the total.
World
Sugar Production for 2010-11 is down, consumption is up and prices have
recently started showing upward movement due to South Brazil crop which produce
two-third of the total Global raw sugar requirement, is entirely rain-fed and a
record rainfall in Australia. Surplus production earlier estimated is down from
a forecast 6.20 million tons to around 3 million tons.
World
Sugar Production for the 2010-11 marketing year is estimated at 161.90 million
tons (153.40 million tons in 2009-10), while the demand /consumption is pegged
at 158.2 million tons in 2010-11 (154.09 million tons in 2009-10). World market
sugar prices reached a 30-year high in November 2010 and 2011 will be the third
year that global production/ consumption has been in deficit.
In
India, sugar industry is the second largest industry after textiles. The
country is the second largest sugar producer in the world (accounting 13% of
the world's sugar production). The sub-tropical region (Uttar Pradesh and
Maharashtra) contributes almost 60% of India's total sugar production, while
the balance comes from the tropical region, mainly from Tamil Nadu, Karnataka
and Andhra Pradesh.
As
per Indian Sugar Mills Association (ISMA), India's output for 2010-11 season is
likely to touch 25 million tons as against 18.92 million tons in the previous
season. The total expected sugar production of 25 million tons in India
includes 9.40 million tons from Maharashtra, 5.85 million tons from Uttar
Pradesh, 3.60 million tons from Karnataka, 1.60 million tons from Tamilnadu and
1.30 million tons from Gujarat.
With
India's sugar demand likely seen at around 22 million tons and with production
at 25 million tons, extra sugar of around 3 million tons (not including the
2010-11 carryover stocks at around 4.98 million tons) is likely. As globally
there is a thin surplus left out, India will continue to dominate in the global
sugar industry.
Domestic
sugar price hovered around Rs.0.026 Million per ton level throughout major part of
the year 2010-11.
During
the year, Government of India took important measures such as allowing
re-export of previously imported raw sugar, increase in levy price, allowing
OGL exports etc. They look forward for more such facilitation measures.
Fixed Assets ·
Land
·
Buildings
·
Plant and Machinery
·
Office Equipment
·
Furniture
·
Vehicles
·
Electrical Equipment
·
Tools and Equipment
·
Lab Equipment
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.50.31 |
|
|
1 |
Rs.70.04 |
|
Euro |
1 |
Rs.65.82 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
YES |
|
--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.