MIRA
INFORM REPORT
|
Report Date : |
06.10.2012 |
IDENTIFICATION DETAILS
|
Name : |
SIAM STEEL
SYNDICATE PUBLIC COMPANY
LIMITED |
|
|
|
|
Registered Office : |
31st Floor,
Huaykwang,
Bangkok 1031 |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
1984 |
|
|
|
|
Com. Reg. No.: |
0107550000181 [Former :
0105527041231] |
|
|
|
|
Legal Form : |
Public
Limited Company |
|
|
|
|
Line of Business : |
Manufacturer and
Distributor of Steel Pipes And
Related Products |
|
|
|
|
No. of Employees : |
468 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No complaints |
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed infrastructure, a
free-enterprise economy, generally pro-investment policies, and strong export
industries, Thailand enjoyed solid growth from 2000 to 2007 - averaging more
than 4% per year - as it recovered from the Asian financial crisis of 1997-98.
Thai exports - mostly machinery and electronic components, agricultural
commodities, and jewelry - continue to drive the economy, accounting for more
than half of GDP. The global financial crisis of 2008-09 severely cut
Thailand's exports, with most sectors experiencing double-digit drops. In 2009,
the economy contracted 2.3%. In 2010, Thailand's economy expanded 7.8%, its
fastest pace since 1995, as exports rebounded from their depressed 2009 level.
Steady economic growth at just below 4% during the first three quarters of 2011
was interrupted by historic flooding in October and November in the industrial
areas north of Bangkok, crippling the manufacturing sector and leading to a
revised growth rate of only 0.1% for the year. The industrial sector is poised
to recover from the second quarter of 2012 onward, however, and the government
anticipates the economy will probably grow between 5.5 and 6.5% for 2012, while
private sector forecasts range between 3.8% and 5.7%
|
Source
: CIA |
Company name
SIAM
STEEL SYNDICATE PUBLIC
COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 31st FLOOR,
ITALIAN-THAI BUILDING,
2034/132 NEW
PETCHBURI ROAD, BANGKAPI,
HUAYKWANG, BANGKOK
10310, THAILAND
TELEPHONE : [66] 2716-1586-90
FAX :
[66] 2716-1580-2
E-MAIL
ADDRESS : sssbkk@sss.in.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1984
REGISTRATION
NO. : 0107550000181 [Former : 0105527041231]
TAX
ID NO. : 3101058246
CAPITAL REGISTERED : BHT. 672,427,210
CAPITAL PAID-UP : BHT.
592,427,210
SHAREHOLDER’S PROPORTION : THAI : 98.24%
FOREIGN :
1.76%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PUBLIC LIMITED
COMPANY
EXECUTIVE : MR. CHARAT CHAROENSAP,
THAI
MANAGING DIRECTOR
NO.
OF STAFF : 468
LINES
OF BUSINESS : STEEL
PIPES AND RELATED
PRODUCTS
MANUFACTURER AND
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on November 20,
1984 as a
private limited company under
the registered name “Siam Steel
Syndicate Co., Ltd.,”
by Thai groups.
On November 26,
2007, the subject’s status was
converted to a
public limited company under
the name SIAM
STEEL SYNDICATE PUBLIC
COMPANY LIMITED. The
subject’s business objective
is to manufacture
wide range of steel pipes.
It currently employs
468 staff.
The
subject also achieved
ISO 9001 Quality System Certification.
The
subject’s registered address
is 31st Flr., Italian-Thai
Building, 2034/132 New
Petchburi Rd., Bangkapi,
Huaykwang, Bangkok 10310,
and this is
the subject’s current
operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Visuth Jirathiyut |
[x] |
Thai |
60 |
|
Mr. Charat Charoensap |
[x] |
Thai |
58 |
|
Mr. Tawee Limpongphan |
[x] |
Thai |
61 |
|
Mr. Boonlam Sripichai |
[x] |
Thai |
63 |
|
Mrs. Bhilaichit Rerngpithaya |
[x] |
Thai |
63 |
|
Mr. Chartchai Chutima |
[x] |
Thai |
52 |
|
Mr. Pinyo Meechamna |
|
Thai |
57 |
|
Mr. Premchai Karnasuta |
[x] |
Thai |
58 |
|
Mrs. Nijaporn Jaranachit |
[x] |
Thai |
61 |
|
Mrs. Orn-anong Amartayakul |
|
Thai |
76 |
|
Mr. Thanakorn Pariswong |
|
Thai |
60 |
|
Mrs. Panpaka Cholnapastit |
|
Thai |
62 |
AUTHORIZED PERSON
Two of the
mentioned directors [x]
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Charat Charoensap is
the Managing Director.
He is Thai
nationality with the
age of 58
years old.
Mr. Preecha Buranawattana is
the Sales &
Marketing Manager.
He is Thai
nationality.
Mr. Boonlam Sripichai is
the General Manager.
He is Thai
nationality with the
age of 63 years old.
Mr. Rongroj Sajawongcharoen is
the Factory Manager.
He is Thai
nationality.
Mr. Pisanu Charoensomsak is
the Smelting Manager
and Acting Engineering
and IT Manager.
He is Thai
nationality.
Mr. Virat Rujivipat is
the Finance & Account Manager.
He is Thai
nationality.
Mr. Thana Suthi-opas is
the QA Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and distributing various
types of steels
such as round
bar with sizes
from 12-25 millimeters and
deformed bar with
sizes from 10-40
millimeters as well as steel wire rods,
rectangular and square tubes, and round pipes. under
its own brand
“SSS”, supplying to
industrial plants and construction
industry.
PURCHASE
80% of raw
material is purchased
from local suppliers,
the remaining 20%
is imported from
India, Taiwan, Hong Kong,
Singapore, Australia and
Republic of China.
SALES
100% of the
products is sold
locally by wholesale
to dealers, manufacturer,
construction contractors and
end-users.
MAJOR CUSTOMER
Italian Thai Development
Public Company Limited
RELATED AND AFFILIATED
COMPANIES
Asia Steel Products
Co., Ltd.
Business Type :
Importer and distributor
of steel pipes.
Thai Nippon Steel Co.,
Ltd.
Business Type :
Manufacturer of oil
ring fabrication.
Bangkok Steel Wire
Co., Ltd.
Business Type :
Manufacturer of wire spooling and
coiling.
LITIGATION
Bankruptcy and Receivership
On June 24, 2002, the Central
Bankruptcy Court has
ordered the company
to rehabilitate its
organization. On July
9, 2003, the
Court has approved
the company’s rehabilitation plan
and appointed SSS
Planner Co., Ltd.,
as the Plan
Administrator. However, the
plan was operated
completely in 2005.
Others
There are no
legal suits filed
against the subject
for the past
two years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
L/C at sight
or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
[Silom Branch,
Silom Rd., Suriyawongse,
Bangrak, Bangkok]
Krung Thai Bank
Public Co., Ltd.
[Head Office,
35 Sukhumvit Rd.,
Klongtoeynua, Wattana, Bangkok]
Bank of Ayudhya
Public Co., Ltd.
[Sukhumvit Branch,
Sukhumvit Rd., Klongtoeynua,
Wattana, Bangkok]
Kasikornbank Public Co.,
Ltd.
[Head Office,
1 Kasikorn Lane,
Rajburana Rd., Rajburana,
Bangkok]
EMPLOYMENT
The
subject employs 468
office staff and
factory workers.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in commercial/residential area.
Factory
is located at:
-
211 Moo 6,
Taiban Rd., Taiban,
Muang, Samutprakarn 10280.
Tel
: [66] 2703-5152,
Fax. : [66] 2173-9001
Total
factory’s area is
on 115,200 square
meters of land.
COMMENT
Siam Steel Syndicate produces steel products for
use in a variety of industries.
Its productions offerings include
round and deformed
bars, steel wire rods,
rectangular and square tubes, and round pipes.
An affiliate of
Italian-Thai Development,
Siam Steel Syndicate was established in
1984 and has
since become a leading producer of steel products in Thailand.
The achievement
of the internationally recognized
ISO 9001 Quality System
Certification is a clear indication of
the company's commitment
towards customers' satisfaction.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 100,000,000
divided into 1,000,000 shares
of Bht. 100
each.
The
capital was increased
later as following:
Bht. 120,000,000
on December
26, 1989
Bht. 300,000,000
on December
22, 1992
Bht. 400,000,000
on August
18, 1994
Bht. 500,000,000
on December
25, 1995
The latest registered
capital was increased
to Bht. 672,427,210 divided
into 672,427,210 shares
of Bht. 1 each
MAIN
SHAREHOLDERS : [as
at April 30,
2012] at Bht.
592,427,210 of capitalization
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Premchai Karnasuta Nationality: Thai Address : 12/3
Soi Soonvijai 3,
Bangkapi,
Huaykwang, Bangkok |
223,531,930 |
37.73 |
|
Mr. Yuthachai Jaranachit Nationality: Thai Address : 10
Soi Soonvijai 3,
Bangkapi, Huaykwang, Bangkok |
83,663,300 |
14.12 |
|
Ms. Valaithip Jaranachit Nationality: Thai Address : 10
Soi Soonvijai 3,
Bangkapi,
Huaykwang, Bangkok |
83,663,300 |
14.12 |
|
Ms. Chitraphan Jaranachit Nationality: Thai Address :
10 Soi Soonvijai
3, Bangkapi,
Huaykwang, Bangkok |
83,663,270 |
14.12 |
|
Mr. Jariya Wongthuaythong Nationality: Thai Address : 94/2
Phahoyothin Rd., Samsennai,
Phyathai, Bangkok |
22,609,710 |
3.82 |
|
Mr. Thoranis Karnasuta Nationality: Thai Address : 12/3
Soi Soonvijai 3,
Bangkapi,
Huaykwang, Bangkok |
21,798,030 |
3.68 |
|
Mr. Piti Karnasuta Nationality: Thai Address : 12/3
Soi Soonvijai 3,
Bangkapi, Huaykwang, Bangkok |
12,720,640 |
2.15 |
|
Ms. Prachaya Karnasuta Nationality: Thai Address : 12/3
Soi Soonvijai 3,
Bangkapi,
Huaykwang, Bangkok |
12,720,640 |
2.15 |
|
Others |
48,056,390 |
8.11 |
Total Shareholders : 29
Share Structure [as
at April 30,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
26 |
582,012,210 |
98.24 |
|
Foreign |
3 |
10,415,000 |
1.76 |
|
Total |
29 |
592,427,210 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Somkid Tiatrakul No.
2785
Note:
The half-year 2012
financial statement was
not available during
investigation.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011 & 2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
92,424,199 |
239,732,817 |
|
Trade Accounts Receivable - Other
Company |
222,199,715 |
471,484,878 |
|
-
Related Company |
141,609 |
67,003,838 |
|
Inventories |
762,821,324 |
685,791,033 |
|
Other Receivable -
Related Company |
282,088 |
296,404 |
|
Refundable Value Added Tax |
7,038,054 |
- |
|
Other Current Assets
|
4,974,997 |
5,364,094 |
|
|
|
|
|
Total Current Assets
|
1,089,881,986 |
1,469,673,064 |
|
Investment in Associated
& Related Company |
12,776,702 |
40,000,000 |
|
Fixed Assets |
1,011,841,471 |
502,872,511 |
|
Deferred Computer Software |
3,813,243 |
3,962,392 |
|
Other Assets |
946,900 |
1,334,245 |
|
Total Assets |
2,119,260,302 |
2,017,842,212 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Short-term Loam from Bank |
358,671,256 |
431,332,089 |
|
Trade Accounts Payable
- Other
Company |
99,505,789 |
115,098,467 |
|
- Related
Company |
18,487,871 |
4,724,034 |
|
Other Payable - Related Company |
704,366 |
473,784 |
|
Reserve for Liabilities
from Employee Benefits |
7,492,617 |
- |
|
Current Portion of Long-term
Loan |
18,200,000 |
47,560,000 |
|
Advance Income from
Customers |
96,017,179 |
113,952,520 |
|
Accrued Dividend |
- |
50,172,952 |
|
Accrued Income Tax |
992,273 |
22,607,902 |
|
Accrued Expenses |
35,434,581 |
35,928,266 |
|
Other Current Liabilities |
2,846,407 |
49,149,613 |
|
|
|
|
|
Total Current Liabilities |
638,352,339 |
870,999,627 |
|
Reserve for Liabilities
from Employee Benefits - Net |
93,957,637 |
- |
|
Long-term Loan |
- |
167,880,000 |
|
Total Liabilities |
732,309,976 |
1,038,879,627 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 1
par value Authorized &
issued share capital 672,427,210 shares |
672,427,210 |
672,427,210 |
|
|
|
|
|
Capital Paid |
592,427,210 |
592,427,210 |
|
Retained Earning Appropriated for
Statutory Reserve
|
67,242,721 |
67,242,721 |
|
Unappropriated |
182,280,395 |
319,292,654 |
|
Other Components of
Shareholders’ Equity |
545,000,000 |
- |
|
Total Shareholders' Equity |
1,386,950,326 |
978,962,585 |
|
Total Liabilities & Shareholders' Equity |
2,119,260,302 |
2,017,842,212 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
|
|
|
|
Sales Income |
3,172,686,978 |
2,719,096,576 |
|
Other Income |
5,360,446 |
28,369,521 |
|
Total Revenues |
3,178,047,424 |
2,747,466,097 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
3,082,603,188 |
2,574,028,024 |
|
Selling Expenses |
5,073,671 |
5,212,085 |
|
Administrative Expenses |
40,068,893 |
47,799,447 |
|
Loss on Diminution
of Investment in Associated Company |
27,223,298 |
- |
|
Share of Loss
of Associated Company
- at Equity |
30,825,984 |
34,410,948 |
|
Total Expenses |
3,185,795,034 |
2,661,450,504 |
|
|
|
|
|
Profit before Income
Tax |
[7,747,610] |
86,015,596 |
|
Income Tax |
[5,538,452] |
[31,166,950] |
|
|
|
|
|
Net Profit / [Loss] |
[13,286,062] |
54,848,643 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.71 |
1.69 |
|
QUICK RATIO |
TIMES |
0.49 |
0.89 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.14 |
5.41 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.50 |
1.35 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
90.32 |
97.25 |
|
INVENTORY TURNOVER |
TIMES |
4.04 |
3.75 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
25.56 |
63.29 |
|
RECEIVABLES TURNOVER |
TIMES |
14.28 |
5.77 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
11.78 |
16.32 |
|
CASH CONVERSION CYCLE |
DAYS |
104.10 |
144.21 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
97.16 |
94.66 |
|
SELLING & ADMINISTRATION |
% |
1.42 |
1.95 |
|
INTEREST |
% |
- |
- |
|
GROSS PROFIT MARGIN |
% |
3.01 |
6.38 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(0.24) |
3.16 |
|
NET PROFIT MARGIN |
% |
(0.42) |
2.02 |
|
RETURN ON EQUITY |
% |
(0.96) |
5.60 |
|
RETURN ON ASSET |
% |
(0.63) |
2.72 |
|
EARNING PER SHARE |
BAHT |
(0.02) |
0.09 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.35 |
0.51 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.53 |
1.06 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
16.68 |
|
|
OPERATING PROFIT |
% |
(109.01) |
|
|
NET PROFIT |
% |
(124.22) |
|
|
FIXED ASSETS |
% |
101.21 |
|
|
TOTAL ASSETS |
% |
5.03 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
3.01 |
Deteriorated |
Industrial Average |
6.34 |
|
Net Profit Margin |
(0.42) |
Deteriorated |
Industrial Average |
1.14 |
|
Return on Assets |
(0.63) |
Deteriorated |
Industrial Average |
1.22 |
|
Return on Equity |
(0.96) |
Deteriorated |
Industrial Average |
2.51 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues after accounting for
the cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The company's figure is 3.01%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company was originated from the problem with control over its
costs.
Net Profit Margin is the indicator of the company's efficiency in that
net profit takes into consideration all expenses of the company. A low profit
margin indicates a low margin of safety, higher risk that a decline in sales
will erase profits and result in a net loss. The company's figure is -0.42%.
When compared with the industry average, the ratio of the company was lower.
Return on Assets measures how efficiently profits are being generated
from the assets employed in the business when compared with the ratios of firms
in a similar business. A low ratio in comparison with industry averages
indicates an inefficient use of business assets. When compared with the
industry average, it was lower, the company's figure is -0.63%.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. When compared with the
industry average, it was lower, the company's figure is -0.96%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY RATIO
|
Current Ratio |
1.71 |
Impressive |
Industrial Average |
1.03 |
|
Quick Ratio |
0.49 |
|
|
|
|
Cash Conversion Cycle |
104.10 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's
figure is 1.71 times in 2011, increase from 1.69 times, then it is generally
considered to have good short-term financial strength. When compared with the
industry average, the ratio of the company was higher, indicated that company
was an efficient operator in a dominant position within its industry.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 0.49 times in 2011,
decrease from 0.89 times, then the company has not enough current assets that
presumably can be quickly converted to cash for pay financial obligations.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 105 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE RATIO
|
Debt Ratio |
0.35 |
Impressive |
Industrial Average |
0.65 |
|
Debt to Equity Ratio |
0.53 |
Impressive |
Industrial Average |
1.74 |
|
Times Interest Earned |
- |
|
Industrial Average |
1.37 |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the
shareholders have committed. A lower the percentage means that the company is
using less leverage and has a stronger equity position.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.35 less than 0.5, most of the company's
assets are financed through equity.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
3.14 |
Impressive |
Industrial Average |
2.83 |
|
Total Assets Turnover |
1.50 |
Impressive |
Industrial Average |
1.24 |
|
Inventory Conversion Period |
90.32 |
|
|
|
|
Inventory Turnover |
4.04 |
Impressive |
Industrial Average |
3.78 |
|
Receivables Conversion Period |
25.56 |
|
|
|
|
Receivables Turnover |
14.28 |
Impressive |
Industrial Average |
5.84 |
|
Payables Conversion Period |
11.78 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.61 |
|
|
1 |
Rs.83.57 |
|
Euro |
1 |
Rs.67.17 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.