MIRA INFORM REPORT

 

 

Report Date :

10.10.2012

 

IDENTIFICATION DETAILS

 

Name :

CUU LONG PHARMACEUTICAL JOINT STOCK COMPANY 

 

 

Registered Office :

No. 150 - 14/9 Road Ward 5, Vinh Long City, Vinh Long Province

 

 

Country :

Vietnam

 

 

Financials (as on) :

30.06.2012

 

 

Year of Establishment :

1976

 

 

Com. Reg. No.:

1500202535

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and trading in pharmaceuticals products, capsules, and medical equipments

 

 

No. of Employees :

917 employees

 

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)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

vietnam - ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that in the last 30 years has had to recover from the ravages of war, the loss of financial support from the old Soviet Bloc, and the rigidities of a centrally-planned economy. While Vietnam's economy remains dominated by state-owned enterprises, which still produce about 40% of GDP, Vietnamese authorities have reaffirmed their commitment to economic liberalization and international integration. They have moved to implement the structural reforms needed to modernize the economy and to produce more competitive export-driven industries. Vietnam joined the World Trade Organization in January 2007 following more than a decade-long negotiation process. Vietnam became an official negotiating partner in the developing Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to about 22% in 2011, while industry's share increased from 36% to 40% in the same period. Deep poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession has hurt Vietnam's export-oriented economy, with GDP in 2009-11 growing less than the 7% per annum average achieved during the last decade. In 2011, exports increased by more than 33%, year-on-year, and the trade deficit, while reduced from 2010, remained high, prompting the government to maintain administrative trade measures to limit the trade deficit. Vietnam's managed currency, the dong, continues to face downward pressure due to a persistent trade imbalance. Since 2008, the government devalued it in excess of 20% through a series of small devaluations. Foreign donors pledged nearly $8 billion in new development assistance for 2011. However, the government's strong growth-oriented economic policies have caused it to struggle to control one of the region's highest inflation rates, which reached as high as 23% in August 2011 and averaged 18% for the year. In February 2011, Vietnam shifted its focus away from economic growth to stabilizing its economy and tightened fiscal and monetary policies. In early 2012 Vietnam unveiled a broad "three pillar" economic reform program, proposing the restructuring of public investment, state-owned enterprises and the banking sector. Vietnam's economy continues to face challenges from low foreign exchange reserves, an undercapitalized banking sector, and high borrowing costs. The near-bankruptcy and subsequent default of the state-owned-enterprise Vinashin, a leading shipbuilder, led to a ratings downgrade of Vietnam's sovereign debt, exacerbating Vietnam's borrowing difficulties.

 

Source : CIA

 

 


SUBJECT IDENTIFICATION & LEGAL FORM

 

Current legal status

English Name

 

CUU LONG PHARMACEUTICAL JOINT STOCK COMPANY

Vietnamese Name

 

CONG TY CO PHAN DUOC PHAM CUU LONG

Trade name

 

PHARIMEXCO

Short name

 

VPC

Type of Business

 

Joint stock company

Year Established

 

1976

Establishment Decision

 

2314/ QD-UB

Date of Issuance

 

09 Aug 2004

Place of Issuance

 

Vinh Long People’s Committee

Business Registration No.

 

1500202535

Date of Registration

 

25 Feb 2009

Place of Registration

 

Vinh Long Department of Planning and Investment

Chartered capital

 

VND 100,594,800,000

Status

 

Listed

Stock symbol

 

DCL

Stock Market

 

HOSE

Tax code

 

1500202535

Total Employees

 

917

 

 

Historical Identification & Legal form

List

Changed Items

Date of changes

1

Subject has got former Chartered capital: VND 99,136,920,000 Changed to: VND 100,594,800,000

27 May 2011

2

Subject has got former Chartered capital: 97,193,080,000 VND Changed to: 99,136,920,000 VND

28 May 2010

3

Subject has got former Business Registration No: 5403000021, issauce on 09 Nov 2004 Changed to: 1500202535 (same the tax number)

25 Feb 2009

4

Subject has got former Chartered capital: 81,000,000,000 VND Changed to: 97,193,080,000 VND

01 Dec 2008

 

 

company ADDRESSES

 

Head Office

Address

 

No. 150 - 14/9 Road Ward 5, Vinh Long City, Vinh Long Province, Vietnam

Telephone

 

(84-70) 3822533/ 3828103

Fax

 

(84-70) 3822129

Email

 

pharimexco@hcm.vnn.vn 

Website

 

http://www.pharimexco.com.vn 

 

Branch in Ha Noi

Address

 

N1-4, No. 89 Nguyen Van Troi Phuong Liet Ward, Thanh Xuan District, Ha Noi City, Vietnam

Tax code

 

1500202535-001

 

 

Branch in Ho Chi Minh

Address

 

No. 13 Nguyen Van Thu, Da Kao Ward, 1 District, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 38225927

Fax

 

(84-8) 38298680

Tax code

 

1500202535-016

 

 

Branch in Hai Phong

Address

 

No. 17 Luong Khanh Thien Luong Khanh Thien Ward, Ngo Quyen District, Hai Phong City, Vietnam

 

Branch in Da Nang

Address

 

373 Ngo Quyen An Hai Bac Ward, Son Tra District, Da Nang City, Vietnam

Tax code

 

1500202535-023

 

 

Branch in Nghe An

Address

 

No. 52 Nguyen Thai Hoc Block 1, Doi Cung Ward, Vinh City, Nghe An Province, Vietnam

Tax code

 

1500202535-021

 

Branch in Soc Trang

Address

 

No. 424 Road 30/4, Ward 3, Soc Trang City, Soc Trang Province, Vietnam

Tax code

 

1500202535-019

 

Branch in Thanh Hoa

Address

 

No. 1 Lac Long Quan Street, Dong Ve Ward, Thanh Hoa City, Thanh Hoa Province, Vietnam

Tax code

 

1500202535-026

 

 

Branch in An Giang

Address

 

Lot 3G1 Ly Thai To My Long Ward, Long Xuyen City, An Giang Province, Vietnam

Tax code

 

1500202535-003

 

 

SUBSIDIARIES AND RELATED COMPANIES

 

1. CONG TY TNHH 1TV DUOC PHAM MEKONG

Registered Capital

 

VND 10,000,000,000

Address

 

No.56-58 - Street 3/2 - Ward 1 , Vinh Long City, Vinh Long Province, Vietnam

 

2. VIETNAM CANADA CAPSULE ENTERPRISE

Business Registration

 

310695

Date of Registration

 

15 Jul 1999

Place of Registration

 

Planning and Investment Department of Vinh Long Province

Tax code

 

1500202535-022

Address

 

No. 21B, Phan Dinh Phung Str Ward 8, Vinh Long City, Vinh Long Province, Vietnam

Tel

 

(84-70) 3825316/ 895605

Fax

 

(84-70) 3821183

 

3. VPC - SAI GON PHARMACEUTICAL COMPANY LIMITED

Business Registration

 

0311124093

Tax code

 

0311124093

Address

 

No. 13 Nguyen Van Thu, Da Kao Ward, 1 District, Ho Chi Minh City, Vietnam

 

4. MSC JOINT VENTURE COMPANY

Address

 

No. 11 Lanexang Street, Hatsady, Chanthaboury District, , , Laos

 

 

DIRECTORS

 

1. NAME

 

Mr. LUONG VAN HOA

Position

 

Chairman

ID Number/Passport

 

330006626

ID Issue Date

 

02 Nov 2005

ID Issue Place

 

Vinh Long Department of Police

Resident

 

No. 18 Le Van Tam Str., Ward 1, Vinh Long City, Vinh Long Province, Vietnam

Nationality

 

Vietnamese

 

2. NAME

 

Mr. NGUYEN THANH TONG

Position

 

Deputy General Director

ID Number/Passport

 

331631175

ID Issue Date

 

15 Feb 2006

ID Issue Place

 

Vinh Long Department of Police

Resident

 

No. 150, 14-9 Road Ward 5, Vinh Long City, Vinh Long Province, Vietnam

Nationality

 

Vietnamese

Tel/Mobile phone

 

(84) 903833443

 

3. NAME

 

Mr. NGUYEN HUU TRUNG

Position

 

Deputy General Director

ID Number/Passport

 

330753573

ID Issue Date

 

04 Feb 1994

ID Issue Place

 

Vinh Long Department of Police

Resident

 

No. 117, Road 14/9, Ward 5, Vinh Long City, Vinh Long Province, Vietnam

Nationality

 

Vietnamese

 

4. NAME

 

Mr. NGUYEN VAN THANH HAI

Position

 

Chief Accountant

Nationality

 

Vietnamese

 

BUSINESS NATURE AND ACTIVITIES

 

- Manufacturing and trading in pharmaceuticals products, capsules, and medical equipments
- Manufacturing and trading in high nutritional food, medical materials
- Import – export in medical field
- Manufacturing kinds of packing for pharmaceutical industry
- Installing computer and making computer programs
- Manufacturing and trading information technology

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

    Types of products

 

capsule, vitamine, antibionic

    Market

 

Japan, Netherlands, China, Hong Kong, Singapore …

    Mode of payment

 

LC,TT

 

EXPORT:

    Market

 

Laos, Cambodia

    Mode of payment

 

LC, TT

 

 

BANKERS

 

1. BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM VINH LONG BRANCH

Address

 

No.50 Nguyen Hue Street - Ward 2, Vinh Long City, Vinh Long Province, Vietnam

Telephone

 

(84-70) 3820541

Foreign Currency Account

 

72010370009808

 

2. JOINT STOCK BANK FOR FOREIGN TRADE OF VIETNAM

Address

 

No. 143 Le Thai To Str, Vinh Long City, Vinh Long Province, Vietnam

Telephone

 

(84-70) 3833583

Fax

 

(84-70) 3830562

 

 

SHAREHOLDERS

 

1. NAME

 

CONG TY TNHH DAI VIET A

Business Registration

 

051123

Address

 

No. 285/C8 - 32 - 33 Cao Thang Street Ward 12, 12 District, Ho Chi Minh City, Vietnam

Number of shares

 

200,000

Value of shares

 

VND 2,000,000,000

Percentage

 

2.47%

Note:  Representative: Mr. PHAM TRUNG NGHIA

 

2. NAME

 

Mr. NGUYEN VAN CAN

ID Number/Passport

 

330004957

Nationality

 

Vietnamese

Number of Shares

 

44,640

Value of shares

 

VND 446,400,000

Percentage

 

0.55%

 

3. NAME

 

STATE SHAREHOLDER

Number of shares

 

2,860,000

Value of shares

 

VND 28,600,000,000

Percentage

 

35.31%

 

4. NAME

 

OTHER SHAREHOLDERS

Number of shares

 

2,495,360

Value of shares

 

VND 24,953,600,000

Percentage

 

30.81%

 

 

FINANCIAL DATA

 

BALANCE SHEET

Unit: One VND

Balance sheet date

30/06/2012

31/12/2011

31/12/2010

Number of weeks

32

52

52

Audit status

Audited

Audited

Audited

ASSETS

A – CURRENT ASSETS

493,312,195,527

591,685,160,061

528,689,539,732

I. Cash and cash equivalents

7,660,447,833

18,139,592,984

24,603,124,131

1. Cash

7,660,447,833

18,139,592,984

14,983,124,131

2. Cash equivalents

0

0

9,620,000,000

II. Short-term investments

0

0

0

1. Short-term investments

0

0

0

2. Provisions for devaluation of short-term investments

0

0

0

III. Accounts receivable

285,599,969,132

323,319,860,960

297,935,454,845

1. Receivable from customers

284,565,759,587

323,506,748,112

294,236,585,104

2. Prepayments to suppliers

6,404,140,938

9,188,404,627

6,043,765,611

3. Inter-company receivable

10,329,476,199

0

0

4. Receivable according to the progress of construction

-15,699,407,592

0

0

5. Other receivable

0

6,422,768,891

6,567,533,313

6. Provisions for bad debts

0

-15,798,060,670

-8,912,429,183

IV. Inventories

183,947,515,277

235,860,237,975

193,152,251,547

1. Inventories

187,807,666,877

239,441,855,238

194,566,290,069

2. Provisions for devaluation of inventories

-3,860,151,600

-3,581,617,263

-1,414,038,522

V. Other Current Assets

16,104,263,285

14,365,468,142

12,998,709,209

1. Short-term prepaid expenses

1,103,527,365

962,730,286

425,581,318

2. VAT to be deducted

0

1,011,072,480

3,553,737,520

3. Taxes and other accounts receivable from the State

3,596,430,229

4,143,183,284

1,215,151,747

4. Other current assets

11,404,305,691

8,248,482,092

7,804,238,624

B. LONG-TERM ASSETS

239,261,902,910

250,086,245,527

263,466,956,794

I. Long term accounts receivable

0

0

0

1. Long term account receivable from customers

0

0

0

2. Working capital in affiliates

0

0

0

3. Long-term inter-company receivable

0

0

0

4. Other long-term receivable

0

0

0

5. Provisions for bad debts from customers

0

0

0

II. Fixed assets

238,143,454,480

248,816,056,674

262,441,960,277

1. Tangible assets

215,620,118,862

226,754,379,491

243,154,952,357

- Historical costs

427,280,637,417

426,490,857,453

415,603,750,473

- Accumulated depreciation

-211,660,518,555

-199,736,477,962

-172,448,798,116

2. Financial leasehold assets

0

0

0

- Historical costs

0

0

0

- Accumulated depreciation

0

0

0

3. Intangible assets

17,681,854,199

17,705,923,037

17,140,222,527

- Initial costs

17,710,139,227

17,710,139,227

17,140,222,527

- Accumulated amortization

-28,285,028

-4,216,190

0

4. Construction-in-progress

4,841,481,419

4,355,754,146

2,146,785,393

III. Investment property

0

0

0

Historical costs

0

0

0

Accumulated depreciation

0

0

0

IV. Long-term investments

391,827,061

0

0

1. Investments in affiliates

1,107,810,725

0

0

2. Investments in business concerns and joint ventures

0

0

0

3. Other long-term investments

0

0

0

4. Provisions for devaluation of long-term investments

-715,983,664

0

0

V. Other long-term assets

726,621,369

1,270,188,853

1,024,996,517

1. Long-term prepaid expenses

622,481,369

1,117,354,678

929,496,517

2. Deferred income tax assets

0

57,334,175

0

3. Other long-term assets

104,140,000

95,500,000

95,500,000

VI. Goodwill

0

0

0

1. Goodwill

0

0

0

TOTAL ASSETS

732,574,098,437

841,771,405,588

792,156,496,526

 

LIABILITIES

A- LIABILITIES

499,633,140,750

609,590,346,342

500,927,734,634

I. Current liabilities

468,745,529,752

578,974,512,344

440,159,232,703

1. Short-term debts and loans

359,088,807,719

461,751,483,414

335,179,850,330

2. Payable to suppliers

72,271,724,236

84,640,759,911

73,942,756,496

3. Advances from customers

6,920,515,261

7,721,066,805

7,412,931,332

4. Taxes and other obligations to the State Budget

7,690,025,206

3,547,557,727

2,222,556,549

5. Payable to employees

1,584,327,945

1,757,333,619

638,064,407

6. Accrued expenses

17,752,035,130

18,202,761,897

14,150,362,763

7. Inter-company payable

0

0

0

8. Payable according to the progress of construction contracts

0

0

0

9. Other payable

3,438,094,255

1,353,548,971

6,612,710,826

10. Provisions for short-term accounts payable

0

0

0

II. Long-Term Liabilities

30,887,610,998  

30,615,833,998

60,768,501,931

1. Long-term accounts payable to suppliers

0

0

0

2. Long-term inter-company payable

0

0

0

3. Other long-term payable

0

0

0

4. Long-term debts and loans

30,842,210,918

30,480,710,918

60,578,287,781

5. Deferred income tax payable

0

0

0

6. Provisions for unemployment allowances

45,400,080

135,123,080

190,214,150

7. Provisions for long-term accounts payable

0

0

0

B- OWNER’S EQUITY

232,940,957,687

232,129,285,783

291,142,817,985

I. OWNER’S EQUITY

232,940,957,687

229,464,892,995

279,778,926,331

1. Capital

99,136,920,000

99,136,920,000

99,136,920,000

2. Share premiums

110,087,161,661

110,087,161,661

110,502,361,661

3. Other sources of capital

0

0

0

4. Treasury stocks

0

0

0

5. Differences on asset revaluation

0

0

0

6. Foreign exchange differences

585,372,224

545,607,929

-170,604,352

7. Business promotion fund

47,918,109,402

48,926,260,727

48,926,260,727

8. Financial reserved fund

7,715,878,889

7,715,878,889

7,715,878,889

9. Other funds

9,017,858,890

9,017,858,890

9,017,858,890

10. Retained earnings

-41,540,510,229

-45,984,961,951

4,630,083,666

11. Construction investment fund

20,166,850

20,166,850

20,166,850

II. Other sources and funds

0

2,664,392,788

11,363,891,654

1. Bonus and welfare funds (Elder form)

0

2,664,392,788

11,363,891,654

2. Sources of expenditure

0

0

0

3. Fund to form fixed assets

0

0

0

MINORITY’S INTEREST

0

51,773,463

85,943,907

TOTAL LIABILITIES AND OWNER’S EQUITY

732,574,098,437

841,771,405,588

792,156,496,526

 

PROFIT & LOSS STATEMENT

 

Description

01/01/2012 - 30/06/2012

FY2011

FY2010

1. Total Sales

336,015,845,710

686,633,872,874

579,748,719,537

2. Deduction item

16,854,196,324

56,619,763,210

22,146,920,540

3. Net sale

319,161,649,386

630,014,109,664

557,601,798,997

4. Costs of goods sold

242,246,236,624

466,344,429,318

410,131,319,622

5. Gross profit

76,915,412,762

163,669,680,346

147,470,479,375

6. Financial income

3,460,075,764

2,989,492,031

4,758,678,697

7. Financial expenses

36,415,687,318

78,807,940,717

43,826,739,017

- In which: Loan interest expenses

34,999,439,391

75,482,646,640

41,872,580,201

8. Selling expenses

30,057,186,744

89,188,715,957

67,861,146,182

9. Administrative overheads

11,387,814,407

30,668,826,369

28,694,945,939

10. Net operating profit

2,514,800,057

-32,006,310,666

11,846,326,934

11. Other income

942,449,574

3,037,994,466

2,626,609,458

12. Other expenses

1,538,149,541

1,910,466,444

2,770,916,898

13. Other profit /(loss)

-595,699,967

1,127,528,022

-144,307,440

14. Total accounting profit before tax

1,919,100,090

-30,878,782,644

11,702,019,494

15. Current corporate income tax

414,570,826

383,192

1,919,645

16. Deferred corporate income tax

0

57,334,175

0

17. Interest from subsidiaries/related companies

0

0

0

18. Profit after tax

1,504,529,264

-30,821,831,661

11,700,099,849

 


 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

01/01/2012 - 30/06/2012

FY2011

FY2010

Average Industry

Current liquidity ratio

1.05

1.02

1.20

1.65

Quick liquidity ratio

0.66

0.61

0.76

1.04

Inventory circle

1.32

2.17

2.12

4.14

Average receive period

326.62

187.32

195.03

105.37

Utilizing asset performance

0.44

0.75

0.70

1.20

Liability by total assets

68.20

72.42

63.24

53.11

Liability by owner's equity

214.49

262.61

172.06

159.74

Ebit / Total assets (ROA)

5.04

5.30

6.76

10.37

Ebit / Owner's equity (ROE)

15.85

19.22

18.40

23.03

Ebit / Total sale (NPM)

10.99

6.50

9.24

10.15

Gross profit / Total sale (GPM)

22.89

23.84

25.44

25.88

Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

Trade Morality

 

Fair

Liquidity

 

Medium

Payment status

 

Above Average

Financial Situation

 

Average

Development trend

 

Stable

Litigation data

 

No Record

Bankruptcy

 

No Record

Payment Methods

 

LC,TT

Sale Methods

 

Retailer and Wholesaler

 

CREDIT INQUIRY: 125,000 USD Against D/A interms

Accept!

 

 

INTERPRETATION ON THE SCORES

 

Founded in 1976, the subject operated as a State owned company. Up to 2008, it was equitzed and officially listed on HOSE (Hochiminh Stock Exchange) with the code name of DCL.

Following some changes, the subject is currently operating under the business registration number 1500202535. The chartered capital of subject was increased to VND 100,594,800,000

The head office of subject is located No. 150 - 14/9 Road Ward 5, Vinh Long City, Vinh Long Province, Vietnam. Besides, it has 3 subsidies, five factories (in that has a farm aiming to growth herb in Binh Phuoc Province), many branches and agents at almost cities and provinces in Vietnam.

The subject specializes in producing, imports and exports business directly pharmaceuticals, empty hard capsules, the instruments and medical equipment for the pharmaceutical industry, medical industry, cosmetics, health foods, pharmaceuticals, chemical substances, materials… The subject imported production technology from Canada and Korea. Pharimexco is the country’s first pharmaceutical company to meet three quality standards, namely GMP, GLP and GSP.  The management is standardized and active. Currently, the finished products of subject are exported to India, Cambodia and Laos (the subject has a transaction office in Laos).

In general with the current financial, the subject can meet small-medium commitments.

 

 

APPENDIX

 

INDUSTRY DATA

 

Industry code

Growth speed by price compared with 1994 (%)

Total enterprises 2009

Total employees 2010

(Thous.pers.)

Annual average capital of enterprises 2009

(billion dongs)

2011

2010

Agriculture, Forestry and Fishing

4.00

2.78

8,749

23,896.3

81,559

Industry and Construction

5.53

7.70

85,115

10,630

2,751,975

Trade and Services

6.69

7.52

154,978

14,522

4,939,069

 

ECONOMIC INDICATORS

 

 

2011 

2010 

2009 

Population (Million person)

87.84

86.93

86.02

Gross Domestic Products (USD billion)

119

102.2

91

GDP Growth (%)

5.89

6.78

5.32

GDP Per Capita (USD/person/year)

1,300

1,160

1,080

Inflation (% Change in Composite CPI)

18.58

11.75

6.88

State Budget Deficit compared with GDP (%)

4.9

5.8

6.9

 

SERVICE TRADE PERFORMANCE

 

Billion USD 

2011 

2010 

2009 

Exports

96.3

72.2

57.1

Imports

105.8

84.8

69.9

Trade Balance

-9.5

-12.6

-12.8

Source: General Statistics Office

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.52.38

UK Pound

1

Rs.83.99

Euro

1

Rs.67.99

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.