MIRA INFORM REPORT

 

 

Report Date :            

18.10.2012

 

IDENTIFICATION DETAILS

 

Correct Name :

CMC (AUSTRALIA) PTY LTD

 

 

Formerly Known As :

COMSERV (NO 1132) PTY LTD

 

 

Registered Office :

Level 3, 430 Forest Road., Hurstville, New South Wales, Zip/postal code 2220

 

 

Country :

Australia

 

 

Financials (as on) :

31.08.2011

 

 

Date of Incorporation :

15.10.1980

 

 

Com. Reg. No.:

002007427

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

Import, marketing and distribution of non-ferrous metal, long and flat steel  products

 

 

No. of Employees :

405 employees (Subject); 11,422 employees (CMC Group)

 

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)

Australia

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

Australia - ECONOMIC OVERVIEW

 

Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron ore, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia also has a large services sector and is a significant exporter of natural resources, energy, and food. Key tenets of Australia''s trade policy include support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy grew for 17 consecutive years before the global financial crisis. Subsequently, the former RUDD government introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the slowing world economy, while the Reserve Bank of Australia cut interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy rebound after just one quarter of negative growth. The economy grew by 1.4% during 2009 - the best performance in the OECD - by 2.7% in 2010, and by 1.8% in 2011. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009 and fell to 5.0% in 2011. As a result of an improved economy, the budget deficit is expected to peak below 4.2% of GDP and the government could return to budget surpluses as early as 2015. Australia was one of the first advanced economies to raise interest rates, with seven rate hikes between October 2009 and November 2010. The GILLARD government is focused on raising Australia''s economic productivity to ensure the sustainability of growth, and continues to manage the symbiotic, but sometimes tense, economic relationship with China. Australia is engaged in the Trans-Pacific Partnership talks and ongoing free trade agreement negotiations with China, Japan, and Korea.

 

Source : CIA

 


 Bottom of Form

Identification details  Bottom of Form

 

 

Verified Address

 

Subject name :              CMC (AUSTRALIA) PTY LTD

Business address :        Level 3, 430 Forest Road

Town :                          Hurstville

Province :                     New South Wales

Zip/postal code :           2220

Country :                       Australia

Tel :                              +61 2 95856200

Fax :                             +61 2 95808680

Website :                      www.cmcaustralia.com.au

 

Registered address :     Level 3, 430 Forest Road

Town :                          Hurstville

Province :                     New South Wales

Zip/postal code :           2220

Country :                       Australia

 

 

Summary details

 

Executive Summary

Date founded or registered :      15/10/1980

Legal form :                              Australian Proprietary Company

Chief executive :                       Matthew John Stedman

Issued & paid up capital :          AUD 8,250,000

Sales turnover :                         AUD 554,008,000 (Consolidated 12 months, 31/08/2011)

Net income :                             AUD 1,068,000 (Consolidated 12 months, 31/08/2011)

Total fixed assets :                    AUD 262,585,000 (Consolidated 12 months, 31/08/2011)

Line of business :                      Import, marketing and distribution of non-ferrous metal, long and flat steel

products.

Staff employed :                       405 employees (Subject); 11,422 employees (CMC Group)

 

 

Credit risk opinion

 

Company Analysis

Country risk :                             Country risk is minimal

Operation trend :                       Operational trend is declining

Management experience :          Management is adequately experienced

Financial performance :             Financial performance is good

Organization structure :              Organizational structure is stable

Detrimental :                             No detrimental found

Payment history :                      No payment delays noted

Comments :                              Larger credit can still be considered.

 

 

Statutory details

 

Registry Data

Registration date :                     15/10/1980

Legal form :                              Australian Proprietary Company

Registration no                          Australian Company Number: 002007427

Registered authority :                Australian Securities and Investments Commission

Fiscal/ Tax no :                                     Australian Business Number: 34002007427

Registry status :                                   Live/Active

Previous name :                        COMSERV (NO 1132) PTY LTD (initial)

Change of legal form :               None reported.

 

 

Management / directors

 

Key Management

Name :              Matthew John Stedman

Designation :    Managing Director

 

Name                Robert Acevski

Designation :    Chief Financial Officer

 

 

Board of directors / other appointments

 

Appointments

Name :                          Hanns Kurt Zoellner

Designation :                Director

Appointment date :        01/09/00

Address :                      Zimmelstrasse 68

6314 Unterägeri

Switzerland

Biography :                   Born on 24-06-1948 in Vienna, Austria.

 

Name :                          COMMERCIAL METALS INTERNATIONAL GMBH

Designation :                Director

Appointment date :        08/12/80

Address :                      Lindenstrasse 14

6340 Baar

Switzerland

 

Name :                          Robert Acevski

Designation :                Director and Company Secretary

Appointment date :        15/08/08

Address :                      28 Boronia Street

Kyle Bay, NSW 2221

Australia

Biography :                   Born on 08-09-1972 in Sydney, New South Wales, Australia.

 

Name :                          Matthew John Stedman

Designation :                Director

Appointment date :        01/09/10

Address :                      23 Shepherd Street

Ashfield, NSW 2131

Australia

Biography :                   Born on 21-01-1960 in Sydney, New South Wales, Australia.

 

Name :                          Stephen Maxwell Pearson

Designation :                Director

Appointment date :        01/09/09

Address :                      2A Gallipoli Street

Concord, NSW 2137

Australia

Biography :                   Born on 10-03-1957 in Parkes, New South Wales, Australia.

 

Name :                          Raymond Telk Hock Ang

Designation :                Company Secretary

Appointment date :        18/03/05

Address :                      93 Mi Mi Street

Oatley, NSW 2223

Australia

Biography :                   Born on 21-03-1953 in Singapore.

Staff employed :           405 employees (Subject); 11,422 employees (CMC Group)

 

Key Advisors

Auditors :          DELOITTE TOUCHE TOHMATSU

Level 10, The Barrington

10 Smith Street

Parramatta, NSW 2150

Australia

 

share capital

 

Composition

Authorized Capital :       AUD 8,250,000

No of shares :               517,243 Ordinary Shares

Share par value :           No par value

Issued capital :              AUD 8,250,000

Paid up capital :            AUD 8,250,000

 

 


ownership / shareholders

 

How listed :                   Full List

 

Composition

Shareholder name :       Murray Robert McClean

Address :                      5323 Tennington Park

Dallas, TX 75287

United States

No. of shares :              1 Ordinary Share

 

Shareholder name :       COMMERCIAL METALS INTERNATIONAL GMBH

Address :                      Lindenstrasse 14

6340 Baar

Switzerland

No. of shares :              517,242 Ordinary Share

 

 

Related companies & corporate Affiliations

 

Structure

 

Name :                          COMMERCIAL METALS COMPANY

Affiliation type :                        Ultimate Holding Company

Address :                      6565 North MacArthur Boulevard, Suite 800

Irving, TX 75039

United States

Comments :

Commercial Metals Company engages in recycling, manufacturing, fabricating,

and distributing steel and metal products, and related materials and services in

the United States and internationally. The company processes scrap metals for

use as a raw material by manufacturers of new metal products through 33 scrap

metal processing facilities to steel mills and foundries, aluminum sheet and ingot

manufacturers, brass and bronze ingot makers, copper refineries and mills,

secondary lead smelters, specialty steel mills, high temperature alloy

manufacturers, and other consumers. It also operates five steel mills producing

reinforcing bars, angles, flats, rounds, small beams, fence-post sections, and

other shapes; a scrap metal shredder processing facility; a railroad salvage

business; and a copper tube minimill. In addition, the company conducts

fabrication operations through a network of steel plants that bend, cut, weld, and

fabricate steel, primarily reinforcing bars; warehouses that sell or rent products for

the installation of concrete; plants that produce steel fence posts; and plants that

treat steel with heat. Further, it operates two rolling mills that produce reinforcing

bar and merchant products; a rolling mill that produces wire rod; a specialty rod

finishing mill; and four steel fabrication plants for reinforcing bar and mesh, as

well as manufactures electric arc furnace based steel pipes. Additionally, the

company buys and sells primary and secondary metals, fabricated metals,

semi-finished, long, flat steel, and other industrial products primarily to the

manufacturers, in steel, nonferrous metals, metal fabrication, chemical, refractory,

and transportation businesses. It also markets and distributes steel, copper, and

aluminum coil; sheets and tubings; ores; metal concentrates; industrial minerals;

ferroalloys; and chemicals. The company was founded in 1915 and is

headquartered in Irving, Texas.

 

Name :              CMCLUX, S.À R.L.

Affiliation type :            Intermediate Holding Company

Address :          69, rue de Merl

L-2146 Luxembourg

Luxembourg

 

Name :              COMMERCIAL METALS INTERNATIONAL GMBH

Affiliation type :            Parent Company

Address :          Lindenstrasse 14

6340 Baar

Switzerland

 

Name :              CMC COIL STEELS PTY LTD

Affiliation type : Wholly-owned Subsidiary

Address :          Level 3, 430 Forest Road

Hurstville, NSW 2220

Australia

 

Name :              G.A.M. STEEL PTY. LTD.

Affiliation type : Wholly-owned Subsidiary

Address :          Level 3, 430 Forest Road

Hurstville, NSW 2220

Australia

 

Name :              COIL STEELS PROPERTIES PTY LTD

Affiliation type : Wholly-owned Subsidiary

Address :          Level 3, 430 Forest Road

Hurstville, NSW 2220

Australia

 

Name :              CMC RECYCLING SINGAPORE PTE. LTD.

Affiliation type : Sister Company

Address :          298 Tiong Bahru Road

#14-05 Central Plaza

Singapore 168730

Singapore

 

Name :              CMC S.E. ASIA PTE. LTD.

Affiliation type : Sister Company

Address :          298 Tiong Bahru Road

#14-05 Central Plaza

Singapore 168730

Singapore

Name :              CMC EUROPE GMBH

Affiliation type : Sister Company

Address :          Lindenstrasse 14

6340 Baar

Switzerland

 

Name :              CMC UK LTD.

Affiliation type : Sister Company

Address :          Building 1, Trident Park

Glass Avenue, Ocean Way

Cardiff CF24 5EN

United Kingdom

 

Related companies and corporate affiliations comments

Other companies of the CMC Group should be considered affiliates of the Subject.

 

 

Bank & mortgages

 

Bank Details

Name of bank :                         National Australia Bank

Address :                      Australia

Account details :           Current Account

 

Comments :                  It is generally not the policy of local banks to provide credit status information to

non related parties, however interested parties would be advised to consult first

with the Subject if banker's references are required.

 

Mortgages :                  None reported.

 

Legal Fillings

Bankruptcy fillings :       None reported.

Court judgements :        None reported.

Tax liens :                     None reported.

Others :                        None reported

 

 

financial data

 

Description

Source of financial statement :   Commercial Registry Filings

Financial statement date :          31/08/11

Type of accounts :                    Full audited

Currency :                                 Australia Dollar (AUD)

Exchange rate :                         1 USD = AUD 0.97 as of 16-10-2012


Summarized Financial Information

Consolidation type :      Consolidated                Consolidated Group      Consolidated

Currency :                     Australia Dollar (AUD)    Australia Dollar (AUD)    US Dollar (USD)

Denomination : (x1) One                        (x1) One                        (x1) One

Date of financial year end : 31/08/11                  31/08/10                       31/08/11

Length of accounts :     12 months                     12 months                     12 months

Sale turnover / Income : 554,008,000                  597,868,000                  7,918,430,000

Gross profit :                57,067,000                    73,752,000

Profit before tax :          1,806,000                      16,978,000                    -110,099,000

Net income :                 1,068,000                      11,405,000                    -129,617,000

Non current assets :      38,840,000                    22,367,000                   1,356,878,000

Current assets :             223,745,000                  183,109,000                  2,326,253,000

Inventories :                  113,796,000                  111,234,000                  908,338,000

Total assets :                262,585,000                  205,476,000                  3,683,131,000

Current liabilities :          83,348,000                   85,829,000                    1,198,854,000

Non current liabilities :   61,693,000                    3,171,000                      1,323,629,000

Total liabilities :                         145,041,000                 89,000,000                    2,522,483,000

Share equity :                117,544,000                  116,476,000                  1,160,648,000

Retained earning :         109,294,000                  108,226,000                  993,578,000

 

Comments : The consolidated financial information above relates to the Subject and its subsidiaries.

The group’s consolidated financial information above relates to the Subject’s Ultimate Holding Company Commercial Metals Company and all its subsidiaries which include the Subject.

 

 

Operation details

 

Main activities :                         The Subject engages in import, marketing and distribution of non-ferrous

metal, long and flat steel products. The Subject utilizes warehouse facilities

at several Australian ports to facilitate distribution, including just-in-time

delivery and logistics management.

 

The Subject also operate an industrial products distribution business

supplying metals related industries including steel mills, foundries and

smelters.

 

During the 4th quarter of 2011, the Subject acquired G.A.M. Steel Pty. Ltd.,

based in Melbourne, Australia (“G.A.M.”). G.A.M. is a distributor and

processor of steel long products and plate, servicing the structural

fabrication, rural and manufacturing segments in the state of Victoria,

Australia.

 

The Subject operates as a subsidiary of Commercial Metals Company.

Commercial Metals Company, incorporated in 1946, recycles,

manufactures, fabricates and distributes steel and metal products and

related materials and services through a network of locations throughout

the United States and internationally.

 

The Company operates in five segments: Americas Recycling, Americas

Mills Americas Fabrication, International Mills and International Marketing

and Distribution. The Americas Recycling segment consists of the scrap

metal processing and sales operations primarily in Texas, Florida and the

southern United States. The Americas Mills segment includes the

Company’s domestic steel mills, including the scrap processing facilities

which directly support these mills, and the copper tube minimill. The

Americas Fabrication segment consists of the Company’s rebar fabrication

operations, fence post manufacturing plants, construction-related and other

products facilities. The International Mills segment includes the minimills in

Poland and Croatia. International Marketing and Distribution includes

international operations for the sales, distribution and processing of steel

products, ferrous and nonferrous metals and other industrial products. In

addition, the International Marketing and Distribution segment includes the

Company’s two United States based trading and distribution divisions,

CMC Cometals and CMC Cometals Steel.

 

Product & services :

Flat products: Steel coils, sheets, floor and boiler plates

Long products: Steel pipes, tubes, bars and wires

Ferro alloys: Ferro chrome, manganese, molybdenum, niobium,

phosphorus, silicon, titanium, and vanadium

Non ferrous alloys: Aluminium hardeners, grain refiners, modifiers,

recarburisers

Metals: Aluminium, copper, magnesium, nickel, pig iron, silicon, tin, and

high purity billets

 

Minerals: Bauxite, fluorspar, magnesite, and metspar

Moulding products: Binder systems, including akalyine phenolic, anti

veining additives, cold box, sealants, mould release agents and strippers

 

Purchases

Local :              Yes

International :    Worldwide

 

Sales

Local : Yes

International : No exports.

Key events : 18 April 2012

 

UPDATE 1-Carl Icahn cuts stake in Commercial Metals

(Reuters) - Billionaire investor Carl Icahn cut his stake in Commercial

Metals Co three months after dropping a $1.73 billion buyout offer.

Icahn's stake in Commercial Metals fell to 7.49 percent, as of April 17, a

regulatory filing showed. He held 9.98 percent of the company's shares as

of Sept. 1.

 

The investor had failed to gather enough support to take over the board of

the metal recycler as only 23 percent of the shares were tendered in

response to his offer in January.

28 November 2011

Icahn Bids for Commercial Metals in Deal Worth $1.73 Billion

Nov. 28 (Bloomberg) -- Billionaire investor Carl Icahn offered to buy

Commercial Metals Co. and combine it with his existing metals operations

in a bid that values the steel-scrap recycler and distributor at about $1.73

billion.

 

Icahn Enterprises LP, which owns a 10 percent stake in CMC, is offering

$15 apiece for the other shares without any financing or due diligence

conditions, he said today in a letter to CMC directors. The offer is 31

percent more than the stock’s Nov. 25 closing price. CMC jumped 24

percent to $14.17 in New York.

 

CMC collects scrap that it melts to make products such as steel rebar used

in construction. Icahn said he will sell “non- core” assets and appoint a

new management team.

 

“A below average operating performance fueled by a distracting and

misguided international growth plan, combined with a disastrous

investment record, has become the defining characteristic of Commercial

Metals,” Icahn said in the letter.

 

CMC will review the letter and respond in the best interests of the company

and stockholders, the Irving, Texas- based company said in a separate

statement. CMC said it has improved financial results, cut costs and exited

non-core businesses. The company plans to close or sell a mill in Croatia,

shut rebar-fabrication plants and reduce its global workforce.

 

Aggressive Approach Icahn is taking a more aggressive approach with CMC than is typical for

him, said Louis Meyer, a New York-based analyst at Oscar Gruss & Son

Inc., who recommends buying the shares.

 

“He is coming in there to replace management and run the company

better,” Meyer said in a telephone interview. “Given the size of his assets,

it’s not an idle threat.”

 

CMC probably will reject the takeover offer and may then announce a

strategic review, Meyer said. The company is too small to be operationally

scattered across the globe, except perhaps in Australia, which is a key

steel hub for the China market, he said.

 

“Icahn may initiate a hostile $15 tender if management rejects his

proposal, as we expect it will,” Keith Moore, an event-driven strategist at

Stamford, Connecticut-based MKM Partners LLC, said in a note.

If CMC’s board seeks other offers, Nucor Corp., Schnitzer Steel Industries

Inc., Gerdau SA, Steel Dynamics Inc., and Sims Metal Management Ltd.

are among companies that may be interested, Moore said.

 

‘Misguided’ Plan

CMC has dropped 60 percent in the past five years while the the Standard

and Poor’s 400 Materials Index has increased 19 percent. Icahn

Enterprises rose 0.5 percent to $36.31 in New York.

 

Icahn said he is prepared to negotiate terms of a tender offer immediately.

His company plans to nominate three board members at CMC’s next

annual shareholders meeting, challenging the directorship of Chief

Executive Officer Joe Alvarado. CMC needs to refocus on core operations

in North America, Icahn said.

 

“We are extremely concerned about the capabilities and behavior of the

current board and management,” Icahn said in the letter. “We do not

believe the current board is capable or willing to undertake the actions

necessary to enable Commercial Metals to compete in the future.”

Investors can cash out their shares and buy stock in CMC’s competitors,

which “are much better managed and better situated to take advantage of

any possible economic recovery,” Icahn said in the letter.

 

Activist Investing About 86 million metric tons of scrap will be used to make steel in the U.S.

this year, and another 24 million tons may be exported for steelmaking

elsewhere, according to Bloomberg Industries. Scrap, mostly used in

electric-arc furnaces, accounted for 60 percent of raw-steel production last

year, according to the Institute of Scrap Recycling Industries.

 

Property & Assets

Premises :        The Subject operates from premises located at the verified heading

address consisting of an administrative office.

 

Branches :        In addition, the Subject operates from branch office and warehouses located at:

 

Branch Office:

Level 6, 697 Burke Road

Camberwell, VIC 3124

Australia

Tel: +61 3 98050400

 

Branch Warehouse:

94 Anton Road

Hemmant, QLD 4174

Australia

Tel: +61 7 39004050

 

92 Hill Street

Carrington, NSW 2294

Australia

Tel: +61 2 49690900

 

84-88 Coode Road

West Melbourne, VIC 3003

Australia

Tel: +61 3 96898744


Summarized country risk

 

Central bank                                          :   Reserve Bank of Australia

Reserve of foreign exchange & gold      :   US$ 43.879 billion

Gross domestic product – GDP             :   US$ 1.586 trillion

 

GPP (Purchasing power parity)              :   954.296 billion of International dollars

 

GDP per capita - current prices              :   US$ 68,916

 

GDP - composition by sector                :   agriculture: 4% industry: 25.6% services: 70.4%

 

Inflation            :                                               2009: 1.8%

2010: 2.8%

2011: 3.4%

 

Unemployment rate                               2009: 5.6 %

2010: 5.2 %

2011:5.1 %

 

Public debt

(General Government gross

debt as a % GDP)                                 2009:  16.9%

2010:  20.4%

2011:    22.9 %

 

Government bond ratings                      Standard & Poor's: AAA-/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

 

Market value of publicly traded shares    US$ 1.258 trillion

 

Largest companies in the country           Commonwealth Bank (Banking), BHP Billiton (Materials), Westpac

Banking Group (Banking), Rio Tinto (Materials), National Australia Bank (Banking), ANZ Banking (Banking), Telstra (Telecommunications)


 

Trade & Competitiveness Overview

 

Total exports                                        US$210.7 billion

 

Exports commodities                           coal, iron ore, gold, meat, wool, alumina, wheat

 

Total imports                                        US$187.2 billion

 

Imports commodities                            machinery and transport equipment, computers and office machines, telecommunication equipment and parts, crude oil and petroleum products

 

Export - major partners                          Japan 18.9%, China 14.2%, South Korea 8%, US 6%, NZ 5.6%, India

5.5%, UK 4.2%

 

Import - major partners                          China 15.5%, US 12.8%, Japan 9.6%, Singapore 5.6%, Germany

5.2%, UK 4.3%, Thailand 4.2%

 

FDI Inflows                                           2009: US$46,843 million

2009: US$25,716 million

2010: US$32,472 million

 

 

 

FDI Outflows                                                                          2008: US$33,604 million

2009: US$ 16,160 million

2010: US$26,431 million

 

 

Best countries for doing business         :   10 out of 183 countries

Global competitiveness ranking              :   20 (ranking by country on a basis of 142, the first is the best)

 

 

Country and Population Overview

Total population                                   : 22.23 million

Total area                                            : 7,692,024 km2

Capital                                                 :  Canberra

Currency                                                                                                      :   Australian Dollars (AUD)

Internet users as % of total population   : 76%


Payment history

 

Purchase Term

International :    L/C, Prepayment, Telegraphic transfer, D/P, Credit 30-120 days

 

 

Sales Term

Local :              Prepayment, Bank transfer, D/P, Credit 30-120 days

 

 

Trade Reference/ Payment Behaviour

Comments :      As local and international trade references were not supplied, the Subject's

payment track record history cannot be appropriately determined but based

on our research, payments are believed to be met without delay.

 

 

Investigation Note

Sources :          Interviews and material provided by the Subject

Other official and local business sources


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.52.75

UK Pound

1

Rs.85.08

Euro

1

Rs.69.04

 

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.