MIRA INFORM REPORT

 

 

Report Date :

07.09.2012

 

IDENTIFICATION DETAILS

 

Name :

GLOMED PHARMACEUTICAL COMPANY, INC

 

 

 

 

Registered Office :

No. 35 Tu Do Boulevard, Vietnam - Singapore Industrial Park (Vsip), An Phu Ward, Thuan An Town, Binh Duong Province

 

 

 

 

Country :

Vietnam

 

 

 

 

Financials (as on) :

31.12.2010

 

 

 

 

Year of Establishment :

2006

 

 

 

 

Com. Reg. No.:

3700754914

 

 

 

 

Legal Form :

Joint Stock Company

 

 

 

 

Line of Business :

Manufacturing and trading in pharmaceutical products.

 

 

 

 

No. of Employees :

300

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

Payment Behaviour :

Slow

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Viet Nam

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

Registered English Name

 

GLOMED PHARMACEUTICAL COMPANY, INC

Registered Vietnamese Name

 

CONG TY CO PHAN DUOC PHAM GLOMED

Trade name

 

GLOMED PHARMACEUTICAL COMPANY INC

Registered Short name

 

GLOMED

Type of Business

 

Joint stock company

Year Established

 

2006

Business Registration No.

 

3700754914

Date of Registration

 

24 Feb 2009

Date of Latest adjustment (8th)

 

09 Jan 2012

Place of Registration

 

Business Registration Office - Planning and Investment Department of Binh Duong Province

Chartered capital

 

VND 120,000,000,000

Tax code

 

3700754914

Total Employees

 

300

Note

 

The given name (Glomed Pharmaceutical Company Limited) is not correct

 

Historical Identification & Legal form

 

List

Changed Items

Date of changes

1

Subject has got former Business Registration No: 4603000275 issued on 17 Oct 2006

Changed to: 3700754914

24 Feb 2009

2

Subject has got former Vietnamese Name: CONG TY CO PHAN DUOC PHAM TOAN CAU

Changed to: CONG TY CO PHAN DUOC PHAM GLOMED

-

 

ADDRESSES

 

HEAD QUARTER AND NON-BETALACTAM PLANT

Address

 

No. 35 Tu Do Boulevard, Vietnam - Singapore Industrial Park (VSIP), An Phu Ward, Thuan An Town, Binh Duong Province, Vietnam

Telephone

 

(84-650) 3768 824 / 3768 823 / 3 768 826 / 3768 827

Fax

 

(84-650) 3768 825 / 3769 094

Email

 

info@glomedvn.com

Website

 

www.glomedvn.vn

 

CEPHALOSPORIN PLANT

Address

 

No.29A Tu Do Boulevard, Vietnam Singapore Industrial Park (VSIP), Binh Hoa Ward, Thuan An Town, Binh Duong Province, Vietnam

 

Branch in Da Nang

Address

 

No. 53 Ly Thai Tong Street, Thanh Khe Tay Ward, Thanh Khe District, Da Nang City, Vietnam

Telephone

 

(84-511) 3814 799/ 3813 755/ 3760 864

Fax

 

(84-511) 3760 864

 

Branch in Can Tho

Address

 

No. 576 – 577, B2 Street, 91B Residential Area, An Khanh Ward, Ninh Kieu District, Can Tho City, Vietnam

Telephone

 

(84-710) 6257 575/ 6257 676

Fax

 

(84-710) 3833 838

 

Branch in Ha Noi

Address

 

No. 34 Nguy Nhu Kon Tum Street, Nhan Chinh Ward, Thanh Xuan District, Ha Noi City, Vietnam

Telephone

 

(84-4) 3557 7430 / 3557 7429

Fax

 

(84-4) 3557 7431

 

Branch in Khanh Hoa

Address

 

No. 91 Hong Bang Street, Tan Lap Ward, Nha Trang City, Khanh Hoa Province, Vietnam

Telephone

 

(84-58) 3704 098/ 3511 869

Fax

 

(84-58) 3526 343/ 3511 875

 

 

SUBSIDIARIES AND RELATED COMPANIES

 

1. CONG TY TNHH DUOC PHAM CAM TU

Business Registration

 

053951

Date of Registration

 

15 Jul 1995

Place of Registration

 

Planning and Investment Department of Ho Chi Minh City

Registered Capital

 

VND 8,000,000,000

Tax code

 

0301129247

Address

 

No. 781/B9 Le Hong Phong Street, Ward 12, District 10, Ho Chi Minh City, Vietnam

Tel

 

(84-8) 3863 2323

Fax

 

(84-8) 3863 2324

Legal Representative

 

Ms. Trang Cam Tu

 

2. CONG TY CO PHAN DUOC PHAM CHAU AN

Business Registration

 

1601576216

Date of Registration

 

17 Oct 2011

Place of Registration

 

Planning and Investment Department of An Giang Province

Tax code

 

1601576216

Address

 

No. 217 Le Van Cuong Street, Group 6, My Chanh Hamlet, Chau Phu District, An Giang Province, Vietnam

Tel

 

(84-763) 863 113

Fax

 

(84-763) 863 113

 

 

DIRECTORS

 

1. NAME

 

Mr. TRANG VAN TOT

Position

 

Chairman cum General Director

Date of Birth

 

01 Mar 1957

ID Number/Passport

 

024417402

ID Issue Date

 

03 Nov 2005

ID Issue Place

 

Police Station of Hochiminh city

Resident

 

No. 386 Ba Hat Street, Ward 8, District 10, Ho Chi Minh City, Vietnam

Current resident

 

No. 781/B9 Le Hong Phong (noi dai) Street, Ward 12, District 10, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Qualification

 

Management

 

2. NAME

 

Ms. TRANG CAM TU

Position

 

Deputy Director

ID Number/Passport

 

023732571

Resident

 

No. 386 Ba Hat Street, Ward 8, District 10, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Email

 

cristinetrang@gmail.com 

Qualification

 

Management

 

3. NAME

 

Mr. DANG NGUYEN NHAT THAO

Position

 

Chief Accountant

Resident

 

Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Qualification

 

Management

 

 

BUSINESS NATURE AND ACTIVITIES

 

The subject registers and operates in the following business activities:
- Manufacturing and trading in pharmaceutical products.
- Wholesale of pharmaceuticals and medical equipment
- Wholesale of other food
- Wholesale of specialized others n.e.c
- Manufacture of soap and detergents, cleaning and polishing preparations
- Manufacture of other food products n.e.c.
- Production of mineral waters and other bottled waters
- Manufacture of containers of paper and paperboard
- Repair of machinery in pharmaceuticals industry

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

·         Types of products

 

Materials and equipment

·         Market

 

USA, Germany, Switzerland and Japan

·         Mode of payment

 

Through the bank

 

EXPORT:

·         Market

 

Cambodia, Myanmar, Indonesia.....

·         Mode of payment

 

L/C, T/T

 

 

BANKERS

 

VIETNAM PROSPERITY JOINT STOCK COMMERCIAL BANK HOCHIMINH CITY BRANCH

Address

 

No.87 Ham Nghi Street, 1 District, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 3821 0076 /3821 0077

Fax

 

(84-8) 3824 3456

 

 

SHAREHOLDERS

 

1. NAME

 

Mr. TRANG VAN TOT

Position

 

Chairman cum General Director

Date of Birth

 

01 Mar 1957

ID Number/Passport

 

024417402

Issued on

 

03 Nov 2005

Issued Place

 

Police Station of Hochiminh city

Resident

 

No. 386 Ba Hat Street, Ward 8, District 10, Ho Chi Minh City, Vietnam

Current Resident

 

No. 781/B9 Le Hong Phong (noi dai), Ward 12, District 10, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Number of Shares

 

9,600,000

Value of shares

 

VND 96,000,000,000

Percentage

 

80%

 

2. NAME

 

Ms. TRANG CAM TU

Position

 

Deputy Director

ID Number/Passport

 

023732571

Resident

 

No. 386 Ba Hat Street, Ward 8, District 10, Ho Chi Minh City, Vietnam

Email

 

cristinetrang@gmail.com 

Nationality

 

Vietnamese

Number of Shares

 

600,000

Value of shares

 

VND 6,000,000,000

Percentage

 

5%

 

3. NAME

 

Mr. TRANG VAN TY

ID Number/Passport

 

024107299

Resident

 

No. 491 Lac Long Quan Street, Ward 5, District 11, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Number of Shares

 

1,200,000

Value of shares

 

VND 12,000,000,000

Percentage

 

10%

 

4. NAME

 

Ms. TRANG HOANG YEN

ID Number/Passport

 

024115715

Resident

 

No. 386 Ba Hat Street, Ward 8, District 10, Ho Chi Minh City, Vietnam

Number of Shares

 

600,000

Value of shares

 

VND 6,000,000,000

Percentage

 

5%

 

 

FINANCIAL DATA

 

BALANCE SHEET

Unit: One VND

Balance sheet date

31/12/2010

31/12/2009

31/12/2008

Number of weeks

52

52

52

ASSETS

A – CURRENT ASSETS

124,468,000,000

75,302,591,273

30,410,266,544

I. Cash and cash equivalents

6,094,000,000

1,117,138,156

592,514,957

1. Cash

6,094,000,000

1,117,138,156

592,514,957

2. Cash equivalents

0

0

0

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

72,885,000,000

22,145,101,685

1,526,601,140

1. Receivable from customers

60,464,000,000

16,025,493,606

812,165,315

2. Prepayments to suppliers

0

0

0

3. Inter-company receivable

12,421,000,000

5,879,929,875

714,435,825

4. Receivable according to the progress of construction

0

0

0

5. Other receivable

0

239,678,204

0

6. Provisions for bad debts

0

0

0

IV. Inventories

39,243,000,000

48,176,663,391

21,923,856,914

1. Inventories

39,243,000,000

48,176,663,391

21,923,856,914

2. Provisions for devaluation of inventories

0

0

0

V. Other Current Assets

6,246,000,000

3,863,688,041

6,367,293,533

1. Short-term prepaid expenses

2,632,000,000

1,367,557,014

2,032,278,320

2. VAT to be deducted

2,989,000,000

1,268,432,465

3,977,903,135

3. Taxes and other accounts receivable from the State

0

0

0

4. Other current assets

625,000,000

1,227,698,562

357,112,078

B. LONG-TERM ASSETS

166,116,000,000

113,339,032,682

125,942,010,598

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

156,403,000,000

103,381,969,374

115,719,160,468

1. Tangible assets

93,388,000,000

98,080,149,881

107,338,518,971

- Historical costs

124,046,000,000

116,723,321,067

114,530,466,821

- Accumulated depreciation

-30,658,000,000

-18,643,171,186

-7,191,947,850

2. Financial leasehold assets

0

0

0

- Historical costs

0

0

0

- Accumulated depreciation

0

0

0

3. Intangible assets

28,000,000

40,611,930

53,436,750

- Initial costs

64,000,000

64,124,100

64,124,100

- Accumulated amortization

-36,000,000

-23,512,170

-10,687,350

4. Construction-in-progress

62,987,000,000

5,261,207,563

8,327,204,747

III. Investment property

0

0

0

Historical costs

0

0

0

Accumulated depreciation

0

0

0

IV. Long-term investments

0

0

0

1. Investments in affiliates

0

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

0

0

0

V. Other long-term assets

9,713,000,000

9,957,063,308

10,222,850,130

1. Long-term prepaid expenses

9,713,000,000

9,957,063,308

10,222,850,130

2. Deferred income tax assets

0

0

0

3. Other long-term assets

0

0

0

VI. Goodwill

0

0

0

1. Goodwill

0

0

0

TOTAL ASSETS

290,584,000,000

188,641,623,955

156,352,277,142

 

LIABILITIES

A- LIABILITIES

163,711,000,000

113,246,334,511

127,733,257,479

I. Current liabilities

91,643,000,000

59,042,603,829

26,380,832,209

1. Short-term debts and loans

71,225,000,000

32,339,409,378

7,633,260,214

2. Payable to suppliers

19,239,000,000

24,868,766,498

16,662,386,380

3. Advances from customers

0

0

0

4. Taxes and other obligations to the State Budget

755,000,000

1,221,328,961

1,364,889,204

5. Payable to employees

0

131,153,000

180,954,292

6. Accrued expenses

429,000,000

408,116,052

42,753,637

7. Inter-company payable

0

0

475,296,165

8. Payable according to the progress of construction contracts

0

0

0

9. Other payable

-5,000,000

73,829,940

21,292,317

10. Provisions for short-term accounts payable

0

0

0

II. Long-Term Liabilities

72,068,000,000

54,203,730,682

101,352,425,270

1. Long-term accounts payable to suppliers

0

0

0

2. Long-term inter-company payable

0

0

0

3. Other long-term payable

2,715,000,000

5,005,000,000

20,000,000

4. Long-term debts and loans

69,353,000,000

49,198,730,682

101,332,425,270

5. Deferred income tax payable

0

0

0

6. Provisions for unemployment allowances

0

0

0

7. Provisions for long-term accounts payable

0

0

0

B- OWNER’S EQUITY

126,873,000,000

75,395,289,444

28,619,019,663

I. OWNER’S EQUITY

126,873,000,000

75,395,289,444

28,619,019,663

1. Capital

120,000,000,000

100,500,000,000

50,000,000,000

2. Share premiums

0

0

0

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

0

0

0

7. Business promotion fund

0

0

0

8. Financial reserved fund

0

0

0

9. Other funds

0

0

0

10. Retained earnings

6,873,000,000

-25,104,710,556

-21,380,980,337

11. Construction investment fund

0

0

0

II. Other sources and funds

0

0

0

1. Bonus and welfare funds (Elder form)

0

0

0

2. Sources of expenditure

0

0

0

3. Fund to form fixed assets

0

0

0

MINORITY’S INTEREST

0

0

0

TOTAL LIABILITIES AND OWNER’S EQUITY

290,584,000,000

188,641,623,955

156,352,277,142

 

 

PROFIT & LOSS STATEMENT

 

Description

FY2010

FY2009

FY2008

1. Total Sales

225,348,000,000

105,190,795,373

31,751,465,458

2. Deduction item

11,959,000,000

3,439,758,714

3,942,004,943

3. Net revenue

213,389,000,000

101,751,036,659

27,809,460,515

4. Costs of goods sold

121,903,000,000

66,481,263,028

20,226,233,457

5. Gross profit

91,486,000,000

35,269,773,631

7,583,227,058

6. Financial income

297,000,000

51,815,709

84,043,991

7. Financial expenses

13,745,000,000

13,471,554,438

10,569,312,769

- In which: Loan interest expenses

10,122,000,000

11,618,971,978

10,311,757,988

8. Selling expenses

17,268,000,000

3,871,335,435

841,566,858

9. Administrative overheads

29,103,000,000

21,704,703,693

17,659,130,859

10. Net operating profit

31,667,000,000

-3,726,004,226

-21,402,739,437

11. Other income

316,000,000

2,274,007

21,759,100

12. Other expenses

4,000,000

0

0

13. Other profit /(loss)

312,000,000

2,274,007

21,759,100

14. Total accounting profit before tax

31,979,000,000

-3,723,730,219

-21,380,980,337

15. Current corporate income tax

0

0

0

16. Deferred corporate income tax

0

0

0

17. Interest from subsidiaries/related companies

0

0

0

18. Profit after tax

31,979,000,000

-3,723,730,219

-21,380,980,337

 

 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

FY2010

FY2009

FY2008

Average Industry

Current liquidity ratio

1.36

1.28

1.15

1.65

Quick liquidity ratio

0.93

0.46

0.32

1.04

Inventory circle

2.79

1.38

0.92

4.14

Average receive period

124.67

79.44

20.04

105.37

Utilizing asset performance

0.73

0.54

0.18

1.20

Liability by total assets

56.34

60.03

81.70

53.11

Liability by owner's equity

129.04

150.20

446.32

159.74

Ebit / Total assets (ROA)

14.49

4.19

-7.08

10.37

Ebit / Owner's equity (ROE)

33.18

10.47

-38.68

23.03

Ebit / Total revenue (NPM)

18.68

7.51

-34.86

10.15

Gross profit / Total revenue (GPM)

40.60

33.53

23.88

25.88

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

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

Trade Morality

 

Normal

Liquidity

 

Average

Payment status

 

Normal

Financial Situation

 

Normal

Development trend

 

Stable

Litigation data

 

No Record

Bankruptcy

 

No Record

Payment Methods

 

By cash or through the bank

Sale Methods

 

Retailer and Wholesaler

 

 

 

INTERPRETATION ON THE SCORES

 

Subject - GLOMED PHARMACEUTICAL COMPANY INC - is a joint stock company which was established in 2006. The precursor of it was Cam Tu Pharmaceutical Company., Ltd which was established in 1995 in Ho Chi Minh City.

The subject is specializing in manufacturing and trading in pharmaceutical products. The main products of subject are drugs of the Non – Betalactam group and drugs of the Betalactam group (the cephalosporins) with a capacity of about one billion tablets /capsules per year, and consisting of tablets, film-coated tablets, hard-gelatin capsules, sachets, creams/ointments. Currently, subject has more than 120 products. Its products are distributed all over the provinces and cities in the nation.

Subject has close relationship with two main distribution company which are Cam Tu Pharmaceutical Company Limited (Director of Cam Tu Pharmaceutical Company Limited is Ms. Trang Cam Tu. She is deputy director of subject) and Chau An Pharmaceutical Joint Stock Company.

Subject has two plants which are NON-BETALACTAM PLANT and CEPHALOSPORIN PLANT in Binh Duong Province, Vietnam. Total investment capital is USD 18 million, and total investment area is nearly 16,000 m2. For expanding market, subject has established branches in some main area of Vietnam such as Ha Noi, Da Nang, Can Tho and Khanh Hoa.

Subject has more investment in production such as investment in a modern line for R&D and trial production and establishment the production lines of tablets, film-coated tablets, capsules, sachets, creams/ointments with equipment and machines imported from Germany, the United States, Spain, Belgium and Singapore such as rapid mixer granulation, fluid bed drier, tabling machine, capsule filling machine, metal detector, film coating machine, blistering machine, packaging machine, cream fabricating machine.

In general, the subject is medium scale company. Its operation is now average. Its competition capacity is normal in pharmaceutical industry. In the industry, subject must be coped with some big pharmaceutical enterprises such as OPC PHARMACEUTICAL, CODUPHA, PHARBACO, VIMEDIMEX, PHARIMEXCO. The subject has financial capacity to meet normal 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.55.97

UK Pound

1

Rs.89.02

Euro

1

Rs.70.61

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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

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NB

New Business

 

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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.