MIRA INFORM REPORT

 

 

Report Date :

08.09.2012

 

IDENTIFICATION DETAILS

 

Name :

G.K. WINDING WIRES LIMITED

 

 

Registered Office :

23, Radhe Purikrishna Nagar, Delhi-110051

 

 

Country :

India

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

28.10.1985

 

 

Com. Reg. No.:

55-022363

 

 

Capital Investment / Paid-up Capital :

Rs. 47.500 Millions

 

 

CIN No.:

[Company Identification No.]

U74899DL1985PLC022363

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELG00581A

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Supplier and Manufacturer of copper winding wire, enamelled, enamelled copper wire, magnet wire, ul approved magnet wire, insulated cable, insulated

 

 

No. of Employees :

Not Available

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (48)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 730000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – June 30, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDIAN ECONOMIC OVERVIEW

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

LOCATIONS

 

Registered Office :

23, Radhe Purikrishna Nagar, Delhi-110051, India

Tel. No.:

91-120-2560214/201

Fax No.:

91-120-2560223

E-Mail :

avafirm@gmail.com

marketing@gkwinding.com

Website :

www.gkwinding.com

 


 

DIRECTORS

 

AS ON 23.09.2011

 

Name :

Mr. Sudhir Kumar Agarwal

Designation :

Whole time Director

Address :

F-27, Sector-41, Noida-201303, Uttar Pradesh, India

Date of Birth/Age :

01.12.1947

Date of Appointment :

28.10.1985

DIN No.:

00117005

 

Other Directorship:

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U74899DL1985PLC022363

G.K. WINDING WIRES LIMITED

Whole-time director

01/04/2011

28/10/1985

-

Active

NO

2

U19201DL1997PTC090331

UNISOL INDIA PRIVATE LIMITED

Director

21/10/1997

21/10/1997

-

Active

NO

3

U31300MH1973GAP016998

WINDING WIRES MANUFACTURERS ASSOCIATION OF INDIA

Director

29/09/2004

29/09/2004

-

Active

NO

4

U27104WB1988PTC045426

VERSATILE METAL CONCEPTS PRIVATE LIMITED

Director

01/11/2004

01/11/2004

22/03/2010

Active

NO

5

U74899DL1986PTC023900

SHREE ADINATH ENGINEERING WORKS PRIVATE LIMITED

Director

25/08/2005

25/08/2005

20/06/2009

Active

NO

6

U74899DL1991PTC045971

GK ENTERPRISES PRIVATE LIMITED

Director

01/04/2007

01/04/2007

22/10/2009

Active

NO

7

L31300WB1993PLC060690

VERSATILE WIRES LIMITED

Director

02/04/2007

02/04/2007

08/05/2007

Active

NO

8

U45400DL2009PTC188928

CLASSIC CONSTRUCTION MATERIAL AND EQUIPMENTS PRIVATE LIMITED

Director

27/03/2009

27/03/2009

-

Active

NO

9

U45400DL2009PTC188925

SYSTEMATIC INFRADEVELOPERS PRIVATE LIMITED

Director

27/03/2009

27/03/2009

-

Active

NO

10

U74899DL1990PTC042309

MAHARANI PRODUCTS PRIVATE LIMITED

Director

16/04/2010

16/04/2010

-

Active

NO

 

 

Name :

Mr. Sameer Agarwal

Designation :

Managing Director

Address :

F-27, Sector-41, Noida-201303, Uttar Pradesh, India

Date of Birth/Age :

22.08.1979

Date of Appointment :

24.08.2006

DIN No.:

00117027

 

Other Directorship:

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U74899DL1985PLC022363

G.K. WINDING WIRES LIMITED

Managing director

01/04/2011

24/08/2006

Active

NO

2

U74899DL1990PTC042309

MAHARANI PRODUCTS PRIVATE LIMITED

Director

16/04/2010

16/04/2010

Active

NO

 

 

Name :

Mr. Sant Kumar Agarwal

Designation :

Director

Address :

D-141, Sector-55, Noida-201303, Uttar Pradesh, India

Date of Birth/Age :

15.07.1955

Date of Appointment :

01.04.1994

DIN No.:

00117043

 

 

Name :

Ms. Neelam Agarwal

Designation :

Director

Address :

F-27, Sector-41, Noida-201303, Uttar Pradesh, India

Date of Birth/Age :

12.01.1952

Date of Appointment :

23.11.2002

DIN No.:

00116987

 


 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 23.09.2011

 

Names of Shareholders

No. of Shares

Sudhir Agarwal

4010300

Sameer Agarwal

356070

Neelam Agarwal

80130

Sudhir Agarwal

46500

Priti Agarwal

1000

Nidhi Agarwal

7000

H P Aggarwal

249000

TOTAL

4750000

 

AS ON 23.09.2011

 

Equity Shares Break Up

Percentage of Holding

Directors or relatives of Directors

100.00

TOTAL

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Supplier and Manufacturer of copper winding wire, enamelled, enamelled copper wire, magnet wire, ul approved magnet wire, insulated cable, insulated

 

 

PRODUCTION STATUS (AS ON : 31.03.2010)

 

Particulars

Unit

Installed Capacity

Actual Production

 

 

 

Own Products

Jobwork

Total Production

Copper Winding Wire

MT

4500

2538.931

442.911

2981.841

Aluminium Winding Wire

MT

150

15.905

--

15.905

Bare Copper Wire

MT

--

123.494

--

123.494

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

·         Punjab National Bank, Nehru Palace, New Delhi, India

·         Chinatrust Commercial Bank, A1/16, Wenger House, Rajiv Chowk, New Delhi-110001, India

·         Industrial Development Bank of India, IRCS Building, 1st Red Cross Road, New Delhi-110001, India

 

 

Facilities :

Secured Loan

 

Rs. In Millions

31.03.2011

Rs. In Millions

31.03.2010

Rupee term loans secured

 

 

Rupee term loans others secured

0.149

0.350

Foreign currency loans secured

 

 

Foreign currency loans others secured

54.744

50.563

 

 

 

TOTAL

54.893

50.913

 

 

 

Unsecured Loan

 

Rs. In Millions

31.03.2011

Rs. In Millions

31.03.2010

Rupee term loans unsecured

 

 

Rupee term loans others unsecured

78.307

24.076

Foreign currency loans unsecured

 

 

Foreign currency loans others unsecured

0.000

3.650

 

 

 

TOTAL

78.307

27.726

 

 

 

Banking Relations :

--

 

 

Financial Institution :

Stressed Assets Stabilisation Fund, IDBI Tower, WTC Complex, Cuffe Parade, Mumbai-400005, Maharashtra, India 

 

 

Auditors :

 

Name :

Ravi and Associates

Chartered Accountant

Address :

L-42, Lajpat Nagar-II, Delhi-110024, India

PAN No.:

AAAFR9032R

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2011

 

Authorised Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

6000000

Equity Shares

Rs.10/- each

Rs. 60.000 Millions

 

 

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

4750000

Equity Shares

Rs.10/- each

Rs. 47.500 Millions

 

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2011

31.03.2010

31.03.2009

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

47.500

47.500

47.500

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

135.773

73.988

24.855

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

183.273

121.488

72.355

LOAN FUNDS

 

 

 

1] Secured Loans

54.893

50.913

12.221

2] Unsecured Loans

78.307

27.726

7.730

TOTAL BORROWING

133.200

78.639

19.951

DEFERRED TAX LIABILITIES

4.745

3.866

0.119

 

 

 

 

TOTAL

321.218

203.993

92.425

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

89.443

60.724

31.554

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.026

0.026

0.026

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

60.821

40.277

17.262

 

Sundry Debtors

149.132

87.038

55.611

 

Cash & Bank Balances

84.728

65.056

0.851

 

Other Current Assets

0.000

0.000

0.000

 

Loans & Advances

75.686

26.148

18.502

Total Current Assets

370.367

218.519

92.226

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

79.121

32.478

9.965

 

Other Current Liabilities

14.098

27.009

10.960

 

Provisions

45.399

15.789

10.456

Total Current Liabilities

138.618

75.276

31.381

Net Current Assets

231.749

143.243

60.845

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

321.218

203.993

92.425

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2011

31.03.2010

31.03.2009

 

SALES

 

 

 

 

 

Income

1601.262

1041.528

685.566

 

 

Other Income

6.509

1.952

0.202

 

 

TOTAL                                     (A)

1607.771

1043.480

685.768

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Consumption materials changes inventories

1410.935

896.669

589.597

 

 

Manufacturing service costs

49.869

43.129

54.515

 

 

Contract cost

1.782

2.661

0.000

 

 

Employee related expenses

17.655

14.412

0.000

 

 

Administrative selling other expenses

14.598

13.222

0.000

 

 

Variation of Stocks

0.000

0.000

9.777

 

 

TOTAL                                     (B)

1494.839

970.093

653.889

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

112.932

73.387

31.879

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

12.509

4.556

2.761

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

100.423

68.831

29.118

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

8.149

3.263

1.704

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

92.274

65.568

27.414

 

 

 

 

 

Less

TAX                                                                  (H)

30.489

16.436

8.042

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

61.785

49.132

19.372

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

68.768

19.636

0.264

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

130.553

68.768

19.636

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

NA

191.006

0.504

 

 

Stores & Spares

NA

2.476

1.758

 

 

Capital Goods

NA

10.078

0.000

 

TOTAL IMPORTS

NA

203.560

2.262

 

 

 

 

 

 

Earnings Per Share (Rs.)

13.01

10.34

--

KEY RATIOS

 

PARTICULARS

 

 

31.03.2011

31.03.2010

31.03.2009

PAT / Total Income

(%)

3.84

4.71

2.82

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

5.76

6.30

4.00

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

20.07

23.48

22.15

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.50

0.54

0.38

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

1.51

1.30

0.71

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

2.67

2.90

2.94

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

-----

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

Yes

21]

Market information

-----

22]

Litigations that the firm / promoter involved in

-----

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

-----

26]

Buyer visit details

-----

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

 

PERFORMANCE REVIEW

 

During the year the production was 3731 MT compared to previous year production of 2998 MT thus having a growth of 24.45%.

 

 

The Gross profit before Interest, Depreciation and Tax stood as Rs 112.932 Millions compared to previous year Rs 73.387 Millions, which is more by 53.89%.

 

 

FUTURE OUTLOOK

 

The enameled wire industry is growing @ 10% plus per annum since last 3 years. Looking to the past growth trend and lower per capita consumption ( 0.3 Kg against international norms of 3 Kg) in their country and ongoing expansion in power sector, Directors estimate similar growth during the next financial year ending on March 2012.

 

Accordingly the capital investment has been done during the current Financial Year.

 

 

FORM 8

 

Corporate identity number of the company

U74899DL1985PLC022363

Name of the company

G.K. WINDING WIRES LIMITED

Address of the registered office or of the principal place of  business in India of the company

23, Radhe Purikrishna Nagar, Delhi-110051, India

This form is for

Modification of charge

Charge identification number of the charge to be modified

10175550

Type of charge

·         Immovable property

·         Book debts

·         Movable property (not being pledge)

·         Floating charge

Particular of charge holder

Chinatrust Commercial Bank, A1/16, Wenger House, Rajiv Chowk, New Delhi-110001, India

Nature of instrument creating charge

Deed of hypothecation of Fixed Assets dated 02.07.2012, Deed of Hypothecation of Current Assets dated 02.07.2012, and Memorandum of Entry dated 02.07.2012

Date of instrument Creating the charge

02.07.2012

Amount secured by the charge

Rs. 130.000 Millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of interest

As per CTCB/RBI guidelines in force.

 

Terms of repayment

Payable on demand.

 

Margin

Sight/Usance LC Issuance Limit - 10%, Sales Bill Discounting limits - 5%, Bank Guarantee limit - 10% up to 90 days and above 90 days - 100% and Overdraft limit - 25%.

 

Extent and operation of the charge

100%

 

Other

To secure all amounts payable under enhanced LC (Sight/Usance) Issuance limit of Rs. 100.000 Millions, Sales Bill Discounting limit of Rs. 20.000 Millions and Bank Guarantee limit of Rs. 20.000 Millions as sub-limits and Overdraft limit of Rs. 30.000 Millions aggregating to Rs. 130.000 Millions granted to/enjoyed by the Company together with all interests, costs, charges, expenses, commission etc.

Short particulars of the property charged (Including location of the property)

Primary

i)                 Exclusive charge on the entire present and future Current Assets of the Company.

ii)               Exclusive charge on the entire present and future Fixed Assets of the Company.

 

Collateral:

Exclusive charge by way of equitable mortgage of immovable properties of the Company situated at B-20, Surajpur Industrial Area, Site-C Pargana/Tehsil Dadri, District Ghaziabad (Now Gautam Budh Nagar), Uttar Pradesh together with all the buildings and structures constructed or to be constructed thereon, fixtures and fittings erected/installed or to be erected/installed thereon and every part thereof.

Date of instrument modifying the charge

12.07.2011

Particulars of the present modification

The exclusive charge on entire current and fixed assets of the Company - both present and future and equitable mortgage of immovable properties of the Company situated at B-20, Surajpur Industrial Area, Site-C Pargana/Tehsil Dadri, District Ghaziabad (Now Gautam Budh Nagar), Uttar Pradesh stands reduced from Rs. 140.000 Millions to Rs. 130.000 Millions

 

 

FIXED ASSETS

 

·         Land and Site Development

·         Good Will

·         Factory Building

·         Plant and Machinery

·         Office Equipments

·         Computers

·         Furniture and Fixtures

·         Vehicles

 

 

 

 


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 55.52

UK Pound

1

Rs. 88.49

Euro

1

Rs. 70.20

 

 

INFORMATION DETAILS

 

Report Prepared by :

DPT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--CREDIT LINES

1~10

5

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

48

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

-

NB

                                       New Business

-

 

 

 

 

 

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.