MIRA INFORM REPORT
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Report Date : |
13.09.2012 |
IDENTIFICATION DETAILS
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Name : |
VITERRA (NZ) LIMITED |
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Formerly Known As : |
ABB GRAIN (NZ) LIMITED |
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Registered Office : |
Ground Floor, 7A Pacific Rise,
Sylvia Park, Mt Wellington, |
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Country : |
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Financials (as on) : |
31.10.2011 |
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Date of Incorporation : |
09.12.1985 |
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Com. Reg. No.: |
285414 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Trading of food grains and commodities, animal feed, seed and agricultural chemicals |
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No. of Employees : |
6,927 employees (Viterra Group) |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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With Financials |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment
Behaviour : |
No Complaints |
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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
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Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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New Zealand |
a1 |
a1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
New Zealand - ECONOMIC OVERVIEW
Over the past 20 years the government has transformed New Zealand from an agrarian economy dependent on concessionary British market access to a more industrialized, free market economy that can compete globally. This dynamic growth has boosted real incomes - but left behind some at the bottom of the ladder - and broadened and deepened the technological capabilities of the industrial sector. Per capita income rose for ten consecutive years until 2007 in purchasing power parity terms, but fell in 2008-09. Debt-driven consumer spending drove robust growth in the first half of the decade, helping fuel a large balance of payments deficit that posed a challenge for economic managers. Inflationary pressures caused the central bank to raise its key rate steadily from January 2004 until it was among the highest in the OECD in 2007-08; international capital inflows attracted to the high rates further strengthened the currency and housing market, however, aggravating the current account deficit. The economy fell into recession before the start of the global financial crisis and contracted for five consecutive quarters in 2008-09. In line with global peers, the central bank cut interest rates aggressively and the government developed fiscal stimulus measures. The economy posted a 2% decline in 2009, but pulled out of recession late in the year, and achieved 1.7% growth in 2010 and 2% in 2011. Nevertheless, key trade sectors remain vulnerable to weak external demand. The government plans to raise productivity growth and develop infrastructure, while reining in government spending.
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Source : CIA |
Verified Address
Subject name : VITERRA (NZ) LIMITED
Other style / Business name :
VITERRA WOOL EXPORTS NZ
Business address : Ground Floor, 7A Pacific Rise
Sylvia Park
Town : Mt Wellington
Province Auckland
Zip/postal code 1060
Country : New Zealand
Tel : +64 9 2760591
Fax : +64
9 2760573
Email : customerservices.nz@viterra.com
Website : www.viterra.co.nz
Registered address : Ground Floor, 7A Pacific Rise
Sylvia Park
Town : Mt
Wellington
Province : Auckland
Zip/postal code : 1060
Country : New Zealand
Postal address : P.O. Box 3345, Shortland
Street
Town : Auckland
Central
Province : Auckland
Zip/postal code : 1140
Country : New Zealand
Executive Summary
Date founded or registered : 09/12/1985
Legal form : Private Limited
Company
Chief executive : Tristan Edward Lynch
Issued & paid up capital
: NZD 141,705,232
Sales turnover : NZD 323,584,000
(Non-consolidated 12 months, 31/10/2011)
Net income : NZD -20,443,000
(Non-consolidated 12 months, 31/10/2011)
Total fixed assets : NZD 204,542,000 (Non-consolidated
12 months, 31/10/2011)
Line of business : Trading of food grains and
commodities, animal feed, seed and agricultural
chemicals.
Staff employed : 6,927 employees (Viterra
Group)
Company Analysis
Country risk : Country risk is
minimal
Operation trend : Operational trend is
declining
Management experience : Management is reasonably experienced
Financial performance : Financial performance is gradually
declining
Organization structure : Organizational structure is stable
Detrimental : No detrimental records found
Payment history : No payment delays noted
Comments : Larger credit can
be granted if guaranteed by Ultimate Holding Company Viterra
Inc.
Registry Data
Registration date : 09/12/1985
Legal form : Private Limited
Company
Registration no 285414
Registered authority : New Zealand Companies Office
Registry status : Live/Active
Previous name : ABB GRAIN (NZ) LIMITED
(until 12-02-2010)
JOSSCO NZ
LIMITED (until 22-09-2003)
HILL &
LICHTENSTEIN EXPORTS LIMITED (until 01-09-1998)
Change of legal form : None reported.
Comments : On 1 April 2010,
the following entities were amalgamated into the subject:
- NEW
ZEALAND GRAIN AND SEED LIMITED
- PCL
FEEDS LIMITED
- NRM
FEEDS LIMITED
- BAY
GRAINS DRYERS LIMITED
Key Management
Name : Tristan Edward Lynch
Designation : Managing Director
Appointments
Name : Prashant Billimoria
Designation : Director
Appointment date : 01/11/11
Address : 25 Glenveagh Drive
Mount
Roskill, Auckland 1051
New
Zealand
Name : Tristan Edward Lynch
Designation : Director
Appointment date : 01/11/11
Address : 243C Main Highway
Ellerslie
Auckland 1060
New
Zealand
Staff employed : 6,927 employees (Viterra Group)
Key Advisors
Auditors : DELOITTE
Levels
13-18, Deloitte Centre
80 Queen
Street
Auckland
Central, Auckland 1010
New
Zealand
Composition
Authorized Capital : NZD 141,705,232
No of shares : 141,705,232 Ordinary Shares
Share par value : NZD 1
Issued capital : NZD 141,705,232
Paid up capital : NZD 141,705,232
How listed : Full List
Composition
Shareholder name : JOSSCO AUSTRALIA PTY LIMITED
Address : 124-130 South Terrace
Adelaide,
SA 5000
Australia
No. of shares : 141,705,232 Ordinary Shares
% of shares : 100%
Structure
Name : VITERRA INC.
Affiliation type : Ultimate Holding Company
Address : 2625 Victoria Avenue
Regina,
Saskatchewan S4T 7T9
Canada
Comments : Viterra Inc. operates as an integrated
agri-business company in Canada and
internationally.
The company’s Grain Handling and Marketing segment sells
commodities
comprising grains, oilseeds, and special crops; and provides related
ancillary
services, such as grain handling, blending, cleaning, and storage. Its
Agri-Products
segment manufactures, distributes, and retails fertilizers, crop
protection
products, and seed and seed treatments; and sells private label and
third-party
crop protection products, including herbicides, insecticides, and
fungicides,
as well as general merchandise, small agricultural equipment, general
merchandise,
and wool through a network of retail locations. This segment also
offers
various financial services, which include loans to feed products customers
to
purchase feeder cattle, as well as related feed inputs; and distributes bulk
fuel.
The
company’s Processing segment manufactures and markets food ingredients
associated
with pasta, oats, canola, wheat, and malt barley, as well as feed
products
and other related products for consumer products companies and food
processors.
Viterra Inc. was founded in 1924 and is headquartered in Regina,
Canada.
Name : A.C.N. 137 191 023 PTY LTD
Affiliation type :
Intermediate Holding Company
Address : 124-130 South Terrace
Adelaide,
SA 5000
Australia
Name : JOSSCO AUSTRALIA PTY LIMITED
Affiliation type : Parent
Company
Address : 124-130 South Terrace
Adelaide,
SA 5000
Australia
Name : VITERRA ASIA PTE. LTD.
Affiliation type : Sister Company
Address : 152 Beach Road
#27-08
Gateway East
Singapore
189721
Singapore
Name : VITERRA AUSTRALIA PTY LTD
Affiliation type : Sister
Company
Address : 124-130 South Terrace
Adelaide,
SA 5000
Australia
Name : VITERRA S.A .
Affiliation type : Sister
Company
Address : Rue du Mont-Blanc 7
1201
Genève
Switzerland
Name : VITERRA GERMANY GMBH
Affiliation type : Sister Company
Address : Burchardstr 14
20095
Hamburg
Germany
Name : VITERRA UKRAINE LLC
Affiliation type : Sister
Company
Address : Office #97-A
5/24
Irynyns'ka Street
Kiev -
01034
Ukraine
Name : VITERRA S.R.L.
Affiliation type : Sister
Company
Address : Via Dei Mille 40
80121
Napoli
Italy
Name : VITERRA
(SHANGHAI) TRADING CO., LTD.
Affiliation type : Sister Company
Address : Room 1004 Maxdo Centre,
No 8 Xing Yi Road.
Hong Qiao Development Zone
Shanghai 200336
China
Related
companies and corporate affiliations comments
Other companies of the Viterra Group
should be considered affiliates of the Subject.
The Group has operation in Canada, United States, Australia, New Zealand, Japan, Singapore, China, Switzerland, Italy, Ukraine and Germany.
Bank Details
Name of bank : HSBC Bank
Address : New Zealand
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.
Description
Source of financial statement
: Commercial Registry Filings
Financial statement date : 31/10/11
Type of accounts : Full audited
Currency : New Zealand,
Dollar (NZD)
Exchange rate : 1 USD = NZD 1.23 as of
11-09-2012
Summarized
Financial Information
Consolidation type : Non Consolidated Non Consolidated Group Consolidated
Currency : New Zealand, Dollar (NZD) New Zealand, Dollar (NZD) Canada, Dollar (CAD)
Denomination : (x1) One (x1) One (x1) One
Date of financial year end :
31/10/11 31/10/10
31/10/11
Length of accounts : 12 month
12 months 12
months
Sale turnover / Income :
323,584,000 291,969,000
11,790,458,000
Gross profit : 1,548,319,000
Profit before tax : -28,393,000 -1,555,000 368,115,000
Net income : -20,443,000 -8,539,000 265,409,000
Non current assets : 91,652,000 98,913,000 3,727,129,000
Current assets : 112,890,000 126,762,000 3,285,502,000
Inventories : 65,872,000 56,230,000 1,568,410,000
Total assets : 204,542,000 225,675,000 7,012,631,000
Current liabilities : 128,924,000 220,323,000 1,590,641,000
Non current liabilities : 3,034,000 12,325,000 1,384,195,000
Total liabilities : 131,958,000 232,648,000 2,974,836,000
Share equity : 72,584,000 -6,973,000 4,037,795,000
Retained earning : -29,181,000 -8,738,000 799,258,000
Comments : The non-consolidated financial
information above relates to the Subject only.
The
group’s consolidated financial information above relates to the Subject’s
Ultimate Holding Company Viterra Inc. and all its subsidiaries which include the
Subject.
Main activities : The Subject engages in trading and
distribution of food grains and
commodities, animal feed, wool and agricultural products.
The
Subject expanded the wool business into New Zealand in 2011 with
the
establishment of an office at the Viterra NZ headquarters in Auckland.
The NZ
operation exports both greasy and processed wools to various
international
markets and also sells into the domestic market.
The
Subject is ultimately owned by Viterra Inc., a public listed company
based in
Canada.
Viterra
Inc. (the “Company” or “Viterra”) is a vertically integrated
international
agri business with 3 main segments: Grain Handling and
Marketing,
Agri-products and Processing.
Grain Handling
and Marketing operates grain storage and processing
facilities
strategically located in the prime agricultural growing regions of
North
America, Australia and New Zealand, port terminal facilities located
in Canada
and Australia, and additional merchandising offices in Europe
and Asia.
Revenue is derived from the sale of grain commodities and
related
ancillary services such as grain handling, blending, cleaning and
storage.
The volume of grain shipments is relatively stable through the
quarters,
but can be influenced by destination customer demand, customer
export
programs and producers’ marketing decisions.
Agri-products
operates a network of retail locations and fertilizer distribution
assets in
North America and Australia. The segment also has an ownership
interest
in a fertilizer manufacturing facility in Canada. Revenue is derived
from the
sale of fertilizer, crop protection products, seed and seed
treatments,
equipment, general merchandise, wool, and various financial
services.
Agri-products’ sales peak during the growing season,
supplemented
by additional crop nutrient sales in the late fall.
Processing
operates in North America, Australia, China and New Zealand,
manufacturing
and marketing value-added food products associated with
oats, canola,
wheat, and malt barley, as well as feed products. Processing
earnings
are relatively consistent throughout the year.
Product & services : -
Grains and
commodities (wheat, maize and barley)
- Animal
feed products
- Greasy
and processed wool
- Agricultural
products
Purchases
Local : Yes
International : Worldwide
Sales
Local : Yes
International : Worldwide
Key events : 27 August 2012
Viterra Provides Update on
Glencore Transaction
CALGARY, ALBERTA--(Marketwire - Aug. 27, 2012) - Viterra Inc. (Viterra) (TSX:VT) (ASX:VTA) provided an update today regarding the status of regulatory approvals of the proposed acquisition of Viterra by Glencore
International plc ("Glencore").
While the closing of the transaction remains subject to the satisfaction or waiver of all applicable conditions, the sole remaining regulatory approval is the approval of the Ministry of Commerce of the People's Republic of China (MOFCOM) under the Chinese Anti-Monopoly Law.
Glencore continues to engage with MOFCOM to ensure approval as soon as possible. MOFCOM is now expected to continue its review into September. Viterra and Glencore will update the market in due course when they expect closing of the acquisition to occur.
About Viterra
Viterra provides premium quality ingredients to leading global food manufacturers. Headquartered in Canada, the global agri-business has operations across Canada, the United States, Australia, New Zealand and China, as well as a growing international presence that extends to offices in Japan, Singapore, Vietnam, Switzerland, Italy, Ukraine, Germany, Spain and India. Driven by an entrepreneurial spirit, Viterra operates three distinct business segments: Grain Handling and Marketing, Agri-products and Processing. Viterra's expertise, close relationships with producers and superior logistical assets allows Viterra to consistently meet the needs of the most discerning end-use customers, helping to fulfill nutritional needs of people around the world.
About Glencore
Glencore is one of the world's leading integrated producers and
marketers of commodities, headquartered in Baar, Switzerland, and listed on the
London and Hong Kong Stock Exchanges. Glencore has worldwide activities in the
production, sourcing, processing, refining, transporting, storage, financing
and supply of Metals and Minerals, Energy Products and Agricultural Products.
March 20, 2012
GLENCORE TO ACQUIRE VITERRA
On March 20, 2012, Glencore International plc and Viterra Inc. announced that they had signed a definitive agreement pursuant to which Glencore agreed to acquire all of the issued and outstanding shares of Viterra for
C$16.25 per share in cash by way of a court approved plan of arrangement. The transaction price represents a premium of 48% over Viterra’s closing share price on the TSX on March 8th, 2012, the day prior to the announcement of expressions of interest regarding a potential transaction. The transaction values Viterra’s equity at approximately C$6.1 billion on a fully diluted basis.
Following an extensive review and analysis of the proposed transaction and other available alternatives, the Board of Directors of Viterra unanimously approved the transaction. The financial advisor to the Board of Directors of Viterra and the financial advisor to Viterra have provided opinions that, as of March 20, 2012, the consideration proposed to be paid to Viterra’s shareholders is fair from a financial point of view.
On May 29, 2012, Viterra shareholders approved the Arrangement at Viterra's special meeting of shareholders, and two days later the Ontario Superior Court of Justice issued a final order approving the Arrangement under the Canada Business Corporations Act.
18 July 2011
Viterra enters NZ wool market
Big Canadian company Viterra is joining an already crowded and
changing New Zealand wool trading market.
The arrival of Viterra at the same time as looming ownership
changes with the biggest trader, New Zealand Wool Services International (WSI),
will not be a coincidence, say wool industry sources.
The new business will be part of Viterra's Australasian
operations, already a major contributor to group earnings after acquiring ABB
Grain in 2009. It already operates stock feed processing plants and bulk
commodity stores in NZ, where it employs about 115 people.
Viterra's Adelaide-based executive manager for agri-products,
Peter Davey, said it would be a major new player in the market, arriving with
balance sheet strength and a good knowledge of the international wool industry.
In Canada, Viterra has a market capitalisation equal to about
NZ$4.9 billion, slightly more than Telecom's value here. By New Zealand
standards it is a very big company. It is understood to have bought the Marquet
Trading and Rokleay Wools businesses, both Auckland-based. Davey said Steve
Major (ex Marquet) and Alan Robertson (Rokleay) would manage the New Zealand
business, which would export both greasy and
processed wool.
The Viterra website says it is Australia's biggest exporter of wool,
shifting 12.5% of the export clip, mainly to China, India, and Italy.
The New Zealand Farmers Weekly was told Viterra was very strong in
China and had the scale to operate on a level playing field from the start with
major traders here.
"It has plenty of money and could be a potential buyer of the
WSI trading business or take up any slack if that business is closed,'' said
one industry source. "It should be good for farmers.''
Wool scourer Cavalier Wool Holdings wants to buy the WSI assets – with plans to close the scour operations and sell the trading business – though its offer to the company is held up by a court challenge to its Commerce Commission authorisation. Wool Equities Ltd also has a bid in to merge with WSI.
Cavalier Wool chief executive Nigel Hales wouldn't comment on Viterra as a potential buyer of the WSI trading business, but said his group would talk to anyone with an interest if it does end up as the owner. "We know of
Viterra, it is strong and well managed.''
WSI managing director Michael Dwyer said it was too soon to say what Viterra's impact would be.
The president of the Council of Wool Exporters, John Dawson, who is WSI's general manager, had heard Viterra was coming but said he would need to know more detail before he could speak about its likely impact. "It
is very big in Australia and there will be ramifications here.''
In New Zealand, Viterra will be competing against the big traders ... WSI, Masurel, Fuhrmans, H Dawson & Sons and J S Brooksbank.
PGG Wrightson Wool, with its auction system and logistics operations, is not seen as a competitor though its niche export subsidiary Bloch & Behrens would be.
Davey said Viterra would source wool through the auction platform and from local agents and brokers. He said Major and Robertson were greatly experienced in the wool business and had operated their own export companies.
Viterra would source all types of wool and work with all suppliers.
15 July 2011
Viterra Wool expands to New Zealand
Australian wool buyer and exporter Viterra is expanding its wool business into the New Zealand market.
Peter Davey, Viterra's Executive Manager Agri-Products said the expansion would provide the New Zealand wool industry with a major new player.
"Viterra enters the market with balance sheet strength and good knowledge of the international wool industry," Mr Davey said.
Viterra has appointed Steve Major and Alan Robertson to manage the export of both greasy and processed wool into various international markets and sell into the local domestic market.
"Both Steve and Alan have significant experience in the New Zealand wool industry, from direct procurement to delivery of both greasy and processed wools to domestic and international clients and markets," he said.
"Stephen has worked in the NZ wool industry for 30 years and has run his own wool export company.
"Alan has worked in the wool industry for almost 40 years; first with a major wool processing company and then his own export business."
Viterra will source wool through the auction platform and from local agents and brokers.
Jan 5, 2011
CANADIAN commodity trader Viterra Wool has retained its ranking as
Australia's largest auction-room buyer.
For the first half of the 2010-11 selling season, Viterra bought 99,697 bales, accounting for 11.4 per cent of the total clearances of 972,009 bales.
More than 85 per cent of Viterra's purchases were Merino fleece lines. Viterra was ahead of Rod Franklyn's Techwool Trading, with 85,633 bales.
But if Techwool's tally included Western Australian wool bought through a third party, Techwool would be on a par with Viterra.
Although AWEX lists 60 auction-room buyers or exporters, the top 10 buyers account for nearly 70 per cent of the total clearances.
Other buyers in the top 10 included the Chinese exporters Williams Wool (third) and Kathaytex (eighth), Modiano (ninth) and the Australian traders Fox & Lillie (fourth), Queensland Cotton (fifth), Lempriere Australia (sixth), PJ Morris Wool (seventh) and Elders Wool International (10th).
Techwool, followed closely by Fox & Lillie, were the largest buyers of crossbred wool.
Williams Wool and Modiano were largest buyers of Merino skirtings.
Michell Australia and Techwool were largest buyers of oddments.
The southern region (Melbourne) continued to grow, with a clearance of 451,095 bales or 46.4 per cent, while northern sales, out of Newcastle and Sydney, were 306,581 bales or 31.5 per cent of the national clearance.
Western Australia accounted for 20.3 per cent.
Property &
Assets
Premises : The Subject operates from premises located at the verified heading
address consisting of administrative office.
Branches : In addition, the Subject operates from feed mill and distribution centre located at:
Wiri Feedmill
18 Chonny Crescent
Wiri, South Auckland
New Zealand
Rolleston Feedmill
790 James Road
Rolleston, Christchurch
New Zealand
Levin
Feedmill
Cambridge
Street South
Levin,
Manawatu
New
Zealand
Auckland
Distribution Centre
11 Dalgety
Drive
Manukau, Auckland
New
Zealand
Te Awamutu
Maize Drying
544 Bond
Road
Te Awamutu
New
Zealand
Other property : Total NBV of property,
plant and equipment as of 31-10-2011 was NZD
71,074,000.
Gross Domestic
Products (GDP) & Economic Overview
Central bank Reserve Bank of New Zealand
Reserve of foreign exchange & gold US$ 20.562 billion
Gross domestic product - GDP US$ 180.548 billion
GPP (Purchasing power parity) 126.628 billion of International dollars
GDP per capita - current prices US$ $ 40,454
GDP - composition by sector agriculture: 4.7% industry: 24% services: 71.3%
Inflation 2009: 2.1%
2010: 2.3%
2011: 4%
Unemployment
rate 2009:
6.1%
2010: 6.5%
2011: 6.5%
Public debt
(General Government gross
debt as a % GDP) 2009: 26.1 %
2010: 32.3%
2011: 37%
Government bond
ratings Standard
& Poor's: AA+/Stable/A-1+
Moody's rating: Aaa
Moody's outlook: STA
Market value of publicly traded shares US$ 67.061 Billion
Largest companies in the country : Telecom of New Zealand, Trans power, Fletcher Building, Infratil
Trade & Competitiveness Overview
Total exports US$33.24billion
Exports commodities dairy products, meat, wood and wood products, fish, machinery
Total imports US$31.11 billion
Imports commodities machinery and equipment, vehicles and aircraft, petroleum,
electronics, textiles, plastics
Export - major partners Australia 22%, US 11.5%, Japan 9.2%, China 5.3%, UK 4.6%
Import - major partners Australia 20.7%, China 13.4%, US 9.7%, Japan 9.5%, Singapore 4.9%,
Germany 4.7%
FDI Inflows 2008: US$ 4,598 million
2009: US$ -1,293 million
2010: US$ 561 million
FDI Outflows 2008: US$ 462 million
2009: US$-308 million
2010: US$-589 million
Best countries for doing
business 3 out of 183 countries
Global competitiveness ranking 25 (ranking by country on a basis of 142, the first is the best)
Country and Population Overview
Total population :
4.37 million
Total area :
270,467 km2
Capital : Wellington
Currency : New Zealand Dollar (NZD)
Internet
users as % of total population
:
83 %
Purchase Term
Local : Prepayment, Credit up
to 90 days
International : L/C, Prepayment, Credit up to 90
days
Sales Term
Local : Cash against document,
Prepayment, Credit up to 90 days
International : L/C, Prepayment, Credit up to 90
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.55.26 |
|
UK Pound |
1 |
Rs.88.85 |
|
Euro |
1 |
Rs.71.13 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.