MIRA INFORM REPORT

 

 

Report Date :

13.04.2013

 

IDENTIFICATION DETAILS

 

Name :

BOYNER BUYUK MAGAZACILIK A.S.

 

 

Formerly Known As :

KARAT MAGAZACILIK A.S.

 

 

Registered Office :

Buyukdere Cad. Uso Center Binasi No:245 A K:B01-Z02 Maslak Sisli Istanbul

 

 

Country :

Turkey

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

13.02.1992

 

 

Com. Reg. No.:

284082

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Administration of department stores.

 

 

No. of Employees :

4.865

 

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)

Turkey

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 

Turkey - ECONOMIC OVERVIEW

 

Turkey's largely free-market economy is increasingly driven by its industry and service sectors, although its traditional agriculture sector still accounts for about 25% of employment. An aggressive privatization program has reduced state involvement in basic industry, banking, transport, and communication, and an emerging cadre of middle-class entrepreneurs is adding dynamism to the economy and expanding production beyond the traditional textiles and clothing sectors. The automotive, construction, and electronics industries, are rising in importance and have surpassed textiles within Turkey's export mix. Oil began to flow through the Baku-Tbilisi-Ceyhan pipeline in May 2006, marking a major milestone that will bring up to 1 million barrels per day from the Caspian to market. Several gas pipelines projects also are moving forward to help transport Central Asian gas to Europe through Turkey, which over the long term will help address Turkey's dependence on imported oil and gas to meet 97% of its energy needs. After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth - averaging more than 6% annually until 2008. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis and GDP rebounded strongly to 8.2% in 2010, as exports returned to normal levels following the recession. Turkey's public sector debt to GDP ratio has fallen to roughly 40%. Continued strong growth has pushed inflation to the 8% level, however, and worsened an already high current account deficit. Turkey remains dependent on often volatile, short-term investment to finance its large trade deficit. The stock value of FDI stood at $99 billion at year-end 2011. Inflows have slowed considerably in light of continuing economic turmoil in Europe, the source of much of Turkey's FDI. Further economic and judicial reforms and prospective EU membership are expected to boost Turkey's attractiveness to foreign investors. However, Turkey's relatively high current account deficit, uncertainty related to monetary policy-making, and political turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence.

 

Source : CIA

 

 

 

COMPANY IDENTIFICATION

 

 

NAME

:

BOYNER BUYUK MAGAZACILIK A.S.

HEAD OFFICE ADDRESS

:

Buyukdere Cad. Uso Center Binasi No:245 A K:B01-Z02 Maslak Sisli Istanbul / Turkey

PHONE NUMBER

:

90-212-335 75 75 (Pbx)

 

FAX NUMBER

:

90-212-276 68 80

 

WEB-ADDRESS

:

www.boyner.com.tr

E-MAIL

:

info@boyner.com

 

 

LEGAL STATUS AND HISTORY

 

 

TAX OFFICE

:

Buyuk Mukellefler

TAX NO

:

5200043963

REGISTRATION NUMBER

:

284082

REGISTERED OFFICE

:

Istanbul Chamber of Commerce

DATE ESTABLISHED

:

13.02.1992

ESTABLISHMENT GAZETTE DATE/NO

:

18.02.1992/2969

LEGAL FORM

:

Joint Stock Company

TYPE OF COMPANY

:

Private

AUTHORIZED CAPITAL

:

TL   100.000.000

PAID-IN CAPITAL

:

TL   92.070.000

HISTORY

:

Previous Name

:

Karat Magazacilik A.S.

Changed On

:

27.12.1995 (Commercial Gazette Date /Number 03.01.1996/ 3949)

Previous Name

:

Carsi Buyuk Magazacilik A.S.

Changed On

:

30.09.2004 (Commercial Gazette Date /Number 05.10.2004/ 6150)

Previous Address

:

Yenibosna Koyalti Mevkii Degirmenbahce Cad. No:63 Bagcilar – Istanbul

Changed On

:

30.09.2004 (Commercial Gazette Date /Number 05.10.2004/ 6150)

Previous Address

:

Buyukdere Cad. Noramin Is Merkezi No:237/E Maslak Istanbul (The door number was changed from "55" to "237/E" by the Municipality).

Changed On

:

04.12.2012 (Commercial Gazette Date /Number 10.12.2012/ 8211)

 

 

OWNERSHIP / MANAGEMENT

 

 

NOTES ON OWNERSHIP / MANAGEMENT

:

Quoted at Stock Exchange.

 

 

SHAREHOLDERS

:

 

Open to Public

39,90 %

Fennella S.a.r.l

30,05 %

Altinyildiz Mensucat ve Konfeksiyon Fabrikalari A.S.

29,98 %

Others

0,07 %

 

 

REMARKS ON SHAREHOLDERS

:

"Fennella S.a.r.l" is a foreign company being under the control of “Citigroup Venture Capital International Investment G.P. Limited”. 

 

"Altinyildiz Mensucat ve Konfeksiyon Fabrikalari A.S." is operating within Boyner Group.

 

SISTER COMPANIES

:

A&Y LLC

ALSIS SIGORTA ACENTALIGI A.S.

ALTICOM GmbH

ALTINYILDIZ CORPORATION

ALTINYILDIZ GAYRIMENKUL YATIRIM VE GELISTIRME A.S.

ALTINYILDIZ MENSUCAT VE KONFEKSIYON FABRIKALARI A.S.

AY MARKA MAGAZACILIK A.S.

BBA BEYMEN BOGAZICI ALBOY MAGAZACILIK TEKSTIL SANAYI VE TICARET A.S.

BEYMEN AYRICALIKLI YAPI GELISTIRME A.S.

BEYMEN MAGAZACILIK A.S.

BNR TEKNOLOJI A.S.

BOGAZICI YATCILIK VE TURIZM YATIRIMLARI VE TICARET A.S.

BOYNER HOLDING A.S.

BYN GAYRIMENKUL GELISTIRME A.S.

FIRSAT ELEKTRONIK TICARET VE SANAYI A.S.

H.F.BOYNER BIRADERLER EKSPORT A.S.

IZKAR GIYIM TICARET VE SANAYI A.S.

JETSER-JET SERVIS HAVACILIK TICARET VE SANAYII A.S.

L.O.M.RENKLI GIYIM URUNLERI PAZARLAMA A.S.

NISANTASI TURISTIK ISLETMELER A.S.

SAGLIK TEKSTIL GIDA YATIRIMI A.S.

TEKSTIL YATIRIM A.S.

YENI KARAMURSEL GIYIM VE IHTIYAC MADDELERI PAZARLAMA A.S.

YENI KARAMURSEL GIYIM VE IHTIYAC MADDELERI TICARET VE SANAYI A.S.

 

BOARD OF DIRECTORS

:

Hasan Cem Boyner

Chairman

Sunil Kumar Nair

Vice-Chairman

Vittorio Radice

Member

Fethi Pekin

Member

Colin Douglas Clark

Member

Nur Mehmet Inal

Member

 

 

DIRECTORS

:

Remziye Asli Karadeniz                                                                                                                                                                                                                                                                                   

General Manager

 

 

OPERATIONS

 

 

BUSINESS ACTIVITIES

:

Administration of department stores.  The subject has 145 stores in Turkey.

 

NACE CODE

:

G .52.12

 

TRADEMARKS TRADED

:

Altimod

Altimod Basics

Asymmetry

B-Beymen

Beymen Business

Beymen Club

Beymen Studio

Boyner Evde

Cotton Bar

Limon Company

Mammarama

Pi

 

NUMBER OF EMPLOYEES

:

4.865

 

NET SALES

:

162.575.623 TL

(2001) 

219.503.561 TL

(2002) 

273.426.188 TL

(2003) 

334.348.698 TL

(2004) 

320.888.385 TL

(2005) 

371.723.602 TL

(2006) 

424.894.412 TL

(2007) 

456.484.542 TL

(2008) 

482.663.339 TL

(2009) 

552.834.229 TL

(2010) 

660.147.222 TL

(2011) 

935.090.980 TL

(2012) 

 

 

CAPACITY

:

None

 

PRODUCTION

:

None

 

IMPORT VALUE

:

1.906.733 USD

(2002)

1.961.233 USD

(2003)

3.397.707 USD

(2004)

3.310.599 USD

(2005)

4.967.496 USD

(2006)

5.135.850 USD

(2007)

10.597.055 TL

(2008)

9.776.265 TL

(2009)

7.104.563 TL

(2010)

13.674.329 TL

(2011)

11.513.278 TL

(2012)

 

 

IMPORT COUNTRIES

:

European Countries

 

MERCHANDISE IMPORTED

:

Different types of consumer goods

Fabric

Footwear

Glassware

Ready-wear

Toys

 

EXPORT VALUE

:

0 TL

(2003)

3.023.363 USD

(2004)

3.308.625 TL

(2005)

1.214.583 TL

(2006)

148.138 TL

(2007)

254.385 TL

(2008)

118.016 TL

(2009)

0 TL

(2010)

0 TL

(2011)

326.464 TL

(2012)

 

 

EXPORT COUNTRIES

:

Northern Cyprus Turkish Republic

 

MERCHANDISE  EXPORTED

:

Accessories

Ready wear

 

HEAD OFFICE ADDRESS

:

Buyukdere Cad. Uso Center Binasi No:245 A K:B01-Z02 Maslak Sisli  Istanbul / Turkey

 

INVESTMENTS

:

None

 

TREND OF BUSINESS

:

There was an upwards trend in  2012.

SIZE OF BUSINESS

:

Giant

 

 

FINANCE

 

 

MAIN DEALING BANKS

:

Finansbank Merkez Branch

 

CREDIT FACILITIES

:

The subject company is making use of credit facilities.

 

PAYMENT BEHAVIOUR

:

No payment delays have come to our knowledge.

 

 

KEY FINANCIAL ELEMENTS

:

 

(2008) TL

(2009) TL

(2010) TL

(2011) TL

(2012) TL

Net Sales

456.484.542

482.663.339

552.834.229

660.147.222

935.090.980

Profit (Loss) Before Tax

589.670

7.605.171

20.777.550

30.312.316

12.855.125

Stockholders' Equity

51.404.871

58.181.930

76.080.158

100.017.102

127.738.163

Total Assets

239.773.302

269.777.455

322.092.343

373.023.074

858.267.827

Current Assets

190.755.252

193.246.797

242.030.686

284.853.716

499.182.966

Non-Current Assets

49.018.050

76.530.658

80.061.657

88.169.358

359.084.861

Current Liabilities

186.001.915

207.492.746

204.189.383

268.046.575

515.074.924

Long-Term Liabilities

2.366.516

4.102.779

41.822.802

4.959.397

215.454.740

Gross Profit (loss)

169.504.569

176.329.729

204.178.632

251.122.525

348.733.458

Operating Profit (loss)

16.149.598

24.347.946

34.925.702

39.403.017

34.787.702

Net Profit (loss)

395.500

7.275.419

17.278.434

23.854.239

6.868.185

 

 

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

Low As of 31.12.2012

Liquidity

Fair As of 31.12.2012

Remarks On Liquidity

The favorable gap between average collection and average payable period has a positive effect on liquidity.

Profitability

In Order Operating Profitability  in 2008

Low Net Profitability  in 2008

In Order Operating Profitability  in 2009

Fair Net Profitability  in 2009

Good Operating Profitability  in 2010

In Order Net Profitability  in 2010

Good Operating Profitability  in 2011

Good Net Profitability  in 2011

In Order Operating Profitability  in 2012

Low Net Profitability  in 2012

 

Gap between average collection and payable periods

Favorable in 2012

General Financial Position

Passable

 

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 2001 )

88,60 %

1,1991

1,0714

1,7300

 ( 2002 )

30,80 %

1,5168

1,3741

2,2001

 ( 2003 )

13,90 %

1,5302

1,7141

2,4982

 ( 2004 )

13,84 %

1,4266

1,7666

2,6001

 ( 2005 )

2,66 %

1,3499

1,6882

2,4623

 ( 2006 )

11,58 %

1,4309

1,7987

2,6377

 ( 2007 )

5,94 %

1,3075

1,7901

2,6133

 ( 2008 )

8,11 %

1,2858

1,8876

2,3708

 ( 2009 )

5,93 %

1,5460

2,1529

2,4094

 ( 2010 )

8,87 %

1,5128

2,0096

2,3410

 ( 2011 )

13,33 %

1,6797

2,3378

2,6863

 ( 2012 )

2,45 %

1,7995

2,3265

2,8593

 ( 01.01-31.03.2013)

0,50 %

1,7901

2,3575

2,7927

 

 

BALANCE SHEETS

 

 

 ( 31.12.2008 )  TL

 

 ( 31.12.2009 )  TL

 

 ( 31.12.2010 )  TL

 

 ( 31.12.2011 )  TL

 

 ( 31.12.2012 )  TL

 

CURRENT ASSETS

190.755.252

0,80

193.246.797

0,72

242.030.686

0,75

284.853.716

0,76

499.182.966

0,58

Not Detailed Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Cash and Banks

1.326.590

0,01

2.947.992

0,01

6.900.581

0,02

9.637.813

0,03

141.044.983

0,16

Marketable Securities

3.020.973

0,01

1.215.493

0,00

1.133.791

0,00

1.381.719

0,00

0

0,00

Account Receivable

65.316.009

0,27

40.888.295

0,15

85.658.217

0,27

109.553.927

0,29

71.277.965

0,08

Other Receivable

9.064.888

0,04

1.936.623

0,01

531.472

0,00

463.847

0,00

746.237

0,00

Inventories

103.368.064

0,43

131.171.620

0,49

132.215.116

0,41

147.447.263

0,40

258.190.618

0,30

Advances Given

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Accumulated Construction Expense

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Current Assets

8.658.728

0,04

15.086.774

0,06

15.591.509

0,05

16.369.147

0,04

27.923.163

0,03

NON-CURRENT ASSETS

49.018.050

0,20

76.530.658

0,28

80.061.657

0,25

88.169.358

0,24

359.084.861

0,42

Not Detailed Non-Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Long-term Receivable

111.621

0,00

144.763

0,00

547.085

0,00

625.638

0,00

567.185

0,00

Financial Assets

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Tangible Fixed Assets (net)

47.568.076

0,20

40.586.159

0,15

47.579.792

0,15

58.764.459

0,16

118.984.966

0,14

Intangible Assets

1.173.467

0,00

35.687.145

0,13

31.876.769

0,10

28.755.416

0,08

233.778.032

0,27

Deferred Tax Assets

0

0,00

0

0,00

58.011

0,00

0

0,00

5.390.221

0,01

Other Non-Current Assets

164.886

0,00

112.591

0,00

0

0,00

23.845

0,00

364.457

0,00

TOTAL ASSETS

239.773.302

1,00

269.777.455

1,00

322.092.343

1,00

373.023.074

1,00

858.267.827

1,00

CURRENT LIABILITIES

186.001.915

0,78

207.492.746

0,77

204.189.383

0,63

268.046.575

0,72

515.074.924

0,60

Not Detailed Current Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Financial Loans

52.173.102

0,22

47.286.573

0,18

37.494.002

0,12

49.882.281

0,13

72.556.855

0,08

Accounts Payable

121.792.340

0,51

148.818.120

0,55

148.177.464

0,46

193.571.690

0,52

403.607.706

0,47

Loans from Shareholders

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Short-term Payable

5.154.750

0,02

6.415.344

0,02

9.326.990

0,03

10.937.538

0,03

16.505.391

0,02

Advances from Customers

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Accumulated Construction Income

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Taxes Payable

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Provisions

663.555

0,00

876.407

0,00

873.462

0,00

917.584

0,00

5.580.203

0,01

Other Current Liabilities

6.218.168

0,03

4.096.302

0,02

8.317.465

0,03

12.737.482

0,03

16.824.769

0,02

LONG-TERM LIABILITIES

2.366.516

0,01

4.102.779

0,02

41.822.802

0,13

4.959.397

0,01

215.454.740

0,25

Not Detailed Long-term Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Financial Loans

0

0,00

0

0,00

36.135.642

0,11

0

0,00

190.347.027

0,22

Securities Issued

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Long-term Payable

100.201

0,00

100.201

0,00

0

0,00

0

0,00

0

0,00

Loans from Shareholders

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Other Long-term Liabilities

1.070.529

0,00

2.519.946

0,01

3.634.321

0,01

2.086.101

0,01

20.228.914

0,02

Provisions

1.195.786

0,00

1.482.632

0,01

2.052.839

0,01

2.873.296

0,01

4.878.799

0,01

STOCKHOLDERS' EQUITY

51.404.871

0,21

58.181.930

0,22

76.080.158

0,24

100.017.102

0,27

127.738.163

0,15

Not Detailed Stockholders' Equity

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Paid-in Capital

92.070.000

0,38

92.070.000

0,34

92.070.000

0,29

92.070.000

0,25

92.070.000

0,11

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Inflation Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Equity of Consolidated Firms

0

0,00

0

0,00

0

0,00

0

0,00

20.817.621

0,02

Reserves

0

0,00

-737.754

0,00

0

0,00

-35.255

0,00

7.755.154

0,01

Revaluation Fund

37.265

0,00

37.265

0,00

37.265

0,00

37.265

0,00

227.203

0,00

Accumulated Losses(-)

-41.097.894

-0,17

-40.463.000

-0,15

-33.305.541

-0,10

-15.909.147

-0,04

0

0,00

Net Profit (loss)

395.500

0,00

7.275.419

0,03

17.278.434

0,05

23.854.239

0,06

6.868.185

0,01

TOTAL LIABILITIES AND EQUITY

239.773.302

1,00

269.777.455

1,00

322.092.343

1,00

373.023.074

1,00

858.267.827

1,00

 

REMARKS ON FINANCIAL STATEMENT

:

The financial statements of 01.01.2012 have been prepared by the consolidation of following firms: "Yeni Karamursel Giyim ve Ihtiyac Maddeleri Ticaret ve Sanayi A.S. (63 %) and Yeni Karamursel Giyim ve Ihtiyac Maddeleri Pazarlama A.S. (56,06 %). 

 

 

INCOME STATEMENTS

 

 

(2008) TL

 

(2009) TL

 

(2010) TL

 

(2011) TL

 

(2012) TL

 

Net Sales

456.484.542

1,00

482.663.339

1,00

552.834.229

1,00

660.147.222

1,00

935.090.980

1,00

Cost of Goods Sold

286.979.973

0,63

306.333.610

0,63

348.655.597

0,63

409.024.697

0,62

586.357.522

0,63

Gross Profit

169.504.569

0,37

176.329.729

0,37

204.178.632

0,37

251.122.525

0,38

348.733.458

0,37

Operating Expenses

153.354.971

0,34

151.981.783

0,31

169.252.930

0,31

211.719.508

0,32

313.945.756

0,34

Operating Profit

16.149.598

0,04

24.347.946

0,05

34.925.702

0,06

39.403.017

0,06

34.787.702

0,04

Other Income

0

0,00

14.846.158

0,03

9.487.059

0,02

15.770.575

0,02

21.978.986

0,02

Other Expenses

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Financial Expenses

15.559.928

0,03

31.588.933

0,07

23.635.211

0,04

24.861.276

0,04

44.083.415

0,05

Minority Interests

0

0,00

0

0,00

0

0,00

0

0,00

171.852

0,00

Profit (loss) of consolidated firms

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Profit (loss) Before Tax

589.670

0,00

7.605.171

0,02

20.777.550

0,04

30.312.316

0,05

12.855.125

0,01

Tax Payable

194.170

0,00

329.752

0,00

3.765.818

0,01

6.263.038

0,01

6.115.187

0,01

Postponed Tax Gain

0

0,00

0

0,00

266.702

0,00

-195.039

0,00

128.247

0,00

Net Profit (loss)

395.500

0,00

7.275.419

0,02

17.278.434

0,03

23.854.239

0,04

6.868.185

0,01

 

 

FINANCIAL RATIOS

 

 

(2008)

(2009)

(2010)

(2011)

(2012)

LIQUIDITY RATIOS

 

Current Ratio

1,03

0,93

1,19

1,06

0,97

Acid-Test Ratio

0,42

0,23

0,46

0,45

0,41

Cash Ratio

0,02

0,02

0,04

0,04

0,27

ASSET STRUCTURE RATIOS

 

Inventory/Total Assets

0,43

0,49

0,41

0,40

0,30

Short-term Receivable/Total Assets

0,31

0,16

0,27

0,29

0,08

Tangible Assets/Total Assets

0,20

0,15

0,15

0,16

0,14

TURNOVER RATIOS

 

Inventory Turnover

2,78

2,34

2,64

2,77

2,27

Stockholders' Equity Turnover

8,88

8,30

7,27

6,60

7,32

Asset Turnover

1,90

1,79

1,72

1,77

1,09

FINANCIAL STRUCTURE

 

Stockholders' Equity/Total Assets

0,21

0,22

0,24

0,27

0,15

Current Liabilities/Total Assets

0,78

0,77

0,63

0,72

0,60

Financial Leverage

0,79

0,78

0,76

0,73

0,85

Gearing Percentage

3,66

3,64

3,23

2,73

5,72

PROFITABILITY RATIOS

 

Net Profit/Stockholders' Eq.

0,01

0,13

0,23

0,24

0,05

Operating Profit Margin

0,04

0,05

0,06

0,06

0,04

Net Profit Margin

0,00

0,02

0,03

0,04

0,01

Interest Cover

1,04

1,24

1,88

2,22

1,29

COLLECTION-PAYMENT

 

Average Collection Period (days)

51,60

30,60

56,14

60,08

27,66

Average Payable Period (days)

152,91

175,01

153,00

170,37

247,80

WORKING CAPITAL

4753337,00

-14245949,00

37841303,00

16807141,00

-15891958,00

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.44

UK Pound

1

Rs.83.77

Euro

1

Rs.71.33

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

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.