MIRA INFORM REPORT

 

 

Report Date :

24.08.2013

 

IDENTIFICATION DETAILS

 

Name :

STAPLES FUTURE OFFICE PRODUCTS PRIVATE LIMITED (w.e.f 21.05.2007)

 

 

Formerly Known As :

FUTURE OFFICE PRODUCTS PRIVATE LIMITED

 

 

Registered Office :

Knowledge House, Shyam Nagar, Jogeshwari Vikhroli Link Road, Jogeshwari (East), Mumbai – 400 060, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

09.01.2007

 

 

Com. Reg. No.:

11-166866

 

 

Capital Investment / Paid-up Capital :

Rs. 53.669 Millions

 

 

CIN No.:

[Company Identification No.]

U74999MH2007PTC166866

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMF04813E

 

 

PAN No.:

[Permanent Account No.]

AABCF0402F

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Trader and Importer of all kinds of Office Equipments.

 

 

No. of Employees :

200 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca (12)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a moderate track record. There appear huge accumulated losses recorded by the company.

 

The external borrowing seems to be huge. The liquidity positions appear to be weak.

 

However, business is active. Payments are reported to be slow.

 

The company can be considered for business dealings on a safe and secured trade terms and condition.

 

NOTES :

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

 

INDIAN ECONOMIC OVERVIEW

 

We are living in a world where volatility and uncertainty have become the New Normal. We saw a change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once powerful countries in Europe are now fighting for bankruptcy. We have taken growth in the developing part of the world for granted but economic growth in China and India has begun to slow. Companies that were synonymous with their product categories just a few years ago are now no longer in existence. Kodak, the inventor of the digital camera had to wind up its operations, HMV, the British entertainment retailing company and Borders, once the second largest bookstore have shut down due to their inability to evolve their business models with the changing time. Readers’ Digest, Thomson Register are no more !

 

There is another megatrend happening. The World order is changing as economic power shifts from West to East. According to McKinsey study, it took Britain more than 100 years to double its economic output per person during its industrial revolution and the US later took more than 50 years to do the same. More than a century later, China and India have doubled their GDP per capital in 12 and 18 years respectively. By 2020, emerging Asia will become the world’s largest consuming block, overtaking North America.

 

The years after the outbreak of the global financial crisis, the world economy continues to remain fragile. The Indian economy demonstrated remarkable resilience in the initial years of the contagion but finally lost ground last year. GDP growth slowed down. Currency has been weakening. There is a marked deceleration in agriculture, industry and services. Dampening sentiment led to a cut-back in investment as well as private consumption expenditure.  Inflation remained at high levels fuelled by the pressure from the food and fuel sectors. The large fiscal and current account deficit s continued to cause grave concern. It is imperative that India regains its growth trajectory of 8-9 % sooner than later. This is crucially important given the need to create gainful livelihood opportunities for the millions living in poverty as also the large contingent of young people joining the job market every year.

 

 

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.

 

 

INFORMATION PARTED BY

 

Name :

Mr. Vijay Saurav

Designation :

Finance Assistant

Contact No.:

91-22-30008001

Date :

23.08.2013

 

 

LOCATIONS

 

Registered Office :

Knowledge House, Shyam Nagar, Jogeshwari Vikhroli Link Road, Jogeshwari (East), Mumbai – 400 060, Maharashtra, India

Tel. No.:

91-22-30008000

Fax No.:

Not Available  

E-Mail :

prem.parihar@staplesfuture.com

roc.info@pantaloon.com

sales@staplesfuture.com

ashish.diwanji@staplesfuture.com

roc.info@pantaloon.com

mandar.nika@staplesfuture.com

Website :

www.staplesfure.com

Location :

Owned

 

 

Corporate Office :

3rd Floor, Orchid City Centre, Mumbai Central (East), Mumbai – 400 008, Maharashtra, India

Tel. No.:

91-22-30008001

Fax No.:

91-22-30008008

E-Mail :

sales@staplesfuture.com

Website :

www.staplesfuture.com

 

 

DIRECTORS

 

AS ON 30.09.2011

 

Name :

Mr. Shailesh Shreevallabh Karwa

Designation :

Director

Address :

Kamal Kunj, 87B, Bomanji Petit Road, Near Parsi General Hospital, Mumbai – 400 036, Maharashtra, India

Date of Birth/Age :

06.03.1977

Qualification :

MBA

Date of Appointment :

15.03.2007

DIN No.:

00062674

 

 

Name :

Mr. Sharad Ravi Dalmia

Designation :

Director

Address :

301, Samudra Setu, Off Warden Road, Mumbai – 400 026, Maharashtra, India

Date of Birth/Age :

26.10.1977

Qualification :

MBA

Date of Appointment :

15.03.2007

DIN No.:

00635001

 

 

Name :

Mr. Hemal Navinchandra Zaveri

Designation :

Director

Address :

23-B/10, Aakash Building, Zalawad Society, Ashok Road, Kandivali (east), Mumbai – 400 101, Maharashtra, India

Date of Birth/Age :

12.12.1976

Date of Appointment :

05.11.2008

DIN No.:

01718888

 

 

Name :

Mr. Anand Balasundaram 

Designation :

Director

Address :

D-814, Paradise, Raheja Vihar, Powai, Mumbai – 400 072, Maharashtra, India 

Date of Appointment :

06.04.2011

DIN No.:

02792009

 

 

Name :

Mr. Venkatesh Raghavendra Gulur

Designation :

Director

Address :

Flat B-401 Technopark 2, Thakur Village, Kandivali (East), Mumbai – 400 101, Maharashtra, India

Date of Birth/Age :

17.01.1971

Date of Appointment :

30.09.2010

DIN No.:

02813390

 

 

Name :

Ms. Christine T Komola

Designation :

Director

Address :

295 Bridge Trail Road, Needham MA, USA-024921484

Date of Appointment :

30.09.2009

DIN No.:

02854126

 

 

Name :

Mr. Michel A. Miles JR

Designation :

Director

Address :

8 Bennett Road, Wayland MA, USA-017782704

Date of Appointment :

30.09.2009

DIN No.:

02920241

 

 

Name :

Mr. John K George Barton

Designation :

Director

Address :

16, Hickory Path, West Borough MA 015813852

Date of Birth/Age :

02.04.1957

Date of Appointment :

30.09.2010

DIN No.:

03187942

 

 

KEY EXECUTIVES

 

Name :

Mr. Vijay Saurav

Designation :

Finance Assistant

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2011

 

Names of Shareholders

No. of Shares

Shailesh Shreevallabh Karwa

454050

Sharad Ravi Dalmia

454050

Pantaloon Retail (India) Limited, India

2119394

Staples Asia Investment Limited, USA

2119394

Tirumal Trading and Investment Consultants Private Limited, India

220000

TOTAL

5366888

 

AS ON 30.09.2011

 

Equity Shares Break Up

Percentage of Holding

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

39.60

Bodies corporate

43.70

Directors or relatives of Directors

16.70

TOTAL

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Trader and Importer of all kinds of Office Equipments.

 

 

Products :

Item Code No. (ITC Code)

74999

Product Description

Stationery and Office Products, Items and Accessories

 

 

Terms :

 

Selling :

Cash, Credit

 

 

Purchasing :

Cash, Credit

 

 

GENERAL INFORMATION

 

Customers :

End Users

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :

v      ICICI Bank, Andheri Branch, Mumbai, Maharashtra, India

v      Bank of America, Nariman Point Branch, Mumbai, Maharashtra, India

 

 

Facilities :

Secured Loan

 

Rs. In Millions

31.03.2012

Rs. In Millions

31.03.2011

Long Term Borrowings

 

 

Loans Repayable on Demand from Others

0.000

0.044

Short Term Borrowings

 

 

Term Loans from Banks

0.945

26.870

Working Capital Loans from Banks

560.000

357.500

Loans Repayable on Demand from Banks

25.461

0.000

Other Loans and Advances

0.045

0.000

 

 

 

TOTAL

586.451

384.414

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

S.V. Ghatalia and Associates

Chartered Accountants

Address :

Jalan Mill Compound, 95, Ganapatrao Kadam Marg, Lower Parel, Mumbai – 400 013, Maharashtra, India

Tel. No.:

91-22-40356300

Fax No.:

91-22-40356400

PAN No.:

AACFS6921Q

 

 

Joint Venture :

Future Retail Limited

CIN No.:- L52399MH987PLC044954

 

Staples Asia Management Limited

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

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

 

 

 

 

5366888

Equity Shares

Rs.10/- each

Rs. 53.669 Millions

 

 

 

 

 

 

AS ON 27.09.2012

 

 

Authorised Capital : Rs. 75.000 Millions

 

 

Issued, Subscribed & Paid-up Capital : Rs. 61.719 Millions

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

53.669

53.669

(b) Reserves & Surplus

 

(350.817)

136.706

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

Total Shareholders’ Funds (1) + (2)

 

(297.148)

190.375

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

0.000

0.044

(b) Deferred tax liabilities (Net)

 

0.000

0.000

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

2.313

1.747

Total Non-current Liabilities (3)

 

2.313

1.791

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

586.451

384.370

(b) Trade payables

 

276.602

300.153

(c) Other current liabilities

 

247.740

89.479

(d) Short-term provisions

 

0.547

0.000

Total Current Liabilities (4)

 

1111.340

774.002

 

 

 

 

TOTAL

 

816.505

966.168

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

91.928

115.460

(ii) Intangible Assets

 

4.915

8.044

(iii) Capital work-in-progress

 

0.483

0.635

(b) Non-current Investments

 

0.113

0.113

(c) Deferred tax assets (net)

 

0.000

221.815

(d)  Long-term Loan and Advances

 

75.136

82.284

(e) Other Non-current assets

 

0.000

0.000

Total Non-Current Assets

 

172.575

428.351

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

299.806

258.415

(c) Trade receivables

 

284.333

245.339

(d) Cash and cash equivalents

 

7.168

24.074

(e) Short-term loans and advances

 

52.492

9.892

(f) Other current assets

 

0.131

0.097

Total Current Assets

 

643.930

537.817

 

 

 

 

TOTAL

 

816.505

966.168

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

44.000

2] Share Application Money

 

 

287.757

3] Reserves & Surplus

 

 

354.159

4] (Accumulated Losses)

 

 

(323.379)

NETWORTH

 

 

362.537

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

0.851

2] Unsecured Loans

 

 

185.000

TOTAL BORROWING

 

 

185.851

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

548.388

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

109.096

Capital work-in-progress

 

 

14.099

 

 

 

 

INVESTMENT

 

 

0.000

DEFERREX TAX ASSETS

 

 

153.869

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

168.229

 

Sundry Debtors

 

 

244.857

 

Cash & Bank Balances

 

 

16.206

 

Other Current Assets

 

 

0.044

 

Loans & Advances

 

 

92.537

Total Current Assets

 

 

521.873

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 

 

220.601

 

Other Current Liabilities

 

 

28.411

 

Provisions

 

 

1.537

Total Current Liabilities

 

 

250.549

Net Current Assets

 

 

271.324

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.000

 

 

 

 

TOTAL

 

 

548.388

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

2086.369

1751.650

1327.082

 

 

Other Income

15.225

2.536

2.716

 

 

TOTAL                                    

2101.594

1754.186

1329.798

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Expenses

2387.887

2061.098

1470.124

 

 

Increases / (Decrease) in inventories

(49.430)

(90.186)

0.473

 

 

TOTAL                                    

2338.457

1970.912

1470.597

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

(236.863)

(216.726)

(140.799)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

28.634

27.624

25.904

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX

(265.497)

(244.350)

(166.703)

 

 

 

 

 

Less

TAX                                                                 

222.026

(67.946)

(48.937)

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX

(487.523)

(176.404)

(117.766)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Reimbursement of expenses (On accrual basis)

NA

NA

0.543

 

TOTAL EARNINGS

NA

NA

0.543

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Trading Goods

NA

NA

5.613

 

TOTAL IMPORTS

NA

NA

5.613

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

(90.84)

(33.66)

(26.77)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

(23.20)

(10.06)

(8.86)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

(12.73)

(13.95)

(12.56)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(32.54)

(32.86)

(26.42)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.89

(1.28)

(0.46)

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

(1.97)

2.02

0.51

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.58

0.69

2.08

 

 

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

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

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

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

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

 

 

CURRENT MATURITIES OF LONG TERM DEBT

(Rs. In Millions)

Particulars

 

31.03.2012

31.03.2011

31.03.2010

Current maturities of long-term debt

0.044

0.156

NA

 

 

 

 

TOTAL

0.044

0.156

NA

 

 

CORPORATE INFORMATION

 

Subject is a private limited Company domiciled in India and incorported under the provisions of The Companies Act, 1956. SFOPPL is a joint venture between Staples Asia Investment Limited and Pantaloon Retail (India) Limited. SFOPPL aims to be the largest office products company in India across Retail, Delivery and Online channel. With a presence in over 9 cities in India, It would like to become the single source provider of all office products including Technology, Supplies, Promotional Gifting and Furniture products to large and small companies, professionals and students.

 

The Staples 'Delivery' business is aimed at large Indian businesses, spanning multiple locations, requiring seamless ordering and fulfillment and savings through consolidated buying and improved consumption information.

 

BUSINESS OVERVIEW, GROWTH AND EXPANSION

 

The Company has achieved turnover of Rs.2086.400 Millions during the year. Barring unforeseen circumstances, further improvement in sale and services would improve the profitability and the results of the current year in view of continued efforts being made, the directors are optimistic for the better results during the current year. The Company is taking effective steps to strengthen the profitability and financial soundness of the Company.

 

 

FIXED ASSETS

 

·         Computers

·         Leasehold Improvements

·         Office Equipment

·         Furniture and Fixture

·         Vehicles on lease

·         Software


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 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 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. 64.68

UK Pound

1

Rs. 100.79

Euro

1

Rs. 86.30

 

 

INFORMATION DETAILS

 

Information Gathered by :

PLV

 

 

Report Prepared by :

DPT


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

2

PAID-UP CAPITAL

1~10

2

OPERATING SCALE

1~10

2

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

1

--PROFITABILIRY

1~10

1

--LIQUIDITY

1~10

1

--LEVERAGE

1~10

1

--RESERVES

1~10

1

--CREDIT LINES

1~10

1

--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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

12

 

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.