MIRA INFORM REPORT     

           

 

Report Date :

24.12.2013

 

IDENTIFICATION DETAILS

 

Name :

STUMPP SCHUELE AND SOMAPPA SPRINGS PRIVATE LIMITED (w.e.f  06.12.2007)

 

 

Formerly Known As :

ALLEVARD SPRINGS (INDIA) PRIVATE LIMITED

 

 

Registered Office :

139/2, Hosur Road, Koramangala, Bangalore – 560095, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

12.08.1996

 

 

Com. Reg. No.:

08-038742

 

 

Capital Investment / Paid-up Capital :

Rs.30.100 Millions

 

 

CIN No.:

[Company Identification No.]

U29299KA1996PTC038742

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

BLRS28339D

 

 

PAN No.:

[Permanent Account No.]

AALCS7347E

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Supplier of Stabilizer Bars and all Varieties of Springs, all type of Automobile Components, Spare Parts and Accessories etc.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 1600000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of “Stumpp Schuele and Somappa Private limited”.

 

It is an established company having a moderate track record.

 

The profit of the company has dipped drastically during 2013. Profit margin of the company also appears to be low.

 

However, trade relations are reported as fair. Business is active. Payment terms are reported as slow but correct.

 

The company can be considered for business dealings with some caution.

 

 

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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

 

Uptick in agriculture and construction spread some cheer as the economy grew a higher-than-expected 4.8 % in the three months through September. Manufacturing rose an annual rate per cent during the quarter and mining fell by 0.4 %, government data showed while farm output rose 46%.

 

India has emerged as the most attractive investment destination, thanks to a relaxation in foreign direct investment norms, says a report. India is followed by Brazil and China in the ranking part of EY’s Capital Confidence Barometer report based on a survey across 70 nations. The US, France and Japan have emerged as the top three investors likely to invest in India.

 

India has been ranked 83rd globally in terms of talent competitiveness of its human capital.  Switzerland, Singapore, Denmark, Sweden and Luxembourg are the top five in the list of 103 nations compiled by INSEAD business school.

 

Tax rates for companies in India are among the highest in the world and the number of payments is also more than the global average putting the country at low, 158th rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the time taken for tax payments is relatively less in India which is rated ahead of China and Japan.

 

1 billion smartphone shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost computing in emerging markets. By 2017, total smartphone shipments are expected to approach 1.7 billion units, resulting in a compound annual growth rate of 18.4 % between 2013 and 2017, according to research from IDC.

 

20 % vacancy rate of office space in Mumbai and Delhi in the third quarter, the highest in Asia after Chengdu, in China. According to Cushman and Wakefield, six Indian cities are among the 10 office markets with the worst vacancies.

 

Foreign banks will not have to pay stamp duty and capital gains tax, if they convert their branch operations into a wholly owned subsidiary, according to the Reserve Bank of India.

 

The Reserve Bank of India is planning to launch CPI – indexed bonds aimed to protecting the savings of retail investors from the impact the price rise by December end.

 

Central Bureau of Investigation has booked State Bank of India, Deputy Managing Director Shyamal Acharya and others in a graft case related to distribution of a loan of over Rs.4000 mn. Gold and jewellery worth Rs.6.7 mn have been recovered from the residence of Acharya.

 


 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

Long term fund based facilities: BBB-

Rating Explanation

Have moderate degree of safety and carry moderate credit risk.

Date

November, 2013

 

 

Rating Agency Name

ICRA

Rating

Short term non fund based facilities: A3

Rating Explanation

Moderate degree of safety and carry higher credit risk. 

Date

November, 2013

 

 

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 :

139/2, Hosur Road, Koramangala, Bangalore – 560 095, Karnataka, India

Tel. No.:

91 80 25532335 (8 lines) / 40707400 / 25532858

Fax No.:

91 80 25530622  / 25532379

E-Mail :

mahesh@legalcliff.in

csbmshenoy@rediffmail.com

bmaheshshenoy@gmail.com

mrramesh@sss-india.com

ravi@ssssprings.com (International Sales – Ravi Machani)

amarbabu@ssssprings.com (Domestic Sales – Amar Babu)

Website :

http://www.sss-india.com

http://www.ssssprings.com

 

 

Sales Office :

PO Box 275, New Hudson, MI 48165-0275, USA

Tel. No.:

+1 (248) 4123367

Fax No.:

+1 (248) 2645000

E-Mail :

Derek@ssssprings.com

 

 

Regional Offices :

Located at :

Pune : 91-20-5898956 / 656

Chennai : 91-4426810028 / 0727

Kolkata : 91-33-4222265

Delhi / Gurgaon : Plot No.131, Roz-Ka-Meo Industrial Area, Dist Mewat Sohna Gurgaon – 122103, India

Tel. No. : 91 124 2210821/820

 

 

DIRECTORS

 

(AS ON 30.09.2013)

 

Name :

Mr. Ramanna Gangadhar Machani

Designation :

Director

Address :

M. G. Brothers Automobiles Private Limited, Dargamitta, Nellore, Bangalore-  524003, Karnataka , India

Date of Birth/Age :

18.09.1958

Date of Appointment :

04.06.2009

DIN No.:

00267779

 

 

Name :

Mr. Ramesh Ramanna Machani

Designation :

Whole-time Director

Address :

No.456, Kothanur Cross, Arekere Village, I I M Post Bangalore- 560076, India

Date of Birth/Age :

15.03.1946

Date of Appointment :

12.08.1996

DIN No.:

00319941

PAN No.:

AAXPR8906K

 

 

Name :

Mr. Satish Ramesh Machani

Designation :

Managing Director

Address :

No.456, Kothanur Cross, Arekere Village, I I M Post Bangalore- 560076, Karnataka, India

Date of Birth/Age :

01.10.1971

Date of Appointment :

04.06.2009

DIN No.:

00320532

PAN No.:

AEOPS9018L

 

 

Name :

Mr. Ravi Ramesh Machani

Designation :

Whole-time Director

Address :

No.456, Kothanur Cross, Arekere Village, I I M Post Bangalore- 560076, Karnataka, India

Date of Birth/Age :

08.08.1973

Date of Appointment :

04.06.2009

DIN No.:

00320603

PAN No.:

ABEPR3804I

 

 

Name :

Mr. Narsimhan Chakravarthi Srinivasan

Designation :

Director

Address :

7C, Sukhi Apartments, 17 Rhenius Street, Richmond Town, Bangalore – 560025, Karnataka, India

Date of Birth/Age :

28.05.1945

Date of Appointment :

12.08.1996

DIN No.:

00471801

PAN No.:

AJXPS7902B

 

 

Name :

Mr. Machani Ramanna Ganganna

Designation :

Director

Address :

1/1400, HSB Colony, Yemmiganur, 518360, Andhra Pradesh, India

Date of Birth/Age :

03.02.1944

Date of Appointment :

04.06.2009

DIN :

02063513

 

 

Name :

Mrs. Deepa Anil Kumar

Designation :

Director

Address :

No.456, Kothanur Cross, Arekere Village, I I M Post Bangalore- 560076, Karnataka, India

Date of Birth/Age :

03.03.1976

Date of Appointment :

06.09.2010

DIN :

02741980

PAN No.:

ABGPS2479R

 

 

Name :

Mr. Sudhakar Machani

Designation :

Additional Director

Address :

No 404, 5th Cross, RBI Layout, 7th Phase, J P Nagar, Bangalore - 560078, Karnataka, India

Date of Birth/Age :

05.08.1956

Date of Appointment :

05.12.2012

DIN :

02534695

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 30.09.2013)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

Stumpp Schuele and Somappa Springs Private Limited, India

 

3009990

M R Ramesh

 

10

 

 

 

Total

 

 

3010000

 

 

(AS ON 30.09.2013)

Equity Shares Break – up

 

Category

 

 

Percentage

 

 

 

Bodies corporate

 

99.90

Directors or relatives of directors

 

0.10

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Supplier of Stabilizer Bars and all Varieties of Springs, all type of Automobile Components, Spare Parts and Accessories etc.

 

 

Products :

Products Description

Item Code No.

 

Leaf Spring for Motor Vehicles

73209090

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

·         State Bank of Travancore

Residency Road Branch, Aishwarya Castle, #10, Castle Street, Near Brigade Towers, Ashok Nagar, Bangalore – 560025, Karnataka, India

 

·         State Bank of Hyderabad

Industrial Finance Branch, Sheriff House, Industrial Finance Branch, Sheriff House, Bangalore - 560025, Karnataka, India

 

·         State Bank of India

Industrial Finance Branch, Residency Plaza, Residency Road, Bangalore – 560025, Karnataka, India

 

·         Indusind Bank Limited

Du Parc Trinity, West Wing, I Floor, No.17, M G Road, Bangalore – 560001, Karnataka, India

 

 

Facilities :

Secured Loans

31.03.2013

31.03.2012

 

 

(Rs. In Millions)

Long Term Borrowing

 

 

Rupee Term loans from banks

157.789

131.300

Other loans and advances

7.874

4.441

 

165.663

135.741

Short Term Borrowing

 

 

Working capital loans from banks

604.045

687.960

Other loans and advances

64.362

178.651

 

 

 

Total

 

834.070

1002.352

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

 Brahmayya and Company

Chartered Accountants

Address :

Khivraj Mansion, 10/2, Kasturba Road, Bangalore – 560001, Karnataka, India

PAN No.:

AAASB9147R

 

 

Holding Company :

·         Stumpp Schuele and Somappa Private Limited

 

 

Enterprises which are owned, or have significant influence of or are partners

with Key management personnel and their relatives :

·         MG Metallic Springs Private Limited

·         MGM Springs Private Limited

·         Machani Infra Development Corporation Private Limited

·         Nippon Electronics (NEL) Private Limited

·         SSS Springs an D Wire

·         Indivillage Tech Solutions Private Limited

 

 

CAPITAL STRUCTURE

 

(AS ON 30.09.2013)

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

7500000

Equity Shares

Rs.10/- each

Rs.75.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3010000

Equity Shares

Rs.10/- each

Rs.30.100 Million

 

 

 

 

 

 

 


 

FINANCIAL DATA

[All figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2013

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

30.100

30.100

30.100

(b) Reserves & Surplus

362.777

345.492

313.837

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1)+(2)

392.877

375.592

343.937

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

165.663

135.741

86.878

(b) Deferred tax liabilities (Net)

7.658

9.297

12.705

(c) Other long term liabilities

2.024

2.124

17.514

(d) long-term provisions

31.743

25.039

20.484

Total Non-current Liabilities (3)

207.088

172.201

137.581

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

668.407

866.611

823.896

(b) Trade payables

471.575

481.999

322.058

(c) Other current liabilities

153.917

178.195

130.660

(d) Short-term provisions

8.036

7.332

22.825

Total Current Liabilities (4)

1301.935

1534.137

1299.439

 

 

 

 

TOTAL

1901.900

2081.930

1780.957

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

595.540

585.378

466.816

(ii) Intangible Assets

1.631

1.112

1.854

(iii) Capital work-in-progress

29.918

30.593

12.464

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.100

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

144.429

290.063

270.706

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

771.618

907.146

751.840

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

427.128

460.955

374.145

(c) Trade receivables

601.909

588.444

513.288

(d) Cash and cash equivalents

56.025

66.300

83.958

(e) Short-term loans and advances

45.220

59.085

57.726

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

1130.282

1174.784

1029.117

 

 

 

 

TOTAL

1901.900

2081.930

1780.957

 

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

2843.844

2779.796

2491.293

 

 

Other Income

15.626

8.983

6.462

 

 

TOTAL                                     (A)

2859.470

2788.779

2497.755

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials consumed

1685.057

1602.970

1393.500

 

 

Change In inventories

(3.015)

(30.684)

(22.052)

 

 

Employee benefit expenses

371.022

356.786

305.139

 

 

Other expenses

543.275

552.372

484.842

 

 

TOTAL                                     (B)

2596.339

2481.444

2161.429

 

 

 

 

 

Less

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

263.131

307.335

336.326

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

136.476

150.050

106.118

 

 

 

 

 

 

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

126.655

157.285

230.208

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

108.367

128.550

106.931

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

18.288

28.735

123.277

 

 

 

 

 

Less

TAX                                                                  (H)

NA

NA

NA

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

NA

NA

NA

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export on FOB Basis

48.077

38.002

26.154

 

TOTAL EARNINGS

48.077

38.002

26.154

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

CIF Value of Imports

648.408

662.638

NA

 

TOTAL IMPORTS

648.408

662.638

NA

 

 

 

 

 

 

Earnings Per Share (Rs.)

NA

NA

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Net Profit Margin

(PBT/Sales)

(%)

0.64

1.03

4.95

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.98

1.40

6.97

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.05

0.08

0.36

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

2.12

2.67

2.65

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.87

0.77

0.79

 


 

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

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

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

Yes

33]

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

No

34]

External Agency Rating, if available

Yes

 

 

PERFORMANCE AND FUTURE OUTLOOK:

 

During the year the Company recorded a turnover of Rs.2859.469 Millions as against Rs.2788.779 Millions in 2011-2012. Profit for the years is Rs.18.288 Millions.

 

 

COMPANY OVERVIEW

 

Subject is (originally incorporated on 12-08-1996 as Allevard Springs(India) Private Limited) to carry on the business of manufacturers and supply of Stabilizer bars and all varieties of Springs, all type of automobile components, spare parts and accessories etc.

 

During the Financial Year 2009-10 the Company entered into a Business Transfer Agreement with Stumpp, Schuele and Somappa Private Limited, the parent company, to purchase its Springs Division with effect from 1st Aug 2009.

 

The Company has commenced the generation of windmill energy, 600 KW on 22nd September 2010 and 1.2 MW on 30th September, 2011. The objective of this project is to generate the power for captive consumption.

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10319786

08/11/2011

80,000,000.00

STATE BNAK OF HYDERABAD

INDUSTRIAL FINANCE BRANCH, SHERIFF HOUSE,, INDUST
RIAL FINANCE BRANCH, SHERIFF HOUSE, BANGALORE, KARNATAKA - 560025, INDIA

B26095133

2

10314219

31/12/2010

200,000,000.00

STATE BANK OF TRAVANCORE

RESIDENCY ROAD BRANCH, AISHWARYA CASTLE, # 10,, C
ASTLE STREET, NEAR BRIGADE TOWERS, ASHOK NAGAR, BANGALORE, KARNATAKA - 560025, INDIA

B14239719

3

10246298

24/03/2011 *

340,000,000.00

STATE BANK OF HYDERABAD

INDUSTRIAL FINANCE BRANCH, "SHERIFF HOUSE", 1ST FLOOR, 85, RICHMOND ROAD, BANGALORE, KARNATAKA - 560025, INDIA

B11880358

4

10233602

20/06/2011 *

875,000,000.00

STATE BANK OF INDIA

INDUSTRIAL FINANCE BRANCH, RESIDENCY PLAZA, RESID
ENCY ROAD, BANGALORE, KARNATAKA - 560025, INDIA

B17256165

5

10208143

26/02/2010

190,000,000.00

INDUSIND BANK LIMITED

DU PARC TRINITY, WEST WING, I FLOOR, NO. 17, M G ROAD, BANGALORE, KARNATAKA - 560001, INDIA

A81584559

 

* Date of charge modification

 

 

FIXED ASSETS:

 

·         Plant and Machinery

·         Computers

·         Electrical Installations

·         Furniture and Fixture

·         Vehicles

·         Know-how

 


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.62.24

UK Pound

1

Rs.101.81

Euro

1

Rs.84.88

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--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

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

34

 

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.