MIRA INFORM REPORT

 

 

Report Date :

30.12.2013

 

IDENTIFICATION DETAILS

 

Name :

BEKAERT MUKAND WIRE INDUSTRIES PRIVATE LIMITED (w.e.f. 19.05.2011)

 

 

Formerly Known As :

MUKAND BEKAERT WIRE INDUSTRIES PRIVATE LIMITED

 

 

Registered Office :

B-21, Lonand Industrial Area (MIDC), Lonand, Taluka Khandala, Lonand Satara, Satara-415521, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

24.08.2007

 

 

Com. Reg. No.:

11-130605

 

 

Capital Investment / Paid-up Capital :

Rs.1900.000 Millions

 

 

CIN No.:

[Company Identification No.]

U27104PN2007PTC130605

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PNEM12289E

 

 

PAN No.:

[Permanent Account No.]

AAFCM1972K

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

The company had made an entry in Domestic and Export market For Stainless Steel Wires

 

 

No. of Employees :

Information denied by management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (26)

 

RATING

STATUS

PROPOSED CREDIT LINE

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 4100000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of ‘Bekaert Holdings B.V., Netherlands. It is an established company having a moderate track record.

 

There appears huge accumulated losses recorded by the company during the financial year 2012. Profitability of the company seems to be under presser.

 

However, trade relations are fair. Business is active. Payment terms are slow.

 

The company can be considerate for business dealing with some caution.

 

Note: Latest financial for the year 2013 is not available with us.

 

 

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

 

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.

 

 

RBI DEFAILTERS’ LIST STATUS

 

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

 

 

EPF (Employee Provident Fund) DEFAILTERS’ 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 DECLINED

 

MANAGEMENT NON CO-OPERATIVE

 

Contact No.: 91-20-66276600

 

 

LOCATIONS

 

Registered Office :

B-21, Lonand Industrial Area (MIDC), Lonand, Taluka Khandala, Lonand Satara, Satara-415521, Maharashtra, India

Tel. No.:

91-2169-304700

Fax No.:

91-2169-304718

E-Mail :

nileshjagtap@bekaert.com

mitil.birla@mukandbekaert.com

arnold.camelbeke@bekaert.com

mitil.birla@bekaert.com

roopak.karnik@gmail.com

Website :

http://www.bekaert.com

 

 

Regional Office : India

Amar Paradigm, S. No.110/11/3, Baner Road, Baner, Pune – 411045, Maharashtra, India

Tel No.:

91-20-66276600

Fax No.:

91-20-66276601

 

 

DIRECTORS

 

(AS ON 30.09.2013)

 

Name :

Mr. Arvind Madhav Kulkarni

Designation :

Director

Address :

504, Swastic Apartments, Khopat, Thane – 400601, Maharashtra, India

Date of Birth/Age :

19.08.1951

Date of Appointment :

24.08.2007

DIN No.:

01656086

Pan No.:

AIHPK4186G

 

 

Name :

Mr. Bruno Rene Cluydts

Designation :

Director

Address :

Leieriggestraat 44, Gent, 9051, Belguim

Date of Birth/Age :

13.11.1960

Date of Appointment :

15.11.2007

DIN No.:

01741987

 

 

Name :

Mr. Henri Jean Velge

Designation :

Director

Address :

Route Gouvernementale 75, Brussels, 1150, Belguim

Date of Birth/Age :

10.10.1956

Date of Appointment :

15.11.2007

DIN No.:

01792002

 

 

Name :

Mrs. Roopak Karnik

Designation :

Director

Address :

Plot No.2, Samrudhi Apartment, Colonym Paud Road, Vanaz Police Station, Kothrud, Pune – 411032, Maharashtra, India

Date of Birth/Age :

11.08.1970

Date of Appointment :

30.09.2013

DIN No.:

06598937

Pan No.:

AFKPK1114L

 

 

KEY EXECUTIVES

 

Name :

Mr. Mitil Kumar Birla

Designation :

Secretary

Address :

B-103, Lunkad Heritage ll, Near Dutta Mandir, Viman Nagar, Pune – 411014, Maharashtra, India

Date of Birth/Age :

16.04.1979

Date of Appointment :

25.08.2008

Pan No:

AJOPB2698G

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

(AS ON 30.09.2013)

 

Names of Shareholders

 

 

No. of Shares

 

 

 

Mukund Limited, India

 

13000000

* Bekaert Combustion Technology B.V.

 

211999999

Bekaert Investments NV, Belgium

 

1

 

 

 

Total

 

 

225000000

 

(* Name of company is changed due to merger of Bekaert Holding B.V., Netherland with Bekaert Combustion Technology B.V. w.e.f. 31.08.2013)

 

 

(AS ON 22.03.2013)

 

Names of Allottess

 

 

No. of Shares Allotted

 

 

 

Bekaert Holding B.V., Netherland

 

35000000

 

 

 

Total

 

 

35000000

 

 

(AS ON 30.09.2013)

Equity Shares Break – up

 

Category

 

 

Percentage

 

 

 

Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]

 

94.23

Bodies corporate

 

5.77

 

 

 

Total

 

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

The company had made an entry in Domestic and Export market For Stainless Steel Wires

 

 

Products :

Products Description

Item Code No.

 

Stainless Steel Wire

72230000

 

 

GENERAL INFORMATION

 

No. of Employees :

Information denied by management         

 

 

Bankers :

Not Available

 

 

Facilities :

Secured Loans

31.03.2013

31.03.2012

 

 

(Rs. In Millions)

Short Term borrowings

 

 

Rupee Term Loans From Banks

645.980

334.699

 

 

 

Total

 

645.980

334.699

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountant

Address :

706, B-Wing, 7th Floor, ICC Trade Tower, International Convention Centre, Senapati Bapat Road, Pune – 411016, Maharashtra, India

PAN No.:

AACFD4815A

 

 

Holding Company :

·         Bekaert Holding BV

J. C. Van Markenstraat, 19, Assen - 9403, Netherlands

 

 

Companies in which Key Managerial Personnel or their relatives have control / significant influence:

·         Bekaert Industries Private Limited, India

·         Leon Bekaert S.P.A., Italy

·         Bekaert Hlohovec, a.s., Slovakia

·         Industrias Del Ubierna, S.A., Spain

·         Bekaert France SAS, France

·         Bekaert Limited

·         Bekaert Petrovice S.R.O., Czech Republic

·         Belgo Bekaert Arames Ltda, Brazil

 

 

Investing Company :

·         Mukand Limited, India

 

 

Fellow Subsidiaries and Associates :

·         N V Bekaert SA., Belgium

·         Bekaert (China) Technology and Research and Development Company Limited

·         Bekaert Corporation, USA

·         Bekaert Gmbh, Germany

·         Bekaert A/S, Denmark

·         Bekaert Coördinatiecentrum N.V., Belgium

·         Bekaert Svenska AB, Sweden

·         Bekaert (Schweiz) AG, Switzerland

·         Bekaert Investments NV, Belgium

·         Bekaert International Americas

·         Bekaert Singapore Pte Limited

 

 

CAPITAL STRUCTURE

 

(AS ON 30.09.2013)

 

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

225000000

Equity Shares

Rs.10/- each

Rs.2250.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

225000000

Equity Shares

Rs.10/- each

Rs.2250.000 Millions

 

 

 

 

 

 

(AS ON 31.03.2012)

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

225000000

Equity Shares

Rs.10/- each

Rs.2250.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

190000000

Equity Shares

Rs.10/- each

Rs.1900.000 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

 

1900.000

950.000

(b) Reserves & Surplus

 

(874.200)

(473.256)

(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)

 

1025.800

476.744

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

741.011

741.011

(b) Deferred tax liabilities (Net)

 

0.000

0.000

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

0.000

0.000

Total Non-current Liabilities (3)

 

741.011

741.011

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

645.980

334.699

(b) Trade payables

 

185.797

171.996

(c) Other current liabilities

 

43.751

38.156

(d) Short-term provisions

 

3.739

2.571

Total Current Liabilities (4)

 

879.267

547.422

 

 

 

 

TOTAL

 

2646.078

1765.177

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

984.821

1020.515

(ii) Intangible Assets

 

1.487

2.337

(iii) Capital work-in-progress

 

3.719

6.903

(iv) Intangible assets under development

 

0.000

0.000

(b) Non-current Investments

 

0.000

0.000

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

216.313

199.458

(e) Other Non-current assets

 

0.000

0.000

Total Non-Current Assets

 

1206.340

1229.213

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

415.795

252.599

(c) Trade receivables

 

195.372

178.244

(d) Cash and cash equivalents

 

784.979

68.722

(e) Short-term loans and advances

 

42.626

35.628

(f) Other current assets

 

0.966

0.771

Total Current Assets

 

1439.738

535.964

 

 

 

 

TOTAL

 

2646.078

1765.177

 

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

500.000

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

0.000

4] (Accumulated Losses)

 

 

(145.393)

NETWORTH

 

 

354.607

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

681.711

2] Unsecured Loans

 

 

241.585

TOTAL BORROWING

 

 

923.296

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

1277.903

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

1052.897

Capital work-in-progress

 

 

0.826

 

 

 

 

INVESTMENT

 

 

0.000

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

106.636

 

Sundry Debtors

 

 

61.818

 

Cash & Bank Balances

 

 

31.959

 

Other Current Assets

 

 

0.000

 

Loans & Advances

 

 

126.063

Total Current Assets

 

 

326.476

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditor

 

 

91.847

 

Other Current Liabilities

 

 

8.803

 

Provisions

 

 

1.646

Total Current Liabilities

 

 

102.296

Net Current Assets

 

 

224.180

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.000

 

 

 

 

TOTAL

 

 

1277.903

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

NA

NA

100.798

 

 

Other Income

NA

NA

2.086

 

 

TOTAL                                     (A)

NA

NA

102.884

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Raw Material Finished Goods and Semi Finished Goods

NA

NA

86.496

 

 

Employee Costs

NA

NA

13.230

 

 

Operating and Other Expenses

NA

NA

73.800

 

 

TOTAL                                     (B)

NA

NA

173.526

 

 

 

 

 

Less

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

NA

NA

(70.642)

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

NA

NA

22.914

 

 

 

 

 

 

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

NA

NA

(93.956)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

NA

NA

20.347

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

(401.391)

(327.862)

(113.903)

 

 

 

 

 

Less

TAX                                                                  (H)

(0.447)

0.000

0.555

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

(400.944)

(327.862)

(114.458)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(473.255)

(145.393)

(30.935)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

(874.199)

(473.255)

(145.393)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

NA

NA

70.127

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Capital Goods

NA

NA

62.631

 

 

Stores, Spares Loose Tools and Packing material

NA

NA

19.243

 

TOTAL IMPORTS

NA

NA

81.874

 

 

 

 

 

 

Earnings Per Share (Rs.)

(2.11)

--

--

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

NA
NA

(111.25)

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

NA
NA

(113.00)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(15.19)

(26.82)

(8.26)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.39)

(0.69)

(0.32)

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.35

2.26

2.60

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.64

0.98

3.19

 


 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITY OF LONG TERM BORROWINGS DETAIL: NOT AVAILABLE

 

 

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

No

33]

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

No

34]

External Agency Rating, if available

No

 

 

UNSECURED LOANS

 

Particulars

31.03.2013

31.03.2012

 

 

(Rs. In Millions)

Long Term Borrowings

 

 

Other External Commercial Borrowings

741.011

741.011

 

 

 

Total

 

741.011

741.011

 

 

NOTE:

 

The registered office of the company has been shifted from Sai Trinity Building, Unit No 9 and 10, 5th Floor, Central Wing, S No 146, Pashan, Pune – 411021, Maharasahtra, India to the present address w.e.f. 26.03.2012

 

 

CHANGE IN NAME OF THE COMPANY

 

The name of the Company has been changed to Bekaert Mukand Wire Industries Private Limited on May 19, 2011 subsequent to Bekaert Holdings B.V., Netherlands becoming the holding company w.e.f. March 31, 2011.

 

 

BUSINESS SCENARIO

 

The Company is new entrant to stainless steel wire market, being first full year of operations. In order to penetrate the market share in existing competitive stainless steel wire business, the Company has sold 3986 tons of stainless steel wire, hereby utilizing 67% capacity.

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10155677

31/03/2009

950,000,000.00

Bekaert Holding BV

J. C. Van MARKENSTRAAT, 19, ASSEN, - 9403, NETHER
LANDS

A61491916

 

 

FIXED ASSETS:

 

·         Leasehold Land

·         Building

·         Plant and Machinery

·         Furniture and Fixture

·         Office equipment

·         Computer

 

 


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.62.06

UK Pound

1

Rs.102.03

Euro

1

Rs.85.27

 

 

INFORMATION DETAILS

 

Information Gathered by :

HTL

 

 

Report Prepared by :

NIT

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

2

--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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

26

 

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.