MIRA INFORM REPORT

 

 

Report Date :

14.02.2013

 

IDENTIFICATION DETAILS

 

Name :

NEC INDIA PRIVATE LIMITED

 

 

Registered Office :

4th Floor, Vijaya Building, 17, Barakhamba Road, Connaught Place, New Delhi – 110 001

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

01.08.2006

 

 

Com. Reg. No.:

55-151472

 

 

Capital Investment / Paid-up Capital :

Rs.466.000 millions

 

 

CIN No.:

[Company Identification No.]

U72300DL2006FTC151472

 

 

PAN No.:

[Permanent Account No.]

AACCN3496J

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Selling and Marketing of NEC IT products and solutions and trading and providing installation, commissioning, integration etc. and other services related to the telecommunication sector.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (38)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 6515000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a subsidiary of ‘NEC Corporation, Japan.’

 

It is an established company having a moderate track record. The profitability of the company appears to be low.

 

The reserves also appear less. However, trade relations are reported as fair. Business is active. Payment terms are 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 – June 30, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

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

 

India is developing into an open-market economy, yet traces of its past autarkic policies remain. Economic liberalization, including industrial deregulation, privatization of state-owned enterprises, and reduced controls on foreign trade and investment, began in the early 1990s and has served to accelerate the country's growth, which has averaged more than 7% per year since 1997. India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Slightly more than half of the work force is in agriculture, but services are the major source of economic growth, accounting for more than half of India's output, with only one-third of its labor force. India has capitalized on its large educated English-speaking population to become a major exporter of information technology services and software workers. In 2010, the Indian economy rebounded robustly from the global financial crisis - in large part because of strong domestic demand - and growth exceeded 8% year-on-year in real terms. However, India's economic growth in 2011 slowed because of persistently high inflation and interest rates and little progress on economic reforms. High international crude prices have exacerbated the government's fuel subsidy expenditures contributing to a higher fiscal deficit, and a worsening current account deficit. Little economic reform took place in 2011 largely due to corruption scandals that have slowed legislative work. India's medium-term growth outlook is positive due to a young population and corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. India has many long-term challenges that it has not yet fully addressed, including widespread poverty, inadequate physical and social infrastructure, limited non-agricultural employment opportunities, scarce access to quality basic and higher education, and accommodating rural-to-urban migration.

Source : CIA

 

 

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/ Corporate Office :

4th Floor, Vijaya Building, 17, Barakhamba Road, Connaught Place, New Delhi – 110 001, India

Tel. No.:

91-11-61101000/ 46570000/ 61101060

Fax No.:

91-11-61101001/ 46570001

E-Mail :

enquiries@necindia.in

mayurbatra_ca@rediffmail.com

Website :

http://www.necindia.in

 

 

Branch Office 1 :

Unit No.1003-1004, 10th Floor, Prestige Meridian-II , No.30, M.G. Road, Bangalore – 560 001, Karnataka, India

Tel. No.:

91-80-40004600

 

 

Branch Office 2 :

1st Floor, RR Towers III, Thiru-vi-ka Industrial Estate, Guindy, Chennai - 600 032, Tamilnadu, India

Tel. No.:

91-44-42965600

 

 

Branch Office 3 :

4th Floor, 215 Atrium, Kankia Spaces, Andheri- Kurla Road, Andheri (East), Mumbai – 400 093, Maharashtra, India

Tel. No.:

91-22-61435900

 

 

Branch Office 4 :

“Royal Park”, Ground Floor, Unit No.4, No. # 34/3, Park Road, Near To Hotel Ramada, Bangalore – 560 001, Karnataka, India

 

 

DIRECTORS

 

As on 29.10.2012

 

Name :

Mr. Koji Oda

Designation :

Managing Director

Address :

22-55, Kotobuki 2-Chome, Abiko City, Chiba, 2701152, Japan

Date of Birth/Age :

02.07.1954

Qualification :

Bachelor of Art

Experience :

34 Years

Date of Appointment :

26.05.2008

DIN No.:

02237458

 

 

Name :

Mr. Kiyofumi Kusaka

Designation :

Director

Address :

410, 123 Takinoue, Naka-Ku, Yokohama, Kanagawa, 2310837, Japan

Date of Birth/Age :

09.10.1957

Date of Appointment :

12.07.2007

DIN No.:

01691979

 

 

Name :

Mr. Shigeyuki Fujii

Designation :

Director

Address :

6, Marina Boulvard, #14-19, The SAIL@MARINA Bay, Singapore – 018985, Singapore

Date of Birth/Age :

12.11.1959

Date of Appointment :

29.09.2011

DIN No.:

05102314

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U72300DL2006FTC151472

NEC INDIA PRIVATE LIMITED

Director

29/09/2011

06/08/2011

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajeev Sehgal

Designation :

Head – Finance and Company Secretary

Address :

B-208, Ashok Vihar, Phase IV, New Delhi – 110 052, India

Date of Birth/Age :

06.01.1969

Qualification :

CA+CS

Date of Appointment :

01.08.2006

PAN No.:

APNPS1667R

 

 

Name :

Nobuki Akinaga

Designation :

Deputy Managing Director

 

 

Name :

Koichiro Koide

Designation :

Deputy Managing Director

 

 

Name :

Kenji Ogawa

Designation :

Deputy Managing Director

 

 

Name :

Tatsuo Yoshida

Designation :

Marketing Manager

 

 

Name :

Yoshihiko Sunamura

Designation :

AGM

 

 

Name :

Hiromitsu Toru

Designation :

Head of Production Unit

 

 

Name :

Babji Tanuk

Designation :

GM-Technical

 

 

Name :

Norimasa Aoyama

Designation :

Vice President

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 29.10.2012

 

Names of Shareholders

 

 

No. of Shares

NEC Asia Pacific Pte. Limited, Singapore

 

120939338

NEC Corporation, Japan

 

24760000

Total

 

145699338

 

As on 29.10.2012

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

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

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Selling and Marketing of NEC IT products and solutions and trading and providing installation, commissioning, integration etc. and other services related to the telecommunication sector.

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management

 

 

Bankers :

Bank of Tokyo

 

 

Facilities :

--

 

 

 

Banking Relations :

 

 

 

Auditors :

 

Name :

B.S.R. and Company

Chartered Accountants

Address :

Building No.10, 8th Floor, Tower B, DLF Cyber City, Phase - II, Gurgaon – 122 002, Haryana, India

Tel. No.:

91-124-2549191

Fax No.:

91-124-2549101

Income-tax PAN of auditor or auditor's firm :

AAAFB2345S

 

 

Holding Company :

NEC Corporation, (Control Exists)

Address: 7-1, Chiba 5 – Chome, Minato-Ku, Tokyo, Japan

 

 

Fellow Subsidiaries :

v      NEC Asia Pacific Pte. Limited (formerly NEC Asia Pte. Limited)

v      NEC Vietnam Co. Limited

v      NEC (UK) Limited

v      NEC Infrontia Corporation

v      NEC Corporation of America

v      NEC Display Solutions Limited

v      NEC Corporation of Malaysia Sdn. Bhd

v      NEC Unified Solutions (Shanghai) Co. Limited

v      NEC Networks and System Integration Corporation

v      NEC Europe Limited

v      NEC Logistics (Thailand) Co. Limited

v      NESIC (Thailand) Limited

v      NEC Communication Systems Limited

v      NEC Logistics Singapore Pte. Limited

v      NEC Platform Technologies Hong Kong Limited

v      NEC Nederland B.V.

v      NEC Learning Limited

v      NEC Infrontia Thai Limited

v      NEC Taiwan Limited

v      NEC Professional Support Limited

v      NEC Soft Limited

 

 

CAPITAL STRUCTURE

 

As on 29.10.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

150000000

Equity Shares

Rs.10/- each

Rs.1500.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

145699338

Equity Shares

Rs.10/- each

Rs.1456.993 millions

 

 

 

 

 

As on 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

150000000

Equity Shares

Rs.10/- each

Rs.1500.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

46600000

Equity Shares

Rs.10/- each

Rs.466.000 millions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2012

31.03.2011

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

466.000

304.000

304.000

2] Share Application Money Pending Allotment

990.993

0.000

0.000

3] Reserves & Surplus

171.784

167.408

142.037

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

1628.777

471.408

446.037

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

0.000

0.000

2] Unsecured Loans

15.104

107.552

30.000

TOTAL BORROWING

15.104

107.552

30.000

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

1643.881

578.960

476.037

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

71.700

29.477

22.165

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERRED TAX ASSETS

15.417

15.049

9.858

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
148.663

106.666
51.873

 

Sundry Debtors
1050.658

1160.888
1357.907

 

Cash & Bank Balances
954.506

84.271
46.228

 

Other Current Assets
0.598

3.009
3.386

 

Loans & Advances
217.108

113.489
66.322

Total Current Assets
2371.533

1468.323

1525.716

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
735.065

812.467
975.103

 

Other Current Liabilities
65.638

110.855
72.711

 

Provisions
14.066

10.567
33.888

Total Current Liabilities
814.769

933.889

1081.702

Net Current Assets
1556.764

534.434
444.014

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

1643.881

578.960

476.037

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

Sales and Services

1957.620

1855.291

2553.231

 

 

Other Income

 

 

22.781

 

 

TOTAL                                     (A)

1957.620

1855.291

2576.012

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Goods Sold

1948.155

1810.341

1338.995

 

 

Personnel Expenses

 

 

226.016

 

 

Operating Expenses

 

 

675.836

 

 

TOTAL                                     (B)

1948.155

(including interest and depreciation)

1810.341

(including interest and depreciation)

2240.847

 

 

 

 

 

Less

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

 

 

335.165

 

 

 

 

 

Less

INTEREST ON BANK LOAN                               (D)

 

 

1.626

 

 

 

 

 

 

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

 

 

333.539

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

 

10.042

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

9.465

44.950

323.497

 

 

 

 

 

Less

TAX                                                                  (H)

5.089

19.579

73.917

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

4.376

25.371

249.580

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

NA

142.038

(107.542)

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

NA

NA

142.038

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

Service Income

364.511

261.655

7.115

 

 

Commission Income

 

 

235.084

 

 

Management Support Fee

 

 

39.083

 

 

Reimbursement of Expenses 

 

 

3.542

 

TOTAL EARNINGS

364.511

261.655

284.824

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Capital Goods

NA

0.784

0.112

 

 

Replacement spare parts

NA

11.883

0.000

 

TOTAL IMPORTS

NA

12.667

0.112

 

 

 

 

 

 

Earnings Per Share (Rs.)

0.09

0.83

8.21

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

0.22

1.37
9.69

 

 

 

 
 

Net Profit Margin

(PBT/Sales)

(%)

NA

NA
12.67

 

 

 

 
 

Return on Total Assets

(PBT/Total Assets}

(%)

0.39

3.00
20.90

 

 

 

 
 

Return on Investment (ROI)

(PBT/Networth)

 

0.01

0.10
0.73

 

 

 

 
 

Debt Equity Ratio

(Total Debt/Networth)

 

0.01

0.23
0.07

 

 

 

 
 

Current Ratio

(Current Asset/Current Liability)

 

2.91

1.57
1.41

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

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

 

 


Note:

The registered office of the company has been shifted from 4th Floor, Vijaya Building, Cannaught Place, New Delhi – 110 001 to the present address w.e.f. 04.10.2011.

 

Unsecured Loans

31.03.2012

(Rs. in Millions)

31.03.2011

(Rs. in Millions)

Short-Term Borrowings

 

 

Other loans and advances

 

 

Short term loan From Bank

0.000

90.000

Buyer's credit

15.104

17.552

Total

15.104

107.552

 

BACKGROUND

 

The Company was incorporated on 1st August 2006 in India as a private limited company. The primary activities of the Company include:

i) sales and marketing of NEC IT products and solutions in India.

ii) assembly, development, integration of communication / network products and solutions and providing related services.

iii) rendering marketing services to its holding company and other group companies, trading and providing installation, commissioning, integration etc. and other services related to the telecommunication sector to customers in India.

 

FIXED ASSETS:

 

v      Leasehold Improvements

v      Office Equipments

v      Furniture and Fixtures

v      Computers

v      Test Equipments

v      Vehicles

 

WEBSITE DETAILS:

 

PROFILE:

 

NEC Corporation was founded in 1899 and is one of the world's leaders in the integration of IT and network technologies dedicated to meeting the specialized needs of its diverse and global base of customers. By providing a combination of IT and networking products and solutions that cross utilize the company's experience and global resources, NEC delivers tailored solutions in the key fields of computer, networking and electronic devices. Today, NEC is a company with over Ą3,583.1 billion sales revenue (Fiscal year ended Mar. 31 2010), and has more than 140,000 employees worldwide.


Subject, a wholly-owned subsidiary of NEC Asia Pacific Pte. Limited (NEC APAC) (HQ: Singapore) and NEC Corporation (HQ: Japan), was established in New Delhi, India, in August 2006. To strengthen NEC's business capabilities in India and also to expand its IT and networking businesses in the rapidly expanding Indian market, Subject works with its customers to introduce new solutions and services for a ubiquitous networking society. Leveraging on NEC's unique capabilities in integrating IT and networking technologies for a diverse customer base across governments, businesses, individuals and societies worldwide, Subject customizes solutions to construct large-scale, highly reliable, scalable and flexible IT and network systems, such as Security and Surveillance Systems, Carrier Network, IP Telephony Solutions, Retail solutions (Hardware and Software), Private Network Solutions (Enterprise and Exchange wide EPABX, IP Telephony, KTS), High Performance Computing (Super Computers), IT products such as Servers, Storage and Thin Clients, as well as Multimedia Products such as Projectors and Commercial Display Products and Solutions for the Indian market.


Today, Subject is one of the leading brands in the Projectors market and the company has clearly defined plans to expand and further strengthen its footprint for all its product and solution offerings throughout India.

 

PRESS RELEASES:

 

NEC INDIA LAUNCHES LED MOBILE PROFESSIONAL PROJECTOR

 

27 September, 2012

 

NEC India Private Limited, a leading display, network and IT solutions provider, launched its latest L51W LED professional mobile projector during its two-city Display Solutions Technology seminar held in Mumbai and Bangalore this week.

 
The LED professional mobile projector is a compact solution that offers to run presentations and slide shows wirelessly from a smart phone, tablet or PC. The event also witnessed the launch of commercial-grade touch-integrated V Series large-screen displays for interactive digital signage.


On the occasion, Abhilesh Guleria, Head, Multimedia Product Solutions and IT Platform at NEC India, elaborated, “It is our constant endeavor to empower our partners and customers with latest innovative products and solutions to enable them to enjoy the productivity benefits of interactivity, mobility and visualization. Our technology seminar and showcase event series is part of our strategic focus that present an ideal opportunity for our partners, customers and prospects to learn about new NEC products and services as well as garner trends from experts in the industry.”

 
The NEC L51W LED professional portable projector uses innovative LED technology in an extremely compact and lightweight format and is an ideal solution for mobile and corporate applications as well as cross-use (private/professional) and is the latest addition to NEC’s Office Cool portfolio and makes a perfect upgrade for customers wishing to also present wireless from their portable devices. This makes NEC’s mobile projector ideal for carrying to business presentations and meetings, whilst its stylish exterior ensures a seamless fit into any modern office.

 
With a brightness of 500 ANSI lumens and contrast ratio 4000:1, the WXGA (1280x800) resolution LED projector delivers a bright and sharp image in small- and mid-sized meeting rooms. The wide-screen format provides extra space in presentations and allows displaying video content in its native aspect ratio, without loss of quality.
 
Weighing 1.2kg and measuring just 226mm by 174mm and 43mm deep, the L51W projector is light and compact for mobile business scenarios. As well as being easy to transport, the L51W also ensures ease of use at the set-up stage through features including a remote control, automatic vertical keystone correction, auto input detection and wall color correction.

 
In line with NEC’s Green Vision campaign, the use of LED technology enables energy efficient features including fast start-up and shut-down with direct power off, an Off-Timer and around 20,000 hours of light source life time. Furthermore, the L51W offers minimized power usage for energy and cost savings, drawing just 105W in Normal mode and as little as 0.5W in Power Savings mode.

 
The Touch-Integrated V Series, 46-inch V462-TM and 65-inch V651-TM commercial-grade displays deliver superior touch screen capabilities in education, corporate, retail and restaurant environments and include 4-camera optical-imaging technology supporting up to six simultaneous touches; double-sided, anti-reflective glass coating that protects the panel, prevents mirrored imaging and allows for higher brightness transmittance; built-in expansion slot allows for seamless integration of OPS devices or accessories; built-in, low-profile 10W speakers that enhance the experience with superior sound.

 
NEC products are specifically designed and developed after a comprehensive analysis of consumer needs. NEC's expert solution sales team also demonstrated its ability to collaborate on custom installations that create a wow factor in any facility.

 

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.53.85

UK Pound

1

Rs.84.43

Euro

1

Rs.72.40 

 

 

INFORMATION DETAILS

 

Report Prepared by :

SMN

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

4

--LEVERAGE

1~10

4

--RESERVES

1~10

3

--CREDIT LINES

1~10

4

--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

TOTAL

 

38

 

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.