MIRA INFORM REPORT

 

 

Report Date :

20.02.2013

 

IDENTIFICATION DETAILS

 

Name :

MUNDRA PORT PTY LTD

 

 

Registered Office :

'Amp Place' Level 30, 10 Eagle Street, Brisbane, Queensland 4000

 

 

Country :

Australia

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

18.04.2011

 

 

Com. Reg. No.:

150498098

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

Operator of Abbot Point Coal Terminal in Australia via 100% ownership of Mundra Port Holding Trust.

 

 

No. of Employees :

Not Available

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca

 

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 :

Poor

Payment Behaviour :

Unknown

Litigation :

Clear

 

NOTES:

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

 

ECGC Country Risk Classification List – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Australia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Australia - ECONOMIC OVERVIEW

 

Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron ore, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia also has a large services sector and is a significant exporter of natural resources, energy, and food. Key tenets of Australia''s trade policy include support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy grew for 17 consecutive years before the global financial crisis. Subsequently, the former RUDD government introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the slowing world economy, while the Reserve Bank of Australia cut interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy rebound after just one quarter of negative growth. The economy grew by 1.4% during 2009 - the best performance in the OECD - by 2.7% in 2010, and by 1.8% in 2011. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009 and fell to 5.0% in 2011. As a result of an improved economy, the budget deficit is expected to peak below 4.2% of GDP and the government could return to budget surpluses as early as 2015. Australia was one of the first advanced economies to raise interest rates, with seven rate hikes between October 2009 and November 2010. The GILLARD government is focused on raising Australia''s economic productivity to ensure the sustainability of growth, and continues to manage the symbiotic, but sometimes tense, economic relationship with China. Australia is engaged in the Trans-Pacific Partnership talks and ongoing free trade agreement negotiations with China, Japan, and Korea.

 

Source : CIA

IDENTIFICATION DETAILS

 

Verified Address

 

Subject name :              MUNDRA PORT PTY LTD

Business address :        'Amp Place' Level 30

10 Eagle Street

Town :                           Brisbane

Province :                      Queensland

Zip/postal code :            4000

Country :                      Australia

Tel :                              +61 7 32234800

Fax :                             +61 7 32234850

Website :                      www.mundraport.com

 

Registered address :      'Amp Place' Level 30

10 Eagle Street

Town :                           Brisbane

Province :                      Queensland

Zip/postal code :            4000

Country :                       Australia

 

 

SUMMARY DETAILS

 

Executive Summary

 

Date founded or registered :        18/04/2011

Legal form :                               Australian Proprietary Company

Chief executive :                        Samir Vora

Issued & paid up capital :           AUD 105,063,174

Sales turnover :              AUD 0 (Non-consolidated 12 months, 31/03/2012)

Net income :                              AUD -80,048,168 (Non-consolidated 12 months, 31/03/2012)

Total fixed assets :                     AUD 703,747,934 (Non-consolidated 12 months, 31/03/2012)

Line of business :                       Operator of Abbot Point Coal Terminal in Australia via 100% ownership of Mundra Port Holding Trust.

Staff employed :                         Nil (Subject); 9,000 employees (Adani Group)

 

Company Analysis

 

Country risk :                             Country risk is minimal

Operation trend :                        Operational trend is in start-up phase

Management experience :           Management is modestly experienced

Financial performance :             Financial performance is deteriorating

Organization structure :              Organizational structure is flawed

Detrimental :                  Some detrimental found

Payment history :                      Payment punctuality is undetermined

Comments :                              It is strictly advisable to conduct business dealing on prepayment or L/C basis due to the Subject's share equity deficit.

STATUTORY DETAILS

 

Registry Data

 

Registration date :                                              18/04/2011

Legal form :                                                       Australian Proprietary Company

Registration no Australia Company Number:         150498098

Registered authority :                                         Australian Securities and Investments Commission

Fiscal/ Tax no :                                                  Australia Business Number: 61150498098

Registry status :                                                Live/Active

Previous name :                                                 None reported.

Change of legal form :                                         None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

 

Name :                          Samir Vora

Designation :                 Chief Operating Officer

Name :                          Praveen Khandelwal

Designation :                 Chief Financial Officer

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

 

Name :                          Rajeeva Sinha

Designation :                 Director

Appointment date :         18/04/11

Address :                      Flat 8, Palm Court

Maharshi Karve Road

Mumbai 400020

Maharashtra

India

Biography :                    Born on 10-11-1950 in Patna, India.

Mr. Rajeeva Sinha is a Whole-time Director of Adani Ports and Special Economic Zone Ltd. (APSEZL) He is a former Indian Administrative Service (IAS) officer with over 35 years of work experience and in-depth knowledge of shipping and port sectors. He has considerable experience and expertise in port and shipping management; commercial, legal, labour laws and regulations; project and financial management and national and international maritime laws.

 

Name :                          Paul Christopher Devlin

Designation :                 Director

Appointment date :         18/04/11

Address :                      Unit 53, 29 Carabella Street

Kirribilli, NSW 2061

Australia

Biography :                    Born on 03-03-1964 in Christchurch, New Zealand.

 

Name :                          Samir Vora

Designation :                 Director

Appointment date :         16/12/11

Address :                      'Admiralty Tower' Unit 58, Level 9

35 Howard Street

Brisbane, QLD 4000

Australia

Biography :                    Born on 21-10-1970 in Ohio, United States.

 

Name :                          Praveen Khandelwal

Designation :                 Director

Appointment date :         17/02/12

Address :                      'Admiralty Quays' Unit 71

32 Macrossan Street

Brisbane, QLD 4000

Australia

Biography :                    Born on 10-05-1968 in Bharatpur, India.

Staff employed :             Nil (Subject); 9,000 employees (Adani Group)

 

Key Advisors

 

Auditors :                      ERNST & YOUNG

Level 5, Waterfront Place

1 Eagle Street

Brisbane, QLD 4000

Australia

 

 

SHARE CAPITAL

 

Composition

 

Authorized Capital :        AUD 105,063,174

No of shares :                1,000 Ordinary Shares / 105,062,174 Redeemable Preference Shares

Share par value :            AUD 1

Issued capital :              AUD 105,063,174

Paid up capital :             AUD 105,063,174

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed :                  Full List

 

Composition

 

Shareholder name :        ADANI PORTS AND SPECIAL ECONOMIC ZONE LIMITED

Address :                      Post Box No. 1

Navinal Island

Mundra 370421

Kutch

India

No. of shares :               105,062,174 Redeemable Preference Shares / 1,000 Ordinary Shares

% of shares :                 100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

 

Name :              ADANI ENTERPRISES LIMITED

Affiliation type : Ultimate Holding Company

Address :          Adani House

Shrimali Society

Near Mithakhali Circle

Navrangpura

Ahmedabad - 380 009

India

Comments :      Adani Enterprises Limited, through its subsidiaries, engages in trading, power, ports, agro, and real estate business activities in India and internationally. It is involved in mining, processing, exploration, and development of various coal properties in India, Indonesia, and Australia; trading of coal to various central and states utilities and private players in India; oil and gas exploration activities; and distribution of natural gas. The company also owns and operates Mundra and Dahej ports in India, and Abbot Point port in Australia; provides multi-modal logistics services; and generates and transmits power. In addition, it engages in edible oil refining and agro storage business activities. The company was founded in 1988 and is based in Ahmedabad, India.

 

Name :              ADANI PORTS AND SPECIAL ECONOMIC ZONE LIMITED

Affiliation type : Parent Company

Address :          Post Box No. 1

Navinal Island

Mundra 370421

Kutch

India

Comments :      Adani Ports And Special Economic Zone Ltd (APSEZL) is the developer and operator of the Mundra port located in the Kutch district of Gujarat on the west coast of India, under a 30-year Concession Agreement with the Gujarat Maritime Board (GMB), valid till February 2031. Currently 77.5% of the company’s equity is held by Adani Enterprises Limited (flagship of the promoter Adani Group) while the balance is with the public. APSEZL commenced trial operations at Mundra port in 1998 and commercial operations in 2001 and in a decade’s time the port has grown to become the largest port in the country by cargo handling capacity.

The port offers handling services for all kinds of cargoes viz. bulk dry and liquid, crude and containers.

Apart from the port operations, APSEZL is also the approved developer of a multi-product SEZ at Mundra and its surrounding areas. Further through its majority/wholly owned SPVs, APSEZL has a presence in the logistics business (container trains and ICDs) and is associated with port/terminal developments in Dahej; Hazira; Mormugao; Kandla and Vizag in India and an overseas port asset in Australia (Abott terminal).

With effect from January 6, 2012, the company has changed its name to 'Adani Ports and Special Economic Zone Limited’ from 'Mundra Port and Special Economic Zone Limited' in order to have common identity with the promoter Adani Group.

 

Name :              ADANI INTERNATIONAL CONTAINER TERMINAL PRIVATE LIMITED

Affiliation type : Sister Company

Address :          Adani House

Shrimali Society

Near Mithakhali Circle

Navrangpura

Ahmedabad - 380 009

India

 

Name :              MUNDRA PORT HOLDING TRUST

Affiliation type : Wholly-owned Subsidiary

Address :          'Amp Place' Level 30

10 Eagle Street

Brisbane, QLD 4000

Australia

 

Name :              MUNDRA PORT HOLDINGS PTY LTD

Affiliation type : Wholly-owned Subsidiary

Address :          'Amp Place' Level 30

10 Eagle Street

Brisbane, QLD 4000

Australia

 

Related companies and corporate affiliations comments: Other companies of the Adani Enterprises Group should be considered affiliated

companies of the Subject.

 

 

BANK & MORTGAGES

 

Bank Details

 

Name of bank :              State Bank Of India

Address :                      Australia

Account details :            Current Account

Comments :                  It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

Mortgages :                   None reported.

 

Legal Fillings

 

Bankruptcy fillings :        None reported.

Court judgements :         None reported.

Tax liens :                     None reported.

Others :                        None reported.

 

 

FINANCIAL DATA

 

Description

 

Source of financial statement :    Commercial Registry Filings

Financial statement date :          31/03/12

Type of accounts :                     Full audited

Currency :                                 Australia Dollar (AUD)

Exchange rate :                         1 USD = AUD 0.97 as of 18-02-2013

 

Summarized Financial Information

 

Consolidation type :                   Non Consolidated           Group Consolidated        Group Consolidated

Currency :                                 Australia Dollar (AUD)    India, Rupee (INR)          India, Rupee (INR)

Denomination :                          (x1) One                        (x1) One                        (x1) One

Date of financial year end :          31/03/12                        31/03/12                        31/03/11

Length of accounts :                   12 months                     12 months                     12 months

Sale turnover / Income :              0.00                             399,037,700,000            268,267,400,000

Profit before tax :                       -80,048,168                   24,963,900,000 32,730,900,000

Net income :                             -80,048,168                   20,203,300,000 28,259,000,000

Non current assets :                   700,271,045                  812,451,800,000            479,955,200,000

Current assets :                         3,476,889                      257,520,200,000            155,722,500,000

Inventories :                                                                   52,147,800,000 46,212,700,000

Total assets :                            703,747,934                  1,069,972,000,000         635,677,700,000

Current liabilities :                      1,243,481                      298,893,000,000            148,287,400,000

Non current liabilities :                751,113,922                  541,557,900,000            275,035,400,000

Total liabilities :                          752,357,403                  840,450,900,000            423,322,800,000

Share equity :                            -48,609,469                   229,521,100,000            212,354,900,000

Retained earning :                      -80,048,168

 

Comments :                              The non-consolidated financial information above relates to the Subject only.

Comparative financial information is not available due to the Subject’s recent

date of establishment.

The group’s consolidated financial information above relates to the Subject’s

Ultimate Holding Company Adani Enterprises Limited and all its subsidiaries

which includes the Subject.

 

 

OPERATION DETAILS

 

Main activities :              The Subject is the operator of Abbot Point Coal Terminal in Australia via 100% ownership of Mundra Port Holding Trust.

Located approximately 20km north of Bowen in North Queensland, the Port of Abbot Point is signi?cant as one of the few locations along Queensland’s eastern seaboard with deep water (more than 15 metres) access close to shore.

 

On 3 May 2011, the Queensland Government finalised the 99-year lease of Abbot Point Coal Terminal to Mundra Port Pty Ltd (Subject).

 

Under the Port’s lease, the Queensland State retains ownership of the Port land and ?xed infrastructure such as the jetty and the wharf. The North Queensland Bulk Ports Corporation remains as the port authority for AAPTPL and is responsible for the ongoing safety, security, ef?ciency of and master planning for the Port.

 

The terminal operation consists of the following key components:

- Stockyard

- Yard machines to stack and reclaim coal to and from the stockpiles

- Out loading to the off-shore berth

- Ship loading

The Subject is ultimately owned by Adani Enterprises Ltd.

 

Adani Enterprises Limited (formerly known as Adani Exports Ltd.) is the flagship company of the Adani conglomerate.

 

Adani Enterprises Limited, through its subsidiaries, engages in trading, power, ports, agro, and real estate business activities in India and internationally. It is involved in mining, processing, exploration, and development of various coal properties in India, Indonesia, and Australia; trading of coal to various central and states utilities and private players in India; oil and gas exploration activities; and distribution of natural gas. The company also owns and operates Mundra and Dahej ports in India, and Abbot Point port in Australia; provides multi-modal logistics services; and generates and transmits power. In addition, it engages in edible oil refining and agro storage business activities. The company was founded in 1988 and is based in Ahmedabad, India.

The Adani Group has many distinctions to its merit:

- Operator of the largest private port in India

- Developer of the largest multiproduct SEZ in India

- Owns the largest edible oil refining capacity in India

- One of the largest trading houses in India

- Largest Integrated Coal Management Firm in India

- Promoter of India’s first supercritical technology based power plant

- Operator of the world’s largest automated import Coal Terminal having 60 MnT capacity

 

Purchases

Local :                          None reported.

International :                 None reported.

 

Sales

Local :                          None reported.

International :                 None reported.

 

Key events :                  3 May, 2011

Adani’s Mundra Port Acquires Abbot Point Coal Terminal for A$1.8 Billion

 

Adani Enterprises Ltd. (ADE), India’s biggest coal importer, agreed to pay A$1.8 billion ($2 billion) for the Abbot Point terminal in Australia’s Queensland state.

 

Mundra Port & Special Economic Zone Ltd., 77 percent owned by Ahmedabad-based Adani, was awarded a long-term lease to operate the terminal by the government of Queensland state, according to a statement to the Bombay Stock Exchange today. Queensland is selling the coal export terminal as part of an A$15 billion asset-sale program.

 

The company controlled by billionaire Gautam Adani is acquiring the coal port as India seeks to increase electricity generation capacity to sustain economic growth of more than 8 percent a year. Adani in August bought a Linc Energy Ltd. (LNC) coal asset for about A$3 billion, gaining control of the Galilee tenement in Queensland.

 

Adani gained as much as 2.1 percent to 642 rupees in Mumbai and traded at 632 rupees as of 10:52 a.m. local time. The shares have declined 2.8 percent this year, compared with a 7.3 percent drop in the benchmark Sensitive Index.

 

Australia’s northeastern state of Queensland, which raised more than A$4 billion selling shares of coal-train operator QR National Ltd. in November, started an asset-sale campaign to replace lost revenue and regain its AAA credit rating.

 

Queensland, which initially expected to raise A$1.5 billion from the transaction, will use proceeds from the transaction to fund its share of the recovery costs following floods and Cyclone Yasi, the state government said in an e-mailed statement.

 

Australian Approval

 

“Taxpayers have done their bit to establish the terminal and entice investment,” state Premier Anna Bligh said in the statement. “It’s time for the private sector to take over.”

Australia’s Foreign Investment Review Board has approved the transaction, the government said.

Abbot Point, 25 kilometers (16 miles) north of the town of Bowen, has one terminal and is being expanded to 50 million tons from 21 million tons currently, according to its website. The terminal has exported coal since 1984, when it was commissioned.

Indian imports of power-station coal increased by 33 percent to 65.7 million metric tons in the year ending March 31, from 49.4 million a year earlier, India Coal Market Watch said last month, citing estimates based on port data.

India’s coal deficit may triple over the next five to seven years, a unit of Moody’s Investors Service said in a February report. The nation competes with China to secure supplies of coal, used for more than half of its electricity production.

 

Source: www.bloomberg.com

 

3 May, 2011

 

Mundra Port and SEZ Ltd (MPSEZL), the port arm of infrastructure conglomerate and group flagship company Adani Enterprises Ltd (AEL), on Tuesday announced its foray overseas with the acquisition of Abbot Point Coal Terminal (APCT), an Australian port, for $2 billion, or nearly Rs 9,000 crore.

The deal takes MPSEZL to among the top port companies in the world with its asset base of $100 million increasing to over $3 billion. From a 2.5 MTPA (million tonnes per annum) port in 2001, MPSEZL's cargo handling capacity has now risen to over 200 MTPA The sale-and-purchase agreement was signed in Brisbane, Australia, between MPSEZL Director Mr Rajeeva Sinha and officials of the State of Queensland. It is the largest acquisition by any Indian company abroad in this sector.

 

The deal size is also one of the largest amongst all port acquisitions in the world, making the Adani Group the largest Indian investor in Australia, said Mr B. Ravi, Chief Financial Officer, here. The all-cash deal will be duly funded by an acquisition debt. “The asset base at Abbot Point allows us to take out finance at the assets-level very soon,” Mr Ravi said. MPSEZL has formed a subsidiary for this port, Mundra Port Pty Ltd. Abbot Point, which commenced operations in 1984, is a profit-making port with take-or-pay arrangement for its entire 50 MTPA capacity; it currently handles 20 MTPA of coal. The fully-mechanised port is equipped with high-end ship loaders, stacker re-claimers, conveyors and rail systems.

 

ALL-CASH DEAL

 

About 25 per cent of the amount involved is expected to be in the form of equity issue in the next 3-4 months from internal accruals while the balance would be through a short-term mezzanine debt. Having achieved full financial closure, the Adanis will take over APCT on June 1 and go in for the debt thereafter.

 

With capacity to handle 50 MTPA of coal from its existing two fully-mechanised berths at APCT, the current revenue of A$100 million is expected to go up to A$305 million when the company expands to add two more berths to reach 80 MTPA capacity in the next three years. The demand in the region is about 100 MTPA, apart from the Adanis' Galilee cargo, making it a sound commercial proposition for the Group.

 

During this period, EBIDTA is expected to increase from 54 per cent (A$60 million) to 74 per cent (A$213 million). As of now, the Adanis will only be the landlords of the port which will continue to be run by the existing operator, Xtrata, for the five-year concession period. Thereafter, the Adanis could begin operating APCT, Mr Ravi said.

 

At present, the entire capacity of 50 MTPA is fully booked by nine customers. In the near-term, however, the Adanis, who have coal interests in Australia, could also join the user base.

Source: www.thehindubusinessline.com

 

Property & Assets

 

Premises :                    The Subject operates from premises located at the verified headingaddress consisting of an administrative office.

Branches :                    In addition, the Subject operates from port facilities located at the Abbot Point Coal Terminal, 25 kilometres north of Bowen, Queensland.

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

 

Central bank :                                        Reserve Bank of Australia

Reserve of foreign exchange & gold :       US$ 43.879 billion

Gross domestic product - GDP :             US$ 1.586 trillion

GPP (Purchasing power parity) :             954.296 billion of International dollars

GDP per capita - current prices :             US$ 68,916

GDP - composition by sector :                agriculture: 4%

industry: 25.6%

services: 70.4%

Inflation :                                               2009: 1.8%

2010: 2.8%

2011: 3.4%

Unemployment rate :                              2009: 5.6%

2010: 5.2%

2011: 5.1%

Public debt

(General Government gross debt as

a % GDP) :                                           2009: 16.9%

2010: 20.4%

2011: 22.9%

Government bond ratings :                      Standard & Poor's: AAA/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded

Shares :                                               US$1.258 trillion

Largest companies in the country :          Commonwealth Bank (Banking), BHP Billiton (Materials), Westpac Banking Group (Banking), Rio Tinto (Materials), National Australia Bank (Banking), ANZ Banking (Banking), Telstra (Telecommunications)

 

Trade & Competitiveness Overview

 

Total exports :                                       US$210.7 billion

Exports commodities :                           Coal, iron ore, gold, meat, wool, alumina, wheat

Total imports :                                       US$187.2 billion

Imports commodities :                            Machinery and transport equipment, computers and office machines, telecommunication equipment and parts, crude oil and petroleum products

Export - major partners :                         Japan 18.9%, China 14.2%, South Korea 8%, US 6%, NZ 5.6%, India

5.5%, UK 4.2%

Import - major partners :                         China 15.5%, US 12.8%, Japan 9.6%, Singapore 5.6%, Germany 5.2%,

UK 4.3%, Thailand 4.2%

FDI Inflows :                                          2008: US$46,843 million

2009: US$25,716 million

2010: US$32,472 million

FDI Outflows :                                        2008: US$33,604 million

2009: US$16,160 million

2010: US$26,431 million

Best countries for doing business :          10 out of 183 countries

Global competitiveness ranking :             20 (ranking by country on a basis of 142, the first is the best)

 

Country and Population Overview

 

Total population :                                   22.23 million

Total area :                                            7,692,024 km2

Capital :                                                Canberra

Currency :                                             Australian dollars (AUD)

Internet users as % of total

Population                                             : 76%

 

 

PAYMENT HISTORY

 

Purchase Term

 

Local :                                                  None

International :                                         None

 

Sales Term

 

Local :                                                  None

International :                                         None

 

Trade Reference/ Payment Behaviour

 

Comments :                                          As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined.

 

Investigation Note

 

Sources :                                              Interviews and material provided by the Subject

                                                            Other official and local business sources

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.29

UK Pound

1

Rs.84.09

Euro

1

Rs.72.44

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.