|
Report Date : |
23.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
MUDA PAPER MILLS SDN BHD |
|
|
|
|
Formerly Known As : |
NORTH MALAYA PAPER MILLS SDN BHD (24/09/1999) |
|
|
|
|
Registered Office : |
Lot 7, Jalan 51a/241, 46100 Petaling Jaya, Selangor |
|
|
|
|
Country : |
Malaysia |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
27.03.1964 |
|
|
|
|
Com. Reg. No.: |
5409-H |
|
|
|
|
Legal Form : |
Private Limited |
|
|
|
|
Line of Business : |
Manufacturing & Sale of Paper & Related Product |
|
|
|
|
No. of Employees : |
540 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
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) |
|
Malaysia |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
malaysia - ECONOMIC OVERVIEW
Malaysia, a
middle-income country, has transformed itself since the 1970s from a producer
of raw materials into an emerging multi-sector economy. Under current Prime Minister
NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move
farther up the value-added production chain by attracting investments in
Islamic finance, high technology industries, biotechnology, and services. The
NAJIB administration also is continuing efforts to boost domestic demand and
reduce the economy's dependence on exports. Nevertheless, exports -
particularly of electronics, oil and gas, palm oil and rubber - remain a
significant driver of the economy. As an oil and gas exporter, Malaysia has
profited from higher world energy prices, although the rising cost of domestic
gasoline and diesel fuel, combined with strained government finances, has
forced Kuala Lumpur to begin to reduce government subsidies. The government is also
trying to lessen its dependence on state oil producer Petronas. The oil and gas
sector supplies more than 40% of government revenue. The central bank maintains
healthy foreign exchange reserves, and a well-developed regulatory regime has
limited Malaysia''s exposure to riskier financial instruments and the global
financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in
commodity prices or a general slowdown in global economic activity because
exports are a major component of GDP. In order to attract increased investment,
NAJIB has raised possible revisions to the special economic and social
preferences accorded to ethnic Malays under the New Economic Policy of 1970,
but he has encountered significant opposition, especially from Malay nationalists
and other vested interests.
|
Source : CIA |
|
REGISTRATION NO. |
: |
5409-H |
|
COMPANY NAME |
: |
MUDA PAPER MILLS SDN BHD |
|
FORMER NAME |
: |
NORTH MALAYA PAPER MILLS SDN BHD
(24/09/1999) |
|
INCORPORATION DATE |
: |
27/03/1964 |
|
COMPANY STATUS |
: |
EXIST |
|
LEGAL FORM |
: |
PRIVATE LIMITED |
|
LISTED STATUS |
: |
NO |
|
REGISTERED ADDRESS |
: |
LOT 7, JALAN 51A/241, 46100 PETALING JAYA, SELANGOR, MALAYSIA. |
|
BUSINESS ADDRESS |
: |
391, JALAN TASEK, 14120 SIMPANG AMPAT, PULAU PINANG, MALAYSIA. |
|
TEL.NO. |
: |
04-5887335 |
|
FAX.NO. |
: |
04-5887646 |
|
WEB SITE |
: |
www.mpmsb.com |
|
CONTACT PERSON |
: |
LIM CHIUN CHEONG ( EXECUTIVE DIRECTOR ) |
|
INDUSTRY CODE |
: |
17010 |
|
PRINCIPAL ACTIVITY |
: |
MANUFACTURING & SALE OF PAPER & RELATED PRODUCT |
|
AUTHORISED CAPITAL |
: |
MYR 100,000,000.00 DIVIDED INTO |
|
ISSUED AND PAID UP CAPITAL |
: |
MYR 74,000,000.00 DIVIDED INTO |
|
SALES |
: |
MYR 555,104,594 [2011] |
|
NET WORTH |
: |
MYR 343,347,237 [2011] |
|
M1000 OVERALL RANKING |
: |
819 [2011] |
|
M1000 INDUSTRY RANKING |
: |
4 [2011] |
|
STAFF STRENGTH |
: |
540 [2013] |
|
BANKER (S) |
: |
UNITED MALAYAN BANKING CORPORATION BHD |
|
LITIGATION |
: |
CLEAR |
|
DEFAULTER CHECK |
: |
CLEAR |
|
FINANCIAL CONDITION |
: |
POOR |
|
PAYMENT |
: |
AVERAGE |
|
MANAGEMENT CAPABILITY |
: |
AVERAGE |
|
COMMERCIAL RISK |
: |
LOW |
|
CURRENCY EXPOSURE |
: |
MODERATE |
|
GENERAL REPUTATION |
: |
SATISFACTORY |
|
INDUSTRY OUTLOOK |
: |
AVERAGE GROWTH |
The SC is a private limited company and is allowed to have a minimum of
one and a maximum of forty-nine shareholders. As a private limited company, the
SC must have at least two directors. A private limited company is a separate
legal entity from its shareholders. As a separate legal entity, the SC is
capable of owning assets, entering into contracts, sue or be sued by other
companies. The liabilities of the shareholders are to the extent of the equity
they have taken up and the creditors cannot claim on shareholders' personal
assets even if the SC is insolvent. The SC is governed by the Companies Act,
1965 and the company must file its annual returns, together with its financial
statements with the Registrar of Companies.
The SC is principally engaged in the (as a / as an) manufacturing &
sale of paper & related product.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
|
According to the Malaysia 1000 publication, the SC's ranking are as
follows: |
|
|||||
|
YEAR |
2011 |
2009 |
2008 |
2005 |
2004 |
|
|
OVERALL RANKING |
819 |
715 |
737 |
656 |
726 |
|
|
INDUSTRY RANKING |
4 |
5 |
5 |
7 |
6 |
|
The immediate holding company of the SC is MUDA HOLDINGS BERHAD, a
company incorporated in MALAYSIA.
The major shareholder(s) of the SC are shown as follows :
|
Name |
Address |
IC/PP/Loc No |
Shareholding |
(%) |
|
MUDA HOLDINGS BERHAD |
LOT 7, JALAN 51A/241, 46100 PETALING JAYA, SELANGOR, MALAYSIA. |
10427 |
77,500,000.00 |
52.36 |
|
KAJANG PAPER MILLS SDN. BHD. |
LOT 7, JALAN 51A/241, 46100 PETALING JAYA, SELANGOR, MALAYSIA. |
101891 |
70,500,000.00 |
47.64 |
|
|
|
|
--------------- |
------ |
|
|
|
|
148,000,000.00 |
100.00 |
|
|
|
|
============ |
===== |
+ Also Director
DIRECTOR 1
|
Name Of Subject |
: |
DATO' AZAMAN BIN ABU BAKAR |
|
Address |
: |
6, LENGKOK AMINUDDIN BAKI, TAMAN TUN DR ISMAIL, 60000 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA. |
|
IC / PP No |
: |
3758503 |
|
New IC No |
: |
461012-03-5561 |
|
Date of Birth |
: |
12/10/1946 |
|
Nationality |
: |
MALAYSIAN |
DIRECTOR 2
|
Name Of Subject |
: |
MS. LIM SIEW LING |
|
Address |
: |
11-A, JALAN SENYUM MATAHARI, COUNTRY HEIGHTS, 43000 KAJANG, SELANGOR,
MALAYSIA. |
|
IC / PP No |
: |
1634005 |
|
New IC No |
: |
700623-07-5648 |
|
Date of Birth |
: |
23/06/1970 |
|
Nationality |
: |
MALAYSIAN |
DIRECTOR 3
|
Name Of Subject |
: |
DATO' LIM WAN PENG |
|
Address |
: |
513C, HILL RAILWAY ROAD, 11500 AYER ITAM, PULAU PINANG, MALAYSIA. |
|
IC / PP No |
: |
1919219 |
|
New IC No |
: |
421226-02-5063 |
|
Date of Birth |
: |
26/12/1942 |
|
Nationality |
: |
MALAYSIAN |
DIRECTOR 4
|
Name Of Subject |
: |
TAN SRI LIM GUAN TEIK |
|
Address |
: |
15, JALAN 11, TAMAN KAJANG BARU, OFF JALAN SUNGAI CHUA, 43000 KAJANG,
SELANGOR, MALAYSIA. |
|
IC / PP No |
: |
0114235 |
|
New IC No |
: |
350218-02-5105 |
|
Date of Birth |
: |
18/02/1935 |
|
Nationality |
: |
MALAYSIAN |
|
Other Info |
: |
JMN |
DIRECTOR 5
|
Name Of Subject |
: |
MR. LIM WAN HOI |
|
Address |
: |
11A, JALAN SENYUM MATAHARI, COUNTRY HEIGHTS, 43000 KAJANG, SELANGOR, MALAYSIA. |
|
IC / PP No |
: |
1919220 |
|
New IC No |
: |
411025-02-5113 |
|
Date of Birth |
: |
25/10/1941 |
|
Nationality |
: |
MALAYSIAN |
DIRECTOR 6
|
Name Of Subject |
: |
MR. LIM CHIUN CHEONG |
|
Address |
: |
14, JALAN 11, TAMAN KAJANG BARU, OFF JLN SUNGAI CHUA, 43000 KAJANG,
SELANGOR, MALAYSIA. |
|
IC / PP No |
: |
7179441 |
|
New IC No |
: |
630912-07-5643 |
|
Date of Birth |
: |
12/09/1963 |
|
Nationality |
: |
MALAYSIAN |
|
1) |
Name of Subject |
: |
LIM CHIUN CHEONG |
|
|
Position |
: |
EXECUTIVE DIRECTOR |
|
|
|
|
|
|
2) |
Name of Subject |
: |
C P TAN |
|
|
Position |
: |
GENERAL MANAGER |
|
|
|
|
|
|
3) |
Name of Subject |
: |
LIM WAN PENG |
|
|
Position |
: |
MANAGING DIRECTOR |
|
|
|
|
|
|
4) |
Name of Subject |
: |
AII SENG CHEW |
|
|
Position |
: |
FINANCE MANAGER |
|
|
|
|
|
|
5) |
Name of Subject |
: |
LIM WAN PENG,DATO' |
|
|
Position |
: |
MANAGER |
|
|
|
|
|
|
6) |
Name of Subject |
: |
MENDY |
|
|
Position |
: |
SECRETARY |
|
Auditor |
: |
SJ GRANT THORNTON |
|
Auditor' Address |
: |
SHERATON IMPERIAL COURT, JALAN SULTAN ISMAIL, P O BOX 12337, LEVEL 11,
50774 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA. |
|
1) |
Company Secretary |
: |
MS. GOH CHING YEE |
|
|
IC / PP No |
: |
4702399 |
|
|
New IC No |
: |
540203-06-5152 |
|
|
Address |
: |
20, JALAN SS 18/5D, SUBANG JAYA, 47500, PETALING JAYA, SELANGOR,
MALAYSIA. |
|
|
|
|
|
|
2) |
Company Secretary |
: |
MS. YONG EE CHERN |
|
|
IC / PP No |
: |
A1176316 |
|
|
New IC No |
: |
690426-04-5064 |
|
|
Address |
: |
22, JALAN SAGA SD 8/2E, BANDAR SRI DAMANSARA, 52200 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA. |
Banking relations are maintained principally with :
|
1) |
Name |
: |
UNITED MALAYAN BANKING CORPORATION BHD |
|
|
|
|
|
|
The SC enjoys normal banking routine with above mentioned banker(s).
The SC has bank charges with above mentioned banker(s). |
No encumbrance was found in our databank at the time of investigation.
* A check has been conducted in our databank againt the SC whether the subject
has been involved in any litigation. Our databank consists of 99% of the wound
up companies in Malaysia.
No legal action was found in our databank.
No winding up petition was found in our databank.
* We have checked through the SC in our defaulters' database which comprised of
debtors that have been blacklisted by our customers and debtors that have been
placed or assigned to us for collection since 1990. Information was provided by
third party where the debt amount can be disputed. Please check with creditors
for confirmation as alleged debts may have been paid since recorded or are
being disputed.
No blacklisted record & debt collection case was found in our defaulters'
databank.
|
SOURCES OF RAW MATERIALS: |
|||
|
Local |
: |
YES |
|
|
Overseas |
: |
YES |
|
|
Import Countries |
: |
EUROPE,ASIA |
|
The SC refused to provide any name of trade/service supplier and we are unable
to conduct any trade enquiry. However, from financial historical data we
conclude that :
|
OVERALL PAYMENT HABIT |
||||||||||||||
|
Prompt 0-30 Days |
[ |
|
] |
|
Good 31-60 Days |
[ |
|
] |
|
Average 61-90 Days |
[ |
X |
] |
|
|
Fair 91-120 Days |
[ |
|
] |
|
Poor >120 Days |
[ |
|
] |
|
|
|
|
|
|
|
Local |
: |
YES |
|||
|
Domestic Markets |
: |
MALAYSIA |
|||
|
Overseas |
: |
YES |
|
|
|
|
Export Market |
: |
AUSTRALIA, SINGAPORE, NEW ZEALAND, MIDDLE EAST, ASIA |
|||
|
Credit Term |
: |
30 - 60 DAYS |
|||
|
Payment Mode |
: |
CHEQUES,TELEGRAPHIC TRANSFER (TT),LETTER OF CREDIT (LC) |
|||
|
Type of Customer |
: |
DISTRIBUTORS,PACKAGING INDUSTRIES,DEALERS |
|||
|
Products manufactured |
: |
|
|
|
Brand Name |
: |
MUDA BOARD, MUDA CORE BOARD
|
|
|
Member(s) / Affiliate(s) |
: |
FEDERATION OF MALAYSIAN MANUFACTURERS (FMM) SMI ASSOCIATION OF MALAYSIA SMALL & MEDIUM ENTERPRISE MALAYSIA EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE) |
|
|
Ownership of premises |
: |
OWNED
|
|
|
Production Capacity |
: |
> 75,000 METRIC TONNES (PER YEAR)
|
|
Total Number of Employees: |
|
||||||||
|
YEAR |
2013 |
2012 |
2011 |
2010 |
2009 |
2008 |
|
|
|
|
GROUP |
N/A |
N/A |
N/A |
N/A |
N/A |
N/A |
|
|
|
|
COMPANY |
540 |
540 |
500 |
500 |
520 |
500 |
|
|
|
|
Branch |
: |
YES
|
||||
|
No of Branches |
: |
1
|
||||
|
Branch(es) |
: |
1 1/2 MILES, OFF JALAN SUNGAI CHUA, 43000
KAJANG, SELANGOR, MALAYSIA.
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturing & sale of
paper & related product.
The SC is under the Muda Holdings Berhad and the Group's core business
activities as as follows:
1) Collection and trading of wastepaper
2) Recycling of wastepaper into various types of paper for industrial
application
3) Manufacturing of paper products
The SC owns one of the largest integrated paper mills in Malaysia.
Its major products include Testliner, Corrugating Medium, Grey Chipboard,
Laminated Chipboard, Core Board and Liner Board. Others include Yellow Wrapping,
Inserting Paper, Golden Manila, Folding Boxboard, and etc.
The SC produces industrial grade papers and paper based stationery products.
The SC utilizes the advanced automated and semi-automated machineries to ensure
production of high quality products.
We were informed that the SC's manufacturing set up is designed to produce
industrial paper from either 100% wastepaper or from a mixture of wastepaper
with virgin pulp.
No projects found in our databank
Latest fresh investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client |
: |
045887335 |
|
Current Telephone Number |
: |
04-5887335 |
|
Match |
: |
YES |
|
Address Provided by Client |
: |
391, JALAN TASEK,14120,SIMPANG AMPAT,PULAU PINANG. |
|
Current Address |
: |
391, JALAN TASEK, 14120 SIMPANG AMPAT, PULAU PINANG, MALAYSIA. |
|
Match |
: |
YES |
|
|
|
|
|
Latest Financial Accounts |
: |
YES |
Other Investigations
On 16th January 2013 we contacted one of the staff from the SC and she provided
some information on the SC.
FINANCIAL ANALYSIS
|
Profitability |
|
|
|
|
|
|
|
Turnover |
: |
Increased |
[ |
2007 - 2011 |
] |
|
|
Profit/(Loss) Before Tax |
: |
Decreased |
[ |
2007 - 2011 |
] |
|
|
Return on Shareholder Funds |
: |
Acceptable |
[ |
10.27% |
] |
|
|
Return on Net Assets |
: |
Unfavourable |
[ |
4.94% |
] |
|
|
|
|
|
|
|
|
|
|
The SC's turnover increased steadily as the demand for its products /
services increased due to the goodwill built up over the years.The SC's
profit fell sharply because of the high operating costs incurred. The SC's
management had generated acceptable return for its shareholders using its
assets. |
||||||
|
|
|
|
|
|
|
|
|
Working Capital Control |
|
|
|
|
|
|
|
Stock Ratio |
: |
Acceptable |
[ |
63 Days |
] |
|
|
Debtor Ratio |
: |
Favourable |
[ |
51 Days |
] |
|
|
Creditors Ratio |
: |
Favourable |
[ |
5 Days |
] |
|
|
|
|
|
|
|
|
|
|
The SC kept adequate stocks to meet its normal business transactions
without incurring excessive storage costs. The favourable debtors' days could
be due to the good credit control measures implemented by the SC. The SC had
a favourable creditors' ratio as evidenced by its favourable collection days.
The SC could be taking advantage of the cash discounts and also wanting to
maintain goodwill with its creditors. |
||||||
|
|
|
|
|
|
|
|
|
Liquidity |
|
|
|
|
|
|
|
Liquid Ratio |
: |
Unfavourable |
[ |
0.51 Times |
] |
|
|
Current Ratio |
: |
Unfavourable |
[ |
0.85 Times |
] |
|
|
|
|
|
|
|
|
|
|
A low liquid ratio means that the SC may be facing working capital
deficiency. If the SC cannot obtain additional financing or injection of
fresh capital, it may face difficulties in meeting its short term
obligations. |
||||||
|
|
|
|
|
|
|
|
|
Solvency |
|
|
|
|
|
|
|
Interest Cover |
: |
Unfavourable |
[ |
1.69 Times |
] |
|
|
Gearing Ratio |
: |
Favourable |
[ |
0.57 Times |
] |
|
|
|
|
|
|
|
|
|
|
The SC's interest cover was low. If its profits fall or when interest rate
rises, it may not be able to meet all its interest payment. The SC was lowly
geared thus it had a low financial risk. The SC was mainly financed by its
shareholders' funds and internally generated funds. In times of economic
slowdown / downturn, the SC being a lowly geared company, will be able to
compete better than those companies which are highly geared in the same
industry. |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Overall Assessment : |
|
|
|
|
|
|
|
Although the SC's turnover had increased, its profits had declined
over the same corresponding period. This could be due to the stiffer market
competition and / or higher operating costs which lowered the SC's profit
margin. Due to its weak liquidity position, the SC will be faced with
problems in meeting all its short term obligations if no short term loan is
obtained or additional capital injected into the SC. If there is a fall in
the SC's profit or any increase in interest rate, the SC may not be able to
generate sufficient cash-flow to service its interest. The SC as a lowly
geared company, will be more secured compared to those highly geared
companies. It has the ability to meet all its long term obligations. |
||||||
|
|
|
|
|
|
|
|
|
Overall financial condition of the SC : POOR |
||||||
|
Major Economic Indicators: |
2008 |
2009 |
2010 |
2011* |
2012** |
|
|
|
|
|
|
|
|
Population ( Million) |
27.73 |
28.13 |
28.35 |
28.70 |
29.10 |
|
Gross Domestic Products ( % ) |
4.6 |
<0.5> |
7.2 |
5.5 |
5.3 |
|
Domestic Demand ( % ) |
6.9 |
2.9 |
6.3 |
4.8 |
7.6 |
|
Private Expenditure ( % ) |
7.1 |
<2.7> |
8.1 |
7.0 |
8.7 |
|
Consumption ( % ) |
8.4 |
0.7 |
6.7 |
6.3 |
7.1 |
|
Investment ( % ) |
1.5 |
<17.2> |
17.7 |
16.2 |
15.9 |
|
Public Expenditure ( % ) |
6.5 |
5.2 |
3.8 |
7.6 |
4.7 |
|
Consumption ( % ) |
11.6 |
3.1 |
0.2 |
8.9 |
3.0 |
|
Investment ( % ) |
0.7 |
8.0 |
2.8 |
0.6 |
7.0 |
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million ) |
129,563 |
89,650 |
118,356 |
116,058 |
- |
|
Government Finance ( MYR Million ) |
<34,462> |
<28,450> |
<40,482> |
<45,511> |
<43,021> |
|
Government Finance to GDP / Fiscal Deficit ( % ) |
<4.8> |
<4.8> |
<5.6> |
<5.4> |
<4.7> |
|
Inflation ( % Change in Composite CPI) |
<3.3> |
<5.2> |
5.1 |
3.1 |
- |
|
Unemployment Rate |
3.7 |
4.5 |
3.9 |
3.3 |
- |
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion ) |
388 |
331 |
329 |
415 |
- |
|
Average Risk-Weighted Capital Adequacy Ratio ( % ) |
1.91 |
2.87 |
2.20 |
3.50 |
- |
|
Average 3 Months of Non-performing Loans ( % ) |
13.24 |
11.08 |
15.30 |
14.80 |
- |
|
Average Base Lending Rate ( % ) |
6.72 |
5.53 |
6.30 |
6.60 |
- |
|
Business Loans Disbursed( % ) |
11.6 |
10.5 |
14.7 |
15.3 |
- |
|
Foreign Investment ( MYR Million ) |
23,261.4 |
22,156.8 |
22,517.9 |
23,546.1 |
- |
|
Consumer Loans ( % ) |
- |
- |
- |
- |
- |
|
|
|
|
|
|
|
|
Registration of New Companies ( No. ) |
41,599 |
41,578 |
44,148 |
- |
- |
|
Registration of New Companies ( % ) |
<4.0> |
<0.1> |
6.2 |
- |
- |
|
Liquidation of Companies ( No. ) |
27,992 |
39,075 |
25,585 |
- |
- |
|
Liquidation of Companies ( % ) |
23.7 |
39.6 |
<34.5> |
- |
- |
|
|
|
|
|
|
|
|
Registration of New Business ( No. ) |
269,866 |
312,581 |
271,414 |
- |
- |
|
Registration of New Business ( % ) |
- |
- |
- |
- |
- |
|
Business Dissolved ( No. ) |
18,885 |
19,345 |
19,738 |
- |
- |
|
Business Dissolved ( % ) |
<7.6> |
2.4 |
2.0 |
- |
- |
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit ) |
497.5 |
486.3 |
543.6 |
363.0 |
- |
|
Cellular Phone Subscribers ( Million ) |
25.1 |
30.1 |
32.8 |
35.3 |
- |
|
Tourist Arrival ( Million Persons ) |
21.5 |
23.6 |
24.6 |
25.3 |
- |
|
Hotel Occupancy Rate ( % ) |
68.0 |
58.0 |
63.0 |
51.3 |
- |
|
|
|
|
|
|
|
|
Credit Cards Spending ( % ) |
17.1 |
12.8 |
14.1 |
15.6 |
- |
|
Bad Cheque Offenders (No.) |
34,834 |
36,667 |
33,568 |
27,208 |
- |
|
Individual Bankruptcy ( No.) |
13,907 |
16,228 |
18,119 |
16,155 |
- |
|
Individual Bankruptcy ( % ) |
5.1 |
16.7 |
11.7 |
<10.8> |
- |
|
|
|
|
|
|
|
|
INDUSTRIES ( % of Growth ): |
2008 |
2009 |
2010 |
2011* |
2012** |
|
|
|
|
|
|
|
|
Agriculture |
3.6 |
0.4 |
2.1 |
4.7 |
4.1 |
|
Palm Oil |
7.0 |
<1.1> |
<3.4> |
7.3 |
- |
|
Rubber |
<1.1> |
<19.8> |
9.9 |
6.4 |
- |
|
Forestry & Logging |
<1.5> |
<5.9> |
<3.3> |
<4.7> |
- |
|
Fishing |
4.0 |
5.5 |
5.6 |
2.8 |
- |
|
Other Agriculture |
5.9 |
9.0 |
7.9 |
8.5 |
- |
|
Industry Non-Performing Loans ( MYR Million ) |
393.0 |
413.7 |
508.4 |
634.1 |
- |
|
% of Industry Non-Performing Loans |
<2.0> |
1.3 |
2.1 |
3.2 |
- |
|
|
|
|
|
|
|
|
Mining |
<0.8> |
<3.8> |
0.2 |
<2.4> |
2.5 |
|
Oil & Gas |
12.7 |
2.1 |
0.5 |
<1.7> |
- |
|
Other Mining |
- |
- |
- |
- |
- |
|
Industry Non-performing Loans ( MYR Million ) |
36.0 |
44.2 |
49.7 |
46.5 |
- |
|
% of Industry Non-performing Loans |
0.1 |
0.1 |
0.1 |
0.1 |
- |
|
|
|
|
|
|
|
|
Manufacturing # |
1.3 |
<9.4> |
11.4 |
5.6 |
4.5 |
|
Exported-oriented Industries |
2.7 |
<19.0> |
12.1 |
2.8 |
- |
|
Electrical & Electronics |
2.4 |
<30.3> |
28.4 |
<4.9> |
- |
|
Rubber Products |
4.2 |
<10.1> |
25.3 |
15.4 |
- |
|
Wood Products |
<6.0> |
<24.1> |
20.1 |
<7.3> |
- |
|
Textiles & Apparel |
1.9 |
<19.5> |
<0.4> |
14.8 |
- |
|
Domestic-oriented Industries |
9.9 |
<9.8> |
16.3 |
6.3 |
- |
|
Food, Beverages & Tobacco |
9.5 |
0.2 |
3.0 |
4.2 |
- |
|
Chemical & Chemical Products |
1.4 |
<7.7> |
16.2 |
5.6 |
- |
|
Plastic Products |
6.5 |
<9.1> |
2.4 |
3.8 |
- |
|
Iron & Steel |
16.8 |
<32.7> |
29.3 |
2.4 |
- |
|
Fabricated Metal Products |
14.7 |
<2.5> |
14.9 |
25.2 |
- |
|
Non-metallic Mineral |
8.3 |
<15.5> |
20.2 |
16.3 |
- |
|
Transport Equipment |
27.1 |
<13.5> |
36.5 |
<9.4> |
- |
|
Paper & Paper Products |
8.6 |
<5.0> |
18.7 |
15.6 |
- |
|
Crude Oil Refineries |
7.8 |
0.2 |
<11.4> |
9.3 |
- |
|
Industry Non-Performing Loans ( MYR Million ) |
5,729.4 |
6,007.3 |
6,217.5 |
6,537.2 |
- |
|
% of Industry Non-Performing Loans |
16.8 |
18.3 |
23.8 |
25.7 |
- |
|
|
|
|
|
|
|
|
Construction |
2.1 |
5.8 |
5.1 |
4.4 |
7.0 |
|
Industry Non-Performing Loans ( MYR Million ) |
4,149.8 |
3,241.8 |
4,038.5 |
3,856.9 |
- |
|
% of Industry Non-Performing Loans |
12.2 |
9.9 |
10.7 |
10.2 |
- |
|
|
|
|
|
|
|
|
Services |
7.3 |
2.6 |
6.5 |
6.4 |
6.5 |
|
Electric, Gas & Water |
5.0 |
0.4 |
8.5 |
5.6 |
4.8 |
|
Transport, Storage & Communication |
7.8 |
1.6 |
7.7 |
6.5 |
7.3 |
|
Wholesale, Retail, Hotel & Restaurant |
10.0 |
2.8 |
4.7 |
5.2 |
6.9 |
|
Finance, Insurance & Real Estate |
9.2 |
3.8 |
6.1 |
6.3 |
6.5 |
|
Government Services |
8.6 |
2.0 |
6.7 |
7.6 |
5.6 |
|
Other Services |
5.9 |
4.4 |
4.2 |
5.4 |
5.7 |
|
Industry Non-Performing Loans ( MYR Million ) |
8,281.4 |
6,631.3 |
7,384.6 |
6,825.2 |
- |
|
% of Industry Non-Performing Loans |
24.3 |
20.2 |
25.7 |
23.4 |
- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Estimate / Preliminary |
|
|
|
|
|
|
** Forecast |
|
|
|
|
|
|
# Based On Manufacturing Production Index |
|||||
|
|
|
|
|
|
|
|
MSIC CODE |
|
|
17010 : Manufacture of pulp, paper and paperboard |
|
|
INDUSTRY : |
MANUFACTURING |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Average Growth |
|
Incorporated in 1964, the SC is a Private Limited company, focusing on
manufacturing & sale of paper & related product. The SC has been in
business for over two decades. It has built up a strong clientele base and
satisfactory reputation will enable the SC to further enhance its business in
the near term. The SC is expected to enjoy a stable market shares. The SC is
well backed by a listed company shareholders which would stimulate further
growth for the SC. Hence, the potential growth of the SC is positive. The SC is
a large entity with strong capital position. We are confident with the SC's
business and its future growth prospect.
Over the years, the SC has penetrated into both the local and overseas market.
The SC has positioned itself in the global market and is competing in the
industry. Its stable clientele base will enable the SC to further enhance its
business in the near term. Being a large entity, the SC has a steady workforce
of 540 personnel to support its business operations. Its future prospects seem
to be fairly good as its business operations are running relatively stable.
Overall, we regard that the SC's management capability is average. This
indicates that the SC has greater potential to improve its business performance
and raising income for the SC.
Financially, the SC registered a higher turnover compared to previous year.
However, its profits showed a reverse trend. The lower profit achieved was a
result of higher operating cost and increased competition. Return on
shareholders' funds of the SC was at an acceptable range which indicated that
the management was efficient in utilising its funds to generate income. Due to
its weak liquidity position, the SC may face working capital deficiency in
meeting its short term financial obligations if no fresh capital are injected
into the SC. Being a lowly geared company, the SC is exposed to low financial
risk as it is mainly dependent on its internal funds to finance its business
needs. Given a positive net worth standing at MYR 343,347,237, the SC should be
able to maintain its business in the near terms.
Having a strong assets backing, the SC possesses latent assets as collateral
for further financial extension. Hence, it has good chance of getting loans if
the needs arises. The SC's supplier are from both the local and overseas
countries. This will eliminates the risk of dependency on deliveries from a
number of key suppliers and insufficient quantities of its raw materials.
Overall the SC has a good control over its resources.
The SC's payment habit is average. With its adequate working capital, the SC
should be able to pay its short term debts.
The industry shows an upward trend and this trend is very likely to sustain in
the near terms. Hence, the SC is expected to benefit from the favourable
outlook of the industry.
Based on the above condition, we recommend credit be granted to the SC promptly.
THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN
FINANCIAL REPORTING STANDARDS(FRS)
MUDA PAPER MILLS SDN BHD
|
Financial Year
End |
31/12/2011 |
31/12/2010 |
31/12/2009 |
31/12/2008 |
31/12/2007 |
|
Months |
12 |
12 |
12 |
12 |
12 |
|
Consolidated
Account |
Company |
Company |
Company |
Company |
Company |
|
Audited Account |
YES |
YES |
YES |
YES |
YES |
|
Unqualified Auditor's Report (Clean Opinion) |
YES |
YES |
YES |
YES |
YES |
|
Financial Type |
FULL |
FULL |
FULL |
FULL |
FULL |
|
Currency |
MYR |
MYR |
MYR |
MYR |
MYR |
|
|
|
|
|
|
|
|
TURNOVER |
555,104,594 |
488,681,693 |
380,496,815 |
420,708,364 |
402,211,088 |
|
Other Income |
8,233,832 |
7,802,605 |
- |
- |
- |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
Total Turnover |
563,338,426 |
496,484,298 |
380,496,815 |
420,708,364 |
402,211,088 |
|
Costs of Goods Sold |
<498,490,075> |
<412,822,700> |
- |
- |
- |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
Gross Profit |
64,848,351 |
83,661,598 |
- |
- |
- |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
|
|
|
|
|
|
PROFIT/(LOSS) FROM OPERATIONS |
9,957,564 |
34,687,755 |
19,617,036 |
47,972,488 |
31,484,489 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
PROFIT/(LOSS) BEFORE TAXATION |
9,957,564 |
34,687,755 |
19,617,036 |
47,972,488 |
31,484,489 |
|
Taxation |
25,298,368 |
<5,111,625> |
<4,591,399> |
<8,599,248> |
<4,355,203> |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
PROFIT/(LOSS) AFTER TAXATION |
35,255,932 |
29,576,130 |
15,025,637 |
39,373,240 |
27,129,286 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
RETAINED PROFIT/(LOSS) BROUGHT FORWARD |
|
|
|
|
|
|
As previously reported |
141,361,673 |
123,590,335 |
127,120,899 |
100,389,592 |
47,944,239 |
|
Prior year adjustment |
- |
- |
- |
- |
35,368,000 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
As restated |
141,361,673 |
123,590,335 |
127,120,899 |
100,389,592 |
83,312,239 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
PROFIT AVAILABLE FOR APPROPRIATIONS |
176,617,605 |
153,166,465 |
142,146,536 |
139,762,832 |
110,441,525 |
|
- General |
405,208 |
405,208 |
313,799 |
308,067 |
308,067 |
|
DIVIDENDS - Ordinary (paid & proposed) |
<4,070,000> |
<12,210,000> |
<18,870,000> |
<12,950,000> |
<10,360,000> |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
RETAINED PROFIT/(LOSS) CARRIED FORWARD |
172,952,813 |
141,361,673 |
123,590,335 |
127,120,899 |
100,389,592 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
|
|
|
|
|
|
INTEREST EXPENSE (as per notes to P&L) |
|
|
|
|
|
|
Bank overdraft |
1,295,373 |
- |
- |
- |
- |
|
Bankers' acceptance |
4,616,121 |
- |
- |
- |
- |
|
Lease interest |
416,896 |
- |
- |
- |
- |
|
Revolving loans |
1,943,527 |
- |
- |
- |
- |
|
Term loan / Borrowing |
5,162,531 |
- |
- |
- |
- |
|
Others |
1,099,068 |
8,731,350 |
7,787,831 |
8,933,861 |
9,942,685 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
14,533,516 |
8,731,350 |
7,787,831 |
8,933,861 |
9,942,685 |
MUDA PAPER MILLS SDN BHD
|
ASSETS EMPLOYED: |
|
|
|
|
|
|
FIXED ASSETS |
497,423,503 |
288,248,882 |
262,108,059 |
273,163,118 |
265,029,390 |
|
|
|
|
|
|
|
|
LONG TERM INVESTMENTS/OTHER ASSETS |
|
|
|
|
|
|
Investment properties |
8,130,000 |
7,635,000 |
7,175,000 |
5,870,000 |
5,870,000 |
|
Investments |
- |
- |
- |
- |
1 |
|
Deferred assets |
10,860,000 |
- |
- |
- |
- |
|
Others |
22,983,391 |
192,333,502 |
93,739,221 |
52,795,215 |
27,630,666 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS |
41,973,391 |
199,968,502 |
100,914,221 |
58,665,215 |
33,500,667 |
|
|
|
|
|
|
|
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL LONG TERM ASSETS |
539,396,894 |
488,217,384 |
363,022,280 |
331,828,333 |
298,530,057 |
|
|
|
|
|
|
|
|
CURRENT ASSETS |
|
|
|
|
|
|
Stocks |
95,838,161 |
64,686,524 |
58,165,827 |
67,853,558 |
44,337,847 |
|
Trade debtors |
76,967,752 |
66,745,701 |
58,172,311 |
47,439,070 |
60,026,534 |
|
Other debtors, deposits & prepayments |
7,440,601 |
12,895,041 |
7,765,646 |
4,600,777 |
3,761,994 |
|
Amount due from related companies |
35,111,480 |
41,381,746 |
41,375,951 |
63,118,355 |
66,287,124 |
|
Cash & bank balances |
28,014,240 |
14,878,960 |
6,557,797 |
6,390,649 |
6,531,002 |
|
Others |
590,837 |
31,707 |
- |
- |
- |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL CURRENT ASSETS |
243,963,071 |
200,619,679 |
172,037,532 |
189,402,409 |
180,944,501 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL ASSET |
783,359,965 |
688,837,063 |
535,059,812 |
521,230,742 |
479,474,558 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
|
|
|
|
|
|
CURRENT LIABILITIES |
|
|
|
|
|
|
Trade creditors |
7,333,123 |
5,073,358 |
3,872,051 |
2,278,723 |
4,142,978 |
|
Other creditors & accruals |
38,520,657 |
29,274,650 |
25,290,281 |
24,323,165 |
20,791,270 |
|
Hire purchase & lease creditors |
2,883,778 |
3,242,582 |
3,058,031 |
1,237,175 |
1,093,847 |
|
Bank overdraft |
21,236,510 |
9,345,718 |
22,692,539 |
25,275,667 |
16,482,816 |
|
Short term borrowings/Term loans |
24,151,470 |
9,231,470 |
14,466,470 |
15,771,470 |
15,771,470 |
|
Other borrowings |
- |
- |
40,500,000 |
40,500,000 |
36,500,000 |
|
Deposits from customers |
- |
- |
- |
35,281 |
671,892 |
|
Bill & acceptances payable |
122,950,000 |
109,547,000 |
73,550,000 |
78,200,000 |
67,250,000 |
|
Amounts owing to holding company |
2,436,052 |
6,411,123 |
4,487,879 |
1,587,338 |
37,988 |
|
Amounts owing to related companies |
21,430,295 |
6,921,506 |
10,078,406 |
5,934,873 |
5,396,569 |
|
Provision for taxation |
- |
1,253,150 |
322,706 |
593,624 |
852,153 |
|
Other liabilities |
47,010,841 |
40,000,000 |
916,188 |
1,165,594 |
678,379 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL CURRENT LIABILITIES |
287,952,726 |
220,300,557 |
199,234,551 |
196,902,910 |
169,669,362 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
NET CURRENT ASSETS/(LIABILITIES) |
<43,989,655> |
<19,680,878> |
<27,197,019> |
<7,500,501> |
11,275,139 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL NET ASSETS |
495,407,239 |
468,536,506 |
335,825,261 |
324,327,832 |
309,805,196 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
|
|
|
|
|
|
SHARE CAPITAL |
|
|
|
|
|
|
Ordinary share capital |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL SHARE CAPITAL |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
|
|
|
|
|
|
|
|
RESERVES |
|
|
|
|
|
|
Share premium |
64,799,998 |
64,799,998 |
64,799,998 |
64,799,998 |
64,799,998 |
|
Revaluation reserve |
31,594,426 |
31,999,634 |
30,521,616 |
22,815,895 |
23,123,962 |
|
Retained profit/(loss) carried forward |
172,952,813 |
141,361,673 |
123,590,335 |
127,120,899 |
100,389,592 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL RESERVES |
269,347,237 |
238,161,305 |
218,911,949 |
214,736,792 |
188,313,552 |
|
|
|
|
|
|
|
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
SHAREHOLDERS' FUNDS/EQUITY |
343,347,237 |
312,161,305 |
292,911,949 |
288,736,792 |
262,313,552 |
|
|
|
|
|
|
|
|
LONG TERM LIABILITIES |
|
|
|
|
|
|
Long term loans |
141,759,254 |
129,575,792 |
21,224,675 |
20,600,146 |
36,371,616 |
|
Lease obligations |
2,856,549 |
5,336,137 |
- |
- |
- |
|
Hire purchase creditors |
- |
- |
5,188,024 |
1,843,485 |
2,571,393 |
|
Deferred taxation |
- |
14,888,000 |
11,328,000 |
8,069,000 |
3,132,000 |
|
Retirement benefits provision |
7,444,199 |
6,575,272 |
5,172,613 |
5,078,409 |
5,416,635 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
TOTAL LONG TERM LIABILITIES |
152,060,002 |
156,375,201 |
42,913,312 |
35,591,040 |
47,491,644 |
|
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
495,407,239 |
468,536,506 |
335,825,261 |
324,327,832 |
309,805,196 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
|
|
|
|
|
MUDA PAPER MILLS SDN BHD
|
TYPES OF FUNDS |
|
|
|
|
|
|
Cash |
28,014,240 |
14,878,960 |
6,557,797 |
6,390,649 |
6,531,002 |
|
Net Liquid Funds |
6,777,730 |
5,533,242 |
<16,134,742> |
<18,885,018> |
<9,951,814> |
|
Net Liquid Assets |
<139,827,816> |
<84,367,402> |
<85,362,846> |
<75,354,059> |
<33,062,708> |
|
Net Current Assets/(Liabilities) |
<43,989,655> |
<19,680,878> |
<27,197,019> |
<7,500,501> |
11,275,139 |
|
Net Tangible Assets |
495,407,239 |
468,536,506 |
335,825,261 |
324,327,832 |
309,805,196 |
|
Net Monetary Assets |
<291,887,818> |
<240,742,603> |
<128,276,158> |
<110,945,099> |
<80,554,352> |
|
BALANCE SHEET ITEMS |
|
|
|
|
|
|
Total Borrowings |
194,831,088 |
156,731,699 |
107,129,739 |
105,227,943 |
108,791,142 |
|
Total Liabilities |
440,012,728 |
376,675,758 |
242,147,863 |
232,493,950 |
217,161,006 |
|
Total Assets |
783,359,965 |
688,837,063 |
535,059,812 |
521,230,742 |
479,474,558 |
|
Net Assets |
495,407,239 |
468,536,506 |
335,825,261 |
324,327,832 |
309,805,196 |
|
Net Assets Backing |
343,347,237 |
312,161,305 |
292,911,949 |
288,736,792 |
262,313,552 |
|
Shareholders' Funds |
343,347,237 |
312,161,305 |
292,911,949 |
288,736,792 |
262,313,552 |
|
Total Share Capital |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
74,000,000 |
|
Total Reserves |
269,347,237 |
238,161,305 |
218,911,949 |
214,736,792 |
188,313,552 |
|
LIQUIDITY (Times) |
|
|
|
|
|
|
Cash Ratio |
0.10 |
0.07 |
0.03 |
0.03 |
0.04 |
|
Liquid Ratio |
0.51 |
0.62 |
0.57 |
0.62 |
0.81 |
|
Current Ratio |
0.85 |
0.91 |
0.86 |
0.96 |
1.07 |
|
WORKING CAPITAL CONTROL (Days) |
|
|
|
|
|
|
Stock Ratio |
63 |
48 |
56 |
59 |
40 |
|
Debtors Ratio |
51 |
50 |
56 |
41 |
54 |
|
Creditors Ratio |
5 |
4 |
4 |
2 |
4 |
|
SOLVENCY RATIOS (Times) |
|
|
|
|
|
|
Gearing Ratio |
0.57 |
0.50 |
0.37 |
0.36 |
0.41 |
|
Liabilities Ratio |
1.28 |
1.21 |
0.83 |
0.81 |
0.83 |
|
Times Interest Earned Ratio |
1.69 |
4.97 |
3.52 |
6.37 |
4.17 |
|
Assets Backing Ratio |
6.69 |
3.17 |
2.27 |
2.19 |
2.09 |
|
PERFORMANCE RATIO (%) |
|
|
|
|
|
|
Operating Profit Margin |
1.79 |
7.10 |
5.16 |
11.40 |
7.83 |
|
Net Profit Margin |
6.35 |
6.05 |
3.95 |
9.36 |
6.75 |
|
Return On Net Assets |
4.94 |
9.27 |
8.16 |
17.55 |
13.37 |
|
Return On Capital Employed |
4.70 |
9.02 |
7.58 |
16.22 |
12.65 |
|
Return On Shareholders' Funds/Equity |
10.27 |
9.47 |
5.13 |
13.64 |
10.34 |
|
Dividend Pay Out Ratio (Times) |
0.12 |
0.41 |
1.26 |
0.33 |
0.38 |
|
NOTES TO ACCOUNTS |
|
|
|
|
|
|
Contingent Liabilities |
0 |
0 |
0 |
0 |
0 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.51 |
|
|
1 |
Rs.84.85 |
|
Euro |
1 |
Rs.71.43 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.