MIRA
INFORM REPORT
|
Report Date : |
23.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
THAVORN
LAMPANG CO., LTD |
|
|
|
|
Registered Office : |
350 Moo 7, Lampang-Chiangmai Road, T. Hangchat, A. Hangchat, Lampang 52190 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
15.01.1992 |
|
|
|
|
Com. Reg. No.: |
0525535000031 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
subject is engaged in manufacturing service and
exporting wide range
of wooden products
and furniture under
various customer’s brands |
|
|
|
|
No. of Employees : |
600 |
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 : |
Moderate |
|
|
|
|
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 – March 31st 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand achieved steady growth due largely to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Thailand is trying to maintain growth by encouraging domestic consumption and public investment to offset weak exports in 2012. Unemployment, at less than 1% of the labor force, stands as one of the lowest levels in the world, which puts upward pressure on wages in some industries. Thailand also attracts nearly 2.5 million migrant workers from neighboring countries. The Thai government is implementing a nation-wide 300 baht ($10) per day minimum wage policy and deploying new tax reforms designed to lower rates on middle-income earners. The Thai economy has weathered internal and external economic shocks in recent years. The global economic severely cut Thailand's exports, with most sectors experiencing double-digit drops. In 2009, the economy contracted 2.3%. However, in 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995, as exports rebounded. In late 2011 growth was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. Industry recovered from the second quarter of 2012 onward with GDP growth at 5.5% in 2012. The government has approved flood mitigation projects worth $11.7 billion, which were started in 2012, to prevent similar economic damage, and an additional $75 billion for infrastructure over the next seven years with a plan to start in 2013.
Source
: CIA
Company name
THAVORN LAMPANG CO.,
LTD.
SUMMARY
BUSINESS
ADDRESS : 350
MOO 7, LAMPANG-CHIANGMAI ROAD,
T.
HANGCHAT, A. HANGCHAT,
LAMPANG 52190,
THAILAND
TELEPHONE : [66] 54
269-447-9
FAX :
[66] 54
269-305
E-MAIL
ADDRESS : thavorn@cscoms.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0525535000031
TAX
ID NO. : 3511002525
CAPITAL REGISTERED : BHT. 170,000,000
CAPITAL PAID-UP : BHT.
170,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. PRAMOTE
PEWLUANGSAWAT, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 600
LINES
OF BUSINESS : WOODEN FURNITURES
CONTRACTED MANUFACTURER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on January 15,
1992 as a
private limited company
under the name
style THAVORN LAMPANG
CO., LTD., by
Thai groups, in
order to provide
manufacturing service of
wooden furniture to overseas markets. It currently
employs approximately 600
staff.
The
subject’s registered address
is 350 Moo 7,
Lampang-Chiangmai Rd., T. Hangchat,
A. Hangchat, Lampang 52190,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pramote Pewluangsawat |
[x] |
Thai |
60 |
|
Mr. Akarin Pewluangsawat |
[x] |
Thai |
36 |
|
Mrs. Saengchan Tajai |
|
Thai |
56 |
AUTHORIZED PERSON
One of the
mentioned directors [x]
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Pramote Pewluangsawat is the
Managing
Director.
He is Thai
nationality with the
age of 60
years old.
Mr. Akarin Pewluangsawat
is the Assistant
Managing Director.
He is Thai
nationality with the
age of 36
years old.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing service and
exporting wide range
of wooden products
and furniture under
various customer’s brands.
The products are
divided into 2
main groups as
follows:
·
Kitchenware
and furniture: salad
bowl, wooden spoon
set, knife rack,
wine rack, magazine
rack, dish rack,
pot holder rack,
chopping board, cabinet,
drawer organizer, trolley
cart, napkin holder
and etc.
·
Children
furniture: table, chair,
stool, bed, wagon,
wooden toys and etc.
PURCHASE
70% of raw
materials such as
woods and accessories
are purchased from
local suppliers, the
remaining 30% is
imported from New
Zealand, Australia, India,
Republic of China,
Malaysia and Myanmar.
EXPORT
100% of the
products is exported
to U.S.A., Singapore,
Japan, Indonesia, Korea,
Sweden and European
countries.
MAJOR CUSTOMER
Ikea Systems B.V. : Sweden
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is not
found to have
any subsidiary or
affiliated company here
in Thailand.
LITIGATION
Bankruptcy and
Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no
legal suits filed
against the subject
for the past
two years.
CREDIT
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
T/T.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs approximately
600 office staff
and factory workers.
LOCATION
DETAILS
The premise is owned for administrative office, factory and warehouse at the
heading address. Premise
is located in
provincial, in the
Northern region.
COMMENT
The
subject was formed
in 1992 as
a manufacturer and
exporter of wooden
products and furniture
for export markets. 100%
of the products
are for overseas
such as U.S.A.,
Singapore and European
countries. Sales in
overseas markets were
gradually improved from economy
improvement in USA market, as
well as the
major customer like
IKEA in Sweden also improved
its business worldwide.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,000,000
divided into 20,000
shares of Bht.
100 each.
The
capital was increased
later as following:
Bht. 20,000,000
on November 9,
1999
Bht. 30,000,000
on September 18,
2006
Bht. 170,000,000
on September 22,
2008
The
latest registered capital
was increased to
Bht. 170 million, divided
into 1,700,000 shares
of Bht. 100
each with fully
paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Pramote Pewluangsawat Nationality: Thai Address : 350
Moo 7, T. Hangchat, A. Hangchat Lampang |
1,520,000 |
89.44 |
|
Mrs. Saengchan Tajai Nationality: Thai Address : 105/2
Moo 7, T. Hangchat, A. Hangchat,
Lampang |
30,000 |
1.76 |
|
Mr. Akarin Pewluangsawat Nationality: Thai Address : 179
Moo 8, T. Hangchat, A. Hangchat Lampang |
30,000 |
1.76 |
|
Ms. Piyanart Pewluangsawat Nationality: Thai Address : 123
Pattanakarn 20 Rd.,
Yaek 8, T.
Suanluang, A. Suanluang, Bangkok |
30,000 |
1.76 |
|
Ms. Piyaphan Pewluangsawat Nationality: Thai Address :
105/2 Moo 7,
T. Hangchat, A. Hangchat,
Lampang |
30,000 |
1.76 |
|
Mr. Ekthana Pewluangsawat Nationality: Thai Address : 99/6
Moo 3, Sapansung,
Bangkok |
30,000 |
1.76 |
|
Ms. Piyaporn Pewluangsawat Nationality: Thai Address : 105/2
Moo 7, T. Hangchat, A. Hangchat,
Lampang |
30,000 |
1.76 |
Total Shareholders : 7
Share Structure [as
at April 30,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
7 |
1,700,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
7 |
1,700,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Manop Kitiwong No.
1847
BALANCE SHEET [BAHT]
The latest financial figures published for December 31, 2012, 2011 & 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash in Hand
& at Bank |
4,531,174.44 |
5,652,788.58 |
2,039,784.25 |
|
Trade Accounts &
Other Receivable |
56,775,207.09 |
50,118,863.15 |
53,610,646.97 |
|
Inventories |
116,461,459.48 |
79,152,422.08 |
60,140,171.18 |
|
Other Current Assets
|
5,722,704.62 |
21,302,462.66 |
11,652,358.53 |
|
|
|
|
|
|
Total Current Assets
|
183,490,545.63 |
156,226,536.47 |
127,442,960.93 |
|
Fixed Assets |
299,538,865.47 |
301,524,831.34 |
303,969,128.93 |
|
Rubber Plant |
3,593,754.00 |
3,378,354.00 |
- |
|
Electricity & Water
Supply System |
1,225,173.14 |
1,528,360.42 |
1,672,218.18 |
|
Machinery, Tools &
Appliance |
14,985,577.85 |
15,763,398.09 |
13,114,204.15 |
|
Vehicle |
21.00 |
21.00 |
21.00 |
|
Office Automation |
966,886.33 |
1,285,207.84 |
1,336,685.44 |
|
Work under Construction |
45,976.64 |
- |
- |
|
Other Non-current Assets |
800,000.00 |
800,000.00 |
800,000.00 |
|
Total Assets |
504,646,800.06 |
480,506,709.16 |
448,335,218.63 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Bank |
205,568,107.88 |
187,133,568.55 |
146,735,835.51 |
|
Trade Accounts &
Other Payable |
26,806,468.15 |
20,960,514.51 |
28,723,015.41 |
|
Short-term Loan |
37,148,842.13 |
34,650,359.57 |
33,646,498.90 |
|
Accrued Income Tax |
46,022.02 |
106,514.66 |
- |
|
Other Current Liabilities |
1,144,820.17 |
114,755.01 |
619,480.65 |
|
|
|
|
|
|
Total Current Liabilities |
270,714,260.35 |
242,965,712.30 |
209,724,830.47 |
|
Long-term Loan from
Bank |
88,639,680.72 |
92,132,117.54 |
93,650,881.35 |
|
Total Liabilities |
359,353,941.07 |
335,097,829.84 |
303,375,711.82 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 1,700,000 shares
|
170,000,000.00 |
170,000,000.00 |
170,000,000.00 |
|
|
|
|
|
|
Capital Paid |
170,000,000.00 |
170,000,000.00 |
170,000,000.00 |
|
Retained Earning - Unappropriated |
[24,707,141.01] |
[24,591,120.68] |
[25,040,493.19] |
|
Total Shareholders' Equity |
145,292,858.99 |
145,408,879.32 |
144,959,506.81 |
|
Total Liabilities & Shareholders' Equity |
504,646,800.06 |
480,506,709.16 |
448,335,218.63 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales |
277,864,852.93 |
228,284,157.80 |
242,252,607.94 |
|
Less : Discount Payment |
[624,023.07] |
[507,120.15] |
[763,485.49] |
|
Refundable Goods |
- |
- |
[24,885.00] |
|
Claim Goods |
[1,029,064.95] |
- |
[5,401,383.90] |
|
|
|
|
|
|
Sales - Net |
276,211,764.91 |
227,777,037.65 |
236,062,853.55 |
|
Other Income |
2,923,997.63 |
1,361,318.47 |
1,039,549.58 |
|
Total Revenues |
279,135,762.54 |
229,138,356.12 |
237,102,403.13 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
227,593,584.47 |
173,940,455.85 |
188,501,451.51 |
|
Selling & Administrative Expenses |
32,979,646.34 |
37,956,504.56 |
31,314,611.27 |
|
Other Expenses |
151,506.95 |
219,604.39 |
695,522.39 |
|
Total Expenses |
260,724,737.76 |
212,116,564.80 |
220,511,585.17 |
|
|
|
|
|
|
Profit / [Loss] before Financial
Expenses |
18,411,024.78 |
17,021,791.32 |
16,590,817.96 |
|
Financial Expenses |
[18,236,160.61] |
[16,379,818.03] |
[14,726,029.69] |
|
|
|
|
|
|
Profit / [Loss] Income Tax |
174,864.17 |
641,973.29 |
1,864,788.27 |
|
Income Tax |
[146,369.25] |
[207,059.75] |
[570,948.33] |
|
|
|
|
|
|
Net Profit / [Loss] |
28,494.92 |
434,913.53 |
1,293,839.94 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.68 |
0.64 |
0.61 |
|
QUICK RATIO |
TIMES |
0.23 |
0.23 |
0.27 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
0.86 |
0.70 |
0.74 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.55 |
0.47 |
0.53 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
186.77 |
166.09 |
116.45 |
|
INVENTORY TURNOVER |
TIMES |
1.95 |
2.20 |
3.13 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
75.03 |
80.31 |
82.89 |
|
RECEIVABLES TURNOVER |
TIMES |
4.87 |
4.54 |
4.40 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
42.99 |
43.98 |
55.62 |
|
CASH CONVERSION CYCLE |
DAYS |
218.81 |
202.42 |
143.73 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
82.40 |
76.36 |
79.85 |
|
SELLING & ADMINISTRATION |
% |
11.94 |
16.66 |
13.27 |
|
INTEREST |
% |
6.60 |
7.19 |
6.24 |
|
GROSS PROFIT MARGIN |
% |
18.66 |
24.23 |
20.59 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
6.67 |
7.47 |
7.03 |
|
NET PROFIT MARGIN |
% |
0.01 |
0.19 |
0.55 |
|
RETURN ON EQUITY |
% |
0.02 |
0.30 |
0.89 |
|
RETURN ON ASSET |
% |
0.01 |
0.09 |
0.29 |
|
EARNING PER SHARE |
BAHT |
0.02 |
0.26 |
0.76 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.71 |
0.70 |
0.68 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.47 |
2.30 |
2.09 |
|
TIME INTEREST EARNED |
TIMES |
1.01 |
1.04 |
1.13 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
21.26 |
(3.51) |
|
|
OPERATING PROFIT |
% |
8.16 |
2.60 |
|
|
NET PROFIT |
% |
(93.45) |
(66.39) |
|
|
FIXED ASSETS |
% |
(0.97) |
1.06 |
|
|
TOTAL ASSETS |
% |
5.02 |
7.18 |
|
ANNUAL GROWTH :
SATISFACTORY
An annual sales growth is 21.26%. Turnover has increased from THB
227,777,037.65 in 2011 to THB 276,211,764.91 in 2012. While net profit has
decreased from THB 434,913.53 in 2011 to THB 28,494.92 in 2012. And total
assets has increased from THB 480,506,709.16 in 2011 to THB 504,646,800.06 in
2012.
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
18.66 |
Impressive |
Industrial Average |
2.14 |
|
Net Profit Margin |
0.01 |
Deteriorated |
Industrial Average |
2.36 |
|
Return on Assets |
0.01 |
Deteriorated |
Industrial Average |
4.36 |
|
Return on Equity |
0.02 |
Deteriorated |
Industrial Average |
7.76 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues after accounting for
the cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The company’s figure is 18.66%. When compared with the industry
average, the ratio of the company was higher, indicated that company was more profitable
than the same industry.
Net Profit Margin is the indicator of the company's efficiency in that
net profit takes into consideration all expenses of the company. A low profit
margin indicates a low margin of safety, higher risk that a decline in sales
will erase profits and result in a net loss. The company's figure is 0.01%.
When compared with the industry average, the ratio of the company was lower.
Return on Assets measures how efficiently profits are being generated
from the assets employed in the business when compared with the ratios of firms
in a similar business. A low ratio in comparison with industry averages
indicates an inefficient use of business assets. When compared with the
industry average, it was lower, the company's figure is 0.01%.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. When compared with the
industry average, it was lower, the company's figure is 0.02%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
0.68 |
Risky |
Industrial Average |
2.01 |
|
Quick Ratio |
0.23 |
|
|
|
|
Cash Conversion Cycle |
218.81 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's
figure is 0.68 times in 2012, increased from 0.64 times, then the company may
not be efficiently using its current assets. When compared with the industry
average, the ratio of the company was lower.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 0.23 times in
2012, same figure
as 0.23 times in
2011, then the company has not enough current assets that presumably can
be quickly converted to cash for pay financial obligations.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 219 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.71 |
Acceptable |
Industrial Average |
0.43 |
|
Debt to Equity Ratio |
2.47 |
Risky |
Industrial Average |
0.77 |
|
Times Interest Earned |
1.01 |
Impressive |
Industrial Average |
- |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the shareholders
have committed. A lower the percentage means that the company is using less
leverage and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 1.01 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.71 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
0.86 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
0.55 |
Deteriorated |
Industrial Average |
1.84 |
|
Inventory Conversion Period |
186.77 |
|
|
|
|
Inventory Turnover |
1.95 |
Deteriorated |
Industrial Average |
4.34 |
|
Receivables Conversion Period |
75.03 |
|
|
|
|
Receivables Turnover |
4.87 |
Impressive |
Industrial Average |
4.21 |
|
Payables Conversion Period |
42.99 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.87 and 4.54 in
2012 and 2011 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2012
increased from 2011. This would suggest the company had good performance in the
management of its debt collections.
Inventory Turnover in Days Ratio indicates the liquidity of inventory.
It estimates the number of days that it will take to sell the current
inventory. Inventory is particularly sensitive to change in business
activities. The inventory turnover in days has increased from 166 days at the
end of 2011 to 187 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 2.2 times in year 2011 to 1.95 times
in year 2012.
The company's Total Asset Turnover is calculated as 0.55 times and 0.47
times in 2012 and 2011 respectively. This ratio is determined by dividing total
assets into total sales turnover. The ratio measures the activity of the assets
and the ability of the firm to generate sales through the use of the assets.
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.41 |
|
UK Pound |
1 |
Rs.90.74 |
|
Euro |
1 |
Rs.78.11 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.