MIRA INFORM REPORT

 

 

Report Date :

29.11.2013

 

IDENTIFICATION DETAILS

 

Name :

GCL PRIVATE LIMITED (w.e.f.02.09.2013)

 

 

Formerly Known As :

GCL INDIA PRIVATE LIMITED (w.e.f.28.07.1997)

 

GIRISH CIRCULAR LOOMS PRIVATE LIMITED

 

 

Registered Office :

A.419/420, 10th Main, 2nd Stage, Peenya Industrial Estate, Bangalore – 560058, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

03.04.1996

 

 

Com. Reg. No.:

08-020217

 

 

Capital Investment / Paid-up Capital :

Rs. 37.400 Millions

 

 

CIN No.:

[Company Identification No.]

U29263KA1996PTC020217

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

BLRG00521D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Circular Waving Machines.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 468000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a moderate track record.

 

The rating reflects stretched liquidity position of the company. On account of high working capital blockage owing to stretched receivable levels, as evidenced by negative free cash flows generated by the company and very high utilization of working capital limits.

 

However, trade relations are fair. Business is active. Payment terms are reported to be slow but correct.

 

The company can be considered for business dealings with some caution.

 

NOTES :

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

 

 

ECGC Country Risk Classification List – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDIAN ECONOMIC OVERVIEW

 

The current downturn provides an opportunity to push ahead with reforms to accelerate growth, says the latest India Development Update report released by the World Bank. The report says that the adverse effects of rupee depreciation are likely to be offset by the gains in the exports performance due to improved external competitiveness. Since May this year, the local currency has depreciated substantially and fell to a record level of Rs 68.85 to a dollar on August, 28.

 

A stagflation like situation appears to have arisen as inflation jumped to an eight month high of 6.46 % for the month of September. It is up from 6.10 % in August. Growth continues to be muted with factory output plunging to 0.6 % in August. Onion prices have risen nearly 300 % from last September. Vegetables cost nearly 90 % more than they did last year. Wake up to the economic contribution of slum dwellers. They contribute more than 7.5 % to the country’s gross domestic product, according to a recent study conducted in 50 top cities.

 

136000 estimated number of jobs created during the second quarter of the current financial year. 50000 estimated number of additional jobs in the field of corporate social responsibility in the coming years.

 

The International Finance Corporation expects to come out with its rupee linked bonds issue before the end of 2013 as a part of its plan to raise $ 1 billion. The Apple iPhone 5c (Rs 41900 for 16 GB variant) and 5s (Rs 53500 for 16GB variant) has been launched in India from 1st November.

 

The Land Acquisition Act to provide just and fair compensation to farmers will come into force from January 1 next year, said Rural Development Minister Jairam Ramesh. The Act replaces a 119 year old registration. The Securities and Exchange Board of India has approved the trading of currency futures on the Bombay Stock Exchange. The exchange plans to launch the currency futures platform with advanced trading technology by the end of November.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

Fund Based Limit: BB-

Rating Explanation

Moderate risk of default and high credit risk. 

Date

September 2012

 

 

Rating Agency Name

ICRA

Rating

Non Fund Based Limits: A4

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

September 2012

 

 

RBI DEFAULTERS’ LIST STATUS

 

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

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

LOCATIONS

 

Registered Office :

A.419/420, 10th Main, 2nd Stage, Peenya Industrial Estate, Bangalore – 560058, Karnataka, India

Tel. No.:

91-80-28362500 (8 lines)

Fax No.:

91-80-28362525

E-Mail :

gcl.blr@sm7.sril.in

marketingcoordinator@gclindia.com

Website :

http://www.gclindia.com

 

 

Regional Offices :

Located at:

 

·         Delhi

Kolkata

Mumbai

Ahmedabad

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Harish B Kamath

Designation :

Director

Address :

E-101, “Mangotree”, Townsend, Avalahalli, Yelahanka Hobli, Bangalore – 560064, Karnataka, India 

Date of Birth/Age :

11.11.1965

Date of Appointment :

03.04.1996

DIN No.:

00855083

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U29263KA1996PTC020217

GCL PRIVATE LIMITED

Director

03/04/1996

03/04/1996

Active

NO

2

U51909KA2007PTC041688

AMALTAS RETAIL PRIVATE LIMITED

Director

05/02/2007

05/02/2007

Active

NO

 

 

Name :

Mr. Kamath Girish Bhagirath

Designation :

Director

Address :

No. 25, “ Gurukiran”, 1st Main Road, NTI Layout, HIG Dollars Colony, RMV 2nd Stage, Bangalore – 560094, Karnataka, India 

Date of Birth/Age :

10.04.1971

Date of Appointment :

20.05.1996

DIN No.:

00855127

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U29263KA1996PTC020217

GCL PRIVATE LIMITED

Director

20/05/1996

20/05/1996

Active

NO

2

U21029KA2007PTC043888

CHIRANTANA EQUIPACK PRIVATE LIMITED

Director

17/09/2007

17/09/2007

Active

NO

 

 

Name :

Mrs. Sangeetha Harish Kamath

Designation :

Director

Address :

E-101, “Mangotree”, Townsend, Avalahalli, Yelahanka Hobli, Bangalore – 560064, Karnataka, India 

Date of Birth/Age :

03.09.1965

Date of Appointment :

02.01.2009

DIN No.:

01191520

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U51909KA2007PTC041688

AMALTAS RETAIL PRIVATE LIMITED

Director

05/02/2007

05/02/2007

Active

NO

2

U29263KA1996PTC020217

GCL PRIVATE LIMITED

Director

02/01/2009

02/01/2009

Active

NO

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2013

 

Names of Shareholders

 

No. of Shares

 

Harish B. Kamath

 

1345000

Girish B. Kamath

 

345000

Sangeetha H. Kamath

 

2050000

 

 

 

Total

 

 

3740000

 

 

AS ON 30.09.2013

 

Equity Share Breakup

Percentage of Holding

Category

 

Directors or relatives of directors

100.00

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Circular Waving Machines.

 

 

PRODUCTION STATUS (AS ON 31.03.2013)

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Circular Waving Machine

Nos.

NA

--

624

Tape Extrusion Plant

Nos.

NA

--

8

Conversion Machines

Nos.

NA

--

30

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

Canara Bank, Specialised SME Branch, 473d, 13th Cross, IV Phase, Peenya Industrial Area, Bangalore - 560058, Karnataka, India

 

 

Facilities :

 

SECURED LOANS

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Term Loan from Banks

39.439

57.343

Term Loan from Others

1.193

3.778

SHORT TERM BORROWINGS

 

 

Loans repayable on demand

99.880

105.092

 

 

 

Total

 

140.512

166.213

 

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

K.P. Rao and Company

Chartered Accountants

Address :

'Poornima', IInd Floor, 25, State Bank Road, Bangalore – 560001, Karnataka, India

Tel. No.:

91-80-25587385/ 25586814

Fax No.:

91-80-25594661

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

AAAFK7720M

 

 

CAPITAL STRUCTURE

 

AS ON 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

7,000,000

Equity Shares

Rs. 10/- each

Rs. 70.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3,740,000

Equity Shares

Rs. 10/- each

Rs. 37.400 Millions

 

 

 

 

 

 

AS ON 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

5,000,000

Equity Shares

Rs. 10/- each

Rs. 50.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3,740,000

Equity Shares

Rs. 10/- each

Rs. 37.400 Millions

 

 

 

 


 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2013

31.03.2012

31.03.2011

I.        EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

37.400

37.400

28.100

(b) Reserves & Surplus

79.522

70.942

74.642

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

116.922

108.342

102.742

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

40.632

61.121

36.964

(b) Deferred tax liabilities (Net)

19.857

18.528

14.614

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

12.223

12.823

0.000

Total Non-current Liabilities (3)

72.712

92.472

51.578

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

99.880

105.092

67.652

(b) Trade payables

153.273

125.509

0.000

(c) Other current liabilities

101.457

84.639

225.590

(d) Short-term provisions

4.150

2.365

9.361

Total Current Liabilities (4)

358.760

317.605

302.603

 

 

 

 

TOTAL

548.394

518.419

456.923

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

74.125

79.874

80.678

(ii) Intangible Assets

1.303

1.628

0.000

(iii) Capital work-in-progress

91.263

56.797

4.372

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.495

0.495

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

59.611

47.194

0.000

(e) Other Non-current assets

60.288

54.881

49.270

Total Non-Current Assets

287.085

240.869

134.320

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

140.997

165.054

170.990

(c) Trade receivables

87.351

46.623

53.549

(d) Cash and cash equivalents

5.123

9.104

3.594

(e) Short-term loans and advances

10.776

35.088

22.764

(f) Other current assets

17.062

21.681

71.706

Total Current Assets

261.309

277.550

322.603

 

 

 

 

TOTAL

548.394

518.419

456.923

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

TOTAL                                     (A)

647.934

572.584

675.320

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                     (B)

603.276

536.402

613.930

 

 

 

 

 

Less

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

44.658

36.182

61.390

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

23.221

19.974

13.803

 

 

 

 

 

 

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

21.437

16.208

47.587

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

11.272

11.572

11.592

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

10.165

4.636

35.995

 

 

 

 

 

Less

TAX                                                                  (H)

1.585

3.947

9.063

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

8.580

0.689

26.932

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

204.785

113.305

110.960

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Components and Spare Parts

9.946

8.073

4.396

 

 

Capital Goods

14.052

5.524

3.685

 

TOTAL IMPORTS

23.998

13.597

8.081

 

 

 

 

 

 

Earnings Per Share (Rs.)

2.29

0.18

9.58

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

PAT / Total Income

(%)

1.32

0.12

3.99

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

2.23

1.01

7.95

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.09

0.04

0.35

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.20

1.53

1.02

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.73

0.87

1.07

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Sr. No.

Check List by Info Agents

Available in Report

(Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

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

No

34]

External Agency Rating, if available

Yes

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

90198511

18/11/2004

4,000,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

2

90199777

18/11/2004

4,000,000.00

CANARA BANK

SPECIALISED SSI BRANCH, PEENYA INDUSTRIAL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

3

90198490

08/10/2004

12,000,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

4

90197871

24/07/2013 *

320,969,000.00

CANARA BANK

SPECIALISED SSI BRANCH, PEENYA INDUSTRIAL AREA, BANGALORE - 560058, KARNATAKA, INDIA

B80825664

5

90199398

27/07/2005 *

9,500,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

6

90197856

21/11/2000

1,019,700.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

7

90197617

10/12/1999 *

36,700,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

8

90197505

12/02/1999

12,282,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

9

90199191

12/02/1999

12,282,000.00

CANARA BANK

SPECIALISED SSI BRANCH, PEENYA INDUSTRIAL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

10

90197179

12/02/1999 *

9,600,000.00

CANARA BANK

SPE SSI BRANCH, PEENAYA INDL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

11

90198980

12/02/1999 *

9,600,000.00

CANARA BANK

SPECIALISED SSI BRANCH, PEENYA INDUSTRIAL AREA, BANGALORE - 560058, KARNATAKA, INDIA

-

12

90198911

31/07/1996

178,000.00

ANZ GRINDLAYS BANK

RAHEJA TOWERS, 26; A. G. ROAD, BANGALORE - 560001, KARNATAKA, INDIA

-

 

* Date of charge modification

 

 

OPERATIONAL REVIEW

 

The Company has earned total income of Rs. 647.934 Millions as against the previous year income of Rs. 572.584 Millions, which means there is an increase in the earnings of the company by 13.16%. The Directors are confident to increase the turnover of the Company during the current financial year.


FIXED ASSETS:

 

·         Land

Buildings

Plant and Machinery

Factory Equipments

Motor Vehicles

Furniture and Fixture

Office and Other Equipments

Electrical Installation

Computers

Tools and Dies

Technical Know-how


 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                              None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                          None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                          None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 62.39

UK Pound

1

Rs. 101.80

Euro

1

Rs. 84.75

 

 

INFORMATION DETAILS

 

Report Prepared by :

BVA

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

4

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

4

--CREDIT LINES

1~10

3

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTERS 

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

34

 

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

 

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

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

 


 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

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

 

Unlimited

71-85

Aa

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

 

Large

56-70

A

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

 

Fairly Large

41-55

Ba

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

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

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

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

 

 

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

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