MIRA INFORM REPORT
|
Report Date : |
17.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
NEYVELI LIGNITE CORPORATION LIMITED |
|
|
|
|
Registered
Office : |
“Neyveli House”, No. 135, Periyar E.V.R. High Road, Kilpauk, Chennai -
600010, Tamilnadu |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
14.11.1956 |
|
|
|
|
Com. Reg. No.: |
18-003507 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.16777.100 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L93090TN1956GOI003507 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CHEN05051E |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACN1121C |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in the activities of lignite mining and power
generation. |
|
|
|
|
No. of Employees
: |
17364 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (81) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 510000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exists |
|
|
|
|
Comments : |
Subject is a Government of India Enterprises. It is a well-established and a reputed company having fine track
record. Financial position of the company seem to be sound. The rating takes into consideration strong business risk profile,
healthy cash accruals, comfortable capital structure, strong liquidity and
robust debt protection metrics. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
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 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
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
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
AAA (Non-Convertible Bonds) |
|
Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
|
Date |
November 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
AAA (Terms Loan) |
|
Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
|
Date |
November 2013 |
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.
INFORMATION DENIED BY
Management Non Co-Operative (91-44-28364613)
LOCATIONS
|
Registered Office : |
“Neyveli House”, No. 135, Periyar E.V.R. High Road, Kilpauk, Chennai -
600010, Tamilnadu, India |
|
Tel. No.: |
91-44-28364617 |
|
Fax No.: |
91-44-28364625 |
|
E-Mail : |
|
|
Website : |
DIRECTORS
As on: 06.09.2013
|
Name : |
Mr. Bibinagar Surender Mohan |
|
Designation : |
Managing Director |
|
Address : |
J-18, Jawaharlal Nehru Salai, Block -16, Neyveli, Cuddalore – 607801,
Tamilnadu, India |
|
Date of Birth/Age : |
09.09.1955 |
|
Date of Appointment : |
01.07.2012 |
|
DIN No.: |
02133243 |
|
|
|
|
Name : |
Mr. Sarat Kumar Acharya |
|
Designation : |
Director |
|
Address : |
J-23, Jawaharlal Nehru Salai, Block-8, Neyveli, Cuddalore – 607801,
Tamilnadu, India |
|
Date of Birth/Age : |
15.07.1958 |
|
Date of Appointment : |
16.12.2010 |
|
DIN No.: |
03357603 |
|
|
|
|
Name : |
Mr. Rakesh Kumar |
|
Designation : |
Director |
|
Address : |
H-6, Jawaharlal Nehru Salai, Block-24, Neyveli, Cuddalore – 607801,
Tamilnadu, India |
|
Date of Birth/Age : |
28.12.1962 |
|
Date of Appointment : |
23.05.2012 |
|
DIN No.: |
02865335 |
|
|
|
|
Name : |
Mr. Subramanian Rajagopal |
|
Designation : |
Director |
|
Address : |
H-4, Jawaharlal Nehru Salai, Block-24, Neyveli, Cuddalore – 607801,
Tamilnadu, India |
|
Date of Birth/Age : |
01.09.1955 |
|
Date of Appointment : |
01.03.2013 |
|
DIN No.: |
06503785 |
|
|
|
|
Name : |
Mr. Sreedharan Ravindranath |
|
Designation : |
Director |
|
Address : |
H-5, Jawaharlal Nehru Salai, Block-24, Neyveli, Cuddalore – 607801,
Tamilnadu, India |
|
Date of Birth/Age : |
30.08.1954 |
|
Date of Appointment : |
23.04.2013 |
|
DIN No.: |
06568248 |
|
|
|
|
Name : |
Mr. Amarendra Kumar Dubey |
|
Designation : |
Director |
|
Address : |
CII/177, Satya Marg, Chanakyapuri, New Delhi – 110021, India |
|
Date of Birth/Age : |
01.01.1959 |
|
Date of Appointment : |
03.04.2013 |
|
DIN No.: |
02766755 |
|
|
|
|
Name : |
Mr. Ram Kumar Mishra |
|
Designation : |
Director |
|
Address : |
C-111, Ravindra Nagar Colony, Habisiguda, Hyderabad – 500007, Andhra
Pradesh, India |
|
Date of Birth/Age : |
02.08.1948 |
|
Date of Appointment : |
24.03.2011 |
|
DIN No.: |
01878204 |
|
|
|
|
Name : |
Mr. Sanjay Govind Dhande |
|
Designation : |
Additional Director |
|
Address : |
Plot No. 58, S. No. 37/3, NCL Housing Society, Pashan, Pune – 411008,
Maharashtra, India |
|
Date of Birth/Age : |
14.02.1948 |
|
Date of Appointment : |
06.09.2013 |
|
DIN No.: |
03124589 |
|
|
|
|
Name : |
Mr. Sankar Viswanathan Chandrasekarapuram |
|
Designation : |
Additional Director |
|
Address : |
2/226, II Street, Karpagambal Nagar, Kottivakkam, Chennai – 600041,
Tamilnadu, India |
|
Date of Birth/Age : |
02.07.1956 |
|
Date of Appointment : |
18.12.2013 |
|
DIN No.: |
00703204 |
|
|
|
|
Name : |
Mr. Chandrashekar Balakrishnan |
|
Designation : |
Additional Director |
|
Address : |
C-II/36, Moti Bagh, New Delhi – 110021, India |
|
Date of Birth/Age : |
04.08.1951 |
|
Date of Appointment : |
23.12.2013 |
|
DIN No.: |
00040416 |
KEY EXECUTIVES
|
Name : |
Mr. K. Viswanath |
|
Designation : |
Company Secretary |
|
Address : |
E-31, Bharathi Dasan Salai, Block – 9,
Neyveli Town Ship, Cuddalore – 607801, Tamilnadu, India |
|
Date of Birth/Age : |
05.05.1966 |
|
Date of Appointment : |
01.06.2000 |
|
PAN No.: |
AACPV0121F |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 31.03.2014
|
Category of Shareholders |
Total
No. of Shares |
Total
Shareholding as a % of total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
(1) Indian |
|
|
|
|
1509938640 |
90.00 |
|
|
1509938640 |
90.00 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
1509938640 |
90.00 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
268464 |
0.02 |
|
|
1797609 |
0.11 |
|
|
59701260 |
3.56 |
|
|
77883497 |
4.64 |
|
|
514272 |
0.03 |
|
|
140165102 |
8.35 |
|
|
|
|
|
|
2886921 |
0.17 |
|
|
|
|
|
|
20954608 |
1.25 |
|
|
2115649 |
0.13 |
|
|
1648680 |
0.10 |
|
|
329372 |
0.02 |
|
|
59331 |
0.00 |
|
|
1252944 |
0.07 |
|
|
5933 |
0.00 |
|
|
1100 |
0.00 |
|
|
27605858 |
1.65 |
|
Total Public
shareholding (B) |
167770960 |
10.00 |
|
Total (A)+(B) |
1677709600 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
1677709600 |
0.00 |
Equity Share Break up (Percentage of Total Equity)
As on: 06.09.2013
|
Category |
|
Percentage |
|
|
|
|
|
Government [Central and State] |
|
90.00 |
|
Government companies |
|
3.56 |
|
Public financial companies |
|
4.70 |
|
Nationalised or other banks |
|
0.08 |
|
Mutual funds |
|
0.03 |
|
Foreign holdings (Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident indian(s) or Overseas corporate bodies or Others) |
|
0.14 |
|
Bodies corporate (not mentioned above) |
|
0.17 |
|
Other top fifty (50) shareholders (other than listed above) |
|
0.08 |
|
Other |
|
1.24 |
|
Total
|
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the activities of lignite mining and power
generation. |
GENERAL INFORMATION
|
No. of Employees : |
17364 (Approximately) |
||||||||||||||||||||||||
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|
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|
Bankers : |
|
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking Relations
: |
-- |
|
|
|
|
Statutory Auditors
1 : |
|
|
Name : |
L.U. Krishnan and Company Chartered Accountants |
|
Address : |
Sam’s Nathaneal Tower, 3-1 West Club Road, Shenoy Nagar, Chennai – 600030, Tamilnadu, India |
|
|
|
|
Statutory Auditors
2 : |
|
|
Name : |
Sreedhar, Suresh and Rajagopalan Chartered Accountants |
|
Address : |
3B, No.26, Green Haven, 3rd Main Road, Gandhi Nagar, Adyar, Chennai – 600020, Tamilnadu, India |
|
|
|
|
Branch Auditors : |
|
|
Name : |
Surender K Goyal and Company Chartered Accountants |
|
Address : |
Nawal Niwas, Behind Roadways Depot, Sardar Shahar, Rajasthan – 331403, India |
|
|
|
|
Cost Auditors : |
|
|
Name : |
M. Krishnaswamy and Associates Cost Accountants |
|
Address : |
New No.4, K.V. Colony, West Mambalam, Chennai – 600033, Tamilnadu, India |
|
Sister Concern : |
|
|
|
|
CAPITAL STRUCTURE
As on: 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2000000000 |
Equity Shares |
Rs.10/- each |
Rs.20000.000
Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1677709600 |
Equity Shares |
Rs.10/- each |
Rs.16777.100 Millions |
|
|
|
|
|
Note: a) 1,56,96,39,900 (previous year
1,56,96,39,900) Equity Shares being 93.56% (previous year 93.56%) held by the
President of India.
b) No new shares were issued during the
current year and previous year. Hence there is no change in number of shares
outstanding as at the beginning and as at the end of the years.
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 |
16777.100 |
16777.100 |
16777.100 |
|
(b) Reserves & Surplus |
112736.200 |
103621.800 |
94968.200 |
|
(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) |
129513.300 |
120398.900 |
111745.300 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
31266.100 |
34221.300 |
32923.500 |
|
(b) Deferred tax liabilities
(Net) |
8554.400 |
6141.500 |
5793.800 |
|
(c) Other long term
liabilities |
2214.500 |
1988.500 |
2948.300 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Non-current Liabilities (3) |
42035.000 |
42351.300 |
41665.600 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade payables |
4311.300 |
4974.900 |
14003.800 |
|
(c) Other current liabilities |
13705.200 |
14649.700 |
9505.900 |
|
(d) Short-term provisions |
5557.900 |
7984.900 |
6499.400 |
|
Total
Current Liabilities (4) |
23574.400 |
27609.500 |
30009.100 |
|
|
|
|
|
|
TOTAL |
195122.700 |
190359.700 |
183420.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
58138.200 |
74030.700 |
59371.900 |
|
(ii) Intangible Assets |
8215.400 |
8506.800 |
8586.300 |
|
(iii) Capital work-in-progress |
31203.100 |
13576.300 |
25938.600 |
|
(iv) Intangible assets under
development |
261.800 |
365.000 |
185.800 |
|
(b) Non-current Investments |
13292.000 |
10938.500 |
8615.500 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
1618.100 |
1218.500 |
1585.200 |
|
(e) Other Non-current assets |
130.700 |
238.300 |
430.800 |
|
Total
Non-Current Assets |
112859.300 |
108874.100 |
104714.100 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
1032.000 |
1032.000 |
1032.000 |
|
(b) Inventories |
6837.200 |
5061.900 |
4917.100 |
|
(c) Trade receivables |
38002.700 |
36470.300 |
22023.900 |
|
(d) Cash and cash equivalents |
28666.400 |
33291.000 |
44207.300 |
|
(e) Short-term loans and
advances |
6102.700 |
3872.500 |
4750.800 |
|
(f) Other current assets |
1622.400 |
1757.900 |
1774.800 |
|
Total
Current Assets |
82263.400 |
81485.600 |
78705.900 |
|
|
|
|
|
|
TOTAL |
195122.700 |
190359.700 |
183420.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
SALES |
|
|
|
|
|
Income |
55900.700 |
48668.500 |
42959.500 |
|
|
Other Income |
5829.500 |
7483.600 |
5716.900 |
|
|
TOTAL
(A) |
61730.200 |
56152.100 |
48676.400 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(721.800) |
(28.800) |
(66.400) |
|
|
Employees benefits expense |
19524.200 |
16982.000 |
14007.900 |
|
|
Other expenses |
16870.000 |
14750.300 |
13197.600 |
|
|
Prior period item |
355.500 |
(25.600) |
34.900 |
|
|
Expenses capitalized |
(217.800) |
(380.400) |
(429.300) |
|
|
Exceptional item |
(1613.400) |
(781.500) |
(170.200) |
|
|
TOTAL (B) |
34196.700 |
30516.000 |
26574.500 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION
(C) |
27533.500 |
25636.100 |
22101.900 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES
(D) |
1933.900 |
1495.400 |
1127.700 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
25599.600 |
24140.700 |
20974.200 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
5123.100 |
4301.800 |
4128.700 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
20476.500 |
19838.900 |
16845.500 |
|
|
|
|
|
|
|
Less |
TAX
(H) |
5879.000 |
5725.600 |
3862.200 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
14597.500 |
14113.300 |
12983.300 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Capital Goods |
62.800 |
65.600 |
398.400 |
|
|
Components and Stores parts |
604.100 |
230.100 |
287.200 |
|
|
TOTAL
IMPORTS |
666.900 |
295.700 |
685.600 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
8.70 |
8.41 |
7.74 |
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
30.09.2013 |
31.12.2013 |
|
|
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
15595.700 |
13828.200 |
13149.500 |
|
Total Expenditure |
9991.700 |
9491.700 |
9778.800 |
|
PBIDT (Excl OI) |
5604.000 |
4336.500 |
3370.700 |
|
Other Income |
1096.500 |
1331.800 |
5534.100 |
|
Operating Profit |
6700.500 |
5668.300 |
8904.800 |
|
Interest |
503.600 |
453.800 |
424.500 |
|
Exceptional Items |
(645.700) |
(121.900) |
37.900 |
|
PBDT |
5551.200 |
5092.600 |
8518.200 |
|
Depreciation |
1582.100 |
1578.600 |
1182.800 |
|
Profit Before Tax |
3969.100 |
3514.000 |
7335.400 |
|
Tax |
1184.800 |
1114.000 |
2445.200 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
2784.300 |
2400.000 |
4890.200 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
2784.300 |
2400.000 |
4890.200 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
23.65 |
25.13 |
26.67 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
36.63 |
40.76 |
39.21 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.62 |
11.99 |
11.33 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.15 |
0.16 |
0.15 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.24 |
0.28 |
0.29 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.49 |
2.95 |
2.62 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
16777.100 |
16777.100 |
16777.100 |
|
Reserves & Surplus |
94968.200 |
103621.800 |
112736.200 |
|
Net
worth |
111745.300 |
120398.900 |
129513.300 |
|
|
|
|
|
|
long-term borrowings |
32923.500 |
34221.300 |
31266.100 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
32923.500 |
34221.300 |
31266.100 |
|
Debt/Equity
ratio |
0.295 |
0.284 |
0.241 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
42959.500 |
48668.500 |
55900.700 |
|
|
|
13.289 |
14.860 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
42959.500 |
48668.500 |
55900.700 |
|
Profit |
12983.300 |
14113.300 |
14597.500 |
|
|
30.22% |
29.00% |
26.11% |
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 |
No |
|
8] |
No. of employees |
Yes |
|
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 |
Yes |
|
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 |
|
LITIGATION
DETAILS |
|
|
CHENNAI COURT CASE STATUS INFORMATION SYSTEM |
|
|
Case Status: |
Pending |
|
Status Of: |
TAX CASE APPEAL |
|
Case No.: |
95 |
|
Year : |
2011 |
|
Petitioner : |
COMMISSIONER OF INCOME TAX-LTU |
|
Respondent : |
M/S.NEYVELI LIGNITE CORPN.LTD. |
|
Pet's Advocate : |
M/S. K. SUBRAMANIAM |
|
Res's Advocate : |
M/S.SUBBARAYA AIYAR |
|
Category : |
NO CATEGORY MENTIONED |
|
|
Last Listed on: No Date Mentioned |
|
Case Updated on : |
Feb 21 2014 |
UNSECURED LOAN
(Rs.
In Millions)
|
Particular |
As on 31.03.2013 |
As on 31.03.2012 |
|
LONG TERM BORROWINGS |
|
|
|
Foreign Currency
loan from KfW-Germany## |
|
|
|
9.86 Million Euro (10.30 Million Euro) - I |
686.200 |
704.200 |
|
65.86 Million Euro (68.66 Million Euro) - II |
4579.900 |
4692.100 |
|
|
|
|
|
Total |
5266.100 |
5396.300 |
Notes: ## Guaranteed by the Government of India.57
SEGMENT-WISE
PERFORMANCE
Mines
The aggregate installed capacity of all lignite mines stands at 30.6 MTPA as on 31st March, 2013.The Company has once again achieved the highest ever performance in Overburden (OB) removal and lignite production during the year 2012-13. The aggregate OB removal and lignite production during the year were 1674.85 LM3 and 262.23 LT, respectively compared to 1651.47 LM3 and 245.90 LT achieved during the year 2011-12. The OB removal and lignite production during the year 2012-13 registered a growth of 1.42% and 6.64% respectively when compared to the previous year 2011-12.
The details of Mine-wise performance are as under:
Mine-I (including
expansion) - 10.5 MTPA
The Overburden (OB) removal from this Mine during the year 2012-13 was 502.15 LM3 as against 528.17 LM3 in 2011-12. The lower performance of OB removal during the year 2012-13 when compared to the previous year was on account of works carried out in system equipment in the year. Further, because of reduction in lignite seam thickness frequent conveyor re-arrangement was carried out resulting downtime of the system. Lignite production during the year was 79.60 LT as compared to 77.34 LT registering a growth of 2.92% over the previous year 2011-12. Further, in order to meet the lignite requirement of linked power stations TPS-I and TPS-I Expn., additional quantity of 13.80 LT was transferred from other mines.
Mine-IA - 3.0 MTPA
The OB removal from this Mine during the year 2012-13 was 281.81 LM3 as against 215.10 LM3 in 2011-12, registering a growth of 31.01%. Lignite production during\ the year 2012-13 was 29.40 LT compared to 28.77 LT during 2011-12, registering a growth of 2.19%.
As Members may be aware, the Thermal Power Station – I (TPS-I) is in operation since 1962 and the Government of India (GOI) has sanctioned for implementation of Neyveli New Thermal Power Station (NNTPS) (1000 MW) project as a replacement to TPS-I. Presently, Mine-I (including expansion) with an installed capacity of 10.5 MTPA feeds TPS-I (600 MW) and TPS-I Expn. (420 MW).
The Mine-IA of 3.0 MTPA capacity caters to the requirement of an Independent Power Producer and also meets the requirement of lignite sales.
Taking into account the higher capacity of NNTPS Project, the proposal for re-structuring of Mine-I and Mine-IA by adding contiguous lignite blocks so as to raise the aggregate mining capacity to 15.0 MTPA, has been approved by the Board of Directors of the Company. The estimated cost for the above re-structuring of Mines is Rs.14581.700 Millions.
Mine-II (including
expansion) - 15.0 MTPA
This Mine is linked to TPS-II and TPS-II Expansion project. The OB removal from this Mine was 813.36 LM3 as against 828.05 LM3 during the year 2011-12. The lower performance in OB removal during 2012-13 when compared to the previous year was on account of seepage problems encountered. The Lignite production during the year was 139.44 LT as against 130.96 LT during 2011-12 and this was the highest for any year since inception. The lignite production from this Mine registered a growth of 6.48% over the previous year 2011-12.
Barsingsar Mine - 2.1
MTPA
During the year 2012-13, overburden removal and lignite production were 77.53 LM3 and 13.79 LT respectively, as against 80.15 LM3 and 8.83 LT, respectively, during the previous year 2011-12. Because of non-stabilisation of operation of the units in the Thermal Power Plant during the year 2012-13, the lignite exposed in earlier years could not be mined out fully and utilised in the power plant and hence the overburden removal was restricted during the year. Lignite production from this mine at 13.79 LT achieved during the year 2012-13 was the highest for any year since inception.
Power
The present installed capacity of thermal power plants of the Company is 2740 MW. The Company has once again achieved the highest power generation and export during the year 2012-13. The aggregate power generation during the year was 19902.34 MU as compared to 18789.44 MU generated during the year 2011-12. The aggregate power export during the year 2012-13 was 16841.51 MU as against 15810.67 MU registered during the year 2011-12. The power generation and export during 2012-13 registered a growth of 5.92% and 6.52% respectively over the previous year 2011-12.
Thermal Power Station
- I (600 MW)
During the year 2012-13, power generation from this plant was 4035.43 MU compared to 3987.85 MU in the year 2011-12, registering a growth of 1.19%. The power export from this plant during the year was 3215.98 MU as against 3171.82 MU achieved during the year 2011-12, recording a growth of 1.39%. The performance of this plant needs to be specially recorded as it is one of the oldest power plants in the Country and still in operation. This plant achieved a Plant Load Factor (PLF) of 76.77% during the year 2012-13.
Thermal Power Station
- I Expansion (420 MW)
The power generation and the export from this Plant during the year 2012-13 were the highest achieved in any year since inception. During the year 2012-13 power generation and export from this plant were 3319.77 MU and 3035.58 MU respectively compared to 3042.68 MU and 2809.97 MU respectively achieved in 2011-12. This plant registered a growth of 9.11% in power generation and 8.03% in export of power, over the previous year 2011-12. This plant achieved a PLF of 90.23% during the year 2012-13.
Thermal Power Station
- II (1470 MW)
Power generation during the year 2012-13 was 11238.09 MU as against 11087.65 MU in the year 2011-12, registering a growth of 1.36% and the export during the year was 9455.81 MU compared to 9278.76 MU in the year 2011-12, registering a growth of 1.91%. The power generation and the export from this power station during the year were the highest in any year since inception. This plant achieved a PLF of 87.27% during the year 2012-13.
Barsingsar Thermal
Power Station (250 MW)
During the year 2012-13, power generation and export from this plant were 1280.85 MU and 1114.33 MU respectively compared to 617.68 MU and 510.79 MU respectively achieved in 2011-12. This was the first full year operation for both the Units.
MoU Rating for the
year 2011-12
The Directors have pleasure to share with the Members that the Company has achieved ‘Excellent’ rating for its performance during the year 2011-12 in terms of the Memorandum of Understanding (MoU) entered into with the Ministry of Coal as per guidelines.
Projects under
construction/implementation
Thermal Power
Station-II Expansion (2x250 MW)
Thermal Power Station-II Expansion project linked to Mine-II Expansion is under implementation for expanding the capacity of TPS-II from 1470 MW to 1970 MW. The project was scheduled to be commissioned during the year 2009. Besides initial delay in start of engineering and finalisation of civil and erection sub-contractors for boiler island and power house and slow progress of work by the Main Plant Package contractor, the prolonged delay was also on account of the fact that there were several teething problems during commissioning which had to be overcome.
During the year Unit-I was synchronised again in November 2012 and in-firm power of 28.20 MU was generated and 19.81 MU was exported. The operation of the unit could not be sustained on account of failures in refractory, coil punctures and failure of Fluidized Bed Heat Exchanger (FBHE) coil supporting arrangements. BHEL, the Main Plant Package Contractor along with M/s. Lentjes, the process developer for the CFBC technology, has reviewed all the critical issues causing repeated failure of FBHE coil supports and has suggested for modification. Implementation of the project by BHEL has also been taken up with the MoU Taskforce of the Ministry of Heavy Industries. BHEL has given a commitment to the Taskforce for commissioning of Unit-I by December 2013 and Unit-II by Jan.2014. However, BHEL subsequently assured to expedite the works and furnished a schedule to commission Unit-I in Sep.2013 and to take up the FBHE modification. Refractory dismantling work in FBHE of Unit-I has commenced to facilitate coil removal and it is nearing completion. Tube cutting works are in progress while modification and re-erection of FBHE coil in all the four FBHE of Unit-I is to be carried out. The works are being closely followed up with periodic review with BHEL and are also reviewed periodically by the Ministry of Coal and other agencies of GOI.
Approval has been accorded by the Board of Directors in April 2012 for the second Revised Cost Estimate of st Rs.30275.900 Millions for this project. The cumulative expenditure incurred up to 31 March, 2013 was Rs.26542.200 Millions.
Neyveli New Thermal
Power Project (2x500 MW)
Government of India (GOI) has sanctioned the Neyveli New Thermal Power Project (1000 MW) at a capital cost of Rs.59071.100 Millions in June 2011 with a commissioning schedule of 48 months and 54 months for Unit-I and II respectively, from the date of sanction. Two units of 500 MW each have been proposed to be set up as a replacement of the existing 600 MW TPS-I which has served for more than 50 years. This power station will adopt
pulverised fuel firing technology. Tenders have been floated for Main Plant Packages and Balance of Plant Package and evaluation of the same is in progress. The cumulative expenditure incurred up to 31st March, 2013 was Rs.280.000 Millions.
Restructuring of
Mines
Members may be aware that the existing TPS-I of 600 MW capacity at Neyveli is continuously in operation since 1962 and it has been decided by the Board of Directors to phase out the operation of the Units and to set up a 1000 MW thermal power plant at Neyveli viz., Neyveli New Thermal Power Station (NNTPS) in its place. As stated earlier, in order to meet the lignite requirement of NNTPS, the Board of Directors has accorded approval for restructuring of Mine-I (including Mine-I Expn.) from 10.5 to 8.0 MTPA and expansion of Mine-IA from 3.0 to 7.0 MTPA, at an aggregate estimated cost of Rs.14581.700 Millions.
Wind (50 MW) and Solar
(25 MW) Power Project
In order to harness green energy, the Company has proposed to enter into wind and solar based power generation. The proposed wind power project capacity is 50 MW and the estimated cost is Rs.3647.500 Millions. Tender has been floated for setting up of the above wind farm and the evaluation of the same is in process. In the first phase, a 10 MW capacity solar power plant is proposed to be set up at Neyveli at an estimated cost of Rs.850.000 Millions and as an expansion another 15 MW project will be set up later. Setting up of a 10MW solar power plant at Barsingsar is also on the anvil.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
Industry Structure
and Development
Power
India is the world's fifth largest electricity producer after the U.S., China, Japan and Russia. The rising standards of living of people in urban and rural India consequent to higher economic growth have led to a rise in power consumption. Electricity demand in India is growing at a significant rate and there is a need to add enough electric capacity to bridge the demand - supply gap. The Government of India through its various policy decisions in the last few decades has put this agenda on the priority list and has come out with more policy initiatives such as National Electricity Policy, Ultra Mega Power Project Policy, Tariff Policy etc., with an objective to bring in more capacity addition.
Almost 68% of the Country’s installed capacity is based on coal followed by hydro at 18% and the balance from renewable energy sources and others. Growing environmental concerns have created interests in renewable energy sources and in order to harness green power to have sustainable growth, the GOI has come out with more incentive schemes to encourage power production from new and renewable sources of energy. The GOI has also created the National Clean Energy Fund (NCEF) with a main aim to fund research and innovative projects in clean energy technologies and such projects/ scheme relating to innovative methods to adapt clean energy/ technology and R and D are eligible for funding under NCEF. The Jawaharlal Nehru National Solar Mission launched by the GOI has set the ambitious target of deploying 20,000 MW of grid connected solar power by 2022. This objective of the Mission is to reduce the cost of solar power generation in the Country through (i) long term policy (ii) large scale deployment goals (iii) aggressive R and and (iv) domestic production of critical raw materials, components and products, so as to make India a global leader in solar energy.
Demand and Production
Energy is essential for the economic growth and development of a Country and is recognised as a ‘strategic commodity’. Any uncertainty in availability of energy threatens the economy of any Country. XII five year plan envisages that the total energy requirement to accelerate from 5.1% per year in the XI Plan to 5.7% per year in the XII Plan and 5.4% per year in the XIII Plan. The share of coal and lignite in commercial energy production is projected to be 67.52% in the terminal year (2016 - 17) of XII Plan and 66.82% in the terminal year (2021-22) of XIII Plan. The supply from renewable energy sources is expected to increase rapidly from 24,503 MW by the end of the XI Plan to 54,503 MW by the end of the XII Plan and 99,617 MW by the end of XIII Plan.
During the year 2012-13 a capacity addition of 2.67 Giga Watt (GW) of power has been achieved in the Country. The total All-India installed capacity as on 31st March, 2013 is 223.36 GW and out of that thermal power generation accounts for 151.53 GW, Nuclear 4.80 GW, Hydro 39.49 GW and the Renewable Energy Sources (RES) 27.54 GW. RES includes small hydro projects, biomass power, wind energy and solar power.
Coal and Lignite
Coal and Lignite is continuing with its dominant role in the commercial energy spectrum of India. Consequent to the limited availability of other conventional sources of energy, coal and lignite have become the best source of energy and particularly the lignite as a fuel for generation of power in the southern part of the Country.
As per Geological Survey of India (GSI), the present geological reserves of Coal in India as on 01.04.2013 was 298.91 BT for coal seams of 0.9 metre and above and upto a depth of 1200 metre. The proved category is 123.18 BT and the indicated category is 142.63 BT and the remaining 33.10 BT is of inferred category. As per the provisional coal statistics published by Coal Controller’s Organisation under Ministry of Coal, the total coal extracted since 1950 upto 2012-13 is around 11.97 BT.
In India the lignite reserves are available in the States of Tamilnadu, Rajasthan, Gujarat, Jammu and Kashmir, Paschim Banga, Kerala and Union Territory of Puducherry. The Company as the nodal agency for lignite exploration and exploitation schemes in the Country, is involved in assessing and evaluating the reported occurrence of lignite besides locating new deposits. In addition GSI, MECL and State Government Departments are also carrying out lignite explorations.
Outlook
The total power generation capacity of the Company including TPS-II Expansion project under construction in Neyveli is 3240 MW. The present lignite mining capacity of the Company is 30.6 MTPA. Neyveli New Thermal Power Project (1000 MW) which is a replacement of the existing TPS-I (600 MW), is under implementation. Besides the above projects, green energy projects viz., Wind Power project (50 MW) and Solar Power project 10 MW) are also under implementation. Taking into account the other projects under consideration viz., Bithnok Power Project (250 MW), Barsingsar Extn. Power Project (250 MW), Sirkali Coastal Power Project (4000 MW), the total power generation would increase to 8200 MW by the end of XII/XIII Plan. The proposed Mine projects in Bithnok, Hadla and Palana blocks including Devangudi Block and after re-structuring of Mines the total capacity would increase to 38.35 MTPA during the XIII Plan period.
Recently, the Government of India had invited applications from State Government/ Government Companies for allotment of coal blocks. The Company has been allocated Jilga-Barpali coal block in the State of Chhattisgarh for its proposed Sirkali Power Project. In respect of JV Ghatampur Power Project implemented through the Subsidiary Company viz., Neyveli Uttar Pradesh Power Limited, Pachwara-South Coal Block in the State of Jharkhand has been allocated. The Company has also initiated for acquisition of coal assets abroad for which an Expression of Interest has been floated and the offers received are under evaluation. Acquisition of coal assets abroad would enable the Company to fulfil the conditions prescribed by CEA with regard to use of imported coal through blending with domestic coal in the ratio of 30:70.
As Members may be aware, the Company had earlier approached Ministry of Power through Ministry of Coal for exemption of lignite based power projects from tariff based competitive bidding route. The reason for seeking such exemption was that the lignite based power projects require higher gestation period as well as higher capital because of its low heating value and therefore the tariff of a lignite based power project cannot compete with a coal based power project of equivalent capacity.
In this regard, Ministry of Power has advised to take up lignite based power projects under case-II of the competitive bidding. Under Case-II, the procurer of power specifies location specific project with specific fuel allocation such as captive mine. Lignite based power project can be set up through this mechanism only when such bids are invited by a party who specifying that power should be generated using lignite available at the identified location. Under these circumstances setting up of any lignite based power plant is possible only when the intending procurer invites bids under the above category. In view of the above, the Ministry of Coal has again been addressed to take up with the Ministry of Power to accord exemption to Lignite based Thermal Power
Projects.
JV projects
The Tuticorin Thermal Power Project (1000 MW) under implementation by NLC Tamilnadu Power Limited, the Subsidiary Company, is anticipated to be commissioned during the year 2013-14. Obtaining GOI sanction for implementation of the Ghatampur Thermal Power Project (1980 MW) through the NUPPL, the subsidiary Company is in process. This project is anticipated to be commissioned during XII/XIII Plan. The Company is also entitled to 15% share of the total capacity (20.0 MTPA) of coal mined out by MNH Shakti Limited, the JV project.
FIXED ASSETS
Tangible Assets
- Land
- Roads
- Buildings
- Elec. Installations
- Water Supply and Drainage
- Plant and Machinery
- Furniture and Equipments
- Vehicles
Intangible Assets
- Software
- Mine
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.60.23 |
|
|
1 |
Rs.100.79 |
|
Euro |
1 |
Rs.83.29 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
VRN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
81 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.