MIRA
INFORM REPORT
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Report Date : |
18.08.2014 |
IDENTIFICATION DETAILS
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Name : |
MODERN
HARDWARE CENTRE |
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Registered Office : |
# 43, Abdul Jabbar Mawatha, Colombo-12 |
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Country : |
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Date of Incorporation : |
1975 |
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Com. Reg. No.: |
W 448 |
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Legal Form : |
Partnership
Company (In Operation) |
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Line of Business : |
Trader
and Importer of Hardware items |
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No. of Employees |
Approximately
50 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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Sri Lanka |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
SRI LANKA - ECONOMIC OVERVIEW
Sri Lanka continues to experience strong economic growth
following the end of the 26-year conflict with the Liberation Tigers of Tamil Eelam.
The government has been pursuing large-scale reconstruction and development
projects in its efforts to spur growth in war-torn and disadvantaged areas,
develop small and medium enterprises and increase agricultural productivity.
The government's high debt payments and bloated civil service have contributed
to historically high budget deficits, but fiscal consolidation efforts and
strong GDP growth in recent years have helped bring down the government's
fiscal deficit. However, low tax revenues are a major concern. The 2008-09
global financial crisis and recession exposed Sri Lanka's economic
vulnerabilities and nearly caused a balance of payments crisis. Agriculture
slowed due to a drought and weak global demand affected exports and trade. In
early 2012, Sri Lanka floated the rupee, resulting in a sharp depreciation, and
took steps to curb imports. A large trade deficit remains a concern, but strong
remittances from Sri Lankan workers abroad help offset the trade deficit.
Government debt of about 80% of GDP remains among the highest in emerging
markets.
|
Source
: CIA |
GENERAL - Basic
information at a glance
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a. |
Name of Subject of
Inquiry |
: |
MODERN HARDWARE CENTRE |
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b. |
Legal Form & Status |
: |
Partnership Company (In
Operation) |
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c. |
Managing Partner |
: |
S. Shanmuganathan |
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S. Kumar |
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d. |
Primary Line of Business |
: |
Trader and Importer of
Hardware items |
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e. |
Place of Business |
: |
# 43, Abdul Jabbar
Mawatha, Colombo-12, Sri Lanka. Tel. No: (00 94 11) 243 9280 / 243 5468 (Auto Line) / 243 6537
/ 232 8614 Fax No: (00 94 11) 243 1890 E-mail : shan@modernhardware.net / modern43@sltnet.lk |
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f. |
No. of Employees |
: |
Approximately 50 |
COMPANY DETAILS - Registration and Shareholder Details
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a. |
Registration No |
: |
W 448 |
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b. |
Year of Registration |
: |
1975 |
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c. |
Registered Office |
: |
No.43, Abdul Jabbar
Mawatha, Colombo-12 |
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d. |
Partners |
: |
S. Kumar |
Managing Partner |
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S. Shanmuganathan |
Managing Partner |
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K. Suppaiah |
Partner |
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e. |
Auditors |
: |
Gajma & Company |
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f. |
Company Secretaries |
: |
Not Applicable for
Partnership Companies |
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g. |
Bankers |
: |
Hatton National Bank,
Sampath Bank |
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h. |
Importer of |
: |
Hardware items |
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I |
Country |
: |
India, Asia, Europe,
China, Malaysia, Korea |
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j. |
Terms : |
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Selling : |
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Cash, Credit |
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Purchasing : |
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Cash, Credit |
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FINANCIAL
DETAILS - Most recent available Financial Information
The company has declined to provide
information on its finances, without the details of the end user of the
enquiry.
Note:
(Based on the corporate
laws of Sri Lanka, legal entities which are Private Company with Limited Liability is not required to make
public disclosure of their annual financials. Therefore no financials are
available for this entity)
Current
Investigation
History.
Company Logo
The Subject Company
MODERN HARDWARE CENTRE is a partnership company incorporated in 1975 under
registration number W 448.
Note:
The
Proprietorship/Partnership companies are being registered at the Provincial Registrar
of Companies and when the owner refuses to provide details such as Registration
number, date of registration, auditors etc., it is not possible to obtain those
details from the Registry.
Location.
The Subject Company is
located at the client # 43, Abdul Jabbar Mawatha,
Colombo-12, a prominent
place for hardware business.
Operational Details.
General 
The subject company primary
line of business is Importers and Distributors of Hardware Items.
Products
All kinds of Steel such as
MS Plates, H Iron, Channel Iron, Flat Iron, MS Angles and MS/GI Pipes, Seamless
SHD 40, SHD 80 etc.
Import Countries
India, Thailand, Korea,
Malaysia, Taiwan, UK, Europe and China
No of Employees
Approximately 50
Financial
Data
The subject company has
declined to provide information on its finances without knowing the identity of
the end user of the enquiry.
Note:
Based on the corporate laws of Sri Lanka,
legal entities which are Private Company with
Limited Liability is not required to make public disclosure of their
annual financials. Therefore no financials are available for this entity
General
Comments
When the Subject Company
was contacted they were polite in providing the basic information given in this
report, however they were reluctant to provide financial information that would
have been useful to enhance this report, without knowing the identity of the
end user of the enquiry.
Trade
references
The subject company did not
provide any trade reference
Credit
Recommendations
Since no financial
information has been forthcoming from the company, it is not possible to
comment on the merits or otherwise of the company.
No computerised data bases
exist to make checks whether the partners or the company has any legal action
or lawsuit initiated against any of them but informal (but not in-depth) checks
do not indicate any such cases in the public knowledge.
INFORMATION PARTED BY
|
Name : |
Mr. S.
Shanmuganathan |
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Designation : |
Partner |
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Contact No.: |
91-9411-2439280 |
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Date : |
14.08.2014 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.06 |
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UK Pound |
1 |
Rs.101.84 |
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Euro |
1 |
Rs.81.56 |
INFORMATION DETAILS
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Analysis Done by
: |
SUB |
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Report Prepared
by : |
SDA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
-- |
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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.