MIRA INFORM REPORT

 

 

Report Date :

04.01.2014

 

IDENTIFICATION DETAILS

 

Name :

PIAGGIO VEHICLES PRIVATE LIMITED (w.e.f. 01.04.2002)

 

 

Formerly Known As :

PIAGGIO GREAVES VEHICLES LIMITED (w.e.f.15.05.1998)

 

PIAGGIO GREAVES VEHICLES PRIVATE LIMITED

 

 

Registered Office :

E-2, M.I.D.C. Industrial Area, Baramati, Pune – 413 133, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

17.02.1998

 

 

Com. Reg. No.:

11-113606

 

 

Capital Investment / Paid-up Capital :

Rs.340.000 Millions

 

 

CIN No.:

[Company Identification No.]

U34102MH1998PTC113606

 

 

PAN No.:

[Permanent Account No.]

AABCP1225G

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Subject is engaged in the business of manufacturing of automobile products consisting of three wheeled, four wheeled motor vehicles and engines.

 

 

No. of Employees :

3500 (Approximately) [Contract = 2000 + Permanent Basis = 1500]

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (54)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 8500000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exist

 

 

Comments :

Subject is a joint venture (JV) of Greaves Limited (Greaves) and P & C, Italy. It is a well-established company having fine track record.

 

The rating reflect Piaggio’s established market position in the three-wheeler segment, its large scale of operations and healthy operating profitability.

 

Directors are reported to be experienced and respectable businessmen.

 

Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitment.

 

The company can be considered normal for business dealings at usual trade terms and condition. 

 

NOTES:

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

 

INDIAN ECONOMIC OVERVIEW

 

Uptick in agriculture and construction spread some cheer as the economy grew a higher-than-expected 4.8 % in the three months through September. Manufacturing rose an annual rate per cent during the quarter and mining fell by 0.4 %, government data showed while farm output rose 46%.

 

India has emerged as the most attractive investment destination, thanks to a relaxation in foreign direct investment norms, says a report. India is followed by Brazil and China in the ranking part of EY’s Capital Confidence Barometer report based on a survey across 70 nations. The US, France and Japan have emerged as the top three investors likely to invest in India.

 

India has been ranked 83rd globally in terms of talent competitiveness of its human capital.  Switzerland, Singapore, Denmark, Sweden and Luxembourg are the top five in the list of 103 nations compiled by INSEAD business school.

 

Tax rates for companies in India are among the highest in the world and the number of payments is also more than the global average putting the country at low, 158th rank on the Paying Taxes. 2014 list by the World Bank and PWC. However, the time taken for tax payments is relatively less in India which is rated ahead of China and Japan.

 

1 billion smartphone shipments in 2013, a 39.3 % growth over 2012. This was being driven by low cost computing in emerging markets. By 2017, total smartphone shipments are expected to approach 1.7 billion units, resulting in a compound annual growth rate of 18.4 % between 2013 and 2017, according to research from IDC.

 

20 % vacancy rate of office space in Mumbai and Delhi in the third quarter, the highest in Asia after Chengdu, in China. According to Cushman and Wakefield, six Indian cities are among the 10 office markets with the worst vacancies.

 

Foreign banks will not have to pay stamp duty and capital gains tax, if they convert their branch operations into a wholly owned subsidiary, according to the Reserve Bank of India.

 

The Reserve Bank of India is planning to launch CPI – indexed bonds aimed to protecting the savings of retail investors from the impact the price rise by December end.

 

Central Bureau of Investigation has booked State Bank of India, Deputy Managing Director Shyamal Acharya and others in a graft case related to distribution of a loan of over Rs 4000 mn. Gold and jewellery worth Rs 6.7 mn have been recovered from the residence of Acharya.

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CRISIL

Rating

Long Term Rating = A

Rating Explanation

Adequate degree of safety and low credit risk 

Date

22.10.2013

 

Rating Agency Name

CRISIL

Rating

Short Term Rating = A1

Rating Explanation

Very strong degree of safety and lowest credit risk

Date

22.10.2013

 

 

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 PARTED BY (GENERAL DETAILS)

 

Name :

Mr. Ashok Dnyanoba Medankar

Designation :

Company Secretary

Contact No.:

91-20-30518320

Date:

02.01.2014

 

 

LOCATIONS

 

Registered Office/ Factory :

E-2, M.I.D.C. Industrial Area, Baramati, Pune – 413 133, Maharashtra, India

Tel. No.:

91-2112-243770/ 304200/ 343730

Fax No.:

91-2112-243772/ 243323/ 243198

E-Mail :

a.medankar@pn.pgvl.com

a.medankar@piaggio.co.in

Website :

http://www.pgvl.com

http://www.piaggio.co.in

 

 

Corporate Office :

102, “PHOENIX” Bund Garden Road, Pune – 411 001, Maharashtra, India

Tel. No.:

91-20-66013150/ 30518300

Fax No.:

91-20-66013157/ 26134972

E-Mail :

sgk@pn.pgvl.com

info@piaggio.co.in

 

 

Sales Office : 

A-1, Site “B”, Surajpur Industrial Area, District Gautam Budha Nagar, Greater Noida – 201 306, Uttar Pradesh, India

 

 

Regional Office :

Located at:

 

·         Delhi

·         Mumbai

·         Chennai

·         Kolkata

·         Pune

·         Hyderabad

·         Patna

·         Bhopal

·         Bangalore

·         Cochin

 

 

DIRECTORS

 

As on 30.09.2013

 

Name :

Mr. Ravindersing Gurucharansingh Chopra

Designation :

Chairman cum Managing Director

Address :

Flat No. A-101, Palladium SN No. 468C, Mangaldas Road, Pune – 411 001, Maharashtra, India

Date of Birth/Age :

19.03.1943

Qualification :

BE (Mechanical) AMP-Harvard Business School, USA

Date of Appointment :

01.04.1998

DIN No.:

01680496

PAN No.:

AAYCP7294E

Other Directorship:

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

Date of cessation

Company/ LLP Status

Defaulting status

1

U34102MH1998PTC113606

PIAGGIO VEHICLES PRIVATE LIMITED

Managing director

01/04/1998

01/04/1998

-

Active

NO

2

U74999MH1966NPL013602

THE INDO-ITALIAN CHAMBER OF COMMERCE AND INDUSTRY

Director

21/08/2007

21/08/2007

-

Active

NO

 

 

Name :

Mr. Michele Colaninno

Designation :

Director

Address :

Via Bertani, Mantova 3146100, Italy

Date of Birth/Age :

23.11.1976

Date of Appointment :

30.09.2011

DIN No.:

03142555

 

 

Name :

Gabriele Gianni Galli

Designation :

Additional Director

Address :

Via Sani Giuseppe, 24 Lerici, Italy

Date of Birth/Age :

25.06.1969

Date of Appointment :

28.09.2012

DIN No.:

05105874

 

 

Name :

Ulisse Spada

Designation :

Additional Director

Address :

Viale Rinaaldo, Piaggio 25, Pontedera Pisa, Italy 056025

Date of Birth/Age :

01.03.1966

Date of Appointment :

28.09.2012

DIN No.:

05236512

 

 

KEY EXECUTIVES

 

Name :

Mr. Ashok Dnyanoba Medankar

Designation :

Company Secretary

Address :

165/10, Mira Society, Salisbury Park, Pune – 411 037, Maharashtra, India

Date of Birth/Age :

29.11.1960

Date of Appointment :

22.07.2004

PAN No.:

ABAPM3785F

 

 

MAJOR SHAREHOLDERS

 

As on 30.09.2013

 

Names of Shareholders

 

No. of Shares

Piggio and C SPA, Italy

 

34936999

Piaggio Vespa BV, The Netherlands

 

1

Total

 

34937000

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2013

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in the business of manufacturing of automobile products consisting of three wheeled, four wheeled motor vehicles and engines.

 

 

Products :

Product Description

 

ITC Code

Motor Cars and Other Motor Vehicles for transport of persons

8703

Motor Vehicles for the transport of goods

8704

 

 

Exports :

 

Products :

·         Finished Goods

Countries :

·         Sri Lanka

·         Korea

 

 

Imports :

 

Products :

·         Raw Materials

Countries :

·         China

·         Italy

 

 

Terms :

 

Selling :

Credit

 

 

Purchasing :

Credit 

 

 

GENERAL INFORMATION

 

Suppliers :

·         MRF

·         CEAT

 

 

Customers :

·         Ramcare Marketing Private Limited

 

 

No. of Employees :

3500 (Approximately) [Contract = 2000 + Permanent Basis = 1500]

 

 

Bankers :

·         State Bank of India, Industrial Finance Branch, Tara Chambers, Mumbai-Pune Road, Pune – 411 003, Maharashtra, India

·         Credit Agricole and Corporate and Investment Bank, A-203, 2nd Floor, ICC Trade Tower, Senapati Bapat Road, Pune – 411 016, Maharashtra, India

 

 

Facilities :

SECURED LOANS

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Short Term Borrowings

 

 

Working capital loans from banks

138.880

14.740

Total

138.880

14.740

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Price Waterhouse and Company

Chartered Accountants

Address :

Suite No. 8, Mutha Towers, Airport Road, Yerwada, Pune, Maharashtra, India

PAN No.:

AAHFP0187A

 

 

Holding Company :

Piaggio and C SpA, Italy

 

 

Fellow Subsidiary Company :

·         Piaggio Vietnam Company Limited, Vietnam

·         Foshan Piaggio Vehicles Technology Research and Development Company Limited, China

·         Piaggio Vespa B.V.

 

           

CAPITAL STRUCTURE

 

As on 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

40000000

Equity Shares

Rs. 10/- each

Rs.400.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

34937000

Equity Shares

Rs. 10/- each

Rs.349.370 Millions

 

 

As on 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

40000000

Equity Shares

Rs.10/- each

Rs.400.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

34000000

Equity Shares

Rs.10/- each

Rs.340.000 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

340.000

340.000

340.000

(b) Reserves & Surplus

1779.340

1678.510

3369.810

(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)

2119.340

2018.510

3709.810

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

2079.790

846.140

668.810

(b) Deferred tax liabilities (Net)

514.680

351.950

308.150

(c) Other long term liabilities

16.230

35.780

57.470

(d) long-term provisions

52.000

56.090

7.950

Total Non-current Liabilities (3)

2662.700

1289.960

1042.380

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

138.880

62.660

0.000

(b) Trade payables

5995.720

4136.430

4033.030

(c) Other current liabilities

1112.140

1575.330

804.420

(d) Short-term provisions

1203.870

2779.860

1767.660

Total Current Liabilities (4)

8450.610

8554.280

6605.110

 

 

 

 

TOTAL

13232.650

11862.750

11357.300

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

5417.150

4226.610

3174.590

(ii) Intangible Assets

2844.020

1544.340

1710.060

(iii) Capital work-in-progress

531.700

890.360

225.120

(iv) Intangible assets under development

168.060

1500.120

956.780

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

343.840

368.790

405.200

(e) Other Non-current assets

0.280

0.250

0.250

Total Non-Current Assets

9305.050

8530.470

6472.000

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

490.960

100.000

(b) Inventories

1094.570

850.340

1043.840

(c) Trade receivables

602.630

328.090

481.400

(d) Cash and cash equivalents

990.120

253.330

2003.160

(e) Short-term loans and advances

1030.030

1408.120

1252.200

(f) Other current assets

210.250

1.440

4.700

Total Current Assets

3927.600

3332.280

4885.300

 

 

 

 

TOTAL

13232.650

11862.750

11357.300

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Total Revenue (Exclusive of excise duty)

25460.000

26286.000

28556.000

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                      

NA

NA

                  NA

 

 

 

 

 

Less

EXPENSES

NA

NA

NA

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

NA

NA

5480.000

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION                    

NA

NA

434.000

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX 

2902.000

3798.000

5046.000

 

 

 

 

 

Less

TAX                                                                 

936.000

1182.000

1644.000

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX

1965.000

2616.000

3402.000

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

1244.330

2925.020

2163.350

 

TOTAL EARNINGS

1244.330

2925.020

2163.350

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

223.460

216.070

307.370

 

 

Purchase of stock

18.560

5.950

0.000

 

 

Capital Goods

291.150

504.640

80.170

 

TOTAL IMPORTS

533.170

726.660

387.540

 

 

 

 

 

 

Earnings Per Share (Rs.)

59.24

NA

100.06

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Net Profit Margin

(PBT/Sales)

(%)

11.40

14.45

17.67

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

23.81

41.72

51.65

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

1.37

1.88

1.36

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.05

0.45

0.18

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.46

0.39

0.74

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT DETAILS

 

Particulars

31.03.2013

31.03.2012

31.03.2011

 

 

 

 

Current maturities of long-term debt

94.530

0.000

0.000

 

 

 

 

 

 

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

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

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

Yes

17]

Major suppliers

Yes

18]

Major customers

Yes

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

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

Yes

33]

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

No

34]

External Agency Rating, if available

Yes

 

CASE DETAILS:

 

 

CASE DETAILS

 

Lodging No.:-

ITXAL/2200/2013

Filing Date:-

27/12/2012

 

Petitioner :

 THE COMMISSIONER OF INCOME TAX – II- PUNE                                              

Respondent:-

PIAGGIO VEHICLES PRIVATE LIMITED

Petn. Adv.:

VIPUL ARUN BAJPAYEE (I4135)

 

 

 

District:- Pune

 

Bench:- DIVISION  

Status: Pre-Admission                         Category:- TAX APPEALS

Last Date:                         06.01.204           

Status:- Pre-Admission                                                 

Coram:      REGISTER (OS)/ PROTHONOTARY AND SR. MASTER

 

Act :- Income Tax Act, 1961                                               Under Section:- 260A

 

 

UNSECURED LOANS:

 

Particulars

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Rupee term loans from bank

1905.880

846.140

Intercorporate borrowings

173.910

0.000

Short Term Borrowings

 

 

Rupee term loans from banks

0.000

47.920

Total

2079.790

894.060

 

 

 

 

 

THE YEAR IN RETROSPECT

 

India’s GDP growth declined from 6.2% in 2011-12 to 5% in 2012-13, and Industrial Growth declined from 3.5% to 2.1%. Automotive sector was not spared either. Commercial vehicles segment was the worst hit, registering a negative growth of 2%. 3W segment, however, still managed to register a positive growth of around 5%.

 

OPERATIONS:

 

During the year the company sold 198,463 commercial vehicles compared to 215,446 vehicles last year. The company has sustained its domestic 3W nos. at 183,408, compared to 184,362 last year. The loss was mainly on the export front where the sales declined from 20,475 to 12,162, and in 4W segment where the sales declined from 10,609 to 2,893.

 

During the year the company launched the following new products:-

 

·         Ape City Pax (compact 3W with alternate fuels)

·         Porter 600 (4W cargo vehicle with 0.5T payload)

·         Porter 1000 BS-IV (4W cargo vehicle with 1.0T payload)

 

All these vehicles have been received well in the market.

 

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

90090789

30/12/2010 *

500,000,000.00

Credit Agricole and Corporate and Investment Bank

A-203, 2nd Floor, ICC Trade Tower, Senapati Bapat Road, Pune, Maharashtra - 411016, INDIA

B02391258

2

90090738

26/08/2011 *

1,950,000,000.00

STATE BANK OF INDIA

Industrial Finance Branch, Tara Chambers, Mumbai Pune Road, Pune, Maharashtra - 411003, INDIA

B20865457

*Date of modification Charges

 

FIXED ASSETS:

 

·         Land

·         Buildings

·         Plant and Equipment

·         Furniture and Fixtures

·         Vehicles

·         Office Equipment

·         Technical Know-how

·         Computer Software

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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.62.41

UK Pound

1

Rs.102.53

Euro

1

Rs.85.20

 

 

INFORMATION DETAILS

 

Information Gathered by :

HNA

 

 

Report Prepared by :

DPH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

54

 

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.