MIRA INFORM REPORT

 

 

Report Date :

10.01.2014

 

IDENTIFICATION DETAILS

 

Name :

RELIABLE DIESEL ENGINEERS PRIVATE LIMITED

 

 

Registered Office :

D-22 A, Vishwakarma Colony, Pulpahlad Pur, Lal Quan, MB Road, New Delhi – 110044

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

03.04.1996

 

 

Com. Reg. No.:

55-077800

 

 

Capital Investment / Paid-up Capital :

Rs.4.312 Millions

 

 

CIN No.:

[Company Identification No.]

U51909DL1996PTC077800

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Acoustic Enclosures.

 

 

No. of Employees :

150 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (29)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 140000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is en established company having moderate track record.

 

The management has seen a drastic dip in its net profitability during 2013 which has harshly impacted the profit margins of the company.

 

However, trade relations are fair. Business is active. Payment terms are reported as 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 – September 30, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

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.

 

 

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

 

Name :

Mr. N. Rawat

Designation :

Accounts Manager

Contact No.:

91-129-4136193

Date :

09.01.2013

 

 

LOCATIONS

 

Registered Office :

 

D-22 A, Vishwakarma Colony, Pulpahlad Pur, Lal Quan, MB Road, New Delhi – 110044, India

Tel. No.:

91-129-4136193

Fax No.:

Not available

E-Mail :

singhsainiandco@gmail.com

m.rawat@reliablediesel.com

info@reliablediesel.com

rsn@reliablediesel.com

Website :

http://reliablediesel.com

Location :

Owned

 

 

Factory 1 :

Plot No. 12 - C, Gurukul Industrial Estate, Sarai Khwaja, Faridabad - 121 003, Haryana, India

Tel. No.:

91-129-4186100

 

 

Factory 2 / Sales and Marketing Office:

Plot No 2, 12/6, Anangpur Road, Gurukul Industrial Estate Sarai Khwaja, Faridabad – 121003, Haryana, India

Tel. No.:

91-129-4136509/12

Fax No.:

91-129-4136509/12

 

 

DIRECTORS

 

As on 30.09.2013

 

Name :

Mr. Hukum Singh Negi

Designation :

Director

Address :

751, Sector – 21 A, Faridabad - 121012, Haryana, India

Date of Birth/Age :

04.08.1958

Date of Appointment :

03.04.1996

DIN No.:

00376422

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

Date of cessation

Company/ LLP Status

Defaulting status

1

U51909DL1996PTC077800

RELIABLE DIESEL ENGINEERS PRIVATE LIMITED

Director

03/04/1996

03/04/1996

-

Active

NO

2

U51909DL1996PTC083771

RELIABLE OPERATIONS AND MAINTENANCE PRIVATE LIMITED

Director

11/12/1996

11/12/1996

-

Strike off

NO

3

U25203DL2008PTC184859

RELIABLE LEGO SYSTEMS PRIVATE LIMITED

Director

12/11/2008

12/11/2008

-

Active

NO

 

 

Name :

Mr. Ajit Kumar Varma

Designation :

Director

Address :

Flat No. 205, Progressive Peoples CGHS, Sector 21 C, Faridabad - 121012, Haryana, India

Date of Birth/Age :

08.11.1959

Date of Appointment :

03.04.1996

DIN No.:

00687140

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

Date of cessation

Company/ LLP Status

Defaulting status

1

U51909DL1996PTC077800

RELIABLE DIESEL ENGINEERS PRIVATE LIMITED

Director

03/04/1996

03/04/1996

-

Active

NO

2

U51909DL1996PTC083771

RELIABLE OPERATIONS AND MAINTENANCE PRIVATE LIMITED

Director

11/12/1996

11/12/1996

-

Strike off

NO

3

U25203DL2008PTC184859

RELIABLE LEGO SYSTEMS PRIVATE LIMITED

Director

12/11/2008

12/11/2008

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. N. Rawat

Designation :

Accounts Manager

 

 

MAJOR SHAREHOLDERS

 

As on 30.09.2013

 

Names of Shareholders

 

No. of Shares

Hukum Singh Negi

 

210896

Ajit Kumar Varma

 

209646

Shri Ram

 

600

Davinder Pal Singh

 

50

G D Sharma

 

850

Reema Negi

 

250

Chander Bhushan Rai

 

900

Renuka Singh

 

2500

Harbir Singh

 

4000

Anjali Varma

 

1500

Total

 

431192

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2013

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Acoustic Enclosures.

 

 

Imports :

 

Products :

Raw Material

Countries :

Japan

 

 

Terms :

 

Selling :

Cash, Credit (30 Days and 60 Days) and Advance

 

 

Purchasing :

Cash and Credit

 

 

GENERAL INFORMATION

 

Suppliers :

Sawant Trading

 

 

Customers :

·         Escorts Limited

·         Tractors India Private Limited

 

 

No. of Employees :

150 (Approximately)

 

 

Bankers :

·         IDBI Bank Limited, IDBI Tower Wtc Complex, Cuffe Parade, Mumbai - 400005, Maharashtra, India

·         Industrial Development Bank of India Limited, IDBI Tower Wtc Complex, Cuffe Parade, Mumbai - 400005, Maharashtra, India

·         IDBI Bank Limited, Videocon Tower Branch, New Delhi, India

Tel No.: 91-11-66083082

·         The United Western Bank Limited, Pushp Vihar, New Delhi, Delhi, India

 

 

Facilities :

CC = Rs.0.350 Million (IDBI Bank Limited, Videocon Tower Branch)

 

SECURED LOANS

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Rupee Term Loans from Banks

0.695

0.819

Rupee Term Loans from Others

0.180

0.000

Short Term Borrowings

 

 

Working Capital Facilities

 

 

- From Banks

37.004

40.163

- From Others

20.422

10.382

 

58.301

51.364

 

Long Term Borrowings

 

Secured Term Loans from Banks

 

(i) Term Loan of Rs.0.650 Million from HDFC Bank against purchase of Car repayable in 36 Instalments. The loan is Secured against

 

(a)     Hypothecation of Car and

 

(b)     Personal Guarantees of the Directors. Present Outstanding as on 31st March,2013 is Rs.0.374 Million (Previous Year – Rs.0.574 Millions)

 

(ii) Term Loan of Rs.0.730 Million from HDFC Bank against purchase of Car repayable in 48 Instalments.

 

The loan is Secured against

 

a)       Hypothecation of Car and

 

b)       Personal Guarantees of the Directors. Present Outstanding as on 31st March,2013 is Rs.0.612 Million (Previous Year - Rs NIL )

 

(iii) Term Loan of Rs.0.250 Million from HDFC Bank against purchase of Car repayable in 36 Instalments. The loan is Secured against

 

(a)     Hypothecation of Car and

 

(b)     Personal Guarantees of the Directors. Present Outstanding as on 31st March,2013 is Rs.0.102 Million (Previous Year – Rs.0.184 Million)

 

(iv) Term Loan of Rs.0.700 Million from ICICI Bank against purchase of Car repayable in 36 Instalments. The loan is Secured against

 

(a)     Hypothecation of Car and

 

(b)     Personal Guarantees of the Directors. Present Outstanding as on 31st March,2013 is Rs.0.343 Million (Previous Year – Rs.0.566 Millions)

 

Secured Term Loans from Others

 

 

Term Loan of Rs.0.440 Million from Sundaram Finance Limited against purchase of Car repayable in 36 Instalments. The loan is Secured against

 

(a) Hypothecation of Car and

 

(b) Personal Guarantees of the Directors. Present Outstanding as on 31st March,2013 is Rs.0.325 Million (Previous Year - Rs NIL)

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

Singh Sani and Company

Chartered Accountants

Address :

A-114, First Floor, Fateh Nagar, Jail Road, New Delhi – 110018, India

PAN No.:

AAAS8999L

 

 

CAPITAL STRUCTURE

 

As on 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

500000

Equity Shares

Rs. 10/- each

Rs.5.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

431192

Equity Shares

Rs. 10/- each

Rs.4.312 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

4.312

4.312

3.772

(b) Reserves & Surplus

29.618

29.601

23.752

(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)

33.930

33.913

27.524

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

4.723

4.490

5.482

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

4.723

4.490

5.482

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

57.426

50.545

43.164

(b) Trade payables

32.023

35.562

24.423

(c) Other current liabilities

4.840

6.811

10.617

(d) Short-term provisions

0.000

0.397

0.348

Total Current Liabilities (4)

94.289

93.315

78.552

 

 

 

 

TOTAL

132.942

131.718

111.558

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

31.602

31.800

33.120

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.055

0.055

0.055

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

1.112

0.779

1.138

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

32.769

32.634

34.313

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

52.920

57.699

33.862

(c) Trade receivables

36.923

25.337

36.518

(d) Cash and cash equivalents

6.897

13.198

5.062

(e) Short-term loans and advances

2.265

2.807

1.793

(f) Other current assets

1.168

0.043

0.010

Total Current Assets

100.173

99.084

77.245

 

 

 

 

TOTAL

132.942

131.718

111.558

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

186.533

210.884

237.755

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

 

EXPENSES

NA

NA

NA

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

4.611

6.148

7.170

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION        

4.471

4.639

4.835

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX

0.140

1.509

2.335

 

 

 

 

 

Less

TAX                                                                 

0.123

0.520

0.785

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX

0.017

0.989

1.550

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

17.715

16.726

15.176

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

17.732

17.715

16.726

 

 

 

 

 

 

Earnings Per Share (Rs.)

0.04

NA

NA

 

Expected Sales (2013-2014): Rs.260.000 Millions.

 

The above information has been parted by Mr. N. Rawat (Account Manager)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Net Profit Margin

(PBT/Sales)

(%)

0.08

0.72

0.98

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.11

1.15

2.12

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.00

0.04

0.08

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.83

1.62

1.77

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.06

1.06

0.98

 

 

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

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

Yes

15]

Capital in the business

Yes

16]

Details of sister concerns

No

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

----------

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

No

 

 

UNSECURED LOANS:

 

Particulars

31.03.2013

Rs. In Millions

31.03.2012

Rs. In Millions

Long Term Borrowings

 

 

Rupee Term Loans from Others

3.848

3.671

Total

3.848

3.671

 

Notes:

 

Unsecured Term Loans from Others

      

(i)       From Bajaj Finance Limited of Rs.2.500 Millions repayable in 36 Instalments of Rs.0.106 Million each. The loan is against postdated cheques of the loan amount. Present Outstanding as on 31st March,2013 is Rs.0.973 Million (Previous Year – Rs.1.953 Millions )

 

(ii)     Interest Free Loans from Directors and Shareholders Rs.3.848 Millions  (Previous Year – Rs.2.698 Millions)

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10365457

14/06/2012

70,500,000.00

IDBI Bank Limited

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

B43621705

2

10179300

25/11/2008

21,300,000.00

IDBI Bank Limited

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

A60723426

3

10083147

26/11/2007

23,000,000.00

INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

A30448195

4

10048938

26/11/2007 *

2,500,000.00

INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

A30447643

5

10048937

26/11/2007 *

4,000,000.00

INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

A30446975

6

10049184

12/03/2007

6,500,000.00

INDUSTRIAL DEVELOPMENT BANK OF INDIA LIMITED

IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI, Maharashtra - 400005, INDIA

A14663801

7

90050110

13/10/2003

2,000,000.00

THE UNITED WESTERN BANK LIMITED

PUSHP VIHAR, NEW DELHI, Delhi, INDIA

-

8

90048526

09/06/2001

2,300,000.00

THE UNITED WESTERN BANK LIMITED

PUSHP VIHAR, NEW DELHI, Delhi - 110062, INDIA

-

9

90047863

29/03/2000

1,990,000.00

THE UNITED WESTERN BANK LIMITED

PUSHP VIHAR, NEW DELHI, Delhi - 110062, INDIA

-

10

90047856

27/03/2000

9,800,000.00

THE UNITED WESTERN BANK LIMITED

PUSHP VIHAR, NEW DELHI, Delhi - 110062, INDIA

-

11

90047684

18/11/1999

500,000.00

THE UNITED WESTERN BANK LIMITED

PUSHP VIHAR, NEW DELHI, Delhi - 110062, INDIA

-

*Date of modification Charges

 

TRADE REFERENCES:

 

·         Escorts Limited

·         Tractors India Private Limited

·         Sawant Trading

 

 

 

 

FIXED ASSETS:

 

·         Land

·         Building

·         Plant and Machinery

·         Computer

·         Furniture and Fixture

·         Office Equipment

·         Vehicles


 

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.62.18

UK Pound

1

Rs.102.31

Euro

1

Rs.84.50

 

 

INFORMATION DETAILS

 

Information Gathered by :

PDT

 

 

Report Prepared by :

VNT

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

3

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--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

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

29

 

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.