MIRA INFORM REPORT

 

 

Report Date :

23.07.2014

 

IDENTIFICATION DETAILS

 

Name :

A.T. TRADE OVERSEAS PRIVATE LIMITED [w.e.f.04.06.2010]

 

 

Formerly Known As :

A. T. TEXTILES PRIVATE LIMITED

 

 

Registered Office :

74/80, Babu Genu Road, New Hanuman Lane, 3rd Floor, Kalbadevi Road, Mumbai – 400002, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

21.08.1997

 

 

Com. Reg. No.:

11-110234

 

 

Capital Investment / Paid-up Capital :

Rs. 6.289 Millions

 

 

CIN No.:

[Company Identification No.]

U99999MH1997PTC110234

 

 

PAN No.:

[Permanent Account No.]

AACCA7944A

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Trader of Textiles and also Importer of Coal, Coke and Iron Pellets.

 

 

No. of Employees :

Not Divulged

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (26)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 340000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

External borrowings of the company seem to be huge during 2013.

 

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

 

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

 

NOTES :

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

 

 

ECGC Country Risk Classification List – March 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

 

N E W S

 

The economy grew 4.7 %in 2013/14, marking a second straight year of sub-5 % growth – the worst slowdown in more than a quarter of a century. The data was below an official estimate of 4.9 % annual growth and compared with 4.5 % in the last fiscal year. However, the current account deficit narrowed sharply to $ 32.4 billion at 1.7 % of gross domestic product, in 2013/14 from a record high of $ 98.8 billion or 4.7 %, the year before.A sharp fall in gold imports due to restrictions on overseas purchases and muted import of capital goods helped shrink the current account deficit.

 

Online retailer Flipkart has acquired fashion portal Myntra as it prepares to battle with the rapidly expanding India arm of the global e-commerce giant Amazon. The company raised $ 210 million from Russian Investment firm DST Global which has also invested in companies like Facebook, Twitter and Alibaba Group.

 

General Motors will start exporting vehicles from its Talegaon plant near Pune in the second half of 2014. GM was one of the few global carmakers that was using its India plant only for the domestic market.

 

Google has overtaken Apple as the world’s top brand in terms of value, according to global market research agency Millward Brown. Google’s brand value shot up 40 % in a year to $ 158.84 billion. The top 10 of the 100 slots were dominated by US companies.

 

Infosys lost another heavy weight when B G Srinivas, a board member put in his papers. He is the third CEO-hopeful to quit after Chairman N R Narayana Murthy’s return to the company – Ashok Vemuri and V Balakrishnan being the other two.While Vemuri went on to lead IGate, Balakrishnan joined politics.

 

Naresh Goyal – promoted Jet Airways posted biggest quarterly loss – Rs 2153.37 crore – in the three months ended March 31, mainly because it has been offering discounts to passengers to fill planes.

 

William S Pinckney – Chairman and CEO of Amway India was arrested by the Andhra Pradesh Police in connection with a complaint against the direct selling firm. This is the second time that he has been taken into custody. A year, ago the Kerala Police had arrested Pinckney and two company directors on charges of financial irregularities.

 

China has told its state-owned enterprises to sever links with American consulting firms after the United States charged five Chinese military officers wih hacking US companies. China’s action which targets consultancies like McKinsey & Co. and the Boston Consulting Group, sterns from fears that the first are providing trade secrets to the US governments.

 

India has emerged as a country with some of the highest unregistered businesses in the world. Indonesia has the maximum number of shadow businesses, says a study of 68 countries by Imperial College Business School in London.

 

Pfizer has abandoned its attempt to buy AstraZeneca for nearly $ 118 billion after the latter refused an offer of 55 pounds a share.

 

 

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 31-03-2014.

 

 

INFORMATION DECLINED BY

 

Name :

Mr. Ramesh Jaju

Designation :

Accounts Manager

Contact No.:

91-22-26861981

Date :

23.07.2014

 

 

LOCATIONS

 

Registered Office :

74/80, Babu Genu Road, New Hanuman Lane, 3rd Floor, Kalbadevi Road, Mumbai – 400002, Maharashtra, India

Tel. No.:

91-22-22067609/ 22086819/ 32408337/ 26861981/ 26864449

Fax No.:

91-22-22091591

E-Mail :

hisari@vsnl.net

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Sandeep Kumar Hisaria

Designation :

Director

Address :

1302, Raheja Sherwood, Canary Height B, Nirlon Compound, W.E. Highway, Goregaon (East), Mumbai – 400063, Maharashtra, India

Date of Birth/Age :

17.12.1968

Date of Appointment :

21.08.1997

PAN No.:

AAAPH3095A

DIN No.:

00190632

 

 

Name :

Mr. Sawarmal Hisaria

Designation :

Director

Address :

1302, Raheja Sherwood, Canary Height B, Nirlon Compound, W.E. Highway, Goregaon (East), Mumbai – 400063, Maharashtra, India

Date of Birth/Age :

30.10.1947

Date of Appointment :

15.03.2007

PAN No.:

AAAPH8346L

DIN No.:

01381676

 

 

KEY EXECUTIVES

 

Name :

Mr. Ramesh Jaju

Designation :

Accounts Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2013

 

Names of Equity Shareholders

 

No. of Shares

 

Hisaria Kumar Sandeep

 

202364

Hisaria Kumar Sangeet

 

100

Taparia Madhubala

 

4900

Jha Devi Premi

 

4900

Gupta Ajay

 

66667

Gupta Shobha

 

35000

Chokhani Prasad Kashi

 

1

Jaju Devi Shobha

 

1

Hisaria Devi Renu

 

1

Sunflower Schools Solutions Private Limited, India

 

41667

P S Chamankar Property Developers Private Limited, India

 

100000

 

 

 

Total

 

 

455601

 

 

Names of Preference Shareholder

 

No. of Shares

 

Jain Fulchand Basant

 

173333

 

 

 

Total

 

 

173333

 

 

AS ON 30.09.2013

 

Equity Share Breakup

Percentage of Holding

Category

 

Bodies corporate

31.09

Directors or relatives of directors

44.44

Other top fifty shareholders

24.47

 

 

Total

 

100.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Trader of Textiles and also Importer of Coal, Coke and Iron Pellets.

 

 

Products/ Services :

ITC Code No.

 

Product Descriptions

99611319

Other Yarn and fabrics n.e.c.

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Divulged

 

 

Bankers :

·         Union Bank of India

Kalbadevi Branch, Acharya M. V. Foundation Building, 32, Dadi Seth Agiary Lane, Kalbadevi Road,, Mumbai - 400002, Maharashtra, India

 

·         Bank of Maharashtra

Industrial Finance Branch, Apeejay House, Dr. V. B. Gandhi Marg, Fort, Mumbai - 400001, Maharashtra, India

 

·         United Bank of India

Overseas (Mumbai) Branch, U.B.I. BLDG, 1st Floor, 25, Sir P.M. Road, Mumbai - 400001, Maharashtra, India

 

·         UCO Bank

Flagship Corporate Branch, UCO Bank Building, DR. D.N Road, Fort, Mumbai - 400001, Maharashtra, India

 

·         Allahabad Bank

 

 

Facilities :

 

SECURED LOANS

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Rupee term loans from banks

61.402

118.490

 

 

 

Total

 

61.402

118.490

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Ashish Maheshwari and Associates

Chartered Accountants

Address :

B206, Ashoka Super Market, S V Road, Near Patkar College, Goregeon [West], Mumbai – 400062, Maharashtra, India

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

AHYPM2377B

 

 

Relative of key management

personnel and person with voting power control :

Ameet Enterprises

 

 

Voting power control :

·         P.S. Chamankar Property Developers Private Limited

Sunflower School Solutions Private Limited

 

 

Significant influence of key management personnel and person with voting power control :

·         H.K. Enterprises

Lotus Tie up Private Limited

Octral Trexim Private Limited

Satyanarayan Sawarmal and Company

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

3,500,000

Equity Shares

Rs. 10/- each

Rs. 35.000 Millions

250,000

Preference Shares

Rs. 10/- each

Rs. 2.500 Millions

 

 

 

 

 

Total

 

Rs. 37.500 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

455,601

Equity Shares

Rs. 10/- each

Rs. 4.556 Millions

173,333

Preference Shares

Rs. 10/- each

Rs. 1.733 Millions

 

 

 

 

 

Total

 

Rs. 6.289 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

6.289

6.289

5.289

(b) Reserves & Surplus

54.365

42.397

30.332

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

25.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

85.654

48.686

35.621

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

235.545

180.550

87.450

(b) Deferred tax liabilities (Net)

0.121

0.083

0.072

(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)

235.666

180.633

87.522

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

62.113

118.511

55.837

(b) Trade payables

858.165

807.279

74.077

(c) Other current liabilities

5.330

17.167

13.745

(d) Short-term provisions

5.600

3.650

1.150

Total Current Liabilities (4)

931.208

946.607

144.809

 

 

 

 

TOTAL

1252.528

1175.926

267.952

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

2.076

1.111

1.142

(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

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

0.000

0.000

0.000

(e) Other Non-current assets

0.000

0.000

0.002

Total Non-Current Assets

2.076

1.111

1.144

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

40.000

0.000

0.000

(b) Inventories

90.184

21.524

28.770

(c) Trade receivables

566.636

657.285

144.961

(d) Cash and cash equivalents

497.905

491.220

64.338

(e) Short-term loans and advances

55.727

4.786

28.739

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

1250.452

1174.815

266.808

 

 

 

 

TOTAL

1252.528

1175.926

267.952

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income from operations

2499.237

2073.691

796.401

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

 

PROFIT BEFORE TAX

17.622

10.739

3.762

 

 

 

 

 

Less

TAX                                                                 

5.654

3.674

1.119

 

 

 

 

 

 

PROFIT AFTER TAX

11.968

7.065

2.643

 

 

 

 

 

 

Earnings Per Share (Rs.)

19.02

11.23

5.00

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Net Profit Margin

(PBT/Sales)

(%)

0.71

0.52

0.47

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

1.41

0.91

1.40

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.21

0.22

0.11

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

3.48

6.14

4.02

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.34

1.24

1.84

 

 

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

5.289

6.289

6.289

Reserves & Surplus

30.332

42.397

54.365

Share Application money pending allotment

0.000

0.000

25.000

Net worth

35.621

48.686

85.654

 

 

 

 

long-term borrowings

87.450

180.550

235.545

Short term borrowings

55.837

118.511

62.113

Total borrowings

143.287

299.061

297.658

Debt/Equity ratio

4.023

6.143

3.475

 

 

 

 

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

796.401

2073.691

2499.237

 

 

160.383

20.521

 

 

 

 

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

796.401

2073.691

2499.237

Profit

2.643

7.065

11.968

 

0.33%

0.34%

0.48%

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

 

Sr. No.

Check List by Info Agents

Available in Report

(Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

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

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

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

Yes

32]

PAN of Proprietor/Partner/Director, if available

Yes

33]

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

No

34]

External Agency Rating, if available

No

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10429922

13/04/2013

200,000,000.00

UNION BANK OF INDIA

KALBADEVI BRANCH, ACHARYA M. V. FOUNDATION BLDG., 
32, DADI SETH AGIARY LANE, KALBADEVI ROAD, MUMBAI, MAHARASHTRA - 400002, INDIA

B76646967

2

10389852

07/11/2012

200,000,000.00

BANK OF MAHARASHTRA

INDUSTRIAL FINANCE BRANCH, APEEJAY HOUSE, DR. V. 
B. GANDHI MARG. FORT, MUMBAI, MAHARASHTRA - 400001, INDIA

B63277446

3

10374433

09/08/2012

400,000,000.00

UNITED BANK OF INDIA

OVERSEAS (MUMBAI) BRANCH, U.B.I. BLDG, 1ST FLOOR, 25, SIR P.M. ROAD, MUMBAI, MAHARASHTRA - 400001, INDIA

B57248239

4

10333114

13/04/2013 *

350,000,000.00

UNION BANK OF INDIA

KALBADEVI BRANCH, ACHARYA M. V. FOUNDATION BLDG., 
32, DADI SETH AGIARY LANE, KALBADEVI ROAD, MUMBAI, MAHARASHTRA - 400002, INDIA

B76646744

5

10326428

26/02/2013 *

300,000,000.00

UCO BANK

FLAGSHIP CORPORATE BRANCH, UCO BANK BUILDING,, DR. D.N ROAD, FORT, MUMBAI, MAHARASHTRA - 400001, INDIA

B69539344

6

10052655

24/05/2011 *

300,000,000.00

ALLAHABAD BANK

INTERNATIONAL BRANCH, T-4, WORLD TRADE CENTER, CUFFE PARADE,, MUMBAI, MAHARASHTRA - 400005, INDIA

B16666844

 

* Date of charge modification

 

 

UNSECURED LOANS

 

UNSECURED LOANS

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

Intercorporate deposits

235.545

180.550

SHORT TERM BORROWINGS

 

 

Other loans and advances

0.711

0.021

 

 

 

Total

 

236.256

180.571

 

 

OPERATIONS

 

The income from operations was of Rs. 2499.237 Millions as against Rs. 2073.691 Millions of the previous year. Meanwhile, the gross income of the Company was of Rs. 2600.373 Millions as against Rs. 2092.421 Millions of the previous year. The profit before tax was of Rs. 17.622 Millions as against Rs. 10.739 Millions of the previous year. After making provision for various taxes, profit after tax was of Rs. 11.968 Millions as against Rs. 7.065 Millions of the corresponding previous year. The directors are hopeful of an improved performance and better results during the current year.

 

 

FIXED ASSETS:

 

·         Furniture and fixtures

Vehicles

Motor vehicles

Office equipment

Computer equipments

Other equipments

 

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. 60.24

UK Pound

1

Rs. 102.87

Euro

1

Rs. 81.44

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Analysis Done by :

RAS

 

 

Report Prepared by :

BVA

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

3

--PROFITABILIRY

1~10

2

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

2

--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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTERS 

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

26

 

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.