MIRA
INFORM REPORT
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Report Date : |
31.07.2014 |
IDENTIFICATION DETAILS
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Name : |
THAILON TECHNO FIBER LIMITED |
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Formerly Known As : |
THAILON SIX SIX LIMITED |
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Registered Office : |
219 Moo 3, Laemchabang Industrial Estate, T. Thungsukla, A. Sriracha, Chonburi 20230 |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
27.08.1993 |
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Com. Reg. No.: |
0105536098488 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Subject is engaged
in manufacturing and
marketing a complete
range of Synthetic
Nylon 6 and
6.6 Yarn including
Air Textured Yarn [ATY],
Draw Textured Yarn [DTY],
Nylon 6 and 6.6
Fully Drawn Yarn [FDY],
and Nylon 6
and 6.6 Partially
Oriented Yarn [POY] for
hosiery, knitting, weaving
and covering |
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No. of Employees |
280 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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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|
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
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 |
With a well-developed infrastructure, a free-enterprise
economy, generally pro-investment policies, and strong export industries,
|
Source
: CIA |
Company name
THAILON TECHNO
FIBER LIMITED
[FORMER : THAILON SIX
SIX LIMITED]
SUMMARY
BUSINESS
ADDRESS : 219
MOO 3, LAEMCHABANG
INDUSTRIAL ESTATE,
T. THUNGSUKLA,
A. SRIRACHA, CHONBURI
20230,
TELEPHONE : [66] 38
494-945-9
FAX :
[66] 38
494-940
E-MAIL
ADRESS : sales@thailon.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1993
REGISTRATION
NO. : 0105536098488
[Former : 6842/2536]
TAX
ID NO. : 3011324068
CAPITAL REGISTERED : BHT. 640,000,000
CAPITAL PAID-UP : BHT.
420,006,250
SHAREHOLDER’S PROPORTION : THAI : 99.22%
AMERICAN :
0.78%
FISCAL YEAR CLOSING DATE : DECEMBER
31
LEGAL
STATUS : PRIVATE
LIMITED COMPANY
EXECUTIVE : MR.
SANGA SANGASERMSAP, THAI
PRESIDENT
NO.
OF STAFF : 280
LINES
OF BUSINESS : YARNS
MANUFACTURER, DISTRIBUTOR
& EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on August 27,
1993 as a
private limited company
under the registered
name THAILON SIX SIX
LIMITED by a
joint venture among
Asean Interests Limited of the Tolaram Corporation,
Hong Kong, Solutia Inc.
[Formerly: Monsanto Inc.]
and American Fibres
Industries Inc,
These yarns
with unique properties
can be found in
products ranging from
ladies’ hosiery and
men’s socks to computer tapes
and tire cord
fabrics.
The
subject received ISO 9002 and
ISO 9001:2008 certifications from
BVQI, in September
1999, and 2008,
respectively, and also
holder of OKO
Tex certificate [Switzerland]
for products totally
free of any
hazardous chemicals in
January 1999.
On December
29, 2003, the
subject has been
taken over by
Thais and alliance
groups, and its
name was changed
to THAILON TECHNO FIBER
LIMITED. It currently
employs approximately 280
staff.
The
subject’s registered address
is 219 Moo
3, Laemchabang Industrial
Estate,
T. Thungsukla, A. Sriracha,
Chonburi 20230, and
this is the subject’s
current operation address.
THE BOARD OF
DIRECTORS
|
Name |
Nationality |
Age |
|
|
|
|
|
Mr. Sanga Sangasermsap |
Thai |
60 |
|
Mrs. Urairat Saengwatanaroj |
Thai |
60 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Sanga Sangasermsap is
the President.
He is Thai
nationality with the
age of 60
years old.
He has been
in this position
since October 2003.
Mr. Theerien Lai
is the Chief
Executive Officer and
Factory Manager.
He is Thai
nationality.
Mrs. Urairat Saengwatanaroj is
the Vice President
[Account & Finance].
She is Thai
nationality with the
age of 60
years old.
Mr. Natraj R.C. is
the Sales & Marketing Manager.
He is Indian
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and marketing a
complete range of
Synthetic Nylon 6
and 6.6 Yarn
including Air Textured
Yarn [ATY], Draw Textured
Yarn [DTY], Nylon 6 and
6.6 Fully Drawn
Yarn [FDY], and Nylon
6 and 6.6
Partially Oriented Yarn [POY]
for hosiery, knitting,
weaving and covering.
PRODUCTIONS
FDY : 150
MT per month
POY : 450
MT per month
DTY : 450
MT per month
ATY : 100
MT per month
IMPORT [COUNTRIES]
50%
of raw materials,
equipments and instruments
are imported from Republic of China, Germany, United
Kingdom, Taiwan, India,
Hong Kong, Australia,
Japan and Switzerland.
MAJOR SUPPLIERS
Asia Fiber Public
Company Limited :
Pearl Polymers Co.,
Ltd. :
SALES
The products are
sold directly to manufacturers
both domestic and
overseas customers. 80% of its
products is exported to Republic of China, Taiwan, Singapore, Malaysia, Indonesia, United
States of America, United Kingdom,
India, Germany, Korea,
Denmark, Spain, Turkey,
Switzerland, Philippines, Vietnam,
Pakistan, Hong Kong,
the countries in
Africa and Middle
East and others
with over 50
countries, the remaining
20% is sold
locally.
MAJOR CUSTOMERS
Oma Textile & Yarns Ltd. :
Interloop Private Ltd. :
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at Legal
Execution Department for
the past five
years.
Others
There are no
legal suits filed
against the subject
according to IRICO’S
DATABASE for the
past two years.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
CREDIT
Sales are by
cash on the
credits term of
30-60 days.
Local bills are
paid by cash
on the credits
term of 30-60 days.
Imports are by
L/C at sight
& T/T.
Exports are against
L/C at sight
& T/T.
BANKING
Bank of
[
Bangkok Bank Public
Co., Ltd.
[Sriracha Branch :
EMPLOYMENT
The subject employs
approximately 280 office
staff and factory
workers.
LOCATION DETAILS
The premise is
rented for administrative office,
factory and warehouse
at the heading
address on 76,800
square meters of
area. Premise is
located in industrial
area.
COMMENT
The
subject’s business performance
in 2012 was
moderate in line
with demand of
the products from
both local and overseas
markets. Sales were
slightly increased from rising
demand of the products.
Its
business performance has
gradually improved in the
year 2012. Despite some improvements in
the yarn prices, the
cotton price also
had gone up, therefore
the subject was
not comfortable for
its sales increased.
As
the subject has
a large amount
of deficit retained
earning and deficit
total shareholders’ equity,
as well as
financial statement for
2013 was not
submitted to the
Commercial Registration Department,
it is unpredictable
for the company’s
financial status in
2013. Therefore, the credit
should be treated
on a secured
basis only.
FINANCIAL INFORMATION
The capital was registered at
Bht. 250,000,000 divided into 100,000
shares of Bht.
2,500 each.
On March 25,
2004 the registered capital was
increased to Bht.
640,000,000 divided
into 256,000 shares
of Bht. 2,500
each, with the
current capital paid-up
at Bht.
420,006,250.
THE SHAREHOLDERS LISTED
WERE : [as
at April 30,
2013] at Bht.
420,006,250 of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Sanga Sangasermsap Nationality: Thai Address :
Yannawa, |
67,525 |
26.38 |
|
Mrs. Urairat Saengwatanaroj Nationality: Thai Address : |
40,000 |
15.63 |
|
D. Techno Tex Co.,
Ltd. Nationality: Thai Address : 2/2
Moo 4, T.
Rajniyom, A. Sainoi, Nonthaburi |
40,000 |
15.63 |
|
Mr. Theerien Lai Nationality: Thai Address : 76/3
Sukhumvit 39 Rd.,
Klongtonnua,
Wattana, |
34,330 |
13.41 |
|
P.S.D. Knitting Co.,
Ltd. Nationality: Thai Address : |
32,145 |
12.55 |
|
Nationality: Thai Address : 76/3
Sukhumvit 39 Rd.,
Klongtonnua,
Wattana, |
20,000 |
7.81 |
|
D. Interior Solution
Co., Ltd. Nationality: Thai Address :
Yannawa, |
20,000 |
7.81 |
|
|
|
|
|
Mr. Kian Minh
Lai Nationality: American Address : - |
2,000 |
0.78 |
Total Shareholders :
8
Share Structure [as
at April 30,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
7 |
254,000 |
99.22 |
|
Foreign - American |
1 |
2,000 |
0.78 |
|
Total |
8 |
256,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO.:
Mr. Chayapol Supasethanon No.
3972
Note:
The 2013 financial
statement was not
submitted to the Commercial Registration Department.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2012, 2011
and 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 [Adjusted] |
|
|
|
|
|
|
Cash and Cash Equivalents |
4,117,163 |
6,672,287 |
7,935,652 |
|
Trade Accounts & Other
Receivable |
136,995,754 |
144,530,047 |
152,249,377 |
|
Short-term Lending to Directors |
- |
- |
14,064,650 |
|
Inventories |
288,699,330 |
259,695,123 |
238,395,623 |
|
Other Current Assets
|
10,614,287 |
10,024,910 |
8,596,943 |
|
|
|
|
|
|
Total Current Assets
|
440,426,534 |
420,922,367 |
421,242,245 |
|
Cash at Bank pledged
as a Collateral |
4,296,310 |
4,220,766 |
4,184,181 |
|
Fixed Assets |
417,221,563 |
455,717,241 |
486,390,087 |
|
Intangible Assets |
17,137,906 |
18,149,105 |
19,154,779 |
|
Other Non-current Assets |
479,108 |
294,608 |
316,969 |
|
Total Assets |
879,561,421 |
899,304,087 |
931,288,261 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 [Adjusted] |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
519,195,352 |
534,308,850 |
442,870,750 |
|
Trade Account & Other Payable |
165,441,108 |
115,161,316 |
172,196,376 |
|
Current Portion of
Finance Lease Contract Liabilities |
1,550,000 |
1,680,778 |
142,667 |
|
Current Portion of
Long-term Loan |
98,940,000 |
58,440,000 |
76,440,000 |
|
Short-term Loan from
Related Company |
1,584,053 |
945,077 |
36,020,076 |
|
Other Current Liabilities |
8,601,387 |
6,595,197 |
8,943,166 |
|
|
|
|
|
|
Total Current Liabilities |
795,311,900 |
717,131,218 |
736,613,035 |
|
Finance Lease Contract Liabilities - Net
of Current Portion |
635,958 |
2,192,195 |
130,778 |
|
Long-term Loan - Net
of Current Portion |
396,029,698 |
490,469,698 |
527,838,203 |
|
Reserve for Employee Benefit |
2,319,817 |
1,919,506 |
- |
|
Total Liabilities |
1,194,297,373 |
1,211,712,617 |
1,264,582,016 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 2,500
par value Authorized &
issued share capital
256,000 shares |
640,000,000 |
640,000,000 |
640,000,000 |
|
|
|
|
|
|
Capital Paid |
420,006,250 |
420,006,250 |
389,931,250 |
|
Retained Earning -
Unappropriated [Deficit] |
[734,742,202] |
[732,414,780] |
[723,225,005] |
|
Total Shareholders' Equity
[Deficit] |
[314,735,952] |
[312,408,530] |
[333,293,755] |
|
Total Liabilities &
Shareholders' Equity |
879,561,421 |
899,304,087 |
931,288,261 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 [Adjusted] |
|
|
|
|
|
|
Sales |
897,102,720 |
908,380,707 |
907,237,376 |
|
Other Income |
51,023,671 |
37,679,074 |
49,529,045 |
|
Total Revenues |
948,126,391 |
946,059,781 |
956,766,421 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
844,948,462 |
852,201,539 |
843,940,315 |
|
Selling Expenses |
39,053,604 |
29,980,425 |
42,181,407 |
|
Administrative Expenses |
17,199,406 |
24,282,682 |
14,836,697 |
|
Total Expenses |
901,201,472 |
906,464,646 |
900,958,419 |
|
|
|
|
|
|
Profit / [Loss] before Finance
Expenses |
46,924,919 |
39,595,135 |
55,808,002 |
|
Finance Expenses |
[49,252,341] |
[48,784,910] |
[62,731,538] |
|
Net Profit / [Loss] |
[2,327,422] |
[9,189,775] |
[6,923,536] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.55 |
0.59 |
0.57 |
|
QUICK RATIO |
TIMES |
0.18 |
0.21 |
0.24 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.15 |
1.99 |
1.87 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.02 |
1.01 |
0.97 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
124.71 |
111.23 |
103.10 |
|
INVENTORY TURNOVER |
TIMES |
2.93 |
3.28 |
3.54 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
55.74 |
58.07 |
61.25 |
|
RECEIVABLES TURNOVER |
TIMES |
6.55 |
6.29 |
5.96 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
71.47 |
49.32 |
74.47 |
|
CASH CONVERSION CYCLE |
DAYS |
108.98 |
119.98 |
89.88 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
94.19 |
93.82 |
93.02 |
|
SELLING & ADMINISTRATION |
% |
6.27 |
5.97 |
6.28 |
|
INTEREST |
% |
5.49 |
5.37 |
6.91 |
|
GROSS PROFIT MARGIN |
% |
11.50 |
10.33 |
12.44 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
5.23 |
4.36 |
6.15 |
|
NET PROFIT MARGIN |
% |
(0.26) |
(1.01) |
(0.76) |
|
RETURN ON EQUITY |
% |
- |
- |
- |
|
RETURN ON ASSET |
% |
(0.26) |
(1.02) |
(0.74) |
|
EARNING PER SHARE |
BAHT |
(13.85) |
(54.70) |
(44.39) |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
1.36 |
1.35 |
1.36 |
|
DEBT TO EQUITY RATIO |
TIMES |
(3.79) |
(3.88) |
(3.79) |
|
TIME INTEREST EARNED |
TIMES |
0.95 |
0.81 |
0.89 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(1.24) |
0.13 |
|
|
OPERATING PROFIT |
% |
18.51 |
(29.05) |
|
|
NET PROFIT |
% |
74.67 |
(32.73) |
|
|
FIXED ASSETS |
% |
(8.45) |
(6.31) |
|
|
TOTAL ASSETS |
% |
(2.20) |
(3.43) |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is -1.24%. Turnover has decreased from THB
908,380,707.00 in 2011 to THB 897,102,720.00 in 2012. While net profit has
increased from THB -9,189,775.00 in 2011 to THB -2,327,422.00 in 2012. And
total assets has decreased from THB 899,304,087.00 in 2011 to THB
879,561,421.00 in 2012.
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
11.50 |
Impressive |
Industrial
Average |
6.96 |
|
Net Profit Margin |
(0.26) |
Deteriorated |
Industrial
Average |
3.85 |
|
Return on Assets |
(0.26) |
Deteriorated |
Industrial
Average |
4.52 |
|
Return on Equity |
- |
|
Industrial
Average |
8.65 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues after accounting for
the cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The company’s figure is 11.5%. When
compared with the industry average, the ratio of the company was higher,
indicated that company was more profitable than the same industry.
Net Profit Margin is the indicator of the company's efficiency in that
net profit takes into consideration all expenses of the company. A low profit
margin indicates a low margin of safety, higher risk that a decline in sales
will erase profits and result in a net loss. The company's figure is -0.26%.
When compared with the industry average, the ratio of the company was lower.
Return on Assets measures how efficiently profits are being generated
from the assets employed in the business when compared with the ratios of firms
in a similar business. A low ratio in comparison with industry averages
indicates an inefficient use of business assets. When compared with the
industry average, it was lower, the company's figure is -0.26%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
0.55 |
Risky |
Industrial
Average |
1.36 |
|
Quick Ratio |
0.18 |
|
|
|
|
Cash Conversion Cycle |
108.98 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's
figure is 0.55 times in 2012, decreased from 0.59 times, then the company may
not be efficiently using its current assets. When compared with the industry
average, the ratio of the company was lower.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 0.18 times in 2012,
decreased from 0.21 times, then the company has not enough current assets that
presumably can be quickly converted to cash for pay financial obligations.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 109 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
1.36 |
Risky |
Industrial
Average |
0.48 |
|
Debt to Equity Ratio |
(3.79) |
Risky |
Industrial
Average |
0.79 |
|
Times Interest Earned |
0.95 |
Risky |
Industrial
Average |
1.41 |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the
shareholders have committed. A higher the percentage means that the company is
using less equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 0.96 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 1.36 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Uptrend
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.15 |
Impressive |
Industrial Average |
0.50 |
|
Total Assets Turnover |
1.02 |
Satisfactory |
Industrial
Average |
1.21 |
|
Inventory Conversion Period |
124.71 |
|
|
|
|
Inventory Turnover |
2.93 |
Deteriorated |
Industrial
Average |
7.18 |
|
Receivables Conversion Period |
55.74 |
|
|
|
|
Receivables Turnover |
6.55 |
Impressive |
Industrial
Average |
3.43 |
|
Payables Conversion Period |
71.47 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.55 and 6.29 in
2012 and 2011 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2012
increased from 2011. This would suggest the company had good performance in the
management of its debt collections.
Inventory Turnover in Days Ratio indicates the liquidity of inventory.
It estimates the number of days that it will take to sell the current
inventory. Inventory is particularly sensitive to change in business
activities. The inventory turnover in days has increased from 111 days at the
end of 2011 to 125 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 3.28 times in year 2011 to 2.93 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.02 times and 1.01
times in 2012 and 2011 respectively. This ratio is determined by dividing total
assets into total sales turnover. The ratio measures the activity of the assets
and the ability of the firm to generate sales through the use of the assets.
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.15 |
|
|
1 |
Rs.101.92 |
|
Euro |
1 |
Rs.80.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
|
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 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.