IRA INFORM
REPORT
|
Report Date : |
14.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
LEVI STRAUSS (INDIA) PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
No.22, SJR Cyber, 3rd, 4th, 5th, 6th
and 7th Floor, Lasker Hosur Road, Adugodi, Bangalore – 560030,
Karnataka |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
31.03.1994 |
|
|
|
|
Com. Reg. No.: |
08-015448 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 376.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U18101KA1994PTC015448 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
BLRL00282C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACL3092Q |
|
|
|
|
Legal Form : |
Private Limited Liability Company |
|
|
|
|
Line of Business
: |
Manufacturer of readymade garments. |
|
|
|
|
No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca (16) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having a moderate track record. Net worth of the company has been eroded due to continuous accumulated
loss incurred from its operations. However, business is active. Payment terms are reported to be slow. The company can be considered for business dealings on safe and
secured trade terms and conditions. |
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
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of 4.9
%, Fitch Rating said. The global rating agency expects the economy to pick up
in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
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 DECLINED BY
|
Name : |
Mr. Preetham |
|
Designation : |
Business development manager |
|
Contact No.: |
91-9342193324 |
|
Date : |
12.05.2014 |
LOCATIONS
|
Registered Office : |
No.22, SJR Cyber, 3rd, 4th, 5th, 6th
and 7th Floor, Lasker Hosur Road, Adugodi, Bangalore – 560030,
Karnataka, India |
|
Tel. No.: |
Not Available |
|
Mobile No.: |
91-9342193324 (Mr. Preetham) |
|
Fax No.: |
Not Available |
|
E-Mail : |
DIRECTORS
As on 31.10.2013
|
Name : |
Mr. Sanjay Purohit |
|
Designation : |
Managing Director |
|
Address : |
402, Sunrise Apartment, Sai Road, Off Ambedkar Road, Bandra (West),
Mumbai – 400050, Maharashtra, India |
|
Date of Birth/Age : |
14.05.1965 |
|
Date of Appointment : |
26.07.2010 |
|
DIN No.: |
00117676 |
|
|
|
|
Name : |
Mr. Andrew Christian Martin |
|
Designation : |
Director |
|
Address : |
46, Corporation Road, West 01-03, Singapore 269262 |
|
Date of Birth/Age : |
30.07.2013 |
|
Date of Appointment : |
25.10.2008 |
|
|
|
|
Name : |
Mr. Aswathanarayan Rao Gurudutt |
|
Designation : |
Director |
|
Address : |
C-301, Mantri Pride, 1Cross Road, Jayanagar, 1 Block, Bangalore –
560011, Karnataka, India |
|
Date of Birth/Age : |
25.12.1963 |
|
Date of Appointment : |
30.03.2009 |
|
DIN No.: |
02591014 |
|
|
|
|
Name : |
Mr. Walter Ettlin |
|
Designation : |
Director |
|
Address : |
21-01, Armore Park, Singapore 259962 |
|
Date of Birth/Age : |
02.08.1957 |
|
Date of Appointment : |
31.10.2013 |
|
DIN No.: |
06709891 |
KEY EXECUTIVES
|
Name : |
Mr. Preetham |
|
Designation : |
Business development manager |
|
|
|
|
Name : |
Mr. Nandakumar N |
|
Designation : |
Secretary |
|
Address : |
41/1, Meenakshi residency, Phase II, Flat No. G2, Arekere Bannerghatta
Main Road, Bangalore – 560076, Karnataka, India |
|
Date of Birth/Age : |
18.09.1972 |
|
Date of Appointment : |
19.02.2009 |
|
PAN No.: |
AANPN6411D |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.10.2013
|
Names of Shareholders |
|
No. of Shares |
|
Levi Strauss Mauritius Limited, Mauritius |
|
37561500 |
|
Levi Strauss International N A, USA |
|
2 |
|
Total |
|
37561502 |
Equity Share Break up (Percentage of Total Equity)
As on 31.10.2013
|
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 |
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image002.gif)
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of readymade garments. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
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Bankers : |
Not Divulged |
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Facilities : |
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Banking
Relations : |
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Auditors : |
|
|
Name : |
Price Waterhouse Chartered Accountants |
|
Address : |
5th Floor, Tower D The Mellenia 1 and 2 Murphy Road, Ulsoor, Bangalore -560008, Karnataka, India |
|
PAN N Income-tax PAN of auditor or auditor's firm : |
AAEFP3641G |
|
|
|
|
Fellow Subsidiary company: |
· Levi Strauss Asia Pacific Division Pte Limited · Levi Strauss and Company, Australia · Levi and Company, Japan · Levi Strauss and Company, South Africa · Levi Strauss and Company Taiwan · Levi Strauss and Company, Turkey · Levi Strauss and Company USA · Levi's Footwear and Accessories HK Limited |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
50000000 |
Equity Shares |
Rs.10/- each |
Rs. 500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
37561502 |
Equity Shares |
Rs.10/- each |
Rs. 376.000
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 |
376.000 |
376.000 |
376.000 |
|
(b) Reserves & Surplus |
(2891.000) |
(1274.000) |
(1223.000) |
|
(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) |
(2515.000) |
(898.000) |
(847.000) |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
2.000 |
3.000 |
|
(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 |
21.000 |
26.000 |
23.000 |
|
Total
Non-current Liabilities (3) |
21.000 |
28.000 |
26.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
2160.000 |
2090.000 |
1454.000 |
|
(b) Trade payables |
1314.000 |
1500.000 |
1313.000 |
|
(c) Other current liabilities |
494.000 |
222.000 |
175.000 |
|
(d) Short-term provisions |
4.000 |
5.000 |
4.000 |
|
Total
Current Liabilities (4) |
3972.000 |
3817.000 |
2946.000 |
|
|
|
|
|
|
TOTAL |
1478.000 |
2947.000 |
2125.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
25.000 |
34.000 |
37.000 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
1.000 |
|
(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 |
217.000 |
276.000 |
272.000 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
242.000 |
310.000 |
310.000 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
697.000 |
1264.000 |
651.000 |
|
(c) Trade receivables |
315.000 |
1128.000 |
913.000 |
|
(d) Cash and cash equivalents |
158.000 |
162.000 |
174.000 |
|
(e) Short-term loans and
advances |
66.000 |
83.000 |
77.000 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total
Current Assets |
1236.000 |
2637.000 |
1815.000 |
|
|
|
|
|
|
TOTAL |
1478.000 |
2947.000 |
2125.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
|
|
|
|
|
|
Other Income |
|
|
|
|
|
|
TOTAL |
4846.000 |
7415.000 |
5993.000 |
|
|
|
|
|
|
|
|
|
EXPENSES |
|
|
|
|
|
|
|
Office Expenses |
|
|
|
|
|
|
Administrative Expenses |
|
|
|
|
|
|
Advertising Expenses |
|
|
|
|
|
|
TOTAL |
6444.000 |
7293.000 |
6066.000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND EXTRAORDINARY ITEM |
(1598.000) |
122.000 |
(73.000) |
|
|
|
|
|
|
|
|
|
|
DEPRECIATION/
AMORTISATION |
19.000 |
18.000 |
18.000 |
|
|
|
|
|
|
|
|
|
|
EXTRAORDINARY
ITEM |
0.000 |
139.000 |
(6.000) |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
(1617.000) |
(35.000) |
(85.000) |
|
|
|
|
|
|
|
|
|
|
TAX |
0.000 |
(16.000) |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
(1617.000) |
(51.000) |
(85.000) |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(43.05) |
NA |
NA |
|
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image003.gif){kind=small}
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image004.gif){kind=small}
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image005.gif){kind=small}
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(33.37)
|
(0.69) |
(1.42) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(109.40) |
(1.19) |
(4.00) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.64 |
0.04 |
0.10 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
(0.86) |
(2.33) |
(1.72) |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.31 |
0.69 |
0.62 |
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 |
376.000 |
376.000 |
376.000 |
|
Reserves & Surplus |
(1223.000) |
(1274.000) |
(2891.000) |
|
Net
worth |
(847.000) |
(898.000) |
(2515.000) |
|
|
|
|
|
|
long-term borrowings |
3.000 |
2.000 |
0.000 |
|
Short term borrowings |
1454.000 |
2090.000 |
2160.000 |
|
Total
borrowings |
1457.000 |
2092.000 |
2160.000 |
|
Debt/Equity
ratio |
(1.720) |
(2.330) |
(0.859) |
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image007.gif)
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) |
|
Total Income |
5993.000 |
7415.000 |
4846.000 |
|
|
|
23.728 |
(34.646) |
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image009.gif)
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Total Income |
5993.000 |
7415.000 |
4846.000 |
|
Profit |
(85.000) |
(51.000) |
(1617.000) |
|
|
(1.42%) |
(0.69%) |
(33.37%) |
%20PRIVATE%20LIMITED%20-%20265097%2014-May-2014_files/image011.gif)
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 |
No |
|
24] |
Banking facility details |
No |
|
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 |
INDEX OF CHARGES: NO CHARGES EXIST FOR COMPANY
FINANCIAL
PERFORMANCE:
During the Financial Year ended 31st March 2013, the company’s total turnover was of Rs. 4846.000 millions in comparison with the turnover of Rs. 7415.000 millions in the previous year ended 31st March, 2012. There is fall in the revenue Rs. 2569.000 millions. That has resulted in Loss before tax to the tune of Rs. (1617.000) millions.
OPERATION IN
FINANCIAL YEAR 2012-2013:
The Year 2012 has been a turbulent year for the domestic textile and apparel market. GDP for 2012 was low compared to the previous years and range bound between 4.5% to 5.5% mark. Third Quarter which is a significant period for the apparel industry was the lowest, at 4.5%. With the introduction of Excise for the apparel industry in the 2011 Finance Budget, The Company was constrained to increase prices of its products to sustain the cost of this additional burden and the increased input costs. Price increases coupled with low consumer sentiments thus impacted demand in the market place resulting in higher inventories. Additional costs had to be incurred on discounting during the end-of-season sale and on consumer promotions to stimulate demand, significantly impacting profitability of the Company. Similar trends were observed across all key listed apparel brands.
The company during the year had to incur cost to phase out Denizen due to profitability concerns. The P&L and balance sheet for this segment has been significantly impacted since launch. Since the company sees no turnaround, the decision to phase it out had become inevitable. Inventories thus had to be liquidated by running deeper discounts and offering significantly higher margins to the customers. The Company has been able to liquidate its inventories and complete settlements with majority of the trade partners while keeping costs within overall budgets.
The Company has received appreciation from its trade partners for having ensured a smooth exit and the values it exhibited in the market place.
The Company has taken steps in consolidating Levis® Franchisee partners that has helped partners build scale, infrastructure and consequently a profitable business model. This has helped rationalization of margin structures and thereby moving to a risk free sustainable business model for the future.
the Company has strong support from its Parent, LSandCo US considering the potential of the Indian market and the goodwill the Company has earned in the Indian retail market space. LSandCo has confirmed its financial support to enable the company to operate as a going concern.
The Company owes Rs.553.46 Million to LS andCo that is aged and has not been remitted due to the Companies liquidity position. The Company is making all efforts to remit the monies in the next Financial Year.
FUTURE OUTLOOK
The sector contributes about 14 per cent to industrial production, 4 per cent to the gross domestic product (GDP), and 11 per cent to the country’s export earnings. Growth in Indian clothing sector would be primarily driven by the upsurge in the Indian economy coupled with the rising per capita disposable income, says the report. Further developments such as the announcement of 100 per cent FDI in single brand retail is expected to bring about a major change in the retail game. Initiatives taken by the company on buying processes, franchisee consolidation, margin rationalization and building a risk-free business operating model in 2012 should help yield the desired results in 2013.
UNSECURED LOAN
|
PARTICULARS |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
Short-term
borrowings |
|
|
|
Loans repayable on demand from banks |
2092.000 |
2020.000 |
|
Other loans and advances, others |
68.000 |
70.000 |
|
Total |
2160.000 |
2090.000 |
FIXED ASSETS
Tangible assets
· Plant and equipment
· Furniture and fixtures
· Vehicles
· Office equipment
· Other equipments
· Leasehold improvements
Intangible assets
· 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,
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.59.88 |
|
|
1 |
Rs.100.98 |
|
Euro |
1 |
Rs.82.40 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
2 |
|
PAID-UP CAPITAL |
1~10 |
2 |
|
OPERATING SCALE |
1~10 |
2 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
2 |
|
--PROFITABILIRY |
1~10 |
1 |
|
--LIQUIDITY |
1~10 |
2 |
|
--LEVERAGE |
1~10 |
2 |
|
--RESERVES |
1~10 |
1 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--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 |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
16 |
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 |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.