MIRA INFORM REPORT

 

 

Report Date :

20.11.2014

 

IDENTIFICATION DETAILS

 

Name :

ADINATH TEX CHEM LIMITED

 

 

Registered Office :

104, Jalaram Terrace Near Kadiwala School Ring Road, Surat-395002, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

19.10.2000

 

 

Com. Reg. No.:

04-38817

 

 

Capital Investment / Paid-up Capital :

Rs.2.925 Millions

 

 

CIN No.:

[Company Identification No.]

U24110GJ2000PLC038817

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

SRTA00244G

 

 

PAN No.:

[Permanent Account No.]

Not Divulged

 

 

Legal Form :

A Closely held public limited liability company.

 

 

Line of Business :

Manufacturer and Supplier of Dyes, Textiles Chemicals and Industrial Fabrics.

 

 

No. of Employees :

65 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 35000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having a satisfactory track record.

 

There seems some dip in the profit of the company during 2013 however net worth of the company is satisfactory. General financial position of the company is normal and acceptable for business dealings.

 

Trade relations are reported as fair. Business is active. Payments are reported to be usually correct.

 

The company can be considered normal for business dealings at usual 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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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

 

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

 

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

 

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

 

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

 

DHL  to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

 

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

 

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

 

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

 

 

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 PARTED BY (GENERAL DETAILS)

 

Name :

Mr. Sunil Jaiswal

Designation :

Marketing Head

Contact No.:

91-261-3131053

Date :

15.11.2014

 

 

LOCATIONS

 

Registered Office :

104, Jalaram Terrace Near Kadiwala School Ring Road, Surat-395002, Gujarat, India

Tel. No.:

91-261-2470473

Mobile No.:

91-9377331489 (Mr. Navin Jain)

Fax No.:

91-261-2473711

E-Mail :

astclsurat@rediffmail.com

ritesh_tulsyan998@yahoo.com

jsomani_ca2001@yahoo.com

accounts@adinathgroup.com

k_dalal@rediffmail.com

Website :

http://www.adinathgroup.com

Area :

3000sq.ft.

Location :

Owned and Commercial

 

 

Factory / Branch Office :

247/29-30, GIDC, Pandesara, Surat-394221, Gujarat, India

Tel. No.:

91-261-2890593/ 289325/ 2470473/ 2470580

Fax No.:

91-261-2473711/ 2891080

E-Mail :

atclgujarat@rediffmail.com

Area :

1300sq.mtr.

Location :

Owned

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Gyanendra Rajendra Jain

Designation :

Director

Address :

104, Jalaram Terrace Near Kadiwala School Ring Road, Surat-395002, Gujarat, India

Date of Birth/Age :

05.09.1968

Qualification :

Graduate

Date of Appointment :

19.10.2000

DIN No.:  

01036498 

 

 

Name :

Mr. Neeraj Rajendra Jain

Designation :

Director

Address :

103, Jalaram Teresh Co-operative Society, Near Kadiwala School, Ring Road, Surat-395002, Gujarat, India

Date of Birth/Age :

04.04.1976

Qualification :

Graduate

Date of Appointment :

31.08.2003

DIN No.:   

01036420 

 

 

Name :

Mr. Navin Manikchand Jain

Designation :

Director

Address :

703, City Park Appartment, Bharatar Road, Surajt-395017, Gujarat, India

Date of Birth/Age :

09.10.1980

Qualification :

Graduate

Date of Appointment :

02.06.2008

DIN No.:    

02204636 

 

 

Name :

Mr. Rajesh Bhagchand Jain

Designation :

Director

Address :

103 Sheela Salasar, Surajt-395017, Gujarat, India

Date of Birth/Age :

09.12.1971

Date of Appointment :

24.05.2013

DIN No.:    

06589365 

 

 

KEY EXECUTIVES

 

Name :

Mr. Sunil Jaiswal

Designation :

Marketing Head

 

 

MAJOR SHAREHOLDERS

 

AS ON 30.09.2013

 

Names of Shareholders

 

No. of Shares

Gyanendra Kumar Jain

177850

Mahendra Patni

100

Minaxi Jain

10700

Sanjay Kumar Jain

5100

Munni Devi Jain

30700

Simpal Jain

5100

Neeraj Kumar Jain

5100

Monika Jain

5000

Madhu Jain

28100

Navin Jian

500

Nathu Lal C Jain  - HUF

12100

Sanjay Kumar Jain (HUF)

200

Padam Kumar Nathulal Jain  - HUF

12000

Total

 

292550

 

AS ON 30.09.2013

 

Equity Shares Break – up

 

Category

Percentage

Bodies corporate

17.00

Directors or relatives of directors

83.00

Total

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Supplier of Dyes, Textiles Chemicals and Industrial Fabrics.

 

 

Products :

·         Bed Linens

·         Bath Linens

·         Restaurant and Conference Linens

·         Hospital Linen

·         Made Up Articles

·         General Fabrics

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

Not Divulged

 

 

Imports :

Not Divulged

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

 

GENERAL INFORMATION

 

Suppliers :

Not Divulged

 

 

Customers :

End Users

 

 

No. of Employees :

65 (Approximately)

 

 

Bankers :

 

Banker Name

Punjab National Bank

Branch Address

Sagrampura Branch, Empire State Building, Udhana Darwaja, Ring Road, Surat 395002, Gujarat, India

Person Name (With Designation)

Not Divulged

Contact Number

Not Divulged

Name of Account Holder

Not Divulged

Account Number

Not Divulged

Account Since (Date/Year of Account Opening)

Not Divulged

Average Balance Maintained (If Possible)

Not Divulged

Credit Facilities Enjoyed (If any)

Cash Credit = RS. 8.500 Millions

Account Operation

Not Divulged

Remarks (If any)

Not Divulged

 

 

Facilities :

SECURED LOAN

 

Particulars

Rs. In Millions

31.03.2013

Rs. In Millions

31.03.2012

Loans Repayable on demand 

 

 

From Banks 

 

 

Punjab National Bank Cash Credit Facility  

8.545

8.202

Total

8.545

8.202

 

Banking Relations :

---

 

 

Auditors :

 

Name :

M.  R. and Company

Chartered Accountant

Address :

B-203, Shree Hari Park, Near Centre Point Building, Sagrampura, Surat-395002, Gujarat, India

 

 

Memberships :

-----

 

 

Collaborators :

-----

 

 

Associates/Subsidiaries :

Not Divulged

 

 

CAPITAL STRUCTURE

 

AS ON 30.08.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

400000

Equity Shares

Rs.10/- each

Rs.4.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

292550

Equity Shares

Rs.10/- each

Rs.2.925 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

2.925

2.925

2.925

(b) Reserves & Surplus

9.491

8.792

7.920

(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)

12.416

11.717

10.845

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

3.150

2.210

6.596

(b) Deferred tax liabilities (Net)

1.295

1.200

1.113

(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)

4.445

3.410

7.709

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

8.545

8.202

2.494

(b) Trade payables

0.507

1.442

0.772

(c) Other current liabilities

0.000

0.000

0.000

(d) Short-term provisions

0.563

0.809

0.105

Total Current Liabilities (4)

9.615

10.453

3.371

 

 

 

 

TOTAL

26.476

25.580

21.925

 

 

 

 

II.    ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

9.518

9.557

9.479

(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

0.050

0.050

0.050

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

1.875

1.868

1.622

(e) Other Non-current assets

0.000

0.000

0.00

Total Non-Current Assets

11.443

11.475

11.151

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

9.498

7.597

6.764

(c) Trade receivables

3.246

3.163

3.159

(d) Cash and cash equivalents

0.363

0.398

0.705

(e) Short-term loans and advances

1.926

2.947

0.146

(f) Other current assets

0.000

0.000

0.000

Total Current Assets

15.033

14.105

10.774

 

 

 

 

TOTAL

26.476

25.580

21.925

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Income

65.577

54.519

34.796

 

 

Other Income

0.045

0.311

0.056

 

 

TOTAL                                     (A)

65.622

54.830

34.852

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Material

47.156

39.465

0.000

 

 

Purchase of Stock in Trade

0.000

0.000

22.766

 

 

Employees Benefits

6.357

5.971

0.000

 

 

Direct Expenses

0.000

0.000

5.719

 

 

Administration Expenses

0.000

0.000

4.496

 

 

Selling and Distribution Expenses

0.000

0.000

0.610

 

 

Changes in inventories of Finished Goods Work in Progress and Stock in trade

(1.901)

(2.598)

(0.654)

 

 

Other Expenses

10.952

8.624

0.000

 

 

TOTAL                                     (B)

62.564

51.462

32.937

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

3.058

3.368

1.915

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

1.481

1.537

0.784

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

1.577

1.831

1.131

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

0.597

0.644

0.612

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

0.980

1.187

0.519

 

 

 

 

 

Less

TAX                                                                  (H)

0.282

0.315

0.214

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

0.698

0.872

0.305

 

 

 

 

 

 

Earnings Per Share (Rs.)

2.39

2.98

1.04

 

 

Particulars

 

 

 

31.03.2014

Sales Turnover (Approximately)

 

 

70.000

 

 

 

 

 

The above information has been parted by Mr. Sunil Jaiswal (Marketing Head).

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Net Profit Margin

(PAT/Sales)

(%)

1.06

1.60

0.88

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

4.66

6.18

5.50

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.71

4.65

2.37

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.08

0.10

0.05

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

0.94

0.89

0.84

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.56

1.35

3.20

 

 

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

2.925

2.925

2.925

Reserves & Surplus

7.920

8.792

9.491

Net worth

10.845

11.717

12.416

 

 

 

 

long-term borrowings

6.596

2.210

3.150

Short term borrowings

2.494

8.202

8.545

Total borrowings

9.090

10.412

11.695

Debt/Equity ratio

0.838

0.889

0.942

 

 

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

34.796

54.519

65.577

 

 

56.682

20.283

 

 

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

34.796

54.519

65.577

Profit

0.305

0.872

0.698

 

0.88%

1.60%

1.06%

 

 

 

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

Yes

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

-----

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

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

No

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 LOAN

 

Particulars

Rs. In Millions

31.03.2013

Rs. In Millions

31.03.2012

From related Parties

 

 

From Directors and Relatives

1.000

2.210

From Corporate Bodies 

2.150

0.000

Total

3.150

2.210

 

 

VIEW INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10468352

03/12/2013

3,585,000.00

INDIAN BANK

BHATAR BRANCH, A-42 JIVKOR NAGAR, NEAR SWAMI VIVE 
KANAND GARDEN, BHATAR ROAD, SURAT, GUJARAT - 395001, INDIA

B92787530

2

10239314

02/07/2011 *

10,000,000.00

PUNJAB NATIONAL BANK

SAGRAMPURA BRANCH, EMPIRE STATE BUILDING, UDHANA 
DARWAJA, RING ROAD, SURAT, GUJARAT - 395002, INDIA

B17219288

 

FIXED ASSETS:

 

·         Air Conditioner

·         Boiler

·         Calencering Machine

·         Checking Table

·         Chimney and Ductmg

·         Car

·         Consumable Stores

·         Computer

·         D.G. Set

·         EPBX SEXT

·         E T Plant

·         Electrification

·         Embrofiary Machine

·         Fax

·         Folding Machine

·         Furniture

·         Gas Connection GGCI

·         Gas Pipe Line

·         Generator

·         Hero Honda

·         Hydro Extractor

·         Jigger Machine

·         Kinetic

·         Machinery

·         Mobile

·         Office Equipments

·         Padding Mangle Mao

·         Revo Joint Sweing

·         S S Jet Dyeing Machine

·         Steamlme

·         Syntel EPXB 521

·         Stitching Machine

·         Tempo Mindoor

·         TVS Victor

·         Trolly

·         Water Container

·         Wate Rpipleling

·         Vehicle

·         Furniture

·         Winch Machine

 

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. 61.82

UK Pound

1

Rs. 96.55

Euro

1

Rs. 77.42

 

 

INFORMATION DETAILS

 

Information Gathered by :

NYA

 

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ASH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--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

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

45

 

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.