MIRA
INFORM REPORT
|
Report Date : |
15.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
ASIA KRAFT PAPER CO., LTD. |
|
|
|
|
Registered Office : |
99
Moo 5, Rama
2 Road, T. Tasai, A. Muang, Samutsakorn 74000, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
05.04.1985 |
|
|
|
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Com. Reg. No.: |
0745528000053 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged
in manufacturing, distributing and
exporting of Kraft
papers, including rolled
papers and corrugated
papers |
|
|
|
|
No. of Employees |
260 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No complaints |
|
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) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND ECONOMIC OVERVIEW
With a well-developed infrastructure,
a free-enterprise economy, generally pro-investment policies, and strong export
industries, Thailand achieved steady growth due largely to industrial and
agriculture exports - mostly electronics, agricultural commodities, automobiles
and parts, and processed foods. Unemployment, at less than 1% of the labor
force, stands as one of the lowest levels in the world, which puts upward
pressure on wages in some industries. Thailand also attracts nearly 2.5 million
migrant workers from neighboring countries. The Thai government in 2013
implemented a nation-wide 300 baht ($10) per day minimum wage policy and
deployed new tax reforms designed to lower rates on middle-income earners. The
Thai economy has weathered internal and external economic shocks in recent
years. The global economic recession severely cut Thailand's exports, with most
sectors experiencing double-digit drops. In late 2011 Thailand's recovery was
interrupted by historic flooding in the industrial areas in Bangkok and its
five surrounding provinces, crippling the manufacturing sector. The government
approved flood mitigation projects worth $11.7 billion, which were started in
2012, to prevent similar economic damage, and an additional $75 billion for
infrastructure over the following seven years. This was expected to lead to an
economic upsurge but growth has remained slow, in part due to ongoing political
unrest and resulting uncertainties. Spending on infrastructure will require
re-approval once a new government is seated
|
Source
: CIA |
Company name
ASIA KRAFT
PAPER CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 99
MOO 5, RAMA
2 ROAD, T. TASAI,
A.
MUANG, SAMUTSAKORN 74000,
THAILAND
TELEPHONE : [66] 34
423-506-9, 34 822-333-4
FAX
: [66] 34
422-599
E-MAIL
ADDRESS : akpc-con@akpc.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1985
REGISTRATION
NO. : 0745528000053
TAX
ID NO. : 3751002033
CAPITAL REGISTERED : BHT. 1,500,000,000
CAPITAL PAID-UP : BHT.
1,117,500,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SOMCHAI MAHASIRI
THAI
MANAGING DIRECTOR
AND MARKETING
MANAGER
NO.
OF STAFF : 260
LINES
OF BUSINESS : KRAFT
PAPERS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was established
on April 5, 1985
as a private
limited company under the
registered name ASIA
KRAFT PAPER CO.,
LTD., by Thai group,
the Mahasiri family, with
the business objective to manufacture
Kraft papers for
both domestic and
international markets. It
currently employs approximately
260 staff.
The
subject’s registered address
is 99 Moo
5, Rama 2
Road, T. Tasai, A. Muang,
Samutsakorn
74000, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Somchai Mahasiri |
[x] |
Thai |
57 |
|
Mr. Thienchai Mahasiri |
|
Thai |
- |
|
Mrs. Dusanee Mahasiri |
[x] |
Thai |
54 |
AUTHORIZED PERSON
One of the
mentioned directors [x] can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Somchai Mahasiri is
the Managing Director
and Marketing Manager.
He is Thai
nationality with the
age of 57
years old.
Mrs. Dusanee Mahasiri is
the Administration and
Personnel Manager.
She is Thai
nationality with the
age of 54
years old.
Mr. Damrong Samprueksri is
the Production Manager.
He is Thai
nationality.
Mr. Vorachai Wanchana is
the Factory Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject
is engaged in
manufacturing, distributing and
exporting of Kraft
papers, including rolled
papers and corrugated
papers.
PRODUCTION CAPACITY
200 tons
per annum
PURCHASE
Raw
materials; paper pulps,
paper scrap and chemical
are purchased from
suppliers both domestic
and overseas, in
Japan, Singapore, India
and Republic of
China.
MAJOR
SUPPLIER
Sangfar
Co., Ltd. : Thailand
SALES
90% of the
products is sold
locally, and the
remaining 10% is
exported to
Hong Kong, Singapore,
Taiwan, Malaysia, Republic
of China, Sweden
and India.
MAJOR CUSTOMERS
A S A Container Co.,
Ltd. : Thailand
A S A Boxboard Container
Co., Ltd. : Thailand
RELATED AND AFFILIATED
COMPANIES
B B Container Co.,
Ltd.
Business Type :
Manufacturer and distributor
of corrugated paper
boxes
A S A Container Co.,
Ltd.
Business Type :
Manufacturer and distributor
of corrugated paper
boxes
A S A Boxboard Container Co.,
Ltd.
Business Type :
Manufacturer and distributor
of corrugated paper
boxes
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
for the past
two years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
T/T.
Exports are against
L/C at sight.
BANKING
Bangkok
Bank Public co.,
Ltd.
[Rajawongse
Branch, 245-249 Rajawongse Road,
Samphantawong, Bangkok]
Kasikornbank
Public Co., Ltd.
EMPLOYMENT
The
subject currently employs
approximately 260 staff.
LOCATION DETAILS
The
premise is owned for
administrative office, factory
and warehouse at the heading
address. Premise is
located in provincial.
COMMENT
The
subject was formed in
1995 as a manufacturer, distributor
and exporter of
Kraft paper. Its
products are for
industrial users. Subject’s
sales had increased
in line with
a rapidly growth
of various industries
in the past
several years. However,
its current sales
are likely slow
from economic uncertainties
and slow industrial
expansion.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 100,000,000 divided
into 10,000 shares of
Bht. 10,000 each
with fully paid.
The
capital was increased
later as follows:
Bht. 300,000,000 on December
18, 1997
Bht. 600,000,000 on March
23, 2000
Bht. 990,000,000 on August
9, 2001
Bht. 1,500,000,000
on March 30, 2011
The
latest registered capital
was increased to
Bht. 1,500,000,000 divided
into 15,000,000 shares
of Bht. 100 each,
with the current
paid-up at Bht.
1,117,500,000.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Somchai Mahasiri Nationality: Thai Address : 11/1
Soi Phattanawet 7,
Sukhumvit Road,
Klongton, Klongtoey, Bangkok
|
14,722,999 |
98.15 |
|
Mrs. Dusanee Mahasiri Nationality: Thai Address : 11/1
Soi Phattanawet 7,
Sukhumvit Road,
Klongton, Klongtoey, Bangkok
|
270,000 |
1.80 |
|
Mr. Thienchai Mahasiri Nationality: Thai Address : 202
Moo 1, Petchkasem
Road, Bangwha,
Pasicharoen, Bangkok |
5,000 |
0.03 |
|
Mr. Maythas Mahasiri Nationality: Thai Address : 11/1
Soi Phattanawet 7,
Sukhumvit Road,
Klongton, Klongtoey, Bangkok
|
1,000 |
0.01 |
|
Master Metin Mahasiri Nationality: Thai Address : 11/1
Soi Phattanawet 7,
Sukhumvit Road,
Klongton, Klongtoey, Bangkok
|
1,000 |
0.01 |
|
Ms. Meruedee Mahasiri Nationality: Thai Address : 11/1
Soi Phattanawet 7,
Sukhumvit Road,
Klongton, Klongtoey, Bangkok
|
1 |
- |
Total Shareholders : 6
Share Structure [as
at April 30,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
15,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
6 |
15,000,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Nattapong Poomee No. 3325
BALANCE SHEET [BAHT]
The latest financial figures published
as at December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
110,822,350.94 |
64,865,237.27 |
85,986,942.42 |
|
Short-term Investments |
241,071,637.30 |
50,116,153.84 |
35,000,000.00 |
|
Trade Accounts &
Other Receivable |
649,780,741.95 |
1,005,513,799.26 |
1,067,053,190.52 |
|
Inventories |
473,084,205.66 |
410,992,779.26 |
481,672,806.03 |
|
Other Current Assets
|
64,075,063.46 |
98,754,261.46 |
137,655,329.24 |
|
|
|
|
|
|
Total Current Assets
|
1,538,833,999.31 |
1,630,242,231.09 |
1,807,368,268.21 |
|
|
|
|
|
|
Fixed Assets |
1,106,967,099.34 |
1,119,715,342.92 |
975,271,098.23 |
|
Other Non - current Assets |
10,000.00 |
889,300.00 |
889,300.00 |
|
Total Assets |
2,645,811,098.65 |
2,750,846,874.01 |
2,783,528,666.44 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts & Other
Payable |
425,155,842.24 |
445,443,911.53 |
398,579,825.81 |
|
Accrued Expenses |
- |
- |
25,034,718.98 |
|
Accrued Income Tax |
16,965,551.01 |
19,498,685.88 |
2,247,310.95 |
|
Other Current Liabilities |
5,022,319.60 |
6,250,492.05 |
4,981,812.97 |
|
|
|
|
|
|
Total Current Liabilities |
447,143,712.85 |
471,193,089.46 |
430,843,668.71 |
|
Long-term Loan from Financial Institutions |
- |
215,442,500.00 |
397,898,750.00 |
|
Total Liabilities |
447,143,712.85 |
686,635,589.46 |
828,742,418.71 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, and issued share capital
15,000,000 shares |
1,500,000,000.00 |
1,500,000,000.00 |
1,500,000,000.00 |
|
|
|
|
|
|
Capital Paid |
1,117,500,000.00 |
1,117,500,000.00 |
1,117,500,000.00 |
|
Retained Earning Unappropriated |
1,081,167,385.80 |
946,711,284.55 |
837,286,247.73 |
|
Total Shareholders' Equity |
2,198,667,385.80 |
2,064,211,284.55 |
1,954,786,247.73 |
|
Total Liabilities & Shareholders' Equity |
2,645,811,098.65 |
2,750,846,874.01 |
2,783,528,666.44 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
3,402,350,790.99 |
3,812,621,671.01 |
3,550,620,813.58 |
|
Gain on Exchange Rate |
- |
15,158,248.33 |
4,201,616.76 |
|
Other Income |
8,938,230.08 |
4,438,138.66 |
- |
|
Total Revenues |
3,411,289,021.07 |
3,832,218,058.00 |
3,554,822,430.34 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
3,153,707,323.06 |
3,597,685,892.96 |
3,412,966,271.76 |
|
Selling Expenses |
29,778,883.13 |
32,528,248.49 |
30,180,873.67 |
|
Administrative Expenses |
58,184,262.79 |
54,204,183.20 |
68,012,980.67 |
|
Total Expenses |
3,241,670,468.98 |
3,684,418,324.65 |
3,511,160,126.10 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
169,618,552.09 |
147,799,733.35 |
43,662,304.24 |
|
Financial Costs |
[1,189,001.63] |
[4,987,536.97] |
[8,609,474.07] |
|
Profit / [Loss] before Income
Tax |
168,429,550.46 |
142,812,196.38 |
35,052,830.17 |
|
Income Tax |
[33,973,449.21] |
[33,387,159.56] |
[10,884,200.63] |
|
|
|
|
|
|
Net Profit / [Loss] |
134,456,101.25 |
109,425,036.82 |
24,168,629.54 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.44 |
3.46 |
4.19 |
|
QUICK RATIO |
TIMES |
2.24 |
2.38 |
2.76 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.07 |
3.40 |
3.64 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.29 |
1.39 |
1.28 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
54.75 |
41.70 |
51.51 |
|
INVENTORY TURNOVER |
TIMES |
6.67 |
8.75 |
7.09 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
69.71 |
96.26 |
109.69 |
|
RECEIVABLES TURNOVER |
TIMES |
5.24 |
3.79 |
3.33 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
49.21 |
45.19 |
42.63 |
|
CASH CONVERSION CYCLE |
DAYS |
75.25 |
92.77 |
118.58 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
92.69 |
94.36 |
96.12 |
|
SELLING & ADMINISTRATION |
% |
2.59 |
2.27 |
2.77 |
|
INTEREST |
% |
0.03 |
0.13 |
0.24 |
|
GROSS PROFIT MARGIN |
% |
7.57 |
6.15 |
4.00 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
4.99 |
3.88 |
1.23 |
|
NET PROFIT MARGIN |
% |
3.95 |
2.87 |
0.68 |
|
RETURN ON EQUITY |
% |
6.12 |
5.30 |
1.24 |
|
RETURN ON ASSET |
% |
5.08 |
3.98 |
0.87 |
|
EARNING PER SHARE |
BAHT |
12.03 |
9.79 |
2.16 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.17 |
0.25 |
0.30 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.20 |
0.33 |
0.42 |
|
TIME INTEREST EARNED |
TIMES |
142.66 |
29.63 |
5.07 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(10.76) |
7.38 |
|
|
OPERATING PROFIT |
% |
14.76 |
238.51 |
|
|
NET PROFIT |
% |
22.88 |
352.76 |
|
|
FIXED ASSETS |
% |
(1.14) |
14.81 |
|
|
TOTAL ASSETS |
% |
(3.82) |
(1.17) |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is -10.76%. Turnover has decreased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
7.57 |
Deteriorated |
Industrial
Average |
22.78 |
|
Net Profit Margin |
3.95 |
Impressive |
Industrial
Average |
0.93 |
|
Return on Assets |
5.08 |
Impressive |
Industrial
Average |
1.09 |
|
Return on Equity |
6.12 |
Impressive |
Industrial
Average |
2.77 |
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 7.57%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company may have problems with control over its costs.
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 3.95%,
higher figure when compared with those of its average competitors in the same
industry, indicated that business was an efficient operator in a dominant position within its industry.
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. Return on Assets ratio is 5.08%, higher figure when compared
with those of its average competitors in the same industry, indicated that
business was an efficient profit in a dominant position within its industry.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. Return on Equity ratio is 6.12%, higher figure when compared
with those of its average competitors in the same industry, indicated that
business was an efficient profit in a
dominant position within its industry.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
3.44 |
Impressive |
Industrial
Average |
1.33 |
|
Quick Ratio |
2.24 |
|
|
|
|
Cash Conversion Cycle |
75.25 |
|
|
|
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 3.44 times in 2013, decreased from 3.46 times, then it is generally
considered to have good short-term financial strength. When compared with the
industry average, the ratio of the company was higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 2.24 times in 2013,
decreased from 2.38 times, although excluding inventory so the company still
have good short-term financial strength.
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 76 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.17 |
Impressive |
Industrial
Average |
0.60 |
|
Debt to Equity Ratio |
0.20 |
Impressive |
Industrial
Average |
1.49 |
|
Times Interest Earned |
142.66 |
Impressive |
Industrial
Average |
- |
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 lower the percentage means that the company is
using less leverage and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 142.66 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.17 less than 0.5, most of the company's
assets are financed through equity.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
3.07 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.29 |
Impressive |
Industrial
Average |
1.17 |
|
Inventory Conversion Period |
54.75 |
|
|
|
|
Inventory Turnover |
6.67 |
Impressive |
Industrial
Average |
6.40 |
|
Receivables Conversion Period |
69.71 |
|
|
|
|
Receivables Turnover |
5.24 |
Impressive |
Industrial
Average |
4.78 |
|
Payables Conversion Period |
49.21 |
|
|
|
The company's Account Receivable Ratio is calculated as 5.24 and
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 42 days at the
end of 2012 to 55 days at the end of 2013. This represents a negative trend.
And Inventory turnover has decreased from 8.75 times in year 2012 to 6.67 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.29 times and 1.39
times in 2013 and 2012 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 Stable
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.84 |
|
|
1 |
Rs.98.72 |
|
Euro |
1 |
Rs.78.64 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
NIS |
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.