MIRA INFORM REPORT

 

 

Report No. :

307905

Report Date :

16.02.2015 

 

IDENTIFICATION DETAILS

 

Name :

KALPATARU COSMETICS PRIVATE LIMITED

 

 

Registered Office :

100A, Kavi Sukanta Sarani, Koley Biscuit Compound, Kolkata – 700 085, West Bengal

 

 

Country :

India

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

03.06.2010

 

 

Com. Reg. No.:

21-150176

 

 

Capital Investment / Paid-up Capital :

Rs.1.040 millions

 

 

CIN No.:

[Company Identification No.]

U24233WB2010PTC150176

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Subject is a wholesale distributor of products of Johnson and Johnson Limited, L'Oréal India Private Limited, Marico Limited and other products.

 

 

No. of Employees :

50 (Approximately) 

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (29)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 56000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is a company with limited operational history having moderate track.

 

Management has failed to file its latest financials of FY 14, with the statutory authorities.

 

As per available, the company possesses a moderate financial profile marked by modest networth base along with high working capital intensive operations, which may act as a threat to the liquidity.

 

Moreover, management has also reported a minimal net profitability during FY 14. 

 

However, trade relations seem to be fair. Business is active. Payment terms are unknown.

 

In view of lack of recent financials, the company can be considered for business dealings with caution.

 

NOTES :

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

 

ECGC Country Risk Classification List – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

NOT AVAILABLE

 

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. Rajiv

Designation :

Accounts Manager

Contact No.:

91-9051617177

Date :

13.02.2015

 

 

LOCATIONS

 

Registered Office/ Warehouse :

100A, Kavi Sukanta Sarani, Koley Biscuit Compound, Kolkata – 700 085, West Bengal, India

Tel. No. :

91-33-23639030

Mobile No. :

91-9874025010 (Mr. Abhay)

91-9051617177 (Mr. Rajiv)

Fax No. :

Not Available

E-Mail :

rajeev@kalpatarugroup.co

amitav@kalpatarugroup.co

 

 

DIRECTORS

 

AS ON 30.09.2013

 

Name :

Mr. Amitav Agarwal

Designation :

Director

Address :

414, New Alipore, Block G, 1st Floor, Kolkata – 700 053, West Bengal, India

Date of Birth/Age :

29.04.1977

Date of Appointment :

03.06.2010

DIN No. :

02656963

PAN No.:

ADCPA3840P

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U51909WB2005PTC106223

KALPATARU VANIJYA PRIVATE LIMITED

Director

02/12/2009

02/12/2009

-

Active

NO

2

U51109WB2008PTC123315

TANDHAN EXIM PRIVATE LIMITED

Director

18/05/2010

18/05/2010

16/02/2011

Active

NO

3

U24233WB2010PTC150176

KALPATARU COSMETICS PRIVATE LIMITED

Director

03/06/2010

03/06/2010

-

Active

NO

4

U74990WB2009PTC134838

VIVAN DISTRIBUTION AND MARKETING PRIVATE LIMITED

Director

25/11/2010

25/11/2010

-

Active

NO

5

U93000WB2013PTC198100

SAMAIRA WEALTH ADVISORY PRIVATE LIMITED

Additional director

22/08/2014

25/10/2013

-

Active

NO

 

 

Name :

Mr. Vikash Bairagara

Designation :

Director

Address :

2nd Floor, Block C, 63, Bangur Avenue, Kolkata – 700 055, West Bengal, India

Date of Birth/Age :

05.10.1977

Date of Appointment :

17.06.2010

DIN No. :

02657002

PAN No.:

AFOPB8328M

Other Directorship :

 

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U51909WB2005PTC106223

KALPATARU VANIJYA PRIVATE LIMITED

Director

02/12/2009

02/12/2009

-

Active

NO

2

U24233WB2010PTC150176

KALPATARU COSMETICS PRIVATE LIMITED

Director

17/06/2010

17/06/2010

-

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Rajiv

Designation :

Accounts Manager

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2013

 

Names of Shareholders

 

No. of Shares

Percentage of holding

Ashok Kumar Jalan

5000

4.81

Instyle Commercial Private Limited, India

2600

2.50

Amitav Agarwal

54300

52.21

Vikash Bairagara

33700

32.40

Unicon Tradelinks Private Limited, India

4400

4.23

Prudent Vanijya Private Limited, India

4000

3.85

Total

104000

100.00

 

 

AS ON 30.09.2013

 

Equity Share Break up (Percentage of Total Equity)

 

Category

Percentage of Holding

Bodies corporate

10.58

Directors or relatives of Directors

89.42

Total

100.00

 

                 

BUSINESS DETAILS

 

Line of Business :

Subject is a wholesale distributor of products of Johnson and Johnson Limited, L'Oréal India Private Limited, Marico Limited and other products.

 

 

Products :

·         Cosmetics

·         Perfumes

·         Scents

·         Sprays

·         Nail Polish

·         Fragrances

·         Powders

·         Lavenders

·         Tooth Pastes

·         Tooth Powders

·         Hair Oils

·         Herbals

·         Creams

·         Pomades

·         Ayurvedic and Intermediates

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Available

 

 

Imports :

Not Available

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit 

 

PRODUCTION STATUS – NOT AVAILABLE

 

GENERAL INFORMATION

 

Suppliers :

Reference :

L'Oréal India Private Limited, Kolkata

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Customers :

Reference :

Pramod Store, Kolkata

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

No. of Employees :

50 (Approximately) 

 

 

Bankers :

Banker Name

HDFC Bank Limited

Branch Address

Kolkata, West Bengal, 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)

Not Divulged

Account Operation

Not Divulged

Remarks (If any)

Not Divulged

 

·         HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai – 400 013, Maharashtra, India          

·         Standard Chartered Bank, SME Banking, 19, N S Road, Kolkata – 700 001, West Bengal, India  

·         ICICI Bank Limited

 

 

Facilities :

SECURED LOANS

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

LONG TERM BORROWINGS

 

 

Term Loan from Others

 

 

HDFC Car Loan - Honda City

0.536

0.000

Cholamandalam Investment and Finance Company Limited

(Secured against TATA 407)

(Of the above no is guaranteed by Director and/or Others)

0.021

0.262

SHORT TERM BORROWINGS

 

 

Cash Credit from Standard Chartered Bank

(Secured against hypothecation of Stock, Book Debts, Fixed Deposits and Personal Guarantee of Directors)

30.753

15.201

Total

31.310

15.463

 

Notes:

 

LONG TERM BORROWINGS

 

* Terms of Repayment

TATA 407

(Rs. In Millions)

Honda City

(Rs. In Millions)

Amount Financed

0.640

0.858

Period of Maturity

10.04.2014

07.12.2015

No. of Instalments due

13

33

Amount of Instalments due

0.282

0.934

Applicable Rate of Interest

6.15%

11.5%

 

There had been no default or continuing default as on the Balance Sheet Date in repayment of loans and interest.

 

SHORT TERM BORROWINGS

 

* Terms of Repayment

Amount

 (Rs. In Millions)

Amount Financed

30.000

Applicable Rate of Interest

B+4.25%

 

Banking Relations :

--

 

 

Financial Institutions :

Cholamandalam Investment and Finance Company Limited

 

 

Auditors :

 

Name :

A. Mitruka and Company

Chartered Accountants

Address :

86, Lala Babu Shire Road, Belur, Kolkata – 711 202, West Bengal, India

Tel. No. :

91-33-32997543

Mobile No. :

91-9331041683

E-Mail :

ajay.mitruka@gmail.com

PAN No.:

AEIPM6288G

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Associates/ Subsidiaries :

Not Available

 

 

CAPITAL STRUCTURE

 

AFTER 30.09.2013

 

Authorised Capital : Rs.2.000 millions

 

Issued, Subscribed & Paid-up Capital : Rs.1.840 millions

 

AS ON 30.09.2013

 

Authorised Capital :

No. of Shares

Type

Value

Amount

200000

Equity Shares

Rs.10/- each

Rs.2.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

104000

Equity Shares

Rs.10/- each

Rs.1.040 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

1.040

1.040

0.930

(b) Reserves & Surplus

11.240

9.819

3.776

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

7.300

0.000

0.000

Total Shareholders’ Funds (1) + (2)

19.580

10.859

4.706

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

0.557

0.262

0.000

(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

0.000

0.000

0.000

Total Non-current Liabilities (3)

0.557

0.262

0.000

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

44.790

23.933

14.995

(b) Trade payables

0.389

1.773

14.366

(c) Other current liabilities

1.605

0.847

8.439

(d) Short-term provisions

1.003

0.330

0.155

Total Current Liabilities (4)

47.787

26.883

37.955

 

 

 

 

TOTAL

67.924

38.004

42.661

 

 

 

 

II.      ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

1.977

1.190

0.728

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

0.095

0.095

0.095

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

2.072

1.285

0.823

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

12.580

9.411

9.037

(c) Trade receivables

42.721

16.736

9.275

(d) Cash and cash equivalents

5.652

6.337

4.438

(e) Short-term loans and advances

4.894

4.235

19.088

(f) Other current assets

0.005

0.000

0.000

Total Current Assets

65.852

36.719

41.838

 

 

 

 

TOTAL

67.924

38.004

42.661

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2013

31.03.2012

31.03.2011

 

SALES

 

 

 

 

 

Gross Income

NA

NA

59.851

 

 

Other Income

NA

NA

NA

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

NA

NA

NA

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

NA

NA

1.036

 

 

 

 

 

Less

FINANCIAL EXPENSES                        

NA

NA

0.309

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

NA

NA

0.727

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION        

NA

NA

0.116

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX

2.093

0.982

0.611

 

 

 

 

 

Less

TAX                                                                 

0.672

0.330

0.155

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX

1.421

0.652

0.456

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

1.108

0.456

0.000

 

 

 

 

 

 

BALANCE CARRIED TO THE B/S

2.529

1.108

0.456

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

15.28

7.01

4.91

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2013

31.03.2012

31.03.2011

Return on Total Assets

(PBT/Total Assets}

(%)

3.08

2.58

1.43

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.11

0.09

0.13

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

2.32

2.23

3.19

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.38

1.37

1.10

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

 

DEBT EQUITY RATIO

 

Particular

31.03.2011

31.03.2012

31.03.2013

 

(INR in Mlns.)

(INR in Mlns.)

(INR in Mlns.)

Share Capital

0.930

1.040

1.040

Reserves & Surplus

3.776

9.819

11.240

Money received against share warrants

0.000

0.000

0.000

Share Application money pending allotment

0.000

0.000

7.300

Net worth

4.706

10.859

19.580

 

 

 

 

Long Term borrowings

0.000

0.262

0.557

Short Term borrowings

14.995

23.933

44.790

Total borrowings

14.995

24.195

45.347

Debt/Equity ratio

3.186

2.228

2.316

 

 

 

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

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for one year

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

Yes

18]

Major customers

Yes

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

Yes

29]

Last accounts filed at ROC

No

30]

Major Shareholders, if available

Yes

31]

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

Yes

32]

PAN of Proprietor/Partner/Director, if available

Yes

33]

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

No

34]

External Agency Rating, if available

No

 

 

UNSECURED LOANS

 

PARTICULAR

31.03.2013

(Rs. In Millions)

31.03.2012

(Rs. In Millions)

SHORT TERM BORROWINGS

 

 

Loans and Advances from Others

 

 

Atibir Media Infobytes Private Limited

2.047

0.000

Sri Sitala Minerals Garinders Private Limited

1.555

0.000

Nalikul Private Limited

0.000

1.000

Sungrow Agencies Private Limited

0.000

2.073

Subhdata Commosale Private Limited

2.313

4.146

Vaastava Vinimay Private Limited

1.622

1.513

Bimlok Exports Private Limited

2.750

0.000

Sapphire Securities Private Limited

1.750

0.000

Jene Commercial Private Limited

2.000

0.000

Total

14.037

8.732

 

Notes:

 

(Of the above no amount is guaranteed by Director and / or Others)

 

There are no conditions stipulated for the repayment of loans and interest thereon.

 

There had been no default or continuing default as on the Balance Sheet Date in repayment of interest.

 

INDEX OF CHARGES

 

S.

No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10546984

29/01/2015

85,000,000.00

HDFC BANK LIMITED

HDFC BANK HOUSE, SENAPATI BAPAT MARG, LOWER PAREL (WEST), MUMBAI, MAHARASHTRA - 400013, INDIA

C42413153

2

10496837

30/04/2014

175,000,000.00

STANDARD CHARTERED BANK

SME BANKING, 19, N S ROAD, KOLKATA, WEST BENGAL - 700001, INDIA

C05246483

3

10264241

12/03/2014 *

55,000,000.00

STANDARD CHARTERED BANK

SME BANKING, 19, N S ROAD, KOLKATA, WEST BENGAL - 700001, INDIA

C05245634

 

* Date of charge modification

 

 

FIXED ASSETS

 

·         Electrical Fittings

·         Motor Vehicles

·         Computer

·         Furniture and Fixtures

·         Office Equipment

 

 

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 records 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 records 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.62.14

UK Pound

1

Rs.95.78

Euro

1

Rs.71.05                                 

 

 

INFORMATION DETAILS

 

Information Gathered by :

DIP

 

 

Analysis Done by :

SUB

 

 

Report Prepared by :

SMN

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

3

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

-- PROFITABILITY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

29

 

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.