MIRA INFORM REPORT

 

 

Report Date :

02.01.2015

 

IDENTIFICATION DETAILS

 

Name :

RAM-NATH AND COMPANY PRIVATE LIMITED

 

 

Registered Office :

C 16 and 17, Thiru VI Ka Industrial Estate, Guindy Chennai – 600032, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

26.05.1998

 

 

Com. Reg. No.:

18-040557

 

 

Capital Investment / Paid-up Capital :

Rs. 60.000 Millions

 

 

CIN No.:

[Company Identification No.]

U24131TN1998PTC040557

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

AABCR2080F

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Trader and Importer of Industrial chemicals Plastics, Specialties and Food and Nutritional Additives

 

 

No. of Employees :

80 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (47)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 680000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

General financial position of the company is good.

 

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

 

The company can be considered 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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

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

 

 

Rating Agency Name

Not Available

Rating

Not Available

Rating Explanation

Not Available

Date

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

 

Name :

Mr. N Venkateswaran

Designation :

Managing director

Contact No.:

91-44-22502022

Date :

31.12.2014

 

 

LOCATIONS

 

Registered Office :

C 16 and 17, Thiru VI Ka Industrial Estate, Guindy Chennai – 600032, Tamilnadu, India

Tel. No.:

91-44-22502022-25/ 22314754/ 22314755/ 22317883/ 22317884

Mobile No.:

91-9443317500 (Mr. N Venkateswaran)

Fax No.:

91-44-22502021/ 22311395

E-Mail :

chennai@ram-nath.com

Website :

http://www.ram-nath.com

 

 

Branches :

Located at :

 

Ø  Coimbatore

Ø  Vijayawada

Ø  Secunderabad

Ø  Madurai

Ø  Visakhapatnam

Ø  Cochin

Ø  Pondicherry

Ø  Bangalore

 

 

DIRECTORS

 

As on: 30.09.2014

 

Name :

Mr. N Venkateswaran

Designation :

Managing director

Address :

No. 53, (Old No. 24), Bishop Gardens, R A Puram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

01.01.1938

Date of Appointment :

26.05.1998

PAN No.:

AABPV2834N

DIN No.:

00052452

 

 

Name :

Mrs. Vasumathi Rajaram

Designation :

Director

Address :

14, 5th Cross Street, CIT Colony, Chennai - 600004, Tamilnadu, India

Date of Birth/Age :

24.01.1959

Date of Appointment :

28.05.1998

PAN No.:

ABBPV5556A

DIN No.:

00052400

 

 

Name :

Mrs. Sobana Srinivasan

Designation :

Director

Address :

Flat No. 304, 3rd Floor, Padmaja Plaza, Street No. House No. 10-2.279, West Marredpally, Secunderabad – 560026, Andhra Pradesh, India

Date of Birth/Age :

01.06.1972

Date of Appointment :

01.04.2002

PAN No.:

ALEPS8560Q

DIN No.:

00324267

 

 

Name :

Mr. K A Srinivasan

Designation :

Director

Address :

Flat No. 304, 3rd Floor, Padmaja Plaza, House No. 10-2.279, West Marredpally, Secunderabad – 560026, Andhra Pradesh, India

Date of Birth/Age :

28.06.1967

Date of Appointment :

28.01.2001

PAN No.:

ANHPS3951L

DIN No.:

00052421

 

 

Name :

Mr. Venkateswaran Harinarayanan

Designation :

Director

Address :

No. 53, (Old No. 24), Bishop Gardens, R A Puram, Chennai – 600028, Tamilnadu, India

Date of Birth/Age :

07.10.1968

Date of Appointment :

26.05.1998

PAN No.:

AAAPH3900L

DIN No.:

00241720

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 30.09.2014

 

Name of Shareholders

No. of Shares

%age

N Venkateswaranhttp://www.bseindia.com/include/images/clear.gif

855000

14.25

Jaya Venkateswaranhttp://www.bseindia.com/include/images/clear.gif

292500

4.87

V Harinarayanan

855000

14.25

Vasumathi Rajaram

855000

14.25

Gomathi D Sarma

900000

14.99

K A Srinivasan

222750

3.71

Sobana Srinivasan

849750

14.16

Alamelu Balasubramaniam

585000

9.76

Annapoorani Subramaniam

585000

9.76

Total

60,00,000

100.00

 

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 30.09.2014

 

Category

Percentage

Directors or relatives of Directors

100.00

Total

100.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Trader and Importer of Industrial chemicals Plastics, Specialties and Food and Nutritional Additives

 

 

Products :

ITC Code No.

 

Product Descriptions

29031200

Industrial Chemicals, Plastics and Specialties

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Applicable

 

 

Imports :

 

Products :

Raw Material

Countries :
  • Saudi Arabia
  • US
  • Spain
  • Germany
  • South East Asia

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Reliance - Mumbai

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

Customers :

Wholesaler, Retailers, End Users and Others

 

Reference :

Tamilnadu News Print and Paper Limited - Tamilnadu

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

No. of Employees :

80 (Approximately)

 

 

Bankers :

·         DBS Bank Limited, 806, Anna Salai, Chennai - 600002, Tamilnadu, India

·         ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda - 390015, Gujarat, India

·         Axis Bank Limited, 192, Karumuttu Nilayam, Anna Salai, Chennai - 600002, Tamilnadu, India

·         Oriental Bank of Commerce

·         Karur Vysya Bank

 

 

Facilities :

SECURED LOANS

31.03.2014

(Rs. In Millions)

31.03.2013

(Rs. In Millions)

SHORT TERM BORROWINGS

 

 

Working capital loans from banks

553.010

297.959

 

 

 

Total

 

553.010

297.959

 

 

SHORT TERM BORROWINGS

 

ICICI Bank Limited - Cash Credit Secured by first pari-passu charge in bank's favour by way of hypothecation of the borrower's entire stock of raw materials, work-in-process, finished goods, consumable stores and spares, book debts, outstanding monies, receivables both present and future and further secured by first pari-passu charge by way of equitable mortgage of land and building belonging to company at Secunderabad, Coimbatore and Bangalore and landed property of Mr. N Venkateswaran, Managing Director. Also additionally secured by personal guarantee of three Directors of the Company. Axis Bank Limited - Cash Credit Secured by first hypothecation charge on the entire current assets of the company (both present and future) on pari-passu basis with ICICI Bank and DBS Bank. Equitable mortgage charge on land and buildings belonging to the company at Secunderabad, Coimbatore and Bangalore and landed property of Mr. N. Venkateswaran, Managing Director, ranking pari-passu with ICICI Bank. Also additionally secured by the personal guarantee of three Directors of the Company DBS Bank Limited - Buyer's Credit Secured by first pari-passu charge by way of hypothecation of the current assets of the company along with ICICI Bank and Axis Bank. 20% cash margining re-investment mode under bank's lien on the overall working capital of Rs. 270.000 million in bank's favor. Further secured by the personal guarantee of three Directors.

 

 

 

Banking Relations :

 

 

 

Financial Institution :

3i Infotech Trusteeship Services Limited, 3rd to 6th Floor, International Infotech Park, Tower No.5, Vashi Railway Station Complex, Vashi, Navi Mumbai - 400703, Maharashtra, India

 

 

Auditors :

 

Name :

K. S. Jagannathan and Company

Chartered Accountants

Address :

Old No. 3, New No. 10, Bharatih Nagar, II Street, T. Nagar, Chennai – 600017, Tamilnadu, India

PAN :

AAEFK0647F

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Associates :

·         Med Equip

·         Ram – Nath Technology Services Private Limited [U72900TN2007PTC063493]

·         Deccan Organics

·         Rana Investment and Services

 

 

CAPITAL STRUCTURE

 

As on 31.03.2014

 

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

10000000

Equity Shares

Rs. 10/- each

Rs. 100.000 Millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

6000000

Equity Shares

Rs. 10/- each

Rs. 60.000 Millions

 

 

 

 

 

 

FINANCIAL DATA

[All figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2014

31.03.2013

31.03.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

60.000

60.000

60.000

(b) Reserves & Surplus

179.470

153.545

134.117

(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)

239.470

213.545

194.117

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

0.000

0.000

0.476

(b) Deferred tax liabilities (Net)

3.863

3.934

4.560

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.068

Total Non-current Liabilities (3)

3.863

3.934

5.104

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

553.010

297.959

180.833

(b) Trade payables

324.016

207.041

231.889

(c) Other current liabilities

25.121

4.364

2.172

(d) Short-term provisions

0.089

0.096

5.927

Total Current Liabilities (4)

902.236

509.460

420.821

 

 

 

 

TOTAL

1145.569

726.939

620.042

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

63.484

29.403

31.678

(ii) Intangible Assets

0.543

0.525

0.017

(iii) Capital work-in-progress

0.000

27.052

18.044

(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

43.743

37.664

36.182

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

107.770

94.644

85.921

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

62.860

43.687

83.684

(c) Trade receivables

821.375

512.283

386.746

(d) Cash and cash equivalents

129.708

67.832

59.948

(e) Short-term loans and advances

23.548

6.559

3.106

(f) Other current assets

0.308

1.934

0.637

Total Current Assets

1037.799

632.295

534.121

 

 

 

 

TOTAL

1145.569

726.939

620.042

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Income

2772.446

1715.400

1368.200

 

 

Other Income

N.A.

N.A.

N.A.

 

 

TOTAL                                    

N.A

N.A.

N.A.

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

TOTAL                                    

N.A.

N.A.

N.A.

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION

42.564

32.065

36.514

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

4.148

3.664

4.060

 

 

 

 

 

 

PROFIT BEFORE TAX

38.416

28.401

32.454

 

 

 

 

 

Less

TAX                                                                 

12.516

8.974

9.983

 

 

 

 

 

 

PROFIT AFTER TAX

25.900

19.427

22.471

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

0.000

10.726

7.961

 

 

 

 

 

 

Earnings Per Share (Rs.)

4.32

3.24

3.75

 

 

Expected Sales (2014-15): Rs. 3000.000 Millions

 

The above information has been parted by Mr. N. Venkateswaran (Director)

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

0.93

1.13

1.64

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

3.35

4.06

5.39

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.16

0.13

0.17

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

2.31

1.40

0.93

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.15

1.24

1.27

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Millions)

(Rs. In Millions)

(Rs. In Millions)

Share Capital

60.000

60.000

60.000

Reserves & Surplus

134.117

153.545

179.470

Net worth

194.117

213.545

239.470

 

 

 

 

long-term borrowings

0.476

0.000

0.000

Short term borrowings

180.833

297.959

553.010

Total borrowings

181.309

297.959

553.010

Debt/Equity ratio

0.934

1.395

2.309

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Millions)

(Rs. In Millions)

(Rs. In Millions)

Sales

1368.200

1715.422

2772.446

 

 

25.378

61.619

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Millions)

(Rs. In Millions)

(Rs. In Millions)

Sales

1368.200

1715.422

2772.446

Profit

22.471

19.427

25.900

 

1.64%

1.13%

0.93%

 

 

 

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 last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

Yes

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

Yes

18]

Major customers

Yes

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

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

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

 

 

PERFORMANCE:

 

The working results during the year. There was an increase of 62 % in Sales (Current year’s turnover Rs 2772.400 million against Rs 1715.400 Millions). There is an increase of 32% in Profits before tax and extraordinary items which has gone up by Rs 10.500 million. The net profit after providing for taxes is Rs.25.900 million.

 

The effort taken by the company in the previous year to have strategic alliances with overseas suppliers has been rewarded. They are able to expand business from the industrial segments to Animal Feed and Nutrition. The company is also planning to expand its business in Human health and Nutrition products in the current year. They are confident that we would pursue the companies Vision by staying true to Values

 

 

CHANGE OF ADDRESS:

 

The registered office of the company has been shifted from 38, Cathedral Road, Chennai – 600086, Tamilnadu, India to the present w.e.f.24.04.2006

 

 

BACKGROUND

 

Subject was incorporated on 26th May 1998. The Company is a dealer in Industrial Chemicals, plastics and specialties.

 

INDEX OF CHARGES:

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10412220

18/03/2013

309,600,000.00

DBS BANK LIMITED

806, ANNA SALAI, CHENNAI, TAMIL NADU - 600002, INDIA

B70916184

2

10312432

16/05/2014 *

351,200,000.00

ICICI BANK LIMITED

LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA

C05875240

3

10167604

20/03/2013 *

235,000,000.00

AXIS BANK LIMITED

192, KARUMUTTU NILAYAM,, ANNA SALAI, CHENNAI, TAMIL NADU - 600002, INDIA

B72631393

 

* Date of charge modification

 

 

 

FIXED ASSETS:

 

·         Land

·         Buildings

·         Other building

·         Plant and equipment

·         Other plant and equipment

·         Furniture and fixtures

·         Vehicles

·         Motor vehicles

·         Office equipment

·         Computer equipments

·         Other equipments

·         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, 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.63.32

UK Pound

1

Rs.98.63

Euro

1

Rs.76.60

 

 

INFORMATION DETAILS

 

Information Gathered by :

DPA

 

 

Analysis Done by :

DIV

 

 

Report Prepared by :

MTN

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILITY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--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

 

47

 

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.