MIRA INFORM REPORT

 

 

Report No. :

305499

Report Date :

31.01.2015

 

IDENTIFICATION DETAILS

 

Name :

HARMAN INTERNATIONAL (INDIA) PRIVATE LIMITED

 

 

Registered Office :

Prestige Technology Park, Jupiter (2A) Block, Sarjapur, Marathahalli Ring Road, Kadubeesanahalli Village, Bangalore – 560 103, Karnataka

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

05.01.2009

 

 

Com. Reg. No.:

08-048794

 

 

Capital Investment / Paid-up Capital :

Rs.495.572 millions

 

 

CIN No.:

[Company Identification No.]

U72200KA2009PTC048794

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

BLRH04664C

 

 

PAN No.:

[Permanent Account No.]

AACCH1585J

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Subject is in the business of providing software development and related professional services and also engaged in manufacturing and trading of Audio, Infotainment and Other Electronic Products.

 

 

No. of Employees :

300 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (26)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 990000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track.

 

The company has incurred a loss from its operations during 2014.

 

However, trade relations are fair. Business is active. Payment terms are reported to be slow but correct.

 

The company can be considered for business dealings with some cautions

 

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 (GENERAL DETAILS)

 

Name :

Mr. Chandrashekhar

Designation :

Accounts Department

Contact No.:

91-20-30810000

 

 

LOCATIONS

 

Registered Office :

Prestige Technology Park, Jupiter (2A) Block, Sarjapur, Marathahalli Ring Road, Kadubeesanahalli Village, Bangalore – 560 103, Karnataka, India

Tel. No.:

91-80-43306451/ 43306000

Mobile No.:

91-9972811445 (Mr. T R Narayan)

Fax No.:

91-80-40976808

E-Mail :

financeindia@harman.com

info@harman.com

Rekha.Fogla@harman.com

Website :

http://www.harman.in

 

 

Factory/ Branch Office 1 :

ICC Devi Gaurav Technology Park, Site No.191 to 195, Old Bombay-Pune Road, Pimpri-Waghere, Pimpri, Pune – 411 018, Maharashtra, India

Tel. No.:

91-20-30810000

 

 

Warehouse:

G T No. 339/1/1B, Village Malunge, Khed, Pune – 410501, Maharashtra, India

 

 

Branch Office:

Old Bombay, Pune Road, Nasik Phata, Survey No 191, to 411018 Pimpri Waghere, Pune , Maharashtra, India

 

 

Branch Office :

Also located at:

 

·         Bangalore

·         Delhi

·         Mumbai

 

 

DIRECTORS

 

As on 30.09.2014

 

Name :

Mr. Muthuswami Lakshminarayan

Designation :

Managing Director

Address :

No.389 and 390, II Cross, 16th Main, III Block, Koramangala, Bangalore – 560 034, Karnataka, India

Date of Birth/Age :

07.09.1946

Date of Appointment :

08.04.2013

DIN No.:

00064750

 

 

Name :

Mr. Sachin Surendra Lawande

Designation :

Director

Address :

6804, Didrikson LN, Woodridge, United States of America 60517

Date of Birth/Age :

27.04.1967

Date of Appointment :

16.02.2009

DIN No.:

02250161

 

 

Name :

Mr. Balasubramanian Somaskandan Iyer

Designation :

Alternate directors

Address :

No. 475, 8th Main, NGEF Layout Sadanand Nagar, Byappanahalli, Bangalore – 560038, Karnataka, India

Date of Birth/Age :

13.10.1949

Date of Appointment :

29.07.2014

DIN No.:

02810730

 

 

KEY EXECUTIVES

 

Name :

Mr. Chandrashekhar

Designation :

Accounts Department

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.09.2014

 

Names of Shareholders

 

No. of Shares

Harman Industries Holding Mauritius Limited, Mauritius

49557213

Herman Financial Group LLC, USA

1

Total

49557214

 

Equity Share Break up (Percentage of Total Equity)

 

As on 30.09.2014

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

100.00

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is in the business of providing software development and related professional services and also engaged in manufacturing and trading of Audio, Infotainment and Other Electronic Products.

 

 

Products/ Services :

Item Code No. (ITC Code)

8518

Product Description

Loudspeakers

Item Code No. (ITC Code)

8543

Product Description

Processors

Item Code No. (ITC Code)

8523

Product Description

Software development and support services

Item Code No. (ITC Code)

8518

Product Description

Car Aftermarket

Item Code No. (ITC Code)

8518

Product Description

Headphones

Item Code No. (ITC Code)

8527

Product Description

Home Audio

Item Code No. (ITC Code)

8518

Product Description

Multimedia

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

Not Divulged

 

 

Imports :

Not Divulged

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

PRODUCTION STATUS NOT AVAILABLE

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Not Divulged

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 :

Reference :

Not Divulged

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 :

3000 (Approximately)

 

 

Bankers :

Bank Name

HDFC Bank Limited

Branch

Bangalore, Karnataka, 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

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

BSR and Company

Chartered Accountants 

Address :

B-152, Dayanand Colony, Lajpat Nagar-IV , New Delhi, India

PAN N Income-tax PAN of auditor or auditor's firm :

AAKFB1884H

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Holdings Company:
  • Harman Industries Holding Mauritius Limited (w.e.f 15th December, 2011)
  • Harman International Industries Inc, (till 14th December, 2011)

 

 

Ultimate holding company:

Harman International Industries Inc.

 

 

Fellow Subsidiaries:
  • Harman Becker Automotive Systems Inc.
  • Harman Becker Automotive Systems GmbH
  • Harman Professional Inc. (Harman Music Group)
  • AKG Acoustics GmbH
  • Studer Professional Audio GmbH
  • Harman Professional Inc. (Crown International)
  • Harman Consumer Inc.
  • Harman International Industries Inc. (AHA)
  • Harman International Industries Limited (Soundcraft)
  • Harman International S'pore Pte Limited (Harman Consumer Asia)
  • Harman International (China) Holdings Co. Limited (Harman Consumer China)
  • Harman International Industries Inc. (Harman Consumer Americas)
  • Harman International Industries Inc. Netherlands (Hci-Jbl International)
  • Harman Professional Inc. (Loudspeaker)
  • Harman International japan Co Limited (Lifestyle - Japan)

 

 

CAPITAL STRUCTURE

 

As on 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

50000000

Equity Shares

Rs.10/- each

Rs.500.000 millions

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

49557214

Equity Shares

Rs.10/- each

Rs.495.572 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

495.572

495.572

9.476

(b) Reserves & Surplus

(148.586)

(20.048)

(14.183)

(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)

346.986

475.524

(4.707)

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

718.680

0.000

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

38.536

17.232

6.784

Total Non-current Liabilities (3)

757.216

17.232

6.784

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

918.750

0.000

0.000

(b) Trade payables

1092.120

1010.177

0.000

(c) Other current liabilities

322.212

487.375

165.487

(d) Short-term provisions

29.487

15.553

6.084

Total Current Liabilities (4)

2362.569

1513.105

171.571

 

 

 

 

TOTAL

3466.771

2005.861

173.648

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

162.779

101.913

42.356

(ii) Intangible Assets

47.142

61.002

0.673

(iii) Capital work-in-progress

36.499

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)

35.728

6.219

5.033

(d)  Long-term Loan and Advances

394.379

117.700

25.827

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

676.527

286.834

73.889

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

545.395

1007.033

0.125

(c) Trade receivables

1445.274

530.568

20.984

(d) Cash and cash equivalents

673.924

76.870

19.146

(e) Short-term loans and advances

49.664

63.205

18.494

(f) Other current assets

75.987

41.351

41.010

Total Current Assets

2790.244

1719.027

99.759

 

 

 

 

TOTAL

3466.771

2005.861

173.648

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Revenue from operation

3844.544

1544.866

450.842

 

 

Other Income

 

0.166

 

 

 

TOTAL                                     (A)

3844.544

1545.032

450.842

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Purchases of stock in trade

1543.879

448.678

 

 

Changes in inventory of stock in trade

 

(1006.907)

 

 

 

Employee benefits expense

 

486.877

 

 

 

Other expenses

 

526.590

 

 

 

TOTAL                                     (B)

4013.813

(including financial expenses and depreciation)

 

1550.439

448.678

(including financial expenses and depreciation)

 

 

 

 

 

Less

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

 

(5.407)

 

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

 

0.000

 

 

 

 

 

 

 

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

 

(5.407)

 

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

 

44.194

 

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX (E-F)                (G)

(169.269)

(49.601)

2.164

 

 

 

 

 

Less

TAX                                                                  (H)

(29.508)

4.873

(0.468)

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX (G-H)                  (I)

(139.761)

(54.474)

2.632

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Revenue from software development services

 

669.338

449.174

 

 

Revenue from support services

 

 

 

 

TOTAL EARNINGS

NA

669.338

449.174

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Stores & Spares

NA

NA

NA

 

 

Capital Goods

NA

NA

NA

 

TOTAL IMPORTS

NA

NA

NA

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

(2.82)

(1.10)

2.78

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Total income)

(%)

(3.64)

(3.53)

0.58

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

NA

(0.35)

NA

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(4.99)

(2.48)

1.28

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.49)

(0.10)

(0.46)

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

4.72

0.00

0.00

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.18

1.14

0.58

 

 

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

9.476

495.572

495.572

Reserves & Surplus

(14.183)

(20.048)

(148.586)

Net worth

(4.707)

475.524

346.986

 

 

 

 

long-term borrowings

0.000

0.000

718.680

Short term borrowings

0.000

0.000

918.750

Total borrowings

0.000

0.000

1637.430

Debt/Equity ratio

0.000

0.000

4.719

 

 

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)

Total Income

450.842

1545.032

3844.544

 

 

242.699

148.833

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Millions)

(Rs. In Millions)

(Rs. In Millions)

Total Income

450.842

1545.032

3844.544

Profit

2.632

(54.474)

(139.761)

 

0.58%

(3.53%)

(3.64%)

 

 

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

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

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

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

 

Notes:

·         The registered office of the company has been shifted from Unit No.301, 3rd Floor, Campus 3B of The Project, Ecospace, Outer Ring Road, Bangalore – 560 037, Karnataka to the present address w.e.f. 19.12.2013.

·          

·         No Charges Exist for Company.

 

BACKGROUND

 

Subject is a private limited company incorporated under the provisions of the Companies Act, 1956 on January 5, 2009. The Company is in the business of providing software development and related professional services to its group companies. It also renders marketing and after sales support services for the products sold by the distributors of the group companies. During the financial year 2012-13, the Company commenced trading operations in India, whereby the Company has now made available the professional and lifestyle related products to dealers. The Company is in the process of setting up a manufacturing facility at Pune to cater to the needs of the customers in the Infotainment segment. Commercial production from this facility is expected to commence in the next financial year.

 

The Company is a subsidiary of Harman Industries Holding Mauritius Limtied (?the holding company?). It derives its service revenue primarily from software development and marketing support services rendered to Harman International Industries Inc., USA (?the ultimate holding company?) and fellow subsidiaries. Revenue from sale of products is primarily generated from trading operations with various third party customers.

 

UNSECURED LOAN

 

PARTICULARS

31.03.2014

(Rs. in Millions)

31.03.2013

(Rs. in Millions)

Long-term Borrowings

 

 

Rupee term loans from others

718.680

0.000

0Short-term borrowings

 

 

Rupee term loans from banks

918.750

0.000

Total

1637.430

0.00

 

CONTINGENT LIABILITIES:

 

(Rs. in millions)

PARTICULARS

31.03.2014

 

 

Bank guarantees

28.478

Liability towards 'C'-forms for inter state sales carried out by the Company

147.543

 

FIXED ASSETS

 

Tangible assets

 

  • Furniture and fixtures
  • Vehicles
  • Office equipment
  • Computer equipments
  • Other equipments
  • Leasehold improvements

 

Intangible assets

 

  • Goodwill
  • 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 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.61.76

UK Pound

1

Rs.93.13

Euro

1

Rs.70.03

 

 

INFORMATION DETAILS

 

Information Gathered by :

DIP

 

 

Analysis Done by :

RAS

 

 

Report Prepared by :

KVT

 

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

3

--PROFITABILITY

1~10

2

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

2

--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

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

26

 

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.