MIRA INFORM REPORT

 

 

Report No. :

324765

Report Date :

05.06.2015

 

IDENTIFICATION DETAILS

 

Name :

JYOTI (INDIA) METAL INDUSTRIES PRIVATE LIMITED

 

 

Registered Office :

223, Kaliandas Udyog Bhavan, S.H. Tandel Marg, Near Century Bazar, Worli, Mumbai – 400 025, Maharashtra

Tel. No.:

91-22-24325500

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

27.09.1996

 

 

Com. Reg. No.:

11-102939

 

 

Capital Investment / Paid-up Capital :

Rs. 13.984 Million

 

 

CIN No.:

[Company Identification No.]

U26900MH1996PTC102939

 

 

IEC No.:

Not  Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMJ08997C

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer and Importer of Kitchen Sinks.

 

 

No. of Employees :

150 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (48)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

 

Maximum Credit Limit :

USD 870000

 

 

Status :

Satisfactory

 

 

Payment Behavior :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

General financial position of the company seems to be sound and healthy. Profitability of the company is fair.

 

Trade relations are fair. Business is active. Payments 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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 31-03-2012.

 

 

INFORMATION PARTED DENIED DECLINED BY

 

Name :

Ms. Meena

Designation :

Finance Executive

Contact No.:

91-22-2431550

Date :

28.05.2015

 

 

LOCATIONS

 

Registered Office :

223, Kaliandas Udyog Bhavan, S.H. Tandel Marg, Near Century Bazar, Worli, Mumbai – 400 025, Maharashtra, India

Tel. No.:

91-22-24325500

Fax No.:

91-22-24362543

E-Mail :

accounts@nirali.com

sales@nirali.com

nirali@nirali.com

Website :

www.nirali.com

www.niralisinks.com

Location :

Owned

 

 

Factory:

Village Shelvali, Palghar-Manor Road, Palghar (East), District Thane – 401 404, Maharashtra, India

Tel. No.:

91-22-24315500 (10 Lines)

Fax No.:

91-22-24362543

E-Mail:

niralisink@vsnl.com

nirali@nirali.com

 

 

Designer Gallery :

Shop No.2, Mansarovar Bulding, Oppsoite, Vijay Sales, Near Standard Charterd Bank, S.V Road, Santacrauz (west), Mumbai – 400054, Maharashtra, India 

Tell No.:

91-22-32424874/26499874

 

 

Branch Office:

F-28/4 Ground Floor, Okhal Industries area Phase II, New Delhi -110020, India

Tell No.:

91-11-322233092

Email:

niralidelhi@nirali.com

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Mr. Bhailal Ratanshi Gada

Designation :

Director

Address :

Flat No.701, Nirant, 7th Floor, 520, Adanwala Road, Matunga, Mumbai – 400 019, Maharashtra, India

Date of Birth/Age :

12.07.1961

Qualification :

HSC

Date of Appointment :

27.09.1996

Din No.:

00701044

 

 

Name :

Mr. Navin Ratanshi Gada

Designation :

Director

Address :

701, Royal Grace, Lokmanya Tilak Marg No.2, Dadar, Mumbai – 400 014, Maharashtra, India

Date of Birth/Age :

09.01.1956

Qualification :

B.Sc

Date of Appointment :

27.09.1996

Din No.:

00651876

 

 

Name :

Mr. Shrenik Navin Gada

Designation :

Director

Address :

701, Royal Grace, Lokmanya Tilak Marg No.2, Dadar, Mumbai – 400 014, Maharashtra, India

Date of Birth/Age :

05.12.1986

Date of Appointment :

29.09.2012

Din No.:

03477853                                                                                                                                                                                                                                                                                                           

 

 

Name :

Mr. Sarang Bhailal Gada

Designation :

Director

Address :

701, Royal Grace, Lokmanya Tilak Marg No.2, Dadar, Mumbai – 400 014, Maharashtra, India

Date of Birth/Age :

28.01.1991

Date of Appointment :

01.12.2013

Din No.:

06733812

 

 

KEY EXECUTIVES

 

Name :

Ms. Meena

Designation :

Finance Executive

 

 

Name :

KN and Associates

Designation :

Company Secretaries

Address :

208, 2nd Floor, G wing, Dr. Babasaheb Ambedkar Nagar CHS, Behind Kamgar Stadium, Elphinston Road (West), Mumbai – 400013, Maharashtra, India

Tel No.:

91-22-24310413/24381857

Email:

vaibhav@kncs.net

mayura@kncs.net

Website:

www.kncs.net

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2014

 

Names of Shareholders

No. of Shares

%age holding

Bhailal Ratanshi Gada

434496

31.07

Navin Ratanshi Gada

434496

31.07

Leena Navin Gada

15300

1.09

Rita Bhailal Gada

15300

1.09

Sumedha Trading Private Limited, India

352480

25.21

Natasha Real Estate and Developers Private Limited, India

146300

10.46

Total

1398372

100.00

 

 

 

 

Equity Share Break up (Percentage of Total Equity)

 

AS ON 30.09.2014

 

Category

Percentage

Bodies corporate

35.67

Directors or relatives of Directors

64.33

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Importer of Kitchen Sinks.

 

 

Products :
  • Kitchen Sinks
  • Kitchenware equipments
  • Below sinks
  • Non stick cooker
  • Non stick pan
  • Dosa Tawa

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Available

 

 

Imports :

 

Products :

Semi Finished Sinks

Countries :
  • China
  • Italy

 

 

Terms :

 

Selling :

Cash and Credit

 

 

Purchasing :

Cash and Credit

 

 

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 :

Wholesalers, Retailers and End Users

 

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 :

150 (Approximately)

 

 

Bankers :

 

Bank Name

The Saraswat Co-Operative Bank Limited

Branch

Kanchwala Building, Opposite Old Passport Office, Dr. A B Road, Worli, Mumbai – 400030, Maharashtra, 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

 

  • Citi Bank N.A., Trent House, 2nd Floor, G Block, Plot No.C60, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051, Maharashtra, India
  • ICICI Bank Limited

 

 

 

Auditors :

 

Name :

Chetan N. Dedhia

Chartered Accountant

Address :

48, Patwa Chambers, 104/108, Clive Road, Masjid Bunder, Mumbai – 400 009, Maharashtra, India

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

AACPD8235C

 

 

Memberships :

----

 

 

Collaborators :

----

 

 

Related Party :

LN Engineering Private Limited

 

 

CAPITAL STRUCTURE

 

AS ON 30.09.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

2000000

Equity Shares

Rs.10/- each

Rs. 20.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1398372

Equity Shares

Rs.10/- each

Rs.13.984 Million

 

 

 

 

 

 

ABRIDGED BALANCE SHEET

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

 

 

SOURCES OF FUNDS

 

31.03.2014

31.03.2013

31.03.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

13.984

15.206

5.979

(b) Reserves & Surplus

291.554

252.775

264.175

(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)

305.538

267.981

270.154

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

178.792

153.469

131.352

(b) Deferred tax liabilities (Net)

4.633

6.264

6.824

(c) Other long term liabilities

0.337

0.337

0.000

(d) long-term provisions

7.402

5.718

5.783

Total Non-current Liabilities (3)

191.164

165.788

143.959

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

135.463

65.174

44.879

(b) Trade payables

10.837

5.120

25.068

(c) Other current liabilities

9.950

8.351

5.071

(d) Short-term provisions

3.934

17.082

3.421

Total Current Liabilities (4)

160.184

95.727

78.439

 

 

 

 

TOTAL

656.886

529.496

492.552

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

55.985

55.353

53.172

(ii) Intangible Assets

7.997

9.538

11.228

(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

0.535

0.035

0.035

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

8.761

3.296

3.169

(e) Other Non-current assets

0.000

8.187

9.083

Total Non-Current Assets

73.278

76.409

76.687

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

87.538

119.186

112.008

(c) Trade receivables

153.582

147.196

132.345

(d) Cash and cash equivalents

96.779

68.373

54.194

(e) Short-term loans and advances

237.753

110.872

113.109

(f) Other current assets

7.956

7.460

4.209

Total Current Assets

583.608

453.087

415.865

 

 

 

 

TOTAL

656.886

529.496

492.552

 

 

 

PROFIT & LOSS ACCOUNT

 

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

 

 

 

 

 

TOTAL INCOME

697.481

685.433

643.030

 

 

 

 

 

Less

TOTAL EXPENSES

597.140

595.143

618.073

 

 

 

 

 

 

PROFIT BEFORE TAX

100.341

90.290

24.957

 

 

 

 

 

Less

TAX                                                                 

34.669

30.994

(3.379)

 

 

 

 

 

 

PROFIT AFTER TAX

65.672

59.296

28.336

 

 

 

 

 

 

Earnings Per Share (Rs.)

46.96

42.40

20.26

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2014

31.03.2013

31.03.2012

Current Maturities of Long term debt

NA

NA

NA

Cash generated from operations

NA

NA

NA

 

 

 

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

 

 

31.03.2015

Sales Turnover

 

 

750.000

 

The above information has been parted by Ms Meena (Finance Executive)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin
(PAT / Sales)

(%)

9.42

8.65

4.41

 

 

 

 

 

Net Profit Margin

(PBT/Sales)

(%)

14.39

13.17

3.88

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

15.29

17.05

5.07

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.33

0.34

0.09

 

 

 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 

1.03

0.82

0.65

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

3.64

4.73

5.30

 

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

 

DEBT EQUITY RATIO

 

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

5.979

15.206

13.984

Reserves & Surplus

264.175

252.775

291.554

Money received against share warrants

0.000

0.000

0.000

Share Application money pending allotment

0.000

0.000

0.000

Net worth

270.154

267.981

305.538

 

 

 

 

Long-term borrowings

131.352

153.469

178.792

Short term borrowings

44.879

65.174

135.463

Total borrowings

176.231

218.643

314.255

Debt/Equity ratio

0.652

0.816

1.029

 

 

 

 

 

 

YEAR-ON-YEAR GROWTH

 

 

Year on Year Growth

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

643.030

685.433

697.481

 

 

6.594

1.758

 

 

 

NET PROFIT MARGIN

 

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

643.030

685.433

697.481

Profit

28.336

59.296

65.672

 

4.41%

8.65%

9.42%

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report (Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

No

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

No

12

Voter Id Card No. of Proprietor / Partners

No

13

Type of business

Yes

14

Line of Business

Yes

15

Export/import details (if applicable)

Yes

16

No. of employees

Yes

17

Details of sister concerns

Yes

18

Major suppliers

No

19

Major customers

No

20

Banking Details

Yes

21

Banking facility details

Yes

22

Conduct of the banking account

--

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last four  years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

No

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

No

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

NOTE:

 

Registered office of the company has been shifted from 914, Electron House, Sadanand Hasu Tandale  Marg, Worli, Mumbai -  400 025, Wumbai - 400 014, Maharashtra, India to 223, Kaliandas Udyog Bhavan, S.H. Tandel Marg, Near Century Bazar, Worli, Mumbai – 400 025, Maharashtra, India (w.e.f. 04.02.2011 )

 

 

UNSECURED LOAN

 

Unsecured Loan

31.03.2014

(Rs. in Million)

31.03.2013

(Rs. in Million)

Long-term Borrowings

 

 

Bonds

178.792

153.469

 

 

 

Short-term borrowings

 

 

Loans and advances from related parties

 

 

From directors

107.412

44.113

From shareholders

28.051

21.061

 

 

 

Total

314.255

218.643

 

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10274483

10/03/2011

28000000

CITIBANK N. A.

TRENT HOUSE, 2ND FLOOR, G BLOCK, PLOT NO.C60, BAN
DRA KURLA COMPLEX, BANDRA (E), MUMBAI, Maharashtra
- 400051, INDIA

B08570285

2

10274204

10/02/2011

15000000

THE SARASWAT CO-OPERATIVE BANK LMITED

SME -Dadar Branch Popatlal Niwas, 1st Floor ,Rana
de Road Dadar (West), Mumbai, Maharashtra - 400028
, INDIA

B08160020

3

10233790

29/06/2010

71000000

THE SARASWAT CO-OPERATIVE BANK LMITED

Worli Branch, Kanchwala Building,, Old Post Offic
e Road, Dr. A.B. Road, Worli,, Mumbai, Maharashtra
- 400030, INDIA

A89070858

4

10225627

14/05/2010

24000000

THE SARASWATH CO-OPERATIVE BANK LMITED

Worli Branch, Kanchwala Building,, Old Post Offic
e Rd, Dr. A B Rd, Worli,, Mumbai, Maharashtra - 40
0030, INDIA

A87891503

5

10213441

31/03/2010

10000000

The Saraswat Cooperative Bank Lmited

Woril Branch, Kanchwala Bldg, Dr Annie Beasant Rd,
Opp Old Passport Office, Worli, Mumbai, Maharashtra - 400030, INDIA

A83701334

6

10180777

30/06/2011

28000000

CITIBANK N. A.

TRENT HOUSE, 2ND FLOOR, G BLOCK, PLOT NO.C60, BAN
DRA KURLA COMPLEX, BANDRA (E), MUMBAI, Maharashtra
- 400051, INDIA

B16583627

7

80040941

04/01/2008

35000000

THE SARASWAT CO-OPERATIVE BANK LIMITED

KANCHWALA BUILDING, OPP. OLD PASSPORT OFFICE, DR. A. B. ROAD WORLI, MUMBAI, Maharashtra - 400030,
INDIA

A32211138

 

 

FIXED ASSETS

 

  • Land
  • Industrial Premises
  • Office Premises
  • Building
  • Plant and Machinery
  • Electrical Installation
  • Dies
  • Design and Drawings
  • Technical Knowhow
  • Marketing Network
  • Goodwill
  • Furniture at display centre
  • Furniture and Fixtures
  • Vehicles
  • Xerox Machine
  • Miscellaneous Equipments
  • Spares
  • Fax
  • Computers
  • Air Condition
  • Air Condition (D C)

 

 

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 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.63.89

UK Pound

1

Rs.97.97

Euro

1

Rs.71.81

 

 

INFORMATION DETAILS

 

Information Gathered by :

KMN

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

DDD

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

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

 

48

 

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 unfavorable 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.