MIRA INFORM REPORT

 

 

Report No. :

327807

Report Date :

23.06.2015

 

IDENTIFICATION DETAILS

 

Name :

PENGG USHA MARTIN WIRES PRIVATE LIMITED

 

 

Registered Office :

2A, Shakespeare Srani, Kolkata-700071, West Bengal

Tel. No.:

91-033-39800300

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

31.05.2006

 

 

Com. Reg. No.:

21-109694

 

 

Capital Investment / Paid-up Capital :

Rs.380.000 Million

 

 

IEC No.:

Not Available

 

 

CIN No.:

[Company Identification No.]

U27106WB2006PTC109694

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CALP06744D

 

 

PAN No.:

[Permanent Account No.]

AADCP9007G

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing of Oil Tempered Wires and Copper Coated Wires.

 

 

No. of Employees :

Information declined by the management

 

 

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 1000000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a joint venture between Joh. Pengg AG, Austria and Usha Martin Limited, India and was established during the year 2006. It is engaged in the business of manufacturing of tempered round and shaped spring steel wires and all other types of steel wires. It has a moderate track record.

 

For the financial year ended 2014, the company has an average operational performance. In comparison with previous year it has earned some profit during this year, which has helped wiping off some of its accumulated losses.

 

Further, due to accumulated losses incurred over past it has slow done the net worth of the company and also has leverage balance sheet profile.

 

However, trade relations are reported as fair. Business is active. Payments terms are slow but correct.

 

In view of leverage balance sheet profile, Company can be considered for business 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 – 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 31-03-2013.

 

 

INFORMATION DENIED

 

Management Non Co-operative (Tel No.:91-33-39800300)

 

 

LOCATIONS

 

Registered Office :

2A, Shakespeare Srani, Kolkata-700071, West Bengal, India

Tel. No.:

91-33-39800300

Fax No.:

91-33-39800400

E-Mail :

kalyanc@ushamartin.co.in

Website :

www.wire-pengg.com

 

 

Factory  :

Tatisilwal, Ranchi-835 103, Jharkhand, India

Tel. No.:

91-651-3053900

Fax No.:

91-651-3054180

 

 

DIRECTORS

 

As on 21.07.2014

 

Name :

Mr. Alexander Phillipp

Designation :

Director

Address :

St. Veiterstrasse 11, Graz A8045, Austria

Date of Birth/Age :

30.10.1966

Date of Appointment :

31.05.2006

DIN No.:

00698236

 

 

Name :

Mr. Ashok Kumar Somani

Designation :

Director

Address :

11/ A-6, Aasha Co- operative Society Limited, 93, deshpran Sasmal Road, Kolkata-700033, West Bengal, India

Date of Birth/Age :

09.08.1954

Date of Appointment :

28.01.2010

DIN No.:

00357550

 

 

Name :

Mr. Ashutosh Dixit

Designation :

Director

Address :

A-1-B, Bel Air, Apartments Main Road, Ranchi – 834001, Jharkhand, India

Date of Birth/Age :

30.07.1970

Date of Appointment :

28.09.2013

DIN No.:

06678944

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

U27106WB2006PTC109694

PENGG USHA MARTIN WIRES PRIVATE LIMITED

Director

28/09/2013

16/07/2013

-

Active

NO

2

U22219WB1989PLC047715

NEUTRAL PUBLISHING HOUSE LTD

Director

13/03/2015

13/03/2015

-

Active

NO

 

 

Name :

Mr Stefan Winter

Designation :

Director

Address :

A-8642, Welzerstrabe 6, ST, Lowernzen IM, Murztal, Austria

Date of Birth/Age :

09.08.1970

Date of Appointment :

28.09.2013

DIN No.:

06683042

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

U27106WB2006PTC109694

PENGG USHA MARTIN WIRES PRIVATE LIMITED

Director

28/09/2013

16/07/2013

-

Active

NO

 

 

Name :

Mr. Manish Agarwal

Designation :

Secretary

Address :

EC-68, Sector, I, Salt Lake, Kolkata – 700064, West Bengal, India

Date of Birth/Age :

14.02.1987

Date of Appointment :

01.11.2013

PAN No.:

AHXPA8328B

 

 

MAJOR SHAREHOLDERS

 

As on 21.07.2014

 

Names of Shareholders

 

No. of Shares

Joh Pengg Ag, Austria

Equity

16200000

Usha Martin Limited, West Bengal, India

Equity

10800000

Total

 

27000000

 

 

 

Joh Pengg Ag, Austria

Preference

660000

Usha Martin Limited, West Bengal, India

Preference

440000

Total

 

1100000

 

 

As on 21.07.2014

 

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

60.00

Bodies corporate

40.00

Total

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of Oil Tempered Wires and Copper Coated Wires.

 

 

Products :
  • Steel Spring Wire

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Available

 

 

Imports :

Not Available

 

 

Terms :

Not Available

 

 

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 :

Information declined by the management

 

 

Bankers :

Bank Name

Yes Bank Limited

Branch

9th Floor, Nehru Centre Discovery of India, Dr. Annie Besant Road, Worli, Mumbai – 400018, Maharasahtra, 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

 

  • Punjab National Bank, 52A, Shakspeare Sarani, Kolkata-700 017, West Bengal, India

 

 

Facilities :

Secured Loan

31.03.2014

(Rs. in Million)

31.03.2013

(Rs. in Million)

Long-term Borrowings

 

 

Rupee Term Loans from Banks

35.000

70.000

 

 

 

Short-term borrowings

 

 

Working Capital loans from Banks

55.262

72.770

 

 

 

Total

90.262

142.770

 

 

 

Auditors :

 

Name :

U Naraina and Company

Chartered Accountants

Address :

301, Commerce Tower, Opposite Gel. Church Complex, India

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

AAAFU2548M

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Associates :
  • Usha Martin Limited India L31400WB1986PLC091621

 

 

 

Holding company
  • Joh Pengg Ag Austria

 

 

CAPITAL STRUCTURE

 

As on 21.07.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

28000000

Equity Shares

Rs.10/- each

Rs.280.000 Million

1200000

Preference Shares

Rs.10/- each

Rs.120.000 Million

 

Total

 

Rs.400.000 Million

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

27000000

Equity Shares

Rs.10/- each

Rs.270.000 Million

1100000

Preference Shares

Rs.100/- each

Rs.110.000 Million

 

Total

 

Rs.380.000 Million

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

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

380.000

380.000

380.000

(b) Reserves & Surplus

(15.768)

(56.983)

(49.217)

(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)

364.232

323.017

330.783

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

137.780

153.299

105.000

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

6.843

12.716

2.135

(d) long-term provisions

7.918

5.999

0.000

Total Non-current Liabilities (3)

152.541

172.014

107.135

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

55.262

72.770

72.026

(b) Trade payables

148.345

107.577

92.336

(c) Other current liabilities

48.168

48.995

60.975

(d) Short-term provisions

7.300

0.490

2.127

Total Current Liabilities (4)

259.075

229.832

227.464

 

 

 

 

TOTAL

775.848

724.863

665.382

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

398.433

438.507

406.326

(ii) Intangible Assets

0.209

0.214

0.553

(iii) Capital work-in-progress

0.018

0.018

13.174

(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

21.024

12.858

2.896

(e) Other Non-current assets

6.843

11.521

2.477

Total Non-Current Assets

426.527

463.118

425.426

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

114.363

107.017

102.642

(c) Trade receivables

183.137

116.761

96.530

(d) Cash and cash equivalents

0.391

0.488

0.665

(e) Short-term loans and advances

26.756

32.286

40.119

(f) Other current assets

24.674

5.193

0.000

Total Current Assets

349.321

261.745

239.956

 

 

 

 

TOTAL

775.848

724.863

665.382

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

Income

629.185

431.820

 

Other Income

1.226

1.568

 

 

TOTAL

630.411

433.388

396.034

 

 

 

 

 

Less

EXPENSES

 589.196

441.154 

 380.950

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX

41.215

(7.766)

15.084

 

 

 

 

 

Less

TAX

0.000

0.000

0.000

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX 

41.215

(7.766)

15.084

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD 

(56.983)

(49.217)

(64.301)

 

 

 

 

 

 

Balance Carried to the B/S

(15.768)

(56.983)

(49.217)

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

 1.08

0.20

 1.16

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2014

31.03.2013

31.03.2012

Current Maturities of Long term debt

35.000

35.000

30.000

Cash generated from operations

NA

NA

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

6.55


(1.80)

3.81

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

5.31

(1.07)

2.31

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.11

(0.02)

0.05

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

0.63

0.81

0.63

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.35

1.14

1.05

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

380.000

380.000

380.000

Reserves & Surplus

(49.217)

(56.983)

(15.768)

Net worth

330.783

323.017

364.232

long-term borrowings

105.000

153.299

137.780

Short term borrowings

72.026

72.770

55.262

Current Maturities of Long-Term Debts

30.000

35.000

35.000

Total borrowings

207.026

261.069

228.042

Debt/Equity ratio

0.626

0.808

0.626

 

 

 

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

396.034

433.388

630.411

 

 

9.432

45.461

 

 

 

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

396.034

433.388

630.411

Profit

15.084

(7.766)

41.215

 

3.81%

(1.79%)

6.54%

 

 

 

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

No

8

Designation of contact person

No

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

Yes

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)

No

16

No. of employees

No

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 three 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

No

35

Negative Reporting by Auditors in the Annual Report

No

 

 

REVIEW OF OPERATION

 

During the year the Company achieved net turnover of Rs 629.185 Million as compared to Rs 431.820 Million for the previous year.

The Company during the year achieved production of 5619.09 MT as against 4099.16 Mt in the previous year.

 

BUSINESS OUTLOOK

 

Total sales during 2013-14 have grown with the support of expanding export business, a marked recovery over stagnating export sales during the last 4-5 financial years. The initiation of middle east sales account was the major breakthrough of the fiscal. Trial orders were received from UK & Thailand. The spurt in domestic sales in spite of the depleting auto sector performance has contributed due to the consolidation of clutch application business through Helical Springs.

 

Turnover and EBT during 2013-14 was impressive as against Business Plan. By conscious sales efforts towards high contribution valve and clutch product groups, the overall realization improved. Decision was also taken to hive off the loss making Co2 line which was eroding the margin and contribution generated by way of OT wire sales.

 

No major quality issues have been reported during the year. All product groups have stabilized barring the large diameter ones which present a non-stable picture arising out wire rod issue. This product group which is traditionally a low contribution needs to be studied at length and strategy has to be finalized for future. Approval of ISO 14001 is in final certification phase and the road map has been visualized for TS 16949.

 

During the year many successful plant audits were carried out by Spring OEs.

 

 

UNSECURED LOAN

 

PARTICULARS

31.03.2014

(Rs. in Million)

31.03.2013

(Rs. in Million)

Long-term Borrowings

 

 

Loans and Advances from related Parties

102.780

83.299

 

 

 

Total

102.780

83.299

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10552844

06/02/2015

160,000,000.00

YES BANK LIMITED

9th Floor, Nehru Centre, Discovery of India, Dr. Annie Besant Road, Worli, Mumbai, Maharashtra - 400018, INDIA

C45468816

2

10235447

06/02/2015 *

150,000,000.00

YES BANK LIMITED

9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA, DR. ANNIE BESANT ROAD, WORLI, MUMBAI, Maharashtra - 400018, INDIA

C45469194

3

10235456

28/07/2010

162,500,000.00

YES BANK LIMITED

9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA,, DR. ANNIE BESANT ROAD, WORLI,, MUMBAI, Maharashtra - 400018, INDIA

A92512326

 

 

FIXED ASSETS

 

Tangible Assets

 

  • Land
  • Buildings
  • Plant and equipment
  • Furniture and fixtures
  • Vehicles
  • Office equipment

 

Intangible Assets

 

  • 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.63.50

UK Pound

1

Rs.100.93

Euro

1

Rs.72.31

 

 

INFORMATION DETAILS

 

Information Gathered by :

TRI

 

 

Analysis Done by :

KMN

 

 

Report Prepared by :

SUD

 

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

YES

--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.