MIRA INFORM REPORT

 

 

Report No. :

321292

Report Date :

11.05.2015

 

IDENTIFICATION DETAILS

 

Name :

K S R TEXTILE MILLS PRIVATE LIMITED

 

 

Registered Office :

47/A, Kumeresapuram, Tiruchengode, Salem- 637211, Tamilnadu

 

 

Tel. No.:

91-4288-274254

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

02.08.1988

 

 

Com. Reg. No.:

18-002230

 

 

Capital Investment / Paid-up Capital :

Rs. 24.995 Million

 

 

CIN No.:

[Company Identification No.]

U17115TZ1988PTC002230

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CHEK06297E

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Garments, Apparel, Fashion Clothing and Accessories.

 

 

No. of Employees :

100 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (46)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

 

Maximum Credit Limit :

USD 380000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

The company has progressed well during FY 2014. 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 normal for business dealing 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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

NOT AVAILABLE

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

 

 

INFORMATION PARTED BY

 

Name :

Mr. Govindswami

Designation :

Accountant

Contact No.:

91-4288-274254

Date :

06.05.2015

 

 

LOCATIONS

 

Registered Office :

47/A, Kumeresapuram, Tiruchengode, Salem- 637211, Tamilnadu, India

Tel. No.:

91-4288-274254/ 274245

Fax No.:

91-4288-274254

E-Mail :

ksrspinningmil@yahoo.com

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Mr. Rajagounder Balakrishnan

Designation :

Managing Director

Address :

60, Raja Street, Sanjay Nagar, Erode (D.T) – 638011, Tamilnadu, India

Date of Birth/Age :

03.06.1936

Date of Appointment :

30.12.1989

DIN No.:

00230558

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

Company/ LLP Status

Defaulting status

1

U29191TZ1984PTC001433

R BALAKRISHNAN ASSOCIATES ENGINEERING PRIVATE LIMITED

Managing director

28-05-1984

28-05-1984

Strike off

NO

2

U17115TZ1988PTC002230

K S R TEXTILE MILLS PRIVATE LIMITED

Managing director

30-12-1989

30-12-1989

Active

NO

3

U17111TZ2005PTC011696

R B WOVENS PRIVATE LIMITED

Director

01-04-2005

01-04-2005

Active

NO

 

 

Name :

Mr. Karuvppampatty Ramasamy Sengottuvelu

Designation :

Joint Managing director

Address :

5–B/ 1, Rangasamy Street No. 3, Thondikaradu, Tiruchengode, Namakkal (D.T) – 637211, Tamilnadu, India

Date of Birth/Age :

24.01.1952

Date of Appointment :

02.08.1988

DIN No.:

02379075

 

 

Name :

Mr. Sivagnanam Balakrishnan

Designation :

Director

Address :

60, Raja Street, Sanjay Nagar, Erode (D.T) – 638011, Tamilnadu, India

Date of Birth/Age :

10.06.1968

Date of Appointment :

23.01.1995

DIN No.:

00230342

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

Company/ LLP Status

Defaulting status

1

U17115TZ1988PTC002230

K S R TEXTILE MILLS PRIVATE LIMITED

Director

23-01-1995

23-01-1995

Active

NO

2

U17111TZ2005PTC011696

R B WOVENS PRIVATE LIMITED

Managing director

01-04-2005

01-04-2005

Active

NO

3

U01712TZ2005PLC012329

SIMA TEXTILE PROCESSING CENTRE LIMITED

Director

17-09-2012

02-09-2011

Active

NO

 

 

Name :

Mr. Sengottuvelu Gowrishankar

Designation :

Executive Director

Address :

5–B/ 1, Rangasamy Street No. 3, Thondikaradu, Tiruchengode, Namakkal (D.T) – 637211, Tamilnadu, India

Date of Birth/Age :

15.10.1984

Date of Appointment :

02.09.2009

DIN No.:

02373140

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2014

 

Names of Shareholders

No. of Shares

 

K. S. Rangasamy

2605

Rajagounder Balakrishnan

1600

Karuvppampatty Ramasamy Sengottuvelu

3045

S. Rajathi

1060

R. Srinivasan

3625

B. Sivagnanam

1105

B. Nagarathinam

505

R.Rajammal

400

B. Gobalarathinam

4285

S. Kavitha

3370

Sengottuvelu Gowrishankar

2820

M. Brindha

575

Total

 

24995

 

 

 

 

 

 

 

AS ON 30.09.2014

 

Equity Share Breakup

Percentage of Holding

Category

 

Directors or relatives of directors

100.00

 

 

Total

 

100.00

 

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Garments, Apparel, Fashion Clothing and Accessories.

 

 

Products/ Services :

·         Cotton Yarns

·         Threads

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

--

 

 

Imports :

--

 

 

Terms :

 

Selling :

Cash and Credit (30/ 60/ 90 Days)

 

 

Purchasing :

Cash and Credit (30/ 60/ 90 Days)

 

 

PRODUCTION STATUS: NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference:

Not Divulged

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

Customers :

End Users and OEMs

 

Reference:

Not Divulged

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

No. of Employees :

100 (Approximately)

 

 

Bankers :

Bank Name:

The Federal Bank Limited

Branch:

No. 22, Palaniappa Street,Perundurai Road, Erode - 638001, Tamilnadu, 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 A/c Opening):

Not Divulged

Average Balance Maintained (Optional):

Not divulged

Credit Facilities Enjoyed (CC/OD/Term Loan):

Cash/ Credit = Rs. 401.300 Million

Account Operation:

Not divulged

Remarks:

Not divulged

 

 

Facilities :

 

SECURED LOANS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

LONG-TERM BORROWINGS

 

 

Term Loan

 

 

The Federal Bank Limited

75.041

136.367

 

 

 

SHORT TERM BORROWINGS

 

 

Cash Credit Loan

 

 

The Federal Bank Limited

38.510

19.732

Total

113.551

156.099

 

NOTES:

 

LONG-TERM BORROWINGS

 

Security: The above loans are also secured by personal guarantee of all the Directors of the Company. However Directors are not entitled to any Guarantee Commission. Term loans from The Federal Bank Limited are secured by First Charge on the entire Fixed Assets of the Company (Present and Future) and to be purchased out of term loan. Second Charge on the entire Current Assets of the Company. Equitable Mortgage of the property of 3.53 acres and 5.58 of factory land and building at Kumresapuram, Tiruchengode Tk, 4.24 acres at Thokkavadi Village, 1.46 acres of Wind Mill land at Udumalapet Village, 4.70 acres of Wind Mill land at Chinnakkampalayam Village, 2.49 acres of Wind Mill land at Chinnapudur Village, 2.25 acres of Wind Mill land at Chinnakkampalayam Village and 1.04 acres of Wind Mill land at Oor Melalagian Village.

 

The above loans are also secured by personal guarantee of all the Directors of the Company. However Directors are not entitled to any Guarantee Commission.

 

SHORT TERM BORROWINGS

 

Security: Working Capital Loans are secured by first charge on the entire current assets such as Raw materials, Stock-in- Process, Finished Goods, consumables, stores & Receivables and other current assets of the Company. The fixed assets of the Company have also been secured as second charge for the above said loan. Further secured by Equitable Mortgage of the property of 3.53 acres and 5.58 of factory land & building at Kumresapuram,Tiruchengode Tk, 4.24 acres at Thokkavadi Village, 1.46 acres of Wind Mill land at Udumalapet Village, 4.70 acres of Wind Mill land at Chinnakkampalayam Village, 2.49 acres of Wind Mill land at Chinnapudur Village, 2.25 acres of Wind Mill land at Chinnakkampalayam Village and 1.04 acres of Wind Mill land at Oor Melalagian Village.

 

The above loans are also secured by personal guarantee of all the Directors of the Company. However Directors are not entitled to any Guarantee Commission.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

T. N. Ramadoss and Company

Chartered Accountants

Address :

54, Town Railway Station Road, Salem – 636001, Tamilnadu, India

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

AAAFT9046R

 

 

Enterprises owned or significant influences by Key Management personnel and/or their Relatives :

RB Wovens Private Limited

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

30,000

Equity Shares

Rs. 1000/- each

Rs. 30.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

24,995

Equity Shares

Rs. 1000/- each

Rs. 24.995 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

24.995

24.995

24.995

(b) Reserves & Surplus

109.188

75.529

66.162

(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)

134.183

100.524

91.157

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

79.041

140.367

181.483

(b) Deferred tax liabilities (Net)

21.735

27.036

28.402

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

100.776

167.403

209.885

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

38.510

19.732

22.470

(b) Trade payables

11.937

21.882

6.711

(c) Other current liabilities

53.774

55.349

57.565

(d) Short-term provisions

3.633

2.101

1.491

Total Current Liabilities (4)

107.854

99.064

88.237

 

 

 

 

TOTAL

342.813

366.991

389.279

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

197.702

215.273

254.772

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.143

0.701

(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

3.448

5.776

8.658

(e) Other Non-current assets

15.934

15.847

8.976

Total Non-Current Assets

217.084

237.039

273.107

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

 

 

(b) Inventories

73.821

93.122

64.633

(c) Trade receivables

43.415

23.408

29.714

(d) Cash and cash equivalents

1.910

1.904

11.564

(e) Short-term loans and advances

6.523

4.889

5.941

(f) Other current assets

0.060

6.629

4.320

Total Current Assets

125.729

129.952

116.172

 

 

 

 

TOTAL

342.813

366.991

389.279

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

 

 

 

 

 

 

SALES

496.861

350.603

293.870

 

 

 

 

 

Less

EXPENSES

NA

NA

NA

 

 

 

 

 

 

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

88.260

78.374

86.088

 

 

 

 

 

Less

FINANCIAL EXPENSES                                   

12.525

21.891

26.056

 

 

 

 

 

 

PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION                          

75.735

56.483

60.032

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

39.603

48.323

54.436

 

 

 

 

 

 

PROFIT/ (LOSS) BEFORE TAX            

36.132

8.160

5.596

 

 

 

 

 

Less

TAX                                                                 

2.473

(1.207)

1.702

 

 

 

 

 

 

PROFIT/ (LOSS) AFTER TAX                           

33.659

9.367

3.894

 

 

 

 

 

 

Earnings Per Share (Rs.)

1.35

0.37

0.16

 

Expected Sales (2014-2015): Rs. 550.000 Million

 

The above information has been parted by Mr. Govindswami (Accountant)

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT/Sales)

(%)

6.77

2.67

1.33

 

 

 

 

 

Operating Profit Margin

(PBDIT/Sales)

(%)

17.76

22.35

29.29

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

10.54

2.22

1.44

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.27

0.08

0.06

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.88

1.59

2.24

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.17

1.31

1.32

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Millions)

(Rs. In Millions)

(Rs. In Millions)

Share Capital

24.995

24.995

24.995

Reserves & Surplus

66.162

75.529

109.188

Net worth

91.157

100.524

134.183

 

 

 

 

long-term Borrowings

181.483

140.367

79.041

Short-term Borrowings

22.470

19.732

38.510

Total borrowings

203.953

160.099

117.551

Debt/Equity ratio

2.237

1.593

0.876

 

 

 

 

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

293.870

350.603

496.861

 

 

19.305

41.716

 

 

 

 

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

293.870

350.603

496.861

Profit

3.894

9.367

33.659

 

1.33%

2.67%

6.77%

 

 

 

 

 

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

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

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

90000316

28/06/2013 *

401,300,000.00

THE FEDERAL BANK LIMITED

NO.22, PALANIAPPA STREET, PERUNDURAI ROAD, ERODE - 638001, 
TAMILNADU, INDIA

B82741463

 

* Date of charge modification

 

 

UNSECURED LOANS

 

UNSECURED LOANS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

LONG-TERM BORROWINGS

 

 

From director and Their Relatives

4.000

4.000

 

 

 

Total

 

4.000

4.000

 

 

PERFORMANCE:

 

During the year, the turnover of the company has increased from Rs.3506.03 Lakhs to Rs.496.861 Million by 41.72%. And also due to efficient production techniques, production of the company has increased by 328090 kegs of yarn. However, PBDI/sales have fallen from 22.35% to 17.76% due to increase in manufacturing expenses and decrease in windmill income. On the other hand, decrease in interest and depreciation enabled the company to earn profit before tax of Rs.36.132 Million as against the profit before tax of Rs.8.160 Million in the previous year. The profit after tax stood at Rs.33.659 Million with an increase in income tax and deferred tax provisions. The Company has made cash profit of Rs.73.262 Million for the financial year as against the Cash Profit of Rs.57.690 Million in the previous year. The overall performance of the company was good. The company is taking various steps to sustain the momentum.

 

 

FINANCE:

 

The company availed term loan of Rs.12.528 Million from Federal bank Limited for purchase of fixed assets. Directors do not wish to recommend any dividend, as the funds are required to meet the ongoing project expansion plan.

 

 

FIXED ASSETS:

 

·         Land

·         Building

·         Machinery

·         Electrical Fittings

·         Furniture’s and Fittings

·         Weighing Machines

·         Generators

·         Humidification Plant

·         Testing Equipment

·         Diesel Tank

·         Office Equipment’s

·         Computer

·         Vehicles

·         Kitchen Equipment’s

 

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. 64.05

UK Pound

1

Rs. 99.04

Euro

1

Rs. 71.76

 

 

INFORMATION DETAILS

 

Information Gathered by :

PPT

 

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ARC

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

5

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

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

46

 

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.