MIRA INFORM REPORT

 

 

Report No. :

321002

Report Date :

12.05.2015

 

IDENTIFICATION DETAILS

 

Name :

PERUM PERHUTANI

 

 

Registered Office :

Gedung Manggala Wanabakti Block K 7, 8th – 10th Floor, Jalan Gatot Subroto Senayan, Jakarta Pusat, 10220

 

 

Country :

Indonesia

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

29.03.1972

 

 

Legal Form :

Public Company

 

 

Line of Business :

  • Forestry Development and Management
  • Woodworking Industry
  • Investment Holding

 

 

No. of Employees :

9,376   Persons

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

--

 

 

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)

Indonesia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, has grown strongly since 2010. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25% and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. President Joko WIDODO - elected in July 2014 - has emphasized domestic economic growth in his first few months in office and in November 2014 reduced fuel subsidies, a move which could help the government increase spending on its development priorities. Indonesia, with the nine other ASEAN members, will form the ASEAN Economic Community in 2015.

 

Source : CIA

 

 

 

Company summary

 

Name of Company: PERUM PERHUTANI

 

Address :

Head Office

Gedung Manggala Wanabakti Block K 7, 8th – 10th Floor

Jalan Gatot Subroto

Senayan

Jakarta Pusat, 10220

Indonesia

Phones             - (62-21) 5721 282 (Hunting)

Fax                   - (62-21) 5733 616

E-mail               - humas@perumperhutani.com

Website            - http://www.perumperhutani.com

Building Area    - 4 storey

Office Space    - 200 sq. meters

Region              - Commercial

Status               - Rent

 

Unit 1 Jawa Tengah

Jalan Pahlawan No. 15-17

Semarang, 50243

Central Java

Indonesia

Phones             - (62-24) 8413 631 (Hunting)

Fax                   - (62-24) 8443 142

E-mail               - humas@perumperhutani.com

Building Area    - 2 storey

Office Space    - 700 sq. meters

Region              - Commercial

Status               - Owned

 

Unit II East Java

Jalan Genteng Kali No. 49

Surabaya, 6008

East Java, Indonesia

Phones             - (62-31) 5343 851 (Hunting)

Fax                   - (62-31) 5311 784

E-mail               - humas2@perumperhutani.com

Building Area    - 6 storey

Office Space    - 1,200 sq. meters

Region              - Commercial

Status               - Owned

 

 

Unit III West Java & Banten

Jalan Soekarno Hatta No. 628 Km. 14

Bandung, 40292

West Java

Indonesia

Phones             - (62-22) 780 2871 (Hunting)

Fax                   - (62-22) 2780 2972

E-mail               - humas3@perumperhutani.com

Building Area    - 2 storey

Office Space    - 600 sq. meters

Region              - Commercial

Status               - Owned

 

Date of Incorporation :

a.   29 March 1972 as Perum PERHUTANI

b.   2 July 2001 as P.T. PERHUTANI (Persero)

c.   2003 PERUM PERHUTANI

 

Legal Form :

Perusahaan Umum Negara (Perum) or Public Company

 

Company Reg. No. :

Not Required

 

Company Status :

State Owned (BUMN) Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.001.652.5-051.000

The Government Regulation

-  PP No. 15/1972

-  PP No. 36/1986

-  PP No. 53/1999

-  PP No. 30/2003

-  PP No. 72/1010

 

Related Companies :

a.   P.T. PERHUTANI ALAM WISATA (Service and Tourism)

b.   P.T. PERHUTANI ANUGERAH KIMIA (Industry and Tourism Gondorukem Derivatives and

      Derivative Turpentine)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Capital                                            : Rp. 700,000,000,000.-

 

Shareholders/Owners :

The Government of the Republic of Indonesia     - 100%


BUSINESS ACTIVITIES

 

Lines of Business :

a.   Forestry Development and Management

b.   Woodworking Industry

c.   Investment Holding

 

Production Capacity :

a.   Forest Development and Management

      - Unit 1 Central Java                  -    635,747 hectares

      - Unit II East Java                      -    1,358,737 hectares

      - Unit III West Java & Banten      -    1,354,850 hectares

b.   Timber                                      -    435,402 cubic meters p.a.

c.   Non Teak on Timber                   -    525,488 cubic meters p.a.

d.   Copal                                       -           452 tons p.a.

e.   Copal Mutu U                            -           451 tons p.a.

f. Eucalyptus Leaves                       -      43,504 tons p.a.

g.   Pine Resin/Pine Sap                  -    109,908 tons p.a.

h.   Lacquer                                    -           251 tons p.a.

i. Sawn Timber                                -      16,256 cubic meters p.a.

j. Sawn Timber & Jungle                  -      22,005 cubic meters p.a.

k. Gondorukem                                -      70,000 tons p.a.

l. Turpentine Oil                               -      14,000 tons p.a.

m.  Eucalyptus Oil                           -      40,214 tons p.a.

n.   Seedlac                                    -        1,450 tons p.a.

 

Total Investment :

None

 

Started Operation :

1972

 

Brand Name :

Perum Perhutani

 

Technical Assistance :

None

 

Number of Employee :

9,376   persons

 

Marketing Area :

Export    - 70%

Local       - 30%

 

Main Customer :

Buyers in Asian countries, Europe Union and the USA

 

 

 

Market Situation :

Competitive

 

Main Competitors :

None

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

Bankers :

a.   P.T. Bank MANDIRI Tbk

      Plaza Mandiri

      Jalan Jend. Gatot Subroto Kav. 36-38

      Jakarta Selatan

      Indonesia

b.   P.T. Bank ENGARA INDONESIA Tbk

      Wisma 46-Kota BNI

      Jalan Jend. Sudirman Kav. 1

      Jakarta Pusat

      Indonesia

 

Auditor :

Hendrawinata Eddy & Siddharta, Kreston International

 

Litigation :

The Subject Company was involved in civil sued by P.T. SAPTA WAHANA MULIA in the Central Jakarta District Court No. 480/Pdt.G/12/PN/Jkt.Pst dated 22 October 2012.

 

 

FINANCIAL FIGURE

 

Annual Sales :

2012 – Rp. 3,555.9 billion

2013 – Rp. 3,863.2 billion

2014 – Rp. 4,115.0 billion (estimated)

 

Net Profit :

2012 – Rp. 197.1 billion

2013 – Rp. 204.1 billion

2014 – Rp. 221.0 billion (estimated)

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                           - Mr. Bambang Sukmananto

Directors                                         - a. Mr. Mustoha Iskandar

                                                        b. Mr. Heru Siswanto

                                                        c. Mr. M. Soebagja

                                                        d. Mr. Morgan S. Lumban Batu

                                                        e. Mr. Achmad Fachrodji

                                                        f. Mr. Tedjo Rumekso

 

Board of Commissioners :

President Commissioner                  - Mr. Hadi Daryanto

Commissioners                               - a. Mr. Ediwan Prabowo

                                                        b. Mrs. Adriani Nurcahyanto

                                                        c. Mr. Rasiyo

                                                        d. Mr. Wawan Ridwan

                                                        e. Mr. Sarwono Kusumaatmadja

                                                        f.  Mr. Yustra Iwata Alsa    

 

Signatories :

President Director (Mr. Bambang Sukmananto) or one of the Directors (Mr. Mustoha Iskandar, Mr. Heru Siswanto, Mr. M. Soebagja, Mr. Morgan S. Lumban Batu, Mr. Achmad Fachrodji or Mr. Tedjo Rumekso) which must be approved by Board of Commissioner.

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

 

OVERALL PERFORMANCE

 

Perum PERHUTANI was established by Government Regulation (PP) No. 15 of 1972 which is amended by Government Regulation No. 36 Year 1986. In 1998, the Government issued Government Regulation No. 13 Year 1998 on Perusahaan Umum (Perum). With the publication of this decree, the rules underlying the establishment of Perum Perhutani was set back, by Government Regulation No. 53 Year 1999 about General State Forestry Company (Perum Perhutani). Based on Government Regulation No. 14 of 2001 dated March 23, 2001 on Form Transfer of State Forestry General Company (Perum Perhutani), the form changed from Company to Persero. This status changing are outlined in the deed Imas Fatimah No. 3 dated July 2, 2001 and has received approval from the Minister of Justice and Human Rights Decree No. C-05080. HT.01.01.TH.2001 dated August 7, 2001.

 

In 2003 the company changed into the Perusahaan Umum Negara in accordance with the Company's Regulation Number 30 of 2003 about the General State Forestry Company (Perum Perhutani). This change has been noted in the State Gazette of the Republic of Indonesia Number 67 year 2003. Some part of it has changed and re-arranged by the PP. 72 of 2010 concerning the Perusahaan Umum (Perum) Forestry countries where the Company's working area covers the entire state forest located in Central Java, East Java and West Java. The company authorized capital was amounted at Rp. 700,000,000,000 wholly issued and paid up by the Government of the Republic of Indonesia.

 

In accordance with Article 11 of Government Regulation (PP) No. 72 of 2010 concerning the Perusahaan Umum (Perum) State Forestry, the aims and objectives of the Company are:

 

1)     Organizing efforts aimed at public benefit in the form of supply of goods and / or services related to forest management and forest products of high quality at an affordable price by the community based on the principles of sustainable forest management and good corporate governance.

2)     To achieve the aims and objectives in paragraph 1, the Company has main business activities: forest governance and forest management planning, forest management, including the use, environmental services, the use of timber and non-timber forest product collection and not wood, forest rehabilitation and reclamation, forest protection and nature conservation, management of forest products into raw materials or finished materials, education and training in the field of forestry, research and development in the field of forestry, agro forestry development, building and developing community forests and / or forest smallholder’s crop and trade in forest products and its own production and the production of others.

3)     In addition to main business activities, Company may carry on business as;

 

§  Potential optimization efforts for resources owned trading house, agro industrial complex, agribusiness, property, warehousing tourism, hotels, resorts, rest areas, hospitals, mining, quarrying, telecommunications infrastructure, utilization of water resources and other natural resources.

§  Other business activities in accordance with the company’s aim and purpose.

§  Type of business units;

 

The company is headquartered in Jakarta. Main business activities of the Company as described above, are run through the 3 (three) business unitswhich are Unit I Central Java, East Java Unit II and Unit III West Java and Banten, as well as 2(two) following centers: Center for Research and Development Perhutani Puslitbang Perhutani ) in Cepu, Central Java and the Centre for Education and Training Human Resources (HR Training Center) in Madiun East Java.

 

ü  Unit I Central Java

 

Unit I is headquartered in Central Java,Semarang. The area is divided into 20 Unit KPH, 6 KBM and the Bureau of Planning and Development at Salatiga. KBM consists of 2KBM Timber (IK) and Brumbung Cepu, 1KBM Non Timber (INK) Brumbung, 1 KBM Agroforestry Ekowisata and Other Services (AEJ), formerly named KBM Travel Seed and Other Business (WBU), 2 KBM Marketing Cepu and Tegal. KBM Industries sawn timberhas 2 factories and machines in Cepu Brumbung, Non Timber Industry KBM has 4 factories and turpentine are gondorukem Cimanggu PGT, PGT Winduaji, PGT and PGT Paninggaran Sepuran and 1 mill in Gundih eucalyptus oil, 1 mill Candiroto in Natural Silk North Kedu and processing honey in Pati.

 

ü  Unit II East Java

 

Unit II of East Java headquartered in Surabaya. Unit II region is divided into 23 KPH, 3 KBM Marketing (KBM Sar) located in Bojonegoro, Madison and Probolinggo, 1 KBM Wood Industry (KBM IK) located in Gresik, 1 KBM Non Timber Industry (KBM INK) located in Tandes and 1 and 1 KBM AEJ Planning Bureau which is located in Manchester. Besides, there are 6 machines in the mill sawn Ngawi, Saradan, Jatirogo and Bojonegoro and 3 factories gondorukem and turpentine in Jember, Kediri and Lawu Ds, and 2 plant eucalyptus oil in Mojokerto and Madiun.

 

ü  Unit III West Java and Banten

 

Unit III West Java and Banten based in Bandung. Regional unit of West Java and Banten III is divided into 14 KPH, 3 KBM is KBM Marketing, KBM Industries, KBM AEJ, 1 Bureau of Planning and National Beekeeping Centre (Pusbahnas) in length Parung Bogor. Unit III West Java and Banten has Gondorukem and Turpentine Factory PGT KPH Sindangwangi in North Bandung.

 

Perum Perhutani’s field of business is enterprises in the forestry sector (especially in Java and Madura) and have duty and authority to enforce the Forest Resource management activities (SDH) with give respect to the aspects of production / economic, social aspect, and environmental aspects.

 

Perum Perhutani has 9 (nine) groups of goods and services and / or 8 (eight) flagship product. Everything related to forest management. Products and services intended to be delivered, as follows:

 

1)     Sustainable Wood Products: Perhutani produce high-quality wood, harvested from managed forests with sustainable principles. Round timber species that are marketed through KBM Wood Marketing are: Teak, Pine, Mahogany, Sonokeling, Damar, Accacia, Jabon, Sengon, Gmelina, Rasamala and so forth, including several species of rattan and bamboo. Perum Perhutani produce finished goods or products of the wood processing industry in KBM Cepu Wood Industry, KBM Brumbung Wood Industry, and KBM Gresik Wood Industry. Some wood products are: Garden Furniture, Housing Component (doors and frames), Indoor Furniture, Flooring (Wooden Floor), Raw Sawn Timber, TOP (Teak Plywood Overlay) and other products to order.

2)     Forest Chemical Products: Perhutani produce Forest Chemical Products such as Gumrosin and Turpentine. Gumrosin and Turpentine is distilled products of high quality pine sap. Other products in this category are: copal, eucalyptus oil, shellac, ylang-ylang oil and so on.

3)     Ecotourism and Landscape Beauty; Perum Perhutani managing nature tourism in 162 (one hundred and sixty-two) locations, such as forest recreation tourist, beaches tourist , waterfalls, lake tour, tour crater, and cave tours. Some tourist sites are equipped with attractions arts and cultural interest such as Kawah Putih tourist festival, strawberry picking and so on.

4)     Forest Food and Health products; Perum Perhutani providing high quality honey products, manufactured in the garden apiary Parung Panjang Bogor, Regaloh and other forest locations in Central Java. Other products in this category are Honey Water Drinks and Bottled Drinking Water labeled “Air Perhutani”. In addition, the forestry produce: coffee, rice, corn, spices and other foodstuffs in collaboration with the forests village community through Joint Forest Management (PHBM).

5)     Forest Products Seed: Seeds and plants seeds of qualified and certified forestry is produced by the Center for Research and Development of Perhutani in Cepu. Products in this category are prioritized to support business Perum Perhutani forest management, besides also to be marketed.

6)     Forestry training and Development; Perum Perhutani provides a package of training and consulting of forestry business conducted at the Center for Training and Human Resource Development (HRD) in Madiun. Perum Perhutani also has Assessment Centre which can be used in cooperation with other parties.

7)     Clean energy forest products; Perum Perhutani develop alternative energy businesses through micro-hydro technology, utilizing water sources in the forest or the river which has waterfall. Perhutani also working with the South Korea Government in developing alternative energy from waste biomass harvest.

8)     Flora and Fauna forestry products; Perum Perhutani provides products such as cocoon, silk yarn, monkey captive, deer captive , crocodile captive as well as for conservation.

9)     Commercial zone products; Perum Perhutani open to cooperation with other parties in the form of optimization of asset utilization such as; rest area, billboards, tower, hall rental, and so on.

 

Besides, Perum PERHUTANI also engaged in investment holding by controls 99% shares of P.T. PERHUTANI ALAM WISATA dealing with services and tourism industry and 55% shares of P.T. PERHUTANI ANUGERAH KIMIA dealing with industry and tourism gondorukem derivatives and derivatives turpentine.

 

We note that the demand for woodworking, timber, agribusiness, and other forest products has kept on rising in the last five years in line with the growth of various industrial sectors. Shift in the composition of non-timber revenue is greater when compared with timber revenues in the last three years, in addition to natural factors as the reason, but also reflect the business transformations. Perhutani that changed the business direction, from plant-based business to industry-based business is getting on the track, when Perhutani revenue can be exhibited significantly supported by the non-timber revenue. This is also reflected in the Perhutani business transformation journey. In 2013, already under acceleration, so that it is not possible in subsequent years the composition of timber and non-timber revenue that will quickly change, in which the non-timber revenue will be much more racing, along with the operation and optimization of factories owned by Perum Perhutani.

 

In non-Timber, Perhutani will focus on increasing the value-added of Gumrosin. Perhutani has eight gumrosin factories and one of derivatives. In the future, will be handled by industry experts, and processing pine resins not only from Perhutani production, but of the entire Indonesia. So also with turpentine. Perhutani will improve the quality of the resulting turpentine as China and Brazil so that the maximum added value. Moreover, it will be maximized revenue from asset optimization, where Perum Perhutani has great potential in this regard. As for the Tourism, will focus in West Java that has high potential in terms of destination / object and market access. As for wood, Perhutani will map the industries that use Perhutani wood. This is conducted, so well known real wood needs, both in terms of volume is also consumers required specifications. So that in the future, Perum Perhutani only produce wood according to market demand.

 

In addition, the innovations conducted in the field of marketing such as barcode system, online sales and counters system. Of the legal aspect, will be made standard format of contract, so anyone who handles it later, either contract or cooperative agreement, the format is as it is. In the timber industry, Perhutani also continues to improve. Perhutani Factory Plywood Industry (PPI) which has been built in Kediri, East Java, began contributing revenue. When in 2013 was focused on meeting domestic demand, forward, 70% of the PPI plywood production will be exported, since its production in accordance with the plant capacity and international standards.

Macro Economics In 2013 global economic did not fluctuate as much as the previous year, and so as the trend stayed the same. In The United States, the economic started to stabilize although it grew below the projection. This follows the same trend as the economic in China and India, but in Japan the economics was above the projection. The liquidation in emerging countries grew slower. It is certainly not a good thing for companies that rely on export products. Demand from Europe and America have yet to be improved, while demand from Asian countries are also likely to decline. That is, overseas markets for export products can-not be expected to increase. To that end, must be optimized potential of domestic market.

 

Meanwhile, in the domestic, economy of 2013 also face challenges that are not light, which then put pressure on macroeconomic stability and disrupt continuity of economic growth. However, according to data from Bank Indonesia (January 2014), the Indonesian economy in 2013 could still grow by 5.7%. Pressure on Indonesia's balance of payments (BOP) increased, and accompanied by weakening of the rupiah. Inflation reaches 8.38%, or above the inflation target of 4.5 ± 1%. Meanwhile, competition is very tight on account of the many companies with similar activities operating in the country. Perum Perhutani is considered to be still in a quite good position for having notched up lots of experience and having secured a wide clientele and having developed a wide marketing network in the country as well as overseas.

 

 

According to the financial statement of the company having been audited by public accountant, sales turnover of Perum PERHUTANI in 20102,787.2 billion with a net profit of Rp. 156.0 billion increasing to Rp. 3,144.3 billion with a net profit of Rp. 149.8 billion in 2011 and to Rp. 3,555.9 billion with a net profit of Rp. 202.1 billion in 2012. We estimated the sales turnover of the company as from January to June 2013 amounted at Rp. 1,925.0 billion with a net profit of Rp. 115.0 billion. We estimated the sales turnover of the company in 2014 amounted at Rp. 4,115.0 billion with a net profit of at least Rp. 221.0 billion. We estimated the sales turnover will be higher by at least 6% in 2015. Based on information obtained from some customers, the payment habit of the company is smooth ranging from 1 to 3 months. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). The condense financial statement is shown.

 

                                                                                                      (In million Rp)

 

Descriptions

31 December

2013

2012

2011

A.  ASSETS

 

 

 

a. Current Assets

1,708,443

1,766,156

1,663,051

b. Non Current Assets

797,115

674,856

524,958

c. Other Assets

7,880

28,718

26,439

TOTAL ASSETS = TOTAL

LIABILITIES & EQUITY

2,505,558

2,441,012

2,188,009

B. LIABILITIES

    &STOCKHOLDERS EQUITY

 

 

 

a. Current Liabilities

337,921

479,565

371,399

b. Non Current Liabilities

137,630

135,609

154,549

c. Stockholders Equity :

- Paid Up Capital

- General use retained earning

- Specified use Retained Earnings

- Unspecified use Retained Earnings

Total Stock holders Equity

 

700,000

860,437

270,239

205,472

2,036,148

 

700,000

863,799

64,652

202,150

1,830,600

 

700,000

740,759

64,652

149,763

1,655,174

C. INCOME STATEMENT

 

 

 

a. Sales Net

3,863,183

3,555,951

3,144,313

b. Operating Profit

261,726

263,922

64,056

c. Net Profit (loss)

204,091

197,068

149,763

Notes: 31 December 2010, 2011 and 2012 audited by Hertanto, Sidik & Indra

 

Litigation Matter

 

Perum Perhutani civil sued by P.T. Sapta Wahana Mulia (PT Perhutani Vehicle industry was) in the Central Jakarta District Court Number Case Number: 480/ Pdt.G/12/PN.Jkt.Pst dated 22-10-2012, while the lawsuit PT Sapta Wahana Mulia (PT Perhutani Wahana Industry was) is a lawsuit broken promise / defaults on the implementation of the timber industry cooperation agreement and its amendment No. 103/SJ/Dir/2002-18/JV/X/2002 and Wood Industry Cooperation Agreement No. 104/SJ/Dir / 2002-19/ JV/X/2002 and its amendment. That we need to inform the lawsuit by default PT Sapta Wahana Mulia (PT Perhutani Wahana Industry) has been submitted to the Central Jakarta District Court disputed and it is basically the same (nebis in idem) and has received the decision of the Supreme Court in the level of judicial review that has been and binding verdict won by Perum Perhutani.

 

Currently in the process of litigation in the Central Jakarta District Court, entered the evidentiary hearing agenda of the Parties. Potential loss to the company of this case is the plaintiff’s claim for damages amounting to Rp. 110,119,269,142.

 

The management of Perum PERHUTANI I headed by Mr. Bambang Sukmananto (56) as President Director. His last position before his career in Perhutani was as Secretary of the Directorate General of Forest Utilization, Directorate General of Forest Utilization, Ministry of Forestry of Republic of Indonesia. He is a Forestry graduate of the Faculty of Forestry, Bogor Institute of Agricultural, graduate in 1983. Received a Master of Science from the Ateneo De Manila University Philippine in 1992, and Doctorate Degree in Agricultural Economics from Bogor Institute of Agriculture in 2007. The company's management is handled by professional staff in the above business. They have wide relations with private businessmen within and outside the country. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. Perum PERHUTANI is sufficiently fairly good for business transaction.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.85

UK Pound

1

Rs.98.47

Euro

1

Rs.71.51

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

VNT

 

               

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

--

 

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%)

 

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.