MIRA INFORM REPORT

 

 

Report No. :

320148

Report Date :

16.05.2015

 

IDENTIFICATION DETAILS

 

Name :

EASTERN PETROLEUM PRIVATE LIMITED

 

 

Registered Office :

Corporate Park Unit No. 1, V. N. Purav Marg, Behind Swastik Chambers, Chembur, Mumbai – 400071, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

29.05.1964

 

 

Com. Reg. No.:

11-012931

 

 

Capital Investment / Paid-up Capital :

Rs. 27.507 Million

 

 

CIN No.:

[Company Identification No.]

U24100MH1964PTC012931

 

 

IEC No.:

0395052416

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUME04923C

 

 

PAN No.:

[Permanent Account No.]

AAACE2440D

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer, Supplier, Importer, Exporter Automotive Lubricants Industrial Specialty

 

 

No. of Employees :

35 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (32)

 

RATING

STATUS

 

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

 

Maximum Credit Limit :

USD 100000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having moderate track record.

 

The rating is constrained on account of company’s moderate financial risk profile marked by thin profitability margins and low reserves of the company.

 

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

 

The company can be considered for business dealing with some caution. 

 

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. Ronak

Designation :

General Manager Financing

Contact No.:

91-22-25299990

Date :

30.04.2015

 

 

LOCATIONS

 

Registered Office :

Corporate Park Unit No. 1, V. N. Purav Marg, Behind Swastik Chambers, Chembur, Mumbai – 400071, Maharashtra

Tel. No.:

91-22-25299990/91/92/93

Mobile No.:

09821531777 (Mr. Mohan Sharma)

Fax No.:

91-22-25241895

E-Mail :

office@eastopet.com

sales@eastopet.com

Website :

http://www.eastopet.com

http://www.easternpetroleum.in

Location :

Owned

Locality :

Commercial

 

 

Factory:

Panvel, Maharashtra, India

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Mr. Mandanlal Hastimal Rathi

Designation :

Director

Address :

Sunder Kuni, Plot No. 531, 12th Central Avenue Road, Chembur, Mumbai – 400071, Maharashtra, India

Date of Birth/Age :

20.12.1940

Date of Appointment :

10.08.1994

DIN No.:

00032808

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

U51909MH1950PTC007990

JAY BHARAT LUBRICANTS (INDIA) PRIVATE LIMITED

Director

20-03-1961

20-03-1961

Active

NO

2

U24100MH1964PTC012931

EASTERN PETROLEUM PRIVATE LIMITED

Director

10-08-1994

10-08-1994

Active

NO

3

U74999MH2002PTC135168

LALIT CORPORATE ADVISORY SERVICES PRIVATE LIMITED

Additional director

01-09-2009

01-09-2009

Active

NO

4

U45206MH2011PTC212957

BRINDA REALTY VENTURERS PRIVATE LIMITED

Director

03-02-2011

03-02-2011

Active

NO

 

 

Name :

Mr. Rajesh Mandanlal Rathi

Designation :

Director

Address :

Sunder Kuni, Plot No. 531, 12th Central Avenue Road, Chembur, Mumbai – 400071, Maharashtra, India

Date of Birth/Age :

18.03.1968

Date of Appointment :

09.03.1996

DIN No.:

00022988

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

U23200MH1992PTC067785

UNICORN PETROLEUM INDUSTRIES PVT LTD

Director

20-07-1992

20-07-1992

Active

NO

2

U24100MH1964PTC012931

EASTERN PETROLEUM PRIVATE LIMITED

Director

09-03-1996

09-03-1996

Active

NO

3

U74999MH2002PTC135168

LALIT CORPORATE ADVISORY SERVICES PRIVATE LIMITED

Additional director

01-09-2009

01-09-2009

Active

NO

4

U51909MH1950PTC007990

JAY BHARAT LUBRICANTS (INDIA) PRIVATE LIMITED

Additional director

15-04-2010

15-04-2010

Active

NO

5

U45206MH2011PTC212957

BRINDA REALTY VENTURERS PRIVATE LIMITED

Director

03-02-2011

03-02-2011

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Ronak

Designation :

General Manager Financing

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 30.09.2014

 

Names of Shareholders

No. of Shares

 

Aruna R. Rathi

25000

Brinda R. Rathi

50000

Madanlal H. Rathi

50000

Madanlal H. Rathi (HUF)

20000

Madanlal H. Rathi/ Rajesh M

15000

Rajesh M Rathi

75000

Sneha R. Rathi/ C

5000

Taradevi M Rathi

35000

Total

 

275000

 

AS ON 30.09.2014

 

Names of Shareholders

No. of Shares

 

Avnit A Bagri

5

Ganga Bhai Sharma/ Bharati Sharma

5

Meena A Bagri/ Ashish P Saboo

5

Nilima A Saboo/ Ashish P Saboo

5

Parekh Dyeing and Printing

5

Pramod O. Rathi

5

Rushab G. Parekh

5

Sangita K. Biyani

5

Sanjay G Parekh/ Jolly S Parekh

5

Sushila V. Badech

5

Om Parkash Rathi/ Rukma Rathi

5

Prakash Chandra Saboo Joint Rekha P Saboo

5

Rukma Om Parkash/ Om Prakash M. Rathi

5

Total

 

65

 

ALLOTTEES

 

AS ON 27.02.2007

 

Names of Allotters

No. of Shares

 

Yogesh Madhavlal Desai

10000

Bhartiben Yogesh Desai

10000

Sunil Madhavlal  Desai

10000

Devyani Sunil Desai

30000

Bimal Yogesh Desai

30000

Toshal Yogesh Desai

30000

Jayesh Navinchandra Parikh

30000

Total

150000

 

 

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, Supplier, Importer, Exporter Automotive Lubricants Industrial Specialty

 

 

Products/ Services :

·         Turbine Oil 

·         Marine Engine Oil 

·         Compressor Oil 

·         White Mineral Oil 

·         Engine Oil 

·         Lithox Grease 

·         Grinding Fluid, etc.

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

 

Products :

·         Industrial Grades

·         Metal Cleaner

Countries :

·         Gulf Countries

·         Africa

 

 

Imports :

 

Products :

Raw Material

Countries :

·         China

·         Europe

 

 

Terms :

 

Selling :

Cheque

 

 

Purchasing :

Cheque

 

 

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 :

Reference:

Ranbaxy

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 :

35 (Approximately)

 

 

Bankers :

Bank Name:

Bank of Baroda

Branch:

Craw Ford Market Branch

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):

Not Divulged

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 from Deutsche Bank

58.000

30.000

Less : Princiapal Installment payable Within 1 Year

1.790

1.830

 

 

 

SHORT TERM BORROWINGS

 

 

Cash Credit

45.841

33.708

Total

 

102.051

61.878

 

·         Term loan facility is secured against office premises at corporate park and guarantee of directors. Included in capital working progress.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

V C Shah and Company

Chartered Accountants

Address :

Rajgir Chambers, 3rd Floor, 12-14, Shahid Bhagat, Singh Road, Opposite Old Custom House, Mumbai – 400001, Maharashtra, India

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

AADFV8088N

 

 

Associates/Subsidiaries :

Not Available

 

 

CAPITAL STRUCTURE

 

 

Authorised Capital : Rs. 50.000 Millions

 

Issued, Subscribed & Paid-up Capital : Rs. 46.007 Millions

 

 

AS ON 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

495,000

Equity Shares

Rs. 100/- each

Rs. 49,500 Million

5,000

Preference Shares

Rs. 100/- each

Rs. 0.500 Million

 

 

 

 

 

Total

 

Rs. 50.000 Million

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

275,000

Equity Shares

Rs. 100/- each

Rs. 27.500 Million

65

Preference Shares

Rs. 100/- each

Rs. 0.007 Million

 

 

 

 

 

Total

 

RS. 27.507 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

27.507

22.505

17.503

(b) Reserves & Surplus

8.392

7.944

6.488

(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)

35.899

30.449

23.991

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

56.210

28.170

0.000

(b) Deferred tax liabilities (Net)

1.194

1.044

1.032

(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)

57.404

29.214

1.032

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

142.568

119.160

100.341

(b) Trade payables

62.660

18.888

7.182

(c) Other current liabilities

4.115

3.145

3.152

(d) Short-term provisions

2.395

1.018

1.722

Total Current Liabilities (4)

211.738

142.211

112.397

 

 

 

 

TOTAL

305.041

201.874

137.420

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

43.473

46.182

45.529

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

75.479

43.338

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

1.504

1.290

1.130

(e) Other Non-current assets

0.000

0.000

 0.000

Total Non-Current Assets

120.456

90.810

46.659

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

79.733

50.462

39.245

(c) Trade receivables

75.313

50.860

46.564

(d) Cash and cash equivalents

0.150

0.045

0.033

(e) Short-term loans and advances

28.294

7.089

4.001

(f) Other current assets

1.095

2.608

0.918

Total Current Assets

184.584

111.064

90.761

 

 

 

 

TOTAL

305.040

201.874

137.420

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

 

SALES TURNOVER

308.059

218.351

231.164

 

 

 

 

 

Less

EXPENSES

NA

NA

NA

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                    

6.077

6.217

0.000

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX             

1.305

2.248

3.366

 

 

 

 

 

Less

TAX                                                                 

0.858

0.792

1.427

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX                

0.447

1.456

1.939

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

7.697

6.241

4.302

 

 

 

 

 

 

Earnings Per Share (Rs.)

1.63

5.29

7.05

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT/Sales)

(%)

0.15

0.67

0.84

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.57

1.11

2.45

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.04

0.07

0.14

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

5.54

4.84

4.18

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.87

0.78

0.81

 

 

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

17.503

22.505

27.507

Reserves & Surplus

6.488

7.944

8.392

Net Worth

23.991

30.449

35.899

 

 

 

 

Long-term Borrowings

0.000

28.170

56.210

Short-term Borrowings

100.341

119.160

142.568

Total Borrowings

100.341

147.330

198.778

Debt/Equity Ratio

4.182

4.839

5.537

 

 

 

 

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 Turnover

231.164

218.351

308.059

 

 

(5.543)

41.084

 

 

 

 

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 Turnover

231.164

218.351

308.059

Profit

1.939

1.456

0.447

 

0.84%

0.67%

0.15%

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

Available in Report

(Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

Yes

9]

Name of person contacted

Yes

10]

Designation of contact person

Yes

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

Yes

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

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

10489923

21.03.2014

29,000,000.00

DEUTSCHE BANK AG

DEUTSCHE BANK AG, GOREGAON (EAST), MUMBAI, MAHARA - 400063
SHTRA , INDIA

C03041886

2

10489925

21.03.2014

29,000,000.00

DEUTSCHE BANK AG

DEUTSCHE BANK AG, GOREGAON (EAST), MUMBAI, MAHARA – 400063,
SHTRA, INDIA

C03046018

3

80005723

19.05.2014 *

195,000,000.00

BANK OF BARODA

CRAWFORD MARKET BRANCH, DADA MANZIL,, 67/69 MOHMD 
. ALI ROAD, MUMBAI - 400003, MAHARASHTRA, INDIA

C06684997

 

* Date of charge modification

 

 

UNSECURED LOANS

 

PARTTICULARS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

SHORT TERM BORROWINGS

 

 

Unsecured Loan from Related Parties

 

 

Loans and Advances from Directors

7.175

6.650

Loans and Advances from Related Parties

85.552

76.602

Total Loan from Share Holders and Others

 

4.000

2.200

Total

 

96.727

85.452

 

·         Cash Credit facilitates is secured by hypothecation of stock in trade, book debts and personal guarantee of directors

 

·         Term loan facility is secured by office premises at corporate park and personal guarantee on director.

 

 

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. 63.58

UK Pound

1

  Rs. 100.30

Euro

1

Rs. 72.38

 

 

INFORMATION DETAILS

 

Information Gathered by :

SUP

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ARC

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

4

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILITY

1~10

3

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

4

--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

YES

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

32

 

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.