MIRA INFORM REPORT

 

 

Report No. :

349109

Report Date :

16.11.2015

 

IDENTIFICATION DETAILS

 

Name :

VRG DONGWHA MDF JSC

 

 

Registered Office :

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

08.08.2008

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturer of Plywood, Timber & Wood Products.

 

 

No. of Employees :

210

 

 

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 :

Clear

 

 

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)

Vietnam

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

VIETNAM - ECONOMIC OVERVIEW

 

Vietnam is a densely populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Agriculture's share of economic output has shrunk from about 25% in 2000 to 18% in 2014, while industry's share increased from 36% to 38% in the same period. State-owned enterprises now account for only about 40% of GDP.

 

Vietnamese authorities have reaffirmed their commitment to economic modernization and a more open economy. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam joined the 12-nation Trans-Pacific Partnership free trade agreement negotiations in 2010.

 

Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value has remained relatively stable since then. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year.

 

In February 2011, the government shifted from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing to restructure public investment, state-owned enterprises, and the banking sector, Hanoi’s progress in meeting its goals is lagging behind its proposed schedule. Vietnam's economy continues to face challenges from an undercapitalized banking sector and non-performing loans weigh heavily on banks and businesses.

 

Source : CIA

 

 

REGISTERED NAME & COMPANY SUMMARY

 

Organization Name

:

VRG DONGWHA MDF JSC (1)

Name in Local Language

:

CÔNG TY CỔ PHẦN GỖ MDF VRG DONGWHA

Address

:

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

Country

:

Vietnam

Phone (S)

:

[+84] 651-3645500

Facsimile

:

[+84] 651-3645502

Email

:

sales@vrgdongwha.com

Website

:

http://www.vrgdongwha.com

Primary Business Activity

:

Manufacturer

Key Industry

:

Plywood, Timber & Wood Products

 

Key Facts

Registered Legal Address

:

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

Operational Address

:

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

License Status

:

License exists - Normal.

Issuing Authority

:

Dept. of Planning & Investment - Binh Phuoc

License Number

:

442032000068

Legal Form - Category

:

Joint Stock Company

Legal Form

:

Joint Stock Company

Legal Form - Abbreviation

:

JSC

Operational Status of Business

:

Normal

Date of Registration

:

8 Aug, 2008

Employees

:

210

Capital

:

US$ 45,535,267

Note

:

1) Legal status of the English corporate name
The English name of the Subject Business Entity (SBE) is a randomly selected translation / transliteration made by the owners of the SBE. It is not a registered English corporate name, but simply a translation / transliteration of the local language name.

 

 

DIRECTORS/MANAGEMENT

 

Key Person

Legal Title

:

Managing Director

Name

:

Mr. Jin-Seok Seo

Nationality

:

Korean

 

COMPANY MANAGEMENT

Management Listings

 

Name

Nationality

Job Description

Dept. / Division

1

Ms. Pham Van Hoi Em

Vietnamese

Chief Accountant

-

2

Mr. Hung Le

Vietnamese

Deputy Managing Director

-

3

Mr. Jin-Seok Seo

Korean

n/a

-

 

Management Details - 1

Personal Unique Identifier

:

MI03724417

Name

:

Ms. Pham Van Hoi Em

Date of Birth

:

1974

Management Details - 2

Personal Unique Identifier

:

MI03835680

Name

:

Mr. Hung Le

Management Details - 3

Personal Unique Identifier

:

MI03835679

Name

:

Mr. Jin-Seok Seo

Date of Birth

:

1969

 

COMPANY DIRECTORS

1

 

 

Personal Unique Identifier

:

MI03835679

Name

:

Mr. Jin-Seok Seo

Date of Birth

:

1969

 

 

NEGATIVE INFORMATION

 

REPUTATION

Reference checking for the purpose of establishing VRG DONGWHA MDF JSC's reputation within the respective industry failed to reveal any adverse information.

 

NEGA-SCAN - ADVERSE DATA MONITORING

DISHONORED CHECKS

 

No Record Found

 

 

DEBT

 

No Record Found

 

 

CIVIL LITIGATION

 

No Record Found

 

 

PERFORMANCE DEFAULTS

 

No Record Found

 

 

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

No Record Found

 

 

SHARE & SHARE CAPITAL INFORMATION

 

CAPITAL (Currency: VND - Vietnam Dong)

Authorized Capital

:

₫ 1,000,000,000,000

 

SHAREHOLDERS

Total number of shareholders

:

3

Total number of shares

:

n/a

 

Currency

:

VND - Vietnam Dong

 

No.

Shareholders

Country

Shares

Number

Amount (VND)

%

1

DONGWHA VINA CO LTD

Vietnam

n/a

n/a

50.00

2

VIETNAM RUBBER GROUP

Vietnam

n/a

n/a

49.00

3

DONGWHA HONG KONG INTERNATIONAL CO LTD

Hong Kong

n/a

n/a

1.00

Total

n/a

n/a

100.00

 

 

 

Based on corporate statutory laws / regulations in Vietnam, there is no requirement for public disclosure of Shareholders. In this case, the Shareholders information was supplied by the Subject Business Entity.
However in the absence of data normally obtained from local Statutory Authorities, it is not possible to verify the accuracy of data supplied and hence is provided as reference ONLY.

 

 

PAYMENT INFORMATION

 

International Trade - Statistics  (Currency: USD - US Dollar)

Year

Imports

Exports

Total

2012

n/a

5,335,708

5,335,708

2013

n/a

11,483,643

11,483,643

 

PAYMENT TERMS

Selling

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~60 days

Export

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Received at time of transaction

 

Purchasing

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~60 days

Import

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Executed at time of transaction

 

 

GROUP STRUCTURE & AFFILIATED COMPANIES

 

DOMESTIC SALES & PURCHASES

Annual Sales Analysis

Percentage

Domestic Sales

85%

International Sales (Export)

15%

 

Annual Purchases Analysis

Percentage

Local Purchases

60%

Imports

40%

 

 

FINANCIAL INFORMATION

 

Financials - Summary  (Currency: USD - US Dollar)

Year

Turnover

Assets

Net Income

2012 Annual  

35,571,385

122,760,180

-809,809

2013 Annual  

76,557,621

120,681,911

9,677,643

2014 Annual  

89,812,804

125,603,492

25,690,705

 

 

Sales Trend – Analysis

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

-

-

-

-

-

-

-

-

http://www.asiancredit.com/Manage/image/up_arrow_04.gif

http://www.asiancredit.com/Manage/image/up_arrow_04.gif

 

FINANCIALS - SUMMARY (Currency: USD - US Dollar)

Year

Turnover

Assets

Net Income

2011 Annual

n/a

112,077,532

-2,141,863

 

 

FINANCIAL STATEMENT – DETAILED

 

Balance Sheet

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

Financial Highlights

2012 Annual

2013 Annual

2014 Annual

Current Assets(*)

422,860,000,000

482,737,000,000

708,593,000,000

Non Current Assets(*)

2,133,579,000,000

2,062,214,000,000

1,947,117,000,000

Non Current Liabilities(*)

1,074,479,000,000

307,975,000,000

394,123,000,000

Share Capital(*)

1,000,000,000,000

1,000,000,000,000

1,000,000,000,000

Other long term assets 

Total Assets(*)

2,556,439,000,000

2,544,951,000,000

2,655,710,000,000

Total Liabilities(*)

1,610,288,000,000

1,413,396,000,000

999,513,000,000

Current Liabilities(*)

535,809,000,000

1,105,421,000,000

605,390,000,000

Long term liabilities 

Shareholders Funds(*)

946,151,000,000

1,131,555,000,000

1,656,197,000,000

 

Current assets & short term investments

422,860,000,000

482,737,000,000

708,593,000,000

Cash & cash equivalents

101,415,000,000

204,220,000,000

307,527,000,000

Cash

71,415,000,000

71,026,000,000

157,006,000,000

Cash equivalents

30,000,000,000

133,194,000,000

150,521,000,000

Short term investments

10,000,000,000

10,000,000,000

168,302,000,000

Short term securities investments

10,000,000,000

10,000,000,000

168,302,000,000

Accounts receivable

130,709,000,000

90,530,000,000

80,634,000,000

Accounts receivable trade

93,873,000,000

38,487,000,000

29,166,000,000

Trade prepayment

33,284,000,000

48,788,000,000

50,573,000,000

Others receivables

3,552,000,000

3,255,000,000

9,264,000,000

Provision for bad debts

-

-

(8,369,000,000)

Inventories

160,858,000,000

164,705,000,000

143,707,000,000

i.Other short term asset

19,878,000,000

13,282,000,000

8,423,000,000

Prepaid expenses

7,043,000,000

9,019,000,000

3,695,000,000

VAT deductible

-

343,000,000

-

Other tax receivables

8,885,000,000

-

2,510,000,000

ii.Other short term asset

3,950,000,000

3,920,000,000

2,218,000,000

Long term assets

2,133,579,000,000

2,062,214,000,000

1,947,117,000,000

Fixed assets

1,963,064,000,000

1,910,530,000,000

1,811,647,000,000

Tangible fixed assets

1,931,160,000,000

1,875,125,000,000

1,787,383,000,000

i.Cost

2,002,162,000,000

2,051,029,000,000

2,071,776,000,000

i.Accumulated depreciation

71,002,000,000

175,904,000,000

284,393,000,000

Finance lease assets

-

16,530,000,000

12,122,000,000

ii.Cost

-

17,632,000,000

17,632,000,000

ii.Accumulated depreciation

-

1,102,000,000

5,510,000,000

Intangible fixed assets

20,284,000,000

16,728,000,000

12,142,000,000

iii.Cost

22,969,000,000

24,229,000,000

24,551,000,000

iii.Accumulated depreciation

2,685,000,000

7,501,000,000

12,409,000,000

Construction in progress

11,620,000,000

2,147,000,000

-

Other long term assets

170,515,000,000

151,684,000,000

135,470,000,000

Long term prepayments

170,515,000,000

151,684,000,000

135,470,000,000

Total assets

2,556,439,000,000

2,544,951,000,000

2,655,710,000,000

Liabilities

1,610,288,000,000

1,413,396,000,000

999,513,000,000

Current liabilities

535,809,000,000

1,105,421,000,000

605,390,000,000

Short term borrowings

330,200,000,000

904,558,000,000

431,264,000,000

Accounts payables-trade

118,925,000,000

82,125,000,000

66,240,000,000

Advances from customers

67,326,000,000

44,930,000,000

67,319,000,000

Taxes and payable to state budget

1,064,000,000

3,626,000,000

15,331,000,000

Payable to employees

3,989,000,000

11,906,000,000

13,281,000,000

Accrued expenses payable

13,979,000,000

6,069,000,000

6,744,000,000

Other payables

326,000,000

52,207,000,000

5,211,000,000

Long term liabilities

1,074,479,000,000

307,975,000,000

394,123,000,000

Long term borrowings

1,074,450,000,000

307,946,000,000

394,094,000,000

Provision for long term payable

29,000,000

29,000,000

29,000,000

Owner's equity

946,151,000,000

1,131,555,000,000

1,656,197,000,000

Business capital

1,000,000,000,000

1,000,000,000,000

1,000,000,000,000

Foreign exchange differences

43,290,000,000

24,611,000,000

6,058,000,000

Retained earnings

(97,139,000,000)

106,944,000,000

650,139,000,000

Total resources

2,556,439,000,000

2,544,951,000,000

2,655,710,000,000

Note: (*)

Financial Highlights

 

 

Income Statement

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

Financial Highlights

2012 Annual

2013 Annual

2014 Annual

Turnover(*)

740,762,000,000

1,614,454,000,000

1,898,966,000,000

Profit (Loss) Before Tax(*)

(16,864,000,000)

204,083,000,000

547,761,000,000

Profit After Tax attributable to Shareholders(*)

(16,864,000,000)

204,083,000,000

543,194,000,000

 

Gross sales

740,762,000,000

1,614,454,000,000

1,898,966,000,000

Less deductions

-

1,348,000,000

3,956,000,000

Net income

740,762,000,000

1,613,106,000,000

1,895,010,000,000

Cost of goods sold

613,483,000,000

1,167,521,000,000

1,149,902,000,000

Gross margin

127,279,000,000

445,585,000,000

745,108,000,000

Income from financial activities

22,320,000,000

24,582,000,000

23,849,000,000

Expenses from financial activities

43,021,000,000

71,691,000,000

54,388,000,000

In which: Interest expenses

42,118,000,000

54,041,000,000

39,928,000,000

Selling expenses

50,977,000,000

119,982,000,000

121,597,000,000

General & administration expenses

70,338,000,000

70,038,000,000

76,556,000,000

Net income from operating activities

(14,737,000,000)

208,456,000,000

516,416,000,000

Extraordinary income

4,809,000,000

24,555,000,000

32,426,000,000

Extraordinary expenses

6,936,000,000

28,928,000,000

1,081,000,000

Extraordinary gains

(2,127,000,000)

(4,373,000,000)

31,345,000,000

Net profit before tax

(16,864,000,000)

204,083,000,000

547,761,000,000

Net profit after tax

(16,864,000,000)

204,083,000,000

543,194,000,000

Note: (*)

Financial Highlights

 

 

Financial Ratios

Financial Highlights

2012 Annual

2013 Annual

2014 Annual

Growth % 

Year-on-Year Growth

-

117.95

17.62

Profitability 

Profit Margin (%)

(2.28)

12.64

28.60

Return on Equity (%)

(1.78)

18.04

32.80

Return on Assets (%)

(0.66)

8.02

20.45

Leverage 

Total Debt Equity (Times)

1.70

1.25

0.60

Current Debt Equity (Times)

0.57

0.98

0.37

Long Term Debt to Equity

1.14

0.27

0.24

Total Asset To Total Equity

2.70

2.25

1.60

Asset Management 

Total Assets Turnover (Times)

0.29

0.63

0.72

Fixed Assets Turnover (Times)

0.35

0.78

0.98

Liquidity 

Current Ratio

0.79

0.44

1.17

Based on the corporate laws of Vietnam, legal entities which are a Joint Stock Company are not required to make public disclosure of their annual financials. Although basic financials were obtained for reference.

 

 

FOREIGN EXCHANGE RATES

 

Today's Exchange rate

:

1.00 VND
Vietnam Dong

=

0.000046 USD
United States Dollars

 

 

ADDITIONAL INFORMATION

 

Country

:

Vietnam

Business Entity Name

:

VRG DONGWHA MDF JSC

Acronym

:

VDM

Primary Business Activity

:

Manufacturer

Primary Industry

:

Plywood, Timber & Wood Products

Office Contact Details

Operating Address

:

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

Tel

:

[+84] 651-3645500

 

:

[+84] 651-3645507

 

:

[+84] 651-3645508

 

:

[+84] 651-3645509

Fax

:

[+84] 651-3645502

Email

:

sales@vrgdongwha.com

Website Details

Website

:

http://www.vrgdongwha.com

Status

:

Normal - operational

Country of Registration

:

Vietnam

Ownership Type

:

Registered ownership by Subject Business Entity

Tax / VAT Details

Tax Issuing Authority

:

Ministry of Finance

Local Name Used

:

Gia Trj Gia Tang (Value Added Tax)

Acronym

:

GTGT / VAT

GTGT / VAT Number

:

3800426402

 

Primary Products

Products / Materials / Services Description

Activity

Glue

Manufacturing, Exporting

High density fiberboard

Manufacturing, Exporting

Lamination grade medium density fibreboard

Manufacturing, Exporting

Latex-free medium density fibreboard

Manufacturing, Exporting

Low density fibreboard (LDF)

Manufacturing, Exporting

 

SIC PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Adhesives and sealants

2891

Manufacturing, Exporting

Lumber and Wood Products

2400

Manufacturing, Exporting

Wood products, nspf

2499

Manufacturing, Exporting

 

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Articles of wood

4421909850

Manufacturing, Exporting

Fiberboard of wood and other ligneous materials

4411990000

Manufacturing, Exporting

Prepared glues & adhesives nesoi; glue retail pack

3506

Manufacturing, Exporting

 

DETAILED PRODUCT CLASSIFICATION & ACTIVITY

Products / Materials / Services Description

Ranking

Activity

Medium density fiberboard

Primary

Manufacturing, Exporting

Moisture resistance medium density fibreboard

Primary

Manufacturing, Exporting

Pine wood

Primary

Manufacturing, Exporting

Plywoods

Primary

Manufacturing, Exporting

Rubber wood

Primary

Manufacturing, Exporting

Wood

Primary

Manufacturing, Exporting

 

CORE BUSINESS DESCRIPTION

Core Business

The primary business focus of VRG DONGWHA MDF JSC is Manufacturing - Finished products.

Key products include :

Glue

High density fiberboard

Lamination grade medium density fibreboard

Latex-free medium density fibreboard

Low density fibreboard (LDF)

Medium density fiberboard

Moisture resistance medium density fibreboard

Pine wood

Plywoods

Rubber wood

Wood


An integral part of the core business includes:

Distribution

 

Supplementary Business

In addition to the core business, VRG DONGWHA MDF JSC also is engaged in the following areas of business:

Exporting

Exporting - Finished products

Importing

Importing - Raw materials

 

BANK DETAILS

Bank Name

:

JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM

Global Identifier

:

32400479

Branch

:

Hoan Kiem,Hanoi

Branch Address

:

JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM - BINH PHUOC

SWIFT Code

:

BFTVVNVX

 

Bank Name

:

STANDARD CHARTERED BANK

Global Identifier

:

32407088

Branch

:

Hanoi

Branch Address

:

STANDARD CHARTERED BANK - HO CHI MINH

SWIFT Code

:

SCBLVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE, BRANCH 6

SWIFT Code

:

ICBVVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE - HANOI

SWIFT Code

:

ICBVVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE - BA RIA-VUNG TAU

SWIFT Code

:

ICBVVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE - KHANH HOA

SWIFT Code

:

ICBVVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE, BRANCH 11

SWIFT Code

:

ICBVVNVX

 

Bank Name

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY & TRADE

Global Identifier

:

32404058

Branch

:

Hoan Kiem Dist,Hanoi

Branch Address

:

VIETNAM JOINT STOCK COMMERCIAL BANK FOR INDUSTRY AND TRADE - BINH PHUOC

SWIFT Code

:

ICBVVNVX

 

LOCAL BRANCHES & MANAGEMENT

Branch

:

VRG DONGWHA MDF JSC - DISTRICT 1, HO CHI MINH

Branch Address

:

L907-9Fl Vincom Centre 72 Le Thanh Ton St, District 1, Ho Chi Minh

Branch Tel

:

84-8-39103966

Branch Fax

:

84-8-39103967

 

INTERNATIONAL TRADE - Activity & Markets

Country / Region

Estimated level of importance

Trading Activity

Asia / Pacific

Medium

Importing, Exporting

Europe

Medium

Exporting

China

Medium

Importing

Hong Kong

Medium

Importing

India

Medium

Exporting

Korea, South (Republic of Korea)

Medium

Importing

Malaysia

Medium

Exporting

 

OFFICE & FACILITIES

The following information relates to the Business Entity's office as listed above:

Name

:

VRG DONGWHA MDF JSC - CHON THANH DIST, BINH PHUOC

Primary Use

:

Office & Administration facilities

Building Size

:

390,000 Square meters

Address

:

Minh Hung III Industrial Zone Lot G Minh Hung Commune, Chon Thanh Dist, Binh Phuoc

Country

:

Vietnam

Ownership of Property

:

Rented / Leased

Status

:

Operational

 

 

NOTES & COMMENTS

 

N/A

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.14

UK Pound

1

Rs.100.55

Euro

1

Rs.71.26

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

NIT

 

               

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.