MIRA INFORM REPORT

Report No. :	339640
Report Date :	02.09.2015

IDENTIFICATION DETAILS

Name :	REDINGTON DISTRIBUTION PTE. LTD.
Registered Office :	60, Robinson Road, 12-02, Bea Building, 068892
Country :	Singapore
Financials (as on) :	31.03.2013
Date of Incorporation :	28.03.2005
Com. Reg. No.:	200503995-E
Legal Form :	Private Limited Company
Line of Business :	· wholesaler of computer hardware and peripheral equipment.  · Engaged as general merchant and importer and exporter of computers, computer peripherals and components.
No. of Employees	20 [2014]

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)
Singapore	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

Source : CIA

* Adopted abbreviations :	SC - Subject Company (the company enquired by you)
	N/A - Not Applicable

EXECUTIVE SUMMARY

REGISTRATION NO.

:

200503995-E

COMPANY NAME

:

REDINGTON DISTRIBUTION PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

28/03/2005

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

60, ROBINSON ROAD, 12-02, BEA BUILDING, 068892, SINGAPORE.

BUSINESS ADDRESS

:

60 ROBINSON ROAD #12-02 BEA BUILDING, 068892, SINGAPORE.

TEL.NO.

:

65-64386626

FAX.NO.

:

65-64386616

WEB SITE

:

WWW.REDINGTONINDIA.COM

CONTACT PERSON

:

RAJ SHANKAR ( DIRECTOR )

PRINCIPAL ACTIVITY

:

WHOLESALE OF COMPUTER HARDWARE AND PERIPHERAL EQUIPMENT

ISSUED AND PAID UP CAPITAL

:

3,800,000.00 ORDINARY SHARE, OF A VALUE OF USD 4,000,000.00 

SALES

:

USD 290,842,909 [2013]

NET WORTH

:

USD 16,209,664 [2013]

STAFF STRENGTH

:

20 [2014]

BANKER (S)

:

BNP PARIBAS DBS BANK LTD THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STABLE

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

HISTORY / BACKGROUND

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) wholesale of computer hardware and peripheral equipment.

The immediate holding company of the Subject is REDINGTON (INDIA) LIMITED, a company incorporated in INDIA.

Share Capital History

Date	Issue & Paid Up Capital
16/07/2014	USD 4,000,000.00

The major shareholder(s) of the Subject are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
REDINGTON (INDIA) LIMITED	SPL GUINDY HOUSE, 95, MOUNT ROAD, GUINDY, CHENNAI, 600032, CHENNAI, INDIA.	T05UF1286	3,800,000.00	100.00
			---------------	------
			3,800,000.00	100.00
			============	=====

+ Also Director

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
	SRI LANKA	REDINGTON SL PRIVATE LIMITED	100.00	31/03/2013
	BANGLADESH	REDINGTON BANGLADESH LIMITED	99.00	31/03/2013

DIRECTORS

DIRECTOR 1

Name Of Subject	:	RANGAREDDY JAYACHANDRAN
Address	:	3, GRANGE GARDEN, 09-01, 249633, SINGAPORE.
IC / PP No	:	S2220352E
Nationality	:	SINGAPOREAN
Date of Appointment	:	28/03/2005

DIRECTOR 2

Name Of Subject	:	RAJ SHANKAR
Address	:	1, TANJONG RHU ROAD, 19-04, THE WATERSIDE, 436879, SINGAPORE.
IC / PP No	:	S2678584G
Nationality	:	SINGAPOREAN
Date of Appointment	:	28/03/2005

DIRECTOR 3

Name Of Subject	:	RAMANATHAN SRINIVASAN
Address	:	15, ARDMORE PARK, 05-02, ARDMORE PARK, 259959, SINGAPORE.
IC / PP No	:	S2566556B
Nationality	:	SINGAPOREAN
Date of Appointment	:	28/03/2005

MANAGEMENT

1)	Name of Subject	:	RAJ SHANKAR
	Position	:	DIRECTOR

AUDITOR

Auditor	:	ERNST & YOUNG LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	JIMMY YAP TUCK KONG
	IC / PP No	:	S2601532D
	Address	:	370F, ALEXANDRA ROAD, 19-02, THE ANCHORAGE, 159959, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

BNP PARIBAS

2)

Name

:

DBS BANK LTD

3)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD

ENCUMBRANCE (S)

No encumbrance was found in our databank at the time of investigation. 

LEGAL CHECK AGAINST SUBJECT

* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation. 

No legal action was found in our databank. 

No winding up petition was found in our databank. 

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	]	Average 61-90 Days	[	X	]
Fair 91-120 Days	[	]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	SOUTH EAST ASIA BANGLADESH INDIA SRI LANKA
Credit Term	:	AS AGREED
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

COMPUTER HARDWARE AND PERIPHERAL EQUIPMENT

Product Brand Name

:

HEWLETT PACKARD, CISCO SYSTEMS, SEAGATE, HITACHI, IBM

Ownership of premises

:

LEASED/RENTED

Total Number of Employees:
YEAR	2014	2013	2012
GROUP	N/A	N/A	N/A
COMPANY	20	15	15

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) wholesale of computer hardware and peripheral equipment. 

The Subject is listed in the Singapore local directory under the classification of computer peripherals and accessories - wholesalers and manufacturers.

The Subject's principal activities are that of a general merchant and importer and exporter of computers, computer peripherals and components.

The Subject fulfills the leads and orders generated by Redington Sales team across each region along with vendor representatives. 

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-64386626
Match	:	N/A
Address Provided by Client	:	60 ROBINSON ROAD # 12-02 BEA BUILDING SINGAPORE 068892
Current Address	:	60 ROBINSON ROAD #12-02 BEA BUILDING, 068892, SINGAPORE.
Match	:	YES

Other Investigations

we contacted one of the staff from the Subject and she provided some information.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	2010 - 2013	]
Profit/(Loss) Before Tax	:	Increased	[	2010 - 2013	]
Return on Shareholder Funds	:	Acceptable	[	19.92%	]
Return on Net Assets	:	Acceptable	[	26.27%	]
The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The Subject's management have been efficient in controlling its operating costs. The Subject's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Favourable	[	11 Days	]
Debtor Ratio	:	Acceptable	[	58 Days	]
Creditors Ratio	:	Favourable	[	59 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The Subject's management was quite efficient in handling its debtors. The Subject's debtors days were at an acceptable range, thus the risk of its debts turning bad was minimised. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.14 Times	]
Current Ratio	:	Unfavourable	[	1.32 Times	]
A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Favourable	[	18.93 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The interest cover showed that the Subject was able to service the interest. The favourable interest cover could indicate that the Subject was making enough profit to pay for the interest accrued. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.
Overall Assessment :
Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. With the favourable interest cover, the Subject could be able to service all the accrued interest without facing any difficulties. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.
Overall financial condition of the Subject : STABLE

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2009	2010	2011	2012	2013
Population (Million)	4.98	5.08	5.18	5.31	5.40
Gross Domestic Products ( % )	(0.8)	14.5	4.9	1.3	3.7
Consumer Price Index	0.6	2.8	5.2	4.6	2.4
Total Imports (Million)	356,299.3	423,221.8	459,655.1	474,554.0	466,762.0
Total Exports (Million)	391,118.1	478,840.7	514,741.2	510,329.0	513,391.0
Unemployment Rate (%)	3.2	2.2	2.1	2.0	1.9
Tourist Arrival (Million)	9.68	11.64	13.17	14.49	15.46
Hotel Occupancy Rate (%)	75.8	85.6	86.5	86.4	86.3
Cellular Phone Subscriber (Million)	1.37	1.43	1.50	1.52	1.97
Registration of New Companies (No.)	26,414	29,798	32,317	31,892	37,288
Registration of New Companies (%)	4.3	12.8	8.5	(1.3)	9.8
Liquidation of Companies (No.)	22,393	15,126	19,005	17,218	17,369
Liquidation of Companies (%)	113.4	(32.5)	25.6	9.4	(5.3)
Registration of New Businesses (No.)	26,876	23,978	23,494	24,788	22,893
Registration of New Businesses (%)	8.15	(10.78)	2.02	5.51	1.70
Liquidation of Businesses (No.)	23,552	24,211	23,005	22,489	22,598
Liquidation of Businesses (%)	11.4	2.8	(5)	(2.2)	0.5
Bankruptcy Orders (No.)	2,058	1,537	1,527	1,748	1,992
Bankruptcy Orders (%)	(11.5)	(25.3)	(0.7)	14.5	14.0
Bankruptcy Discharges (No.)	3,056	2,252	1,391	1,881	2,584
Bankruptcy Discharges (%)	103.7	(26.3)	(38.2)	35.2	37.4
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	3.25	(0.48)	4.25	3.64	-
Fish Supply & Wholesale	(1.93)	(10.5)	12.10	(0.5)	-
Manufacturing *	71.5	92.8	100.0	100.3	102.0
Food, Beverages & Tobacco	90.4	96.4	100.0	103.5	103.5
Textiles	145.9	122.1	100.0	104.0	87.1
Wearing Apparel	211.0	123.3	100.0	92.1	77.8
Leather Products & Footwear	79.5	81.8	100.0	98.6	109.8
Wood & Wood Products	101.4	104.0	100.0	95.5	107.4
Paper & Paper Products	95.4	106.1	100.0	97.4	103.2
Printing & Media	100.9	103.5	100.0	93.0	86.1
Crude Oil Refineries	96.4	95.6	100.0	99.4	93.5
Chemical & Chemical Products	80.3	97.6	100.0	100.5	104.1
Pharmaceutical Products	49.1	75.3	100.0	109.7	107.2
Rubber & Plastic Products	101.2	112.3	100.0	96.5	92.9
Non-metallic Mineral	91.9	92.5	100.0	98.2	97.6
Basic Metals	92.6	102.2	100.0	90.6	76.5
Fabricated Metal Products	90.8	103.6	100.0	104.3	105.1
Machinery & Equipment	57.3	78.5	100.0	112.9	114.5
Electrical Machinery	86.8	124.1	100.0	99.3	108.5
Electronic Components	85.2	113.6	100.0	90.6	94.3
Transport Equipment	96.0	94.0	100.0	106.3	107.5
Construction	(36.9)	14.20	20.50	28.70	-
Real Estate	1.4	21.3	25.4	31.9	-
Services
Electricity, Gas & Water	1.70	4.00	7.00	6.30	-
Transport, Storage & Communication	3.90	12.80	7.40	5.30	-
Finance & Insurance	(16.4)	(0.4)	8.90	0.50	-
Government Services	4.50	9.70	6.90	6.00	-
Education Services	0.10	(0.9)	(1.4)	0.30	-
* Based on Index of Industrial Production (2011 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.
The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.
In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%.
For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2005, the Subject is a Private Limited company, focusing on wholesale of computer hardware and peripheral equipment. Having been in business for 9 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth. Having strong support from its holding company has enabled the Subject to remain competitive despite the challenging business environment. The capital standing of the Subject is fair. With an adequate share capital, the Subject has the potential of expanding its business in future. 

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Being a small company, the Subject's business operation is supported by 20 employees. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject. 

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at USD 16,209,664, the Subject should be able to maintain its business in the near terms. 

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises. The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources. 

The Subject's payment habit is average. With its adequate working capital, the Subject should be able to pay its short term debts. 

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry. 

Based on the above condition, we recommend credit be granted to the Subject promptly.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

REDINGTON DISTRIBUTION PTE. LTD.

Financial Year End	2013-03-31	2012-03-31	2011-03-31	2010-03-31
Months	12	12	12	12
Consolidated Account	GROUP	GROUP	GROUP	GROUP
Audited Account	YES	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES	YES
Financial Type	FULL	FULL	FULL	FULL
Currency	USD	USD	USD	USD
TURNOVER	290,842,909	280,103,126	227,791,421	146,104,710
	----------------	----------------	----------------	----------------
Total Turnover	290,842,909	280,103,126	227,791,421	146,104,710
Costs of Goods Sold	(281,933,791)	(270,528,957)	-	-
	----------------	----------------	----------------	----------------
Gross Profit	8,909,118	9,574,169	-	-
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	4,034,700	3,634,527	2,772,693	1,843,630
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	4,034,700	3,634,527	2,772,693	1,843,630
Taxation	(805,354)	(830,900)	(482,389)	(360,000)
	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	3,229,346	2,803,627	2,290,304	1,483,630
	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	9,586,319	7,212,692	5,222,388	3,738,758
	----------------	----------------	----------------	----------------
As restated	9,586,319	7,212,692	5,222,388	3,738,758
	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	12,815,665	10,016,319	7,512,692	5,222,388
DIVIDENDS - Ordinary (paid & proposed)	(1,121,500)	(430,000)	(300,000)	-
	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	11,694,165	9,586,319	7,212,692	5,222,388
	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Others	225,012	326,514	130,900	92,595
	----------------	----------------	----------------	----------------
	225,012	326,514	130,900	92,595
	=============	=============	=============	=============

BALANCE SHEET

REDINGTON DISTRIBUTION PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	39,210	44,935	32,142	10,110
Others	4,510	15,239	-	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	4,510	15,239	-	-
INTANGIBLE ASSETS
Deferred/Expenditure carried forward	-	-	2,919	-
Computer software	13,141	23,229	-	-
	----------------	----------------	----------------	----------------
TOTAL INTANGIBLE ASSETS	13,141	23,229	2,919	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	56,861	83,403	35,061	10,110
Stocks	9,028,758	11,218,574	12,665,160	6,591,463
Trade debtors	46,116,789	32,932,581	34,499,339	20,624,520
Other debtors, deposits & prepayments	2,300,932	1,111,684	1,200,943	1,096,641
Short term deposits	310,112	676,656	229,978	2,092,221
Amount due from holding company	470,497	272,472	-	-
Cash & bank balances	8,199,469	7,370,455	5,147,178	3,688,802
	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	66,426,557	53,582,422	53,742,598	34,093,647
	----------------	----------------	----------------	----------------
TOTAL ASSET	66,483,418	53,665,825	53,777,659	34,103,757
	=============	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	45,671,245	35,812,447	29,717,564	16,770,512
Other creditors & accruals	2,047,182	1,755,127	11,971,005	7,341,772
Hire purchase & lease creditors	1,830	3,225	1,639	-
Deposits from customers	1,591,765	991,841	-	-
Amounts owing to holding company	291,050	484,470	-	-
Provision for taxation	663,153	583,132	397,101	349,120
	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	50,266,225	39,630,242	42,087,309	24,461,404
	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	16,160,332	13,952,180	11,655,289	9,632,243
	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	16,217,193	14,035,583	11,690,350	9,642,353
	=============	=============	=============	=============
SHARE CAPITAL
Ordinary share capital	4,000,000	4,000,000	4,000,000	4,000,000
	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	4,000,000	4,000,000	4,000,000	4,000,000
Exchange equalisation/fluctuation reserve	34,023	(43,896)	4,895	(2,950)
Retained profit/(loss) carried forward	11,694,165	9,586,319	7,212,692	5,222,388
Employee share option reserve	481,476	481,476	-	-
Others	-	-	467,032	422,915
	----------------	----------------	----------------	----------------
TOTAL RESERVES	12,209,664	10,023,899	7,684,619	5,642,353
	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	16,209,664	14,023,899	11,684,619	9,642,353
Lease obligations	2,093	7,527	5,132	-
Deferred taxation	-	621	-	-
Retirement benefits provision	5,436	2,852	-	-
Others	-	684	599	-
	----------------	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	7,529	11,684	5,731	-
	----------------	----------------	----------------	----------------
	16,217,193	14,035,583	11,690,350	9,642,353
	=============	=============	=============	=============

FINANCIAL RATIO

REDINGTON DISTRIBUTION PTE. LTD.

TYPES OF FUNDS
Cash	8,509,581	8,047,111	5,377,156	5,781,023
Net Liquid Funds	8,509,581	8,047,111	5,377,156	5,781,023
Net Liquid Assets	7,131,574	2,733,606	(1,009,871)	3,040,780
Net Current Assets/(Liabilities)	16,160,332	13,952,180	11,655,289	9,632,243
Net Tangible Assets	16,204,052	14,012,354	11,687,431	9,642,353
Net Monetary Assets	7,124,045	2,721,922	(1,015,602)	3,040,780
BALANCE SHEET ITEMS
Total Borrowings	3,923	10,752	6,771	0
Total Liabilities	50,273,754	39,641,926	42,093,040	24,461,404
Total Assets	66,483,418	53,665,825	53,777,659	34,103,757
Net Assets	16,217,193	14,035,583	11,690,350	9,642,353
Net Assets Backing	16,209,664	14,023,899	11,684,619	9,642,353
Shareholders' Funds	16,209,664	14,023,899	11,684,619	9,642,353
Total Share Capital	4,000,000	4,000,000	4,000,000	4,000,000
Total Reserves	12,209,664	10,023,899	7,684,619	5,642,353
LIQUIDITY (Times)
Cash Ratio	0.17	0.20	0.13	0.24
Liquid Ratio	1.14	1.07	0.98	1.12
Current Ratio	1.32	1.35	1.28	1.39
WORKING CAPITAL CONTROL (Days)
Stock Ratio	11	15	20	16
Debtors Ratio	58	43	55	52
Creditors Ratio	59	48	48	42
SOLVENCY RATIOS (Times)
Gearing Ratio	0.00	0.00	0.00	0.00
Liabilities Ratio	3.10	2.83	3.60	2.54
Times Interest Earned Ratio	18.93	12.13	22.18	20.91
Assets Backing Ratio	4.05	3.50	2.92	2.41
PERFORMANCE RATIO (%)
Operating Profit Margin	1.39	1.30	1.22	1.26
Net Profit Margin	1.11	1.00	1.01	1.02
Return On Net Assets	26.27	28.22	24.84	20.08
Return On Capital Employed	26.24	28.17	24.83	20.08
Return On Shareholders' Funds/Equity	19.92	19.99	19.60	15.39
Dividend Pay Out Ratio (Times)	0.35	0.15	0.13	0.00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.66.26
UK Pound	1	Rs.101.99
Euro	1	Rs.74.79

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	ASH

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%)

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