=0.75 or between 5.5 0.76 to 0.99 =0.50 or between 5 0.51 to 0.74 =0.25 or between 4 0.26 to 0.49 =0.15 or between 2 0.16 to 0.24 Less than 0.15 Risk (Maximum Weighted Score: 10) Value Statements Company’s Company’s Score from (a) Weighted Score (c) (d) = (c ) x (b) 1 Natural/ Full Hedging of forex risk; 1 loss/anticipated loss is NIL/Minimum 0 2 Mitigation to the extent of 75% of the 7 unhedged forex risk 3 Mitigation to the extent of 50% of the 5 unhedged risk 4 Mitigation to the extent of 25% of the 2 unhedged forex risk 5 No Risk Mitigation of the unhedged forex 0 risk ANNEXURE B2 NON-TRADING SECTOR : SIMPLIFIED MODEL - FINANCIAL RISK QUALITATIVE FACTORS: (-ve) Probability Amount Impact on Negative Amount of assessed TNW of unit : Marks: as Invocation/ to be at column (A) of Column (B) Details per Claim/ Default Table-II of Table-II Balance impact =(a) x (b) Sheet (%) (%)
=0.75 or between 0.76 to 0.99 5.5 =0.50 or between 0.51 to 0.74 5 =0.25 or between 0.26 to 0.49 4 =0.15 or between 0.16 to 0.24 2 Less than 0.15 Risk (Maximum Weighted Score: 10) Value Statements Company’s Score from (a) Company’s Weighted Score (c) (d) = (c ) x (b) 1 Natural/ Full Hedging of forex risk; loss/anticipated loss is NIL/Minimum 2 Mitigation to the extent of 75% of the unhedged forex risk 7 3 Mitigation to the extent of 50% of the unhedged risk 5 4 Mitigation to the extent of 25% of the unhedged forex risk 2 5 No Risk Mitigation of the unhedged forex risk 0 ANNEXURE B2 NON-TRADING SECTOR : SIMPLIFIED MODEL - FINANCIAL RISK QUALITATIVE FACTORS: (-ve) Details Amount as per Balance Sheet Probability of Invocation/ Claim/ impact (%) Amount assessed to be at Default =(a) x (b) Impact on TNW of unit : column (A) of Table-II (%) Negative Marks: Column (B) of Table-II 1 0
Credit-Risk-Assessment-model-for-Rating-Credit-Proposal.docx