Credit report rating

How Do I Interpret An Lloyd's List Intelligence Credit Rating ?

Lloyd's List Intelligence bases a credit rating on 5 criteria:

  • Sales Level (1-6)
  • Condition (1-6)
  • Performance (1-6)
  • Credit Guidance (A-J)
  • Overall Rating (1-10)

Annual Sales (Size) Scale (1-6)

  1. $500 million+
  2. $100 - 500m
  3. $50 - 100m
  4. $20-50m
  5. $5 -20m
  6. Under $5m

Company Financial Condition Rating (1-6)

  1. First Rate
  2. Good
  3. Satisfactory
  4. Some Concern
  5. Weak/ Strained
  6. Severe
  7. In Liquidation, Receivership, Chapter XI

Company Payment Performance Rating (1-6)

  1. First Rate
  2. Good
  3. Satisfactory
  4. Some Concern
  5. Weak
  6. Poor

Credit Guideline (AAA - J)

    Exposure Range (US$)   Normal Limit
AAA   Low eight figures and above   Above $10m
AA   Mid to high seven figures   Below $10m
A   Low to mid seven figures   Below $5m
B   Low seven figures   $1.25m
C   High six figures   $750,000
D   Mid six figures   $400,000
E   Low six figures   $200,000
F   High five figures   $100,000
G   Mid five figures   $50,000
H   Low five figures   $25,000
I   Credit a matter of trust in principal   See text
J   Secured or cash terms only    

Overall Risk Rating (Fifth Rating) (1-10)

    Risk of dealing with the company   Typical company performance in market
1   Negligible risk   Extremely strong
2   Very Low risk   Strong
3   Low risk   Firm
4   Below average risk   Satisfactory
5   Average risk   Adequate
6   Moderate risk   Vulnerable
7   Moderate to high risk   Weakened
8   High risk   Under pressure
9   Very high risk   Severe duress
10   Extreme risk   On the verge of collapse / bankruptcy

Additional Factors

MLG - Member of Large Group

SC - State Controlled

ID - Insufficient Data

NC - New Company

PG - Parental Guarantee Advised

RE - Refer to Your Experience

SS - Special Situation, see report text

EST - Estimated

Important Note: Ratings and guidelines are valid at the date of issue of the report only.

They are provided under our published terms of business and made in good faith.

Under no circumstance are they intended to be definitive judgements of the standing or worth of the company in question, nor are they to be used as sole basis or in substitution for the exercise of your own judgement in deciding whether and in which way to trade with the subject.

This rating guideline was last updated on 16 February 2006