Table of Content

PART - 1

CHAPTER 1 EXECUTIVE SUMMARY.. 8

CHAPTER 2 INTRODUCTION TO CREDIT APPRAISAL 10
CHAPTER 3 OBJECTIVES... 12
CHAPTER 4 RESEARCH METHODOLOGY. 13
CHAPTER 5 INDUSTRY PROFILE. 14
CHAPTER 6 COMPANY PROFILE. 17
CHAPTER 7 REVIEW OF LITERATURE. 19
7.1 Working Capital Assessment. 19
7.2 Assessment of Term Loans 30
7.3 Basel Accord & Risk Management.. 31
CHAPTER 8 CREDIT APPRAISAL 33
8.1 Introduction. 33
8.2 Market Analysis 34
8.3 Technical Analysis. 36
8.4 Financial Analysis.. 38
8.5 Management & Organizational Analysis 45
8.6 Credit Appraisal Checklist 46
CHAPTER 9 CREDIT RISK MANAGEMENT 49
Credit
9.1 49
Risk...
9.2 Credit Risk Management System in PNB... 49
CHAPTER 10 POST SANCTION FOLLOW UP OF LOANS.. 55
CHAPTER 11 ANALYSIS & INTERPRETATION.. 57
11.1 PNBs Loan Policy. 57

11.1.1
Objective .... 57
.
11.1.2 Basic Tenets of the Policy ... 57
 11.1.3 Methods of Lending . 58
11.2 Credit Appraisal Process at PNB 60
11.2.1 Flowchart... 60
11.2.2 Brief on the Process. 60
11.2.3 Risk Rating of the Borrower. 62
11.2.4 Determination of the Applicable Rate of Interest. 65
11.2.5 Post Sanction Follow Up 66
CAS
CHAPTER 12 STUDY- ABC PARTS PVT LTD 68
E
12.1 Borrowers Profile .... 68
12.2 Credit Appraisal of ABC PARTS Pvt. Ltd... 71
I. Management
Evaluation
II. Business 71
Evaluation 73
III. Technical
75
Evaluation ...
77
IV. Legal
Evaluation ... 78
V. Financial
...
Evaluation

12.3 Present Proposal. 84

12.4 Security 89
12.5 Credit Risk Rating.. 90
12.6 Recommendations.. 94
CHAPTER 13 CONCLUSION & RECOMMENDATIONS... 95
Conclusion.. 95
Findings. 97
Recommendations...... 98
Limitations.. 99
.

REFERENCES........ 100
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