Project Report onPROJECT APPRAISAL OF PROJECTFINANCING TO CORPORATESBY OBCSUBMITTED IN PARTIAL FULFILLMENT OF ALLREQUIREMENTS OF POST GRADUATE DIPLOMA OFBUSINESS MANAGEMENT (PGDBM) APPROVEDBY AICTES!"#$tte% "& AFRIN SHAIKHPGDBM (FINANCE) YEAR2008-10 Un%er t'e (!$%)nce o* +Pr!" J#$%&' Ar#'"N L D),#$) In-t$t!te o* M)n)(e#ent St!%$e- )n% Re-e)rc'.Sr$-'t$/0 Sector120 M$r) Ro)% (E)0 M!#")$ 1342243CERTIFICATEThisistocertifythat theproject entitledProject appraisal of projectfinancing to corporates by Oriental Bank Of Commerce is successfullycompletedbyMs. AfrinShaikhunder our supervisionandguidanceinpartial fulfillment of the PGDM course under A!"T#$ through %. &. Dalmia!nstitute 'f Management Studies ( )esearch.Prof. Jyotsna AryaProf. P.L.Arya Project GuideDirector_________________________ _____________________DECLARATION! Afrin Shaikh a student of %. &. Dalmia !nstitute 'f Management Studies ()esearch$ studying PGDM "ourse hereby declare that ! have completedtheproject on*Project appraisal of Project +inancingto"orporatesby'riental ank 'f "ommerce,in the academic year -../0-.1.. Theinformation submitted is true and original to the best of my kno2ledge.Signature333333333333333333ACKNOWLEDGEMENT!n carrying out my project titled Project appraisal of Project financingto corporatesat Oriental bank of commerce ! have received guidanceand assistance from many sources ! take this opportunity to thank all 2hohad lead to the successful completion of my project.! 2ould like to e4press my sincere gratitude to2ards my project guide Prof.Jyotsna Arya for giving guidance and taking active interest throughout myproject 2ork.My heartfelt thanks toProf. P. L. Aryafor providing me 2ith theinfrastructurefor theproject 2orkandalsototheentirefaculty2hosekno2ledge has immensely contributed in the preparation of the project.! 2ould like to e4tend my sincere thanks to Mr. S.. Arora$ "hief managerof 'riental ank of "ommerce5 &okhand2ala ranch6 andMr. Alok!mar$ &oan department officer 5 &okhand2ala ranch6fortheir valuabletime and guidance for my project 2ork A!r(& S)'(*)"#"C$%&'" S$MMA()E**$c$ent,en%$n($- t'e one o* #o-t $#port)nt *!nct$on o* t'e ")n5 6'$c'')- ()$ne%#ore -$(n$*$c)nce )*ter t'e 6or,% ')- *)ce% tro!",e 6)7e- %!e to t'e -!"pr$#e cr$-e-B)n5- p,)& ) 7er& cr!c$), ro,e $n t'e %e7e,op#ent o* )n& econo#& B)n5- )re ,$5e t'e'e)rt o* t'eecono#&)n%t'e*$n)ncepro7$%e%"&t'e#$-t'e",oo%-tre)#o* t'eecono#& I* -o#et'$n( (oe- 6ron( $n t'e ")n5$n( -ector $t- con-e8!ence- )re6$tne--e% )cro-- ),, t'e ot'er -ector- )- #o-t,& ),, o* t'e# (et t'e$r *$n)nce *ro# t'e")n5-In t'e project t$t,e% .Project )ppr)$-), o* Project F$n)nc$n( to corpor)te- )t Or$ent), B)n5o* Co##erce/ t'e 7)r$o!- )-pect- o* Project *$n)nc$n( )re co7ere% ,$5e t'e re)-on- t')t($7e- r$-e to project *$n)nce -!c' )- E9p)n-$on0 Mo%ern$:)t$on )n% ne6 e-t)",$-'#ent-o* !n$t-0 Step-*o,,o6e%*orproject *$n)nc$n(0 prep)r)t$ono* project report )n%t'e)--e--#ent o* t'e report0 %oc!#ent- re8!$re% *or t'e ,o)n p!rpo-e0 %$-"!r-e#ent o*,o)n- etcProject *$n)nc$n( ')- ()$ne% e#p')-$- $n t'e recent &e)r- %!e to %e7e,op#ent o* t'e$n*r)-tr!ct!re0 #)n!*)ct!r$n()n%t'e-er7$ce-ector- D!eto$ncre)-$n(%e#)n%*orproject *$n)nce t'ere ')- "een r$-e $n t'e co#pet$t$on ,e7e, )#on(-t t'e ")n5 e-pec$),,&*or t'e project- o* t'e reno6ne% co#p)n$e- S$nce t'ere $- '!(e %e#)n% *or t'e project*$n)nce $t ')- to "e )-cert)$ne% t')t t'e *$n)nce $- pro7$%e% *or t'e project- t')t )re7$)",e )n% t'e ")n5 6o!,% "e )",e to reco7er t'e-e ,o)n- e)-$,& on t'e %!e %)te T'!-Project Appr)$-), "eco#e- e9tre#e,& $ne7$t)",eProject Appr)$-), $- ) 'o,$-t$c e9erc$-e 6'$c' -t)rt- *ro# t'e t$#e ) pro-pect$7e "orro6er6),5- $nto t'e "r)nc' )n% c!,#$n)te- $n cre%$t %e,$7er& )n% #on$tor$n(; 6$t' t'eo"ject$7e o* en-!r$n( )n% #)$nt)$n$n( t'e 8!),$t& o* ,en%$n( )n% #)n)($n( cre%$t r$-56$t'$n )ccept)",e ,$#$t-Project )ppr)$-), "e($n-"&-t!%&$n($n%ept't'eProject Report -!"#$tte%"&t'eproponent to t'e ")n5 *or t'e p!rpo-e o* )7)$,$n( t'e ,o)n T'$- report $- )ppr)$-e% *ro#7)r$o!-)n(,e-,$5et'e*$n)nc$),0 tec'n$c),0 #)n)(er$), )n%co##erc$), toc'ec5t'e*e)-$"$,$t& o* t'e project reportT'e jo" o* t'e )ppr)$-$n( o**$cer )t Or$ent), ")n5 o* co##erce $- to -t!%& $n %et)$, t'e*$n)nc$), )-pect co7er$n( t'e Projecte% B),)nce S'eet-0 Projecte% c)-' *,o6-t)te#ent-0 Projecte% Pro*$t )n% ,o-- -t)te#ent- $n %et)$, -o )- to $%ent$*& t'epro*$t)"$,$t& o* t'e project )- ")n5- 6o!,% ,en% to t'o-e project- t')t )re pro*$t)",e )n%7$)",e A*ter -t!%&$n( t'e *$n)nc$), )-pect t'e ne9t $- t'e tec'n$c), )-pect t')t co7er- t'etec'n$c),$t$e- -!c' )- tec'no,o(& to "e !-e%0 )7)$,)"$,$t& o* t'e re-o!rce-0 proc!re#ento* t'e re-o!rce- etc Fo,,o6$n( t'e *$n)nc$), )n% tec'n$c), $- t'e #)n)(er$), )ppr)$-),t')t -'o6- t'e 8!),$t&0 c)p)c$t& )n% c)p)"$,$t& o* t'e #)n)(e#ent ')n%,$n( t'e projectAn%,)-t $- t'eCo##erc$), )ppr)$-), ($7$n( %et)$,- )"o!t t'e*$7e cr!c$), *)ctor-%e#)n%0 -!pp,&0 %$-tr$"!t$on0 pr$c$n( )n% e9tern), *orce- )**ect$n( t'e project A*ter t'e)ppr)$-), $-%onet'ent'e-)nct$on$n()!t'or$t&7er$*$e-t'e%oc!#ent-o*-ec!r$t& p)per- -o )- to (o )'e)% 6$t' t'e proce%!re T'e -)nct$on$n( )!t'or$t& )ccept-t'e project $* t'e project $- *e)-$",e0 $t ')- "een p)--e% "& t'e In-pect$on o**$cer )n% ')-rece$7e% ) no %e*)!,t -t)t!- *ro# CIBIL T'e -)nct$on ,etter $- $--!e% once t'e project $--)nct$one%t')nt'e,o)n)(ree#ent $--$(ne%"&t'e"orro6er 6'$c'cont)$n-t'e%et)$,- re()r%$n( t'e ter#- )n% con%$t$on-0 r)te o* $ntere-t0 rep)ent -c'e%!,e etcA*ter t'e %oc!#ent)t$on t'e ,o)n $- %$-"!r-e% $n ,!#p -!# or $n $n-t),,#ent- %epen%$n(on t'e n)t!re o* t'e project or t'e nee% o* t'e "orro6er T'e ,)-t "!t t'e #o-t $#port)nt-tep $- -!per7$-$on )n% Fo,,o6 !p TABLE OF CONTENTSSR" NO" PARTIC+LARS PAGE NO"2 Intro%!ct$on )"o!t B)n5- 1< So!rce- o* F$n)nce pro7$%e% "& B)n5- 2= Project F$n)nce )n% Re)-on- *or Project *$n)nc$n( 33 Intro%!ct$on )"o!t Or$ent), B)n5 o* Co##erce 7> D$)(r)# o* Proce%!re *o,,o6e% *or project *$n)nc$n( *or Corpor)te- )t Or$ent), ")n5 o* Co##erce8?Inter7$e6$n( t'e proponent @A Project Report For#!,)t$on )n% S!"#$--$on 24B Project Appr)$-),)) F$n)nc$), )ppr)$-),") Tec'n$c), )ppr)$-),c) M)n)(er$), )ppr)$-),%) Co##erc$), )ppr)$-),e) Cre%$t R)t$n(-*) Pr$or$t& -ector ,en%$n(23

@ S!"#$--$on )n% Screen$n( o* t'e Lo)n App,$c)t$on =A24 F$n), Report to S)nct$on$n( A!t'or$t& 3422 Doc!#ent)t$on )n% D$-"!r-e#ent 3=2< Mon$tor$n( )n% Fo,,o6 Up 3>2= Conc,!-$on 3B23 Anne9!re >42> B$",$o(r)p'& >3