Glossary of Terms

D&B Rating
The D&B Rating can help you quickly assess a firm's size and composite credit appraisal, based on information in a company's interim or fiscal balance sheet and an overall evaluation of the firm's creditworthiness.

The "5A" to "HH" Rating Classifications reflect company size based on worth or equity as computed by D&B. Company size can be an effective indicator of credit capacity. These Ratings are assigned to businesses that have supplied D&B with a current financial statemen t.

The Composite Credit Appraisal is a number, 1 through 4, that makes up the second half of the company's rating and reflects D&B's overall assessment of that firm's creditworthiness. The Composite Credit Appraisal is based on D&B’s analysis of company payments, financial inform ation, public records, business age and other important factors (when available).

Note: A "2" is the highest Composite Credit Appraisal a company not supplying D&B with current financial information can receive.
The "1R" and "2R" Rating categories refl ect company size based on the total number of employees for the business. They are assigned to company files that do not contain a current financial statemen t.

ER (Employee Range) Ratings apply to certain lines of business that do not lend themselves to classification under the D&B Rating system. Instead, we assign these types of businesses an Employee Range symbol base d on the number of people employed. No other significance should be attached to this symbol.

For example, a rating of "ER7" means there are between fi ve and nine employees in the company. "ERN" should not be interpreted negatively. It simply means we do not have information indicating how many people are employed at this firm.

The D&B Rating field in a report may also display the following designations when certain conditions are present:
The '- -' Symbol: This rep resents the absence of a D&B Rating and should not be interpreted as indicating that credit should be denied. It means that the information available to D&B does not permit us to classify the company within our Rating Key and that further inquir y should be made before reaching a credit decision. Some reasons for using the "- -" symbol include: deficit net worth, bankruptcy proceedings, lack of sufficient payment information or incomplete history indicator.
DS (DUNS Support): This ind icates that the information available to D&B does not permit us to classify the company within our Rating Key. When ordering these reports, an investigation can be performed and results sent to you at your request for an additional fee.
INV (Investigation Being Conducted): When an "INV" appears, it means an investigation is being conducted on this business to get the most current details.
NQ (Not Quoted): This is generally assigned when a business has been confirmed as no longer active at the location, or when D&B is unable to confirm active operations. It may also appear on some branch reports, when the branch is located in the same city as the headquarters.

Rating Classification Composite Credit Appraisal
(Based on Worth from Interim or Fiscal Balance Sheet)   High Good Fair Limited
  and over
  1 2 3 4
to 49,999,999
  1 2 3 4
3A 1,000,000
to 9,999,999   1 2 3 4
2A 750,000 to 999,999   1 2 3 4
1A 500,000 to 749,999   1 2 3 4
BA 300,000 to 499,999   1 2 3 4
BB 200,000 to 299,999   1 2 3 4
CB 125,000 to 199,999   1 2 3 4
CC 75,000 to 124,999   1 2 3 4
DC 50,000 to 74,999   1 2 3 4
DD 35,000 to 49,999   1 2 3 4
EE 20,000 to 34,999   1 2 3 4
FF 10,000 to 19,999   1 2 3 4
GG 5,000 to 9,999   1 2 3 4
HH up to   4,999   1 2 3 4
Rating Classification Composite Credit Appraisal
Based on Number of Employees)     Good Fair Limited
1R 10 and over
        2 3 4
2R 1 to 9
        2 3 4
Key To Employee Range
Applicable to lines of business not covered by the D&B Rating system
ER1 1,000 or more
ER2 500-999
ER3 100-499
ER4 50-99
ER5 20-49
ER6 10-19
ER7 5-9
ER8 1-4
ERN Not Available
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