MIRA INFORM REPORT

Report Date :

9^th June 2006

IDENTIFICATION DETAILS

Name :	MANISH PACKAGING PRIVATE LIMITED
Registered Office :	Ghantiwala Compound, No. A.S. Motors, Ashvani Kumar Road, Surat – 395 008, Gujarat, India
Country:	India
Financials (as on):	31.03.2005
Date of Incorporation :	29.01.1997
Com. Reg. No.:	04-31603
CIN No.:	U25209GJ1997PTC031603
IEC No.:	5296003276
TAN No.: [Tax Deduction & Collection Account No.]	SRTM00134B
PAN No.: [Permanent Account No.]	AABCM6018Q
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer and seller of Packaging Materials, PVT Twisted Wrap Films like Transported Opaque White Matalized, Gddmetalized as well as printed Films

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 275000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track records. Trade relations are fair. Financial position is satisfactory. Payments are usually correct and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions.

LOCATIONS

Registered Office :	Ghantiwala Compound, No. A.S. Motors, Ashvani Kumar Road, Surat – 395 008, Gujarat, India
Tel. No.:	91-261-2399999 / 799
Fax No.:	91-261-2399998
Website:	http://www.manishfilms.com
Area :	1000 sq. ft
Premises :	Owned
Factory 1 :	Plot No. 539, Road No.5, G.I.D.C., Sachin, Surat – 394230, Gujarat, India
Tel. No.:	91-261-2872325/ 2872319
Fax No.:	91-261-2872709
Area :	5000 sq. ft
Premises :	Leased
Branch :	Block No. 690 & 691, Maroli UM Bharat Road, Maroli, District Navasari, Gujarat, Mr.
Tel. No.:	91-2637-273029
Area :	5000 sq. ft
Premises :	Owned

DIRECTORS

Name :	Mr. Kanaiyalal B Patel
Designation :	Director
Address :	112 Sarjan Society, Near Citi Light Road, Athwalines, Surat – 395 001, Gujarat.
Date of Birth :	29.03.1943
Qualification:	Engineer
Experience :	40 years
Date of Appointment :	29.01.1997
Name :	Mr. Patel Vikas K
Designation :	Director
Address :	112 Sarjan Society, Near Citi Light Road, Athwalines, Surat – 395 001, Gujarat.
Date of Birth :	13.12.1970
Qualification:	Master in Pol. Engineer
Experience :	11 years
Date of Appointment :	03.02.1979
Name :	Mr. Patel Manish K
Designation :	Director
Address :	112 Sarjan Society, Near Citi Light Road, Athwalines, Surat – 395 001, Gujarat.
Date of Birth :	22.09.1968
Qualification:	Engineer
Experience :	13 years
Date of Appointment :	03.02.1997
Name :	Mr. Iyer Venkatraman S
Designation :	Director
Address :	9/A, City Crown Apartment, Parle Point, Athwalines, Surat – 395 001.
Date of Birth :	31.06.1939
Date of Appointment :	29.01.1997
Name :	Mr. Iyer Suresh V
Designation :	Director
Address :	9/A, City Crown Apartment, Parle Point, Athwalines, Surat – 395 001.
Date of Birth :	12.08.1968
Date of Appointment :	03.02.1997
Name :	Mr. Raval Murgesh S.
Designation :	Director
Address :	31, Ishwar Nagar Society, Near Bhatar Char Rasta, Surat – 395 001,Gujarat.
Date of Birth/ Age :	33 Years
Qualification:	Post Graduate
Experience :	10 years
Date of Appointment :	15.04.2004

MAJOR SHAREHOLDERS

Names of Shareholders	No. of Shares
Kanaiyalal Bhagwandas Patel	362945
Patel Kanaiyalal (HUF)	300000
Vasantiben Kanaiyalal Patel	100000
Patel Manish Kanaiyalal	102510
Patel Vikas Kanaiyalal	102510
Patel Nilam Manishbhai	1000
Patel Kekul Vikasvhai	1000
Vikash Traders	100
Gananayak Securities Private Limited	15000
Paritosh Trading Private Limited	20000
Heroic Multitrade Private Limited	20000
Poonam Investments & Financial Consultants	20000
Kanoi Steels Limited	20000
Parambh Multitrade Private Limited	20000
Indo City Infotech Limited	15000
Indo Castle Multimedia Limited	15000
Manish K. Patel (HUF)	80
Vikash K. Patel (HUF)	80
Kanaiyalal B. Patel	10
TOTAL:	1115235

BUSINESS DETAILS

Line of Business :

Manufacturer and seller of Packaging Materials, PVT Twisted Wrap Films like Transported Opaque White Matalized, Gddmetalized as well as printed Films

Products:

Particulars	ITC Code
PVC Films	392011

Exports to :

UK, USA, African Countries, UAE, Russia and Asian Countries

Imports from :

China, Taiwan, U.S.A, Europe, Singapore and Dubai

Terms :

Selling :

L/C, Credit (60-90 days)

Purchasing :

L/C, Credit (30-60 days)

PRODUCTION STATUS

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
PVC Non Toxic Films - Metalised	Kg.	--	2.275 millions	1.800 millions
PVC lamination Films advanced Metalised	Kg.	--	--	1.131 millions

GENERAL INFORMATION

Suppliers :

v Borkar Industries Private Limited

v M.M. Aqua Technologies Limited

v Narmada enterprises Limited

v Ramco Industries Limited

v Yogi Metalizers Private Limited

v Technoplast Industries

Customers :

Wholesalers, Retailers , Converters and End Users

v Godrej Hicare Limited

v Oriental Press Limited

v Arabian Packaging Company.

v Dinesh Confectionery Private Limited

v Hitech Flexipack Private Limited

v Reynold Packaging

v The Paper Products Limited

v The Ravalgon Sugar Farms Limited

v The Travancore Confectionery

v WFC India Limited

v Parry Confectionery Limited

No. of Employees :

150

Bankers :

v Surat People’s Co-operative Bank Limited

Vasudhara, Pasi Sheri, Surat

Credit Limit : Rs. 2.08 millions

v State Bank of India

Specialised Commercial Branch, Ring Road, Surat – 395002

Credit Limit : Rs. 39.000 millions

v Bank of Baroda

Sachin GIDC Branch, Surat.

Facilities:

Secured Loan	Amount (In Millions)
Working Capital Facilities From: State Bank of India	12.728
Bills Discounting Facilities From: State Bank of India	5.611
Hire Purchase Loan:
ABN Amro Bank	0.137
HDFC Bank	0.210
Unsecured Loan
From Directors and Shareholders	32.488
TOTAL:	51.174

Banking Relations :	Satisfcatory
Auditors :	SNK & Company Chartered Accountants
Address :	31-A, Adarsh Society, Opposite Seventh Day Adventist High School, Athwalines, Surat – 395001
Tel. No.:	91-261-2850723 to 8/ 91-261-2656273-4-5/ 5544791-2-3
Fax No.:	91-261-2656868
Email:	snk@snkca.com
Associates :	v Vikas Traders v Manish Multi Pack Films Private Limited Ghantiwala Compound, No. A.S. Motors, Ashvani Kumar Road, Surat – 395 008, Gujarat, India
Sister Concern:	Manish Multi Packfilms Private Limited
Address:	Ghantiwala Compound, No. A.S. Motors, Ashvani Kumar Road, Surat – 395 008, Gujarat, India

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
300,000	Equity Shares	Rs.10/- each	Rs. 3.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1115000	Equity Shares	Rs.10/- each	Rs.11.152 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2005	31.03.2004	31.03.2003
SHAREHOLDERS FUNDS
1] Share Capital		11.150	9.700	9.701
2] Reserves & Surplus		57.206	44.167	28.057
NETWORTH		68.356	53.867	37.758
LOAN FUNDS
1] Secured Loans		18.687	21.581	2.088
2] Unsecured Loans		32.488	23.660	39.898
TOTAL BORROWING		51.175	45.241	41.986
DEFERRED TAX LIABILITIES		1.674	1.501	0.000
TOTAL		121.205	100.609	79.744
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		33.516	32.030	32.682
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.273	0.273	0.273
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	23.704	13.548	20.085
	Sundry Debtors	43.838	44.415	20.634
	Cash & Bank Balances	12.250	4.397	12.912
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.000	0.000	10.448
	Deposit with Banks	25.386	21.804	0.000
Total Current Assets		105.178	84.164	64.079
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	13.914	11.340	12.950
	Provisions	3.957	4.535	4.340
Total Current Liabilities		17.871	15.875	17.290
Net Current Assets		87.307	68.289	46.789
MISCELLANEOUS EXPENSES		0.109	0.017	0.000
TOTAL		121.205	100.609	79.744

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2005	31.03.2004	31.03.2003
Sales Turnover [including other income]	289.746	211.697	205.045
Profit/(Loss) Before Tax	11.038	20.200	13.367
Provision for Taxation	3.859	3.980	3.927
Profit/(Loss) After Tax	7.179	16.220	9.440
Export Value	173.823	115.535	55.226
Import Value	41.462	13.445	24.318
Total Expenditure	289.115	190.231	191.677

KEY RATIOS

PARTICULARS		31.03.2005	31.03.2004	31.03.2003
PAT / Total Income	(%)	2.48	7.66	4.60
Net Profit Margin (PBT/Sales)	(%)	3.68	9.60	6.52
Return on Total Assets (PBT/Total Assets}	(%)	7.94	17.34	13.81
Return on Investment (ROI) (PBT/Networth)		0.16	0.37	0.35
Debt Equity Ratio (Total Liability/Networth)		1.01	1.13	1.56
Current Ratio (Current Asset/Current Liability)		5.89	5.30	3.70

LOCAL AGENCY FURTHER INFORMATION

Fixed Assets:

Land, Office Plot, Staff Colony Plot, Factory Shed Construction, Office Construction, Staff Colony, Machinery, Electrical Installation, Laboratory Equipment, Office Equipment, Computer, Furniture, Air Conditioner, Motor Car, Scooter, Delivery Vehicles etc.

Trade Reference :

v The Paper Products Limited, Thane

v Fitrite Packers, Bombay

v The Ravalgaon Sagar Farm Limited

Name of the company

MANISH PACKAGING PRIVATE LIMITED

Presented By

Mr. K. B. Patel

1) Date and description of instrument creating the change

28.07.203 Agreement of Loan for overall limit and agreement of Hypothecation of goods and assets.

2) Amount secured by the charge/amount owing on the securities of charge

Rs. 39.000 Millions

Demand Cash Credit Rs. 25.000 Millions (Packing Credit Rs. 5.000 Millions & Foreign Bills Rs. 5.000 Millions)

Import L/C Rs. 14.000 Millions.

3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given

All present & future goods, book debts, movables and other assets including documents of title to goods, outstanding moneys receivable claims, etc. and Hypothecation of movable machinery.

4) Gist of the terms and conditions and extent and operation of the charge.

Rate of interest shall be as under:

Demand Cash Credit	11.60%
Export Packing Credit	7.35%
Foreign Bills Discount	7.50 to 10.50%

Margin shall be as under:

Raw Materials	25%
Stock in Process	35%
Finished Goods	40%
Book Debts	50%
Letter of Credit Cash	25%

5) Name and Address and description of the person entitled to the charge.

State Bank of India

Specialised Commercial Branch, Ring Road, Surat – 395002

6) Date and brief description of instrument modifying the charge

17.09.2003 Memorandum of deposit for creation of charge for term loan/ overall limit

7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.

The amount secured by charge further secured by equitable mortgage of following immovable properties:

All that piece and parcel of property bearing plot no. 539 adm. 1484 sq. Mts. In Sachin Industrial Area/ Estate out of Land Bearing R.S. No. 280/ paike of Village Sachin Tal. Choryasi Dt. Surat Possessed by company.

All the piece and parcel of property bearing Revenue Block No. 690 & 691 adm. 7993 sq. Mts. And 13867 sq. mts. Respectively of Village Maroli Tal. Navsari in name of Company.

Website details attached :

PROFILE :

MANISH PACKAGING PVT. LTD. is a pioneer in the field of manufacturing various grades of PVC films since 30 years. At present they manufacture about 4000 Metric Tons of Food Grade PVC Twist Wrap film and 3000 Metric Tons of Print Lamination PVC Films aggregating to about 7000 Metric Tons of PVC Films per annum. They are further increasing their capacity to match bulk demands. With their vast experience and rigorous efforts they have developed extensive range of PVC films, like-
PVC Twistwrap Film- Food Grade (Non Toxic) for confectionery products like candy and toffee.

v Clear transparent

v Opaque

v Coloured.

v Silver Metallised

v Silver Metallised with Lacquered Gold (or any other color)

v Printed PVC Film in all above grades.

PVC print lamination film for printed paper and board.
	Thickness (Micron)	Yeild ( sq mt /kg)
	6	120
	7	105
	8	92
	10	70

PVC Shrink film for temper proof bulk packing and lables.
Packing Grade - Shrinkage
TD	MD
45%	15%
Lable Grade -  Shrinkage
TD	MD
35%	5%

PVC thick sheets (50 To 500 Micron) - Food Grade

Vacuum Forming

Thermo Forming

Blister

Photo Album

PVC general purpose soft and rigid film for different many more applications.

In addition to the above pioneering achievements in film application they are moving ahead to project their product for several other applications through their  R & D efforts.  To achieve this goal massive expansion with new facilities have already been undertaken.

Some Of Their Esteem Customers

CADBURY'S, PARRY'S, NESTLE, NUTRINE, PARLE, RAVALGAON

The company are also supplying to leading converters like

INDUSTRIES

THE PAPER PRODUCTS LTD.

FLEX  INDUSTRIES  LIMITED

JALPAC INDIA LTD.

Further, They are also exporting to many leading
confectioners and converters in
ASIAN, UAE, EUROPEAN, AFRICANS and
RUSSIAN COUNTRIES.

They have been honoured with outstanding export award  by
"The Southern Gujarat Chamber Of Commerce And Industry, Surat"
for the year 1998-99 and 1999-2000.

CMT REPORT [Corruption, Money laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 46.06
UK Pound	1	Rs. 85.27
Euro	1	Rs. 58.88

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		48

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions