Attachment 1

Report Update On	12^th January, 1999
Report on	PSG COLLEGE OF TECHNOLOGY & POLYTECHNIC
Registered Office	Peelamedu, Coimbatore – 641 004, India
Tel. No.	91-422-578 454 / 571 010
Fax No.	--
E-Mail	--
Telex	--

Attachment 2

S U M M A R Y

Incorporated		Status	Good
Registration No.		Chief Executive
Capital (Rs.)		Payments	Correct
Sales (Rs.)		Litigation	--
Net Worth (Rs.)		Banking Reputation
No. of Employees		Auditors
Credit Rating	A (See attachment 3)

INDUSTRY

********************

GENERAL INFORMATION

Subject is a part of Educational Institutions started by P. S. Govindarajulu Family (A Textile Magnet of Coimbatore) by forming a Private Trust way back in 40’s. They have the following institutions :

K PSG College of Engineering Technology

K PSG Medical College

K PSG College for Economics and Science

K PSG Women’s College

These are located in 300 acres with campases separate for boys and girls. The engineering and medical colleges are autonomous body outside any university regulations, as they issue the necessary certificates. The colleges for engineering and medical come under the common admission tests conducted by the Guindy Engineering College (Government). 90% of the seats are alloted by the Government while 10% are offered as Management Quota which consists of capitation fees and study and hostel charges.

It is to be noted that a fair number of students studying in the medical college are sons & daughters of Foreign Settled NRI’s.

Its teaching faculty consists of eminent professors in the respective fields including visiting professors from Overseas Universities.

SISTER UNITS

K PSG Institute of Management

K PSG & Sons Charitable Metallurgy & Foundry Division

K PSG College of Arts and Science

K Sarva Jana Hre Secondary School

K PSG Institute of Medical Sciences & Research

K PSG Hospitals

K PSG Co-operative House Building Society Limited

K PSG & Sons Charities Co-operative Stores Limited

K PSG R Krishnammai College of Women

BANKERS

K State Bank of India, Main Branch, Coimbatore – 641 001

K Indian Bank at Extension Counter at College Premises

FINANCIAL INFORMATION

The income of this trust rolls into several millions of rupees and is financially very sound. There being a number of mill magnates in the Governing Body. They have imported machinery for imparting practical training and they carry minimum debts during year end.

COMMENTS

Subject is a well-established educational institute. Available information indicates high financial responsibility of the institute.

It can be considered good for any normal business dealings.

Attachment 3

SCORE SHEET

SCORE	CREDIT 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. Maybe drawn to slightly difficult position as unfavourable conditions arise. Minimal assurance for timely payment on interest and principal sums	Moderate
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively limited or considered not known. Capability to pay both interest and principal sums is doubtful	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