MIRA INFORM REPORT

Report Date :

17.02.2007

IDENTIFICATION DETAILS

Name :	CICO TECHNOLOGIES LIMITED
Registered Office :	B – 360, Chittaranjan Park, New Delhi – 110 019, Delhi, India.
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	15.02.2000
Com. Reg. No.:	55-103782
CIN No.: [Company Identification No.]	U99999DL2000PLC103782
TAN No.: [Tax Deduction & Collection Account No.]	DELC04746A
PAN No.: [Permanent Account No.]	AABCC2930K
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of all kinds of Construction Chemical.

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 450000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company. The company is progressing well. Directors are reported a experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are usually correct and as per commitments. Fundamentals are strong and healthy. The company can be considered normal for business dealings at usual trade terms and conditions. The company can be regarded as a promising business partner in a medium to long run.

LOCATIONS

Registered Office :	B – 360, Chittaranjan Park, New Delhi – 110 019, Delhi, India.
Tel. No.:	91-11-26272396/ 26273411 / 26276536
Fax No.:	91-11-26274895 / 26273055
E-Mail :	cicotech@cicogroup
Website :	http://www.cicogroup.com
BRANCHES :
Mumbai Office:	C-413 BSEL Tech Park, 4^th Floor, Opposite Vashi Railway Station, Vashi, Navi Mumbai – 400 705, Maharashtra, India.
Tel. No.:	91-22-27811913/4
Fax No.:	91-22-27811913/27811914
E-Mail :	Cti1@vsnl.net
Kolkata Office:	AE-377 (Ground Floor), Sector – 1, Salt Lake City, Kolkata – 700 064, West Bengal, India.
Tel. No.:	91-33-23590482/ 23580363
Fax No.:	91-33-23340810
E-Mail :	ctical@dataone.in
Chennai Office:	12-B, Diravium Nagar, Arcot Road, Porur, Chennai – 600 116, Tamilnadu, India.
Tel. No.:	91-44-24763103/104
Fax No.:	91-44-24763105
E-Mail :	cicochennai@vsnl.net
Hyderabad Office:	403 Umbrella Regency Apartment, 10-3-70 Humayan Nagar, Mehdipatnam, Hyderabad – 500 020, Andhra Pradesh, India.
Mobile No.:	91-9949897070

DIRECTORS

Name :	Mr. Gupta Amit
Designation :	Chairman cum Managing Director
Address :	S – 29, Greater Kailash –II, New Delhi – 110 048, Delhi, India.
Date of Birth/Age :	20.07.1956
Date of Appointment :	15.02.2000
Name :	Mrs. Gupta Anasuya
Designation :	Director
Address :	S – 29, Greater Kailash –II, New Delhi – 110 048, Delhi, India.
Date of Birth/Age :	30.06.1960
Date of Appointment :	15.02.2000
Name :	Mr. Peck Macinngs Donald
Designation :	Director
Address :	11 Golf Links, New Delhi – 110 003, Delhi, India.
Date of Birth/Age :	28.05.1952
Date of Appointment :	02.06.2000
Name :	Mr. Tripathi Girija
Designation :	Director
Address :	11 Golf Links, New Delhi – 110 003, Delhi, India.
Date of Birth/Age :	29.08.1966
Date of Appointment :	02.06.2000
Name :	Mrs. Gupta Dipti
Designation :	Director
Address :	20/1 Dover Road, Kolkata – 700 001, West Bangal, India.
Date of Birth/Age :	20.06.1936
Date of Appointment :	26.05.2000
Name :	Mr. Bhattacharyya Debranjan
Designation :	Director
Address :	14/14 Kalkaji, New Delhi – 110 019, Delhi, India.
Date of Birth/Age :	01.01.1962
Date of Appointment :	15.02.2000
Name :	Mr. Ghosh Kumar Chanchal
Designation :	Director
Address :	K-214-B, Chittranjan Park, New Delhi – 110 019, Delhi, India.
Date of Birth/Age :	01.09.1956
Date of Appointment :	15.02.2000
Name :	Mr. Saxena Rajeev
Designation :	Secretary
Address :	G-30/415 Sector – 3, Rohini, New Delhi – 110 085, Delhi, India.
Date of Birth/Age :	18.06.1972
Date of Appointment :	12.04.2004

MAJOR SHAREHOLDERS

Names of Shareholders	No. of Shares
Mr. Gupta Amit	55158
Mrs. Gupta Anasuya	10
Bengal Ceramics Limited	750000
FRC Composite India Limited	50000
Nandi Investments Limited	709105
Gupta Charansen Abhoy	10
Gupta Sen Geeta	10
Manik Agencies Private Limited	10
SRG Projects Private Limited	10
Debranjan Bhattacharyya	10
Pratibha Bhattacahrya	10
Chanchal Kumar	10

BUSINESS DETAILS

Line of Business :

Manufacturer of all kinds of Construction Chemical.

Products :

Products	ITC Code No.
Prepared Additives for Cement Mortars and Concrete	38244010
Damp Proof water proofing compound	38244010

Ø Waterproofers & Water Sealers

Ø Concrete Admixtures (Plasticizers)

Ø Construction Aids

Ø Protective Coatings/ Impregnations

Ø Grouts & Grouting compounds

Ø Industrial Floorings

Ø Shortcrete products

Ø Repair Compounds

Ø Capsules for anchoring/ bolting

Ø Tile & Structural Adhesive

Ø Sealants

Ø Waterproof coatings & membrane

Ø Insulation

Ø Anticorrosive Products

Brand Names :

CICO

GENERAL INFORMATION

Suppliers :	Ø A.B. Suppliers Ø Agarwal Sales Corporation Ø B & B Enterprise Ø B. K. Associates Ø B. N. B. Enterprise Ø B. T. P. India Private Limited Ø Bengal Bitumin Ø BTP India Limited Ø Chemo India Ø Eastern Polycraft Industries Limited Ø Kamal Industries Ø Lab Slaes Corporation Ø M C A Industries Ø M. D. Industries Ø Modern Plastic Ø R. B. Electronics Ø R. R. Plastics Ø Raj Trading Co. Ø Sati Dyes & Chemicals Ø Shri Metal Containers Ø Singhal Packs Ø Sri Ram Enterprises Ø Srivasta Process Industry Ø Tide Sales Corporation Ø Wonderproff Conchem Ø Yash Plastomet Private Limited
Bankers :	Ø Bank of India, Pahar Ganj Branch, New Delhi – 110 055, Delhi, India. Ø ING Vysya Bnak Limited, 23, Barakhamba Road, New Dlehi – 110 001, Delhi, India.
Facilities :	--

Banking Relations :	Satisfactory
Auditors :	J. Krishnan Chartered Accountant
Address:	146-149, Tribhuvan Complex, Ishwar Nagar, Mathura Road, New Delhi – 110 065, Delhi, India.

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs. 10/- each	REs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1564293	Equity Shares	Rs. 10/- each	Rs. 15.642 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2006	30.09.2005	30.09.2004
SHAREHOLDERS FUNDS
1] Share Capital		15.642	15.642	15.642
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		101.589	95.456	93.622
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		117.231	111.098	109.264
LOAN FUNDS
1] Secured Loans		67.758	59.899	50.448
2] Unsecured Loans		2.931	0.000	0.000
TOTAL BORROWING		70.689	59.899	50.448
DEFERRED TAX LIABILITIES		0.000	3.083	5.853
TOTAL		187.920	174.080	165.565
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		46.894	46.612	34.613
GOODWILL		0.000	0.100	0.300
INVESTMENT		1.990	1.990	1.990
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	38.679	40.820	19.578
	Sundry Debtors	131.315	108.111	117.826
	Cash & Bank Balances	9.106	4.715	4.487
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	43.752	45.945	45.137
Total Current Assets		222.852	199.591	187.028
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	81.645	69.068	63.537
	Provisions	2.501	6.271	2.847
Total Current Liabilities		84.146	75.339	66.384
Net Current Assets		138.706	124.252	120.644
MISCELLANEOUS EXPENSES		0.330	1.126	8.018
TOTAL		187.920	174.080	165.565

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2006	30.09.2005	30.09.2004
Sales Turnover [including other income]	185.775	321.182	378.926
Profit/(Loss) Before Tax	6.907	4.429	4.870
Provision for Taxation	0.000	2.596	0.000
Profit/(Loss) After Tax	6.907	1.833	4.870
Export Value	0.513	1.290	--
Total Expenditure	178.868	316.753	374.056

KEY RATIOS

PARTICULARS		31.03.2006	30.09.2005	30.09.2004
PAT / Total Income	(%)	3.72	0.57	1.29
Net Profit Margin (PBT/Sales)	(%)	3.72	1.38	1.29
Return on Total Assets (PBT/Total Assets}	(%)	2.54	1.78	2.17
Return on Investment (ROI) (PBT/Networth)		0.06	0.04	0.04
Debt Equity Ratio (Total Liability/Networth)		1.32	1.22	1.07
Current Ratio (Current Asset/Current Liability)		2.65	2.65	2.82

LOCAL AGENCY FURTHER INFORMATION

Fixed Assets:

Land-Lease Hold, Factory Land, Building, Computers, Plant & Machinery, Office Equipment, Factory Shed, Furniture & Fixtures and Vehicle etc.

Name of the Company	CICO TECHNOLOGIES LIMITED
Presented by	DIRECTORS / CICO TECHNOLOGIES LIMITED
1. Date and description of the instrument creating or evidencing the charge	Agreement of Hypothecation of plant and machinery, stocks and book debts dated 10.01.2006
2. Amount secured by the charge /amount owing on security of the charge	Rs. 4.5000 Millions
3. Short Particular of the property charged. If the property acquired is subject to change date of acquisition of property should be given	All tangible movable machinery and plant, both present and future whether installed or not and whether lying loose or in cases at site or in transit or which may at anytime during the continuance of this security being installed or lying loose or in case or being in or upon or about the borrowers premises godowns at Gurgaon and Dehradun or wherever else the same may be. All tangible movable properties and assets of whatsoever stocks nature of the Borrower and including but WITHOUT PREJUDICE TO the generality of the forgoing all stocks of raw materials such as Naphthalene, Sulphorite Powder, Sodium Ligno Powder, Sodium Glucorate, Polyster Resin, Epoxy Resin, handra Sodium, Silicate Calcium, Nihote, Polymer Polytere, Minerals and semi finished goods, spare parts, components (including spare parts and stores relating to plant & machinery both present & future) and stock in process of the Borrower whrersoever situate at Gurgaon and Dehradun and/or in transit now belonging to or that may at any time during the continuance of its security belong to the borrower or that may be held by any part ot the order and disposition of the borrower. All the present & future Book Debts, Outstanding money receivables, claims, bills which are now due and owing or which may at any time hereafter during the continuance of this security become due and owing to the Borrower in the course of this business by any person, firm, company body corporate or by the central government or any state government or any government department or office or municipal or local or public or semi government body or authority.
4. Gist of the terms and conditions and extent and operation of the charge.	The interest shall be charged at the rate of 1.50% above the Bank’s BPLR with a minimum of 12.25% p.a. with monthly rests. The loan will be repayable in 36 equated monthly instalments of Rs. 0.139 Millions each along with monthly interest p.m. commencing form February 2006 and last instalment payable in January 2008.
5. Names, address and description of the persons entitled to charge	Bank of India, Paharganj Brancj, New Delhi.
6. Date and brief description of instrument modifying the charge	NIL
7. Particular of modification specifying the terms and conditions or the extent or operation of the charge in which modification is made and the details of modification	NIL

Name of the Company

CICO TECHNOLOGIES LIMITED

Presented by

DIRECTORS / CICO TECHNOLOGIES LIMITED

1. Date and description of the instrument

creating or evidencing the charge

Agreement of Hypothecation of plant and machinery, stocks and book debts dated 10.01.2006

2. Amount secured by the charge /amount

owing on security of the charge

Rs. 4.5000 Millions

3. Short Particular of the property charged. If

the property acquired is subject to change

date of acquisition of property should be

given

All tangible movable machinery and plant, both present and future whether installed or not and whether lying loose or in cases at site or in transit or which may at anytime during the continuance of this security being installed or lying loose or in case or being in or upon or about the borrowers premises godowns at Gurgaon and Dehradun or wherever else the same may be.

All tangible movable properties and assets of whatsoever stocks nature of the Borrower and including but WITHOUT PREJUDICE TO the generality of the forgoing all stocks of raw materials such as Naphthalene, Sulphorite Powder, Sodium Ligno Powder, Sodium Glucorate, Polyster Resin, Epoxy Resin, handra Sodium, Silicate Calcium, Nihote, Polymer Polytere, Minerals and semi finished goods, spare parts, components (including spare parts and stores relating to plant & machinery both present & future) and stock in process of the Borrower whrersoever situate at Gurgaon and Dehradun and/or in transit now belonging to or that may at any time during the continuance of its security belong to the borrower or that may be held by any part ot the order and disposition of the borrower.

All the present & future Book Debts, Outstanding money receivables, claims, bills which are now due and owing or which may at any time hereafter during the continuance of this security become due and owing to the Borrower in the course of this business by any person, firm, company body corporate or by the central government or any state government or any government department or office or municipal or local or public or semi government body or authority.

4. Gist of the terms and conditions and extent

and operation of the charge.

The bank has granted to the company the following facilities:

(mounts in Millions)

Credit Facility/ Facilities Sanctioned vide Sanctioned Letter No. Date	Limits	Margin	Rate of Interest
FUND BASED
1. Cash Credit (Hypothecation of Stocks)	60.000	25%	1.50% over BOIPLR i.e. 12.25 % at present
2. Cash Credit (Hypothecation of Book Debts)	60.000	30%	1.50% over PLR i.e. 12.25 % at present
Maximum 1+2	60.000
3. PCL	5.000	25%
4. FBP/FBN (Ag. DA/DP up to 90 days)	5.000	25%
Maximum 3+4	5.000
NON FUND BASED
5. Letter of Credit (I/F) (DP/DA 120 days)	20.000	15%
6. Bank Guarantee	20.000	15%
Maximum 5+6	20.000
TOTAL:	85.000

5. Names, address and description of the

persons entitled to charge

Bank of India, Paharganj Brancj, New Delhi.

6. Date and brief description of instrument

modifying the charge

NIL

7. Particular of modification specifying the

terms and conditions or the extent or

operation of the charge in which

modification is made and the details of

modification

NIL

AS PER WEBSITE:

CICO is the most trusted name in Construction Chemicals in India for decades. Carrying forward the legacy of the CICO brand, CICO TECHNOLOGIES LIMITED has grown to be a market leader in India and is a well-accepted brand in the international market.

At CICO TECHNOLOGIES LIMITED, they offer a comprehensive range of end-to-end permanent solutions for Industrial, architectural and general construction and provide expert systems to the repair and rehabilitation industry. Their expertise lies not only in their cutting edge-technology but also their reach to the vast Indian market through a nationwide network of distributors.

Over the decades, CICO products & systems have been accepted as a benchmark of superiority and quality, which has become the trademark of CICO.

CICO products are a direct result of understanding customer's needs and providing tailor made solutions to their problems. CICO's products have performed and stayed true for its quality even in the most stringent conditions. CICO products are user friendly and cost effective. The core portfolio comprises of waterproofing chemicals, admixtures, grouts, sealants, & protective coatings to provide best solutions for construction industry.

Ø Waterproofers & Water Sealers

Ø Concrete Admixtures (Plasticizers)

Ø Construction Aids

Ø Protective Coatings/ Impregnations

Ø Grouts & Grouting compounds

Ø Industrial Floorings

Ø Shortcrete products

Ø Repair Compounds

Ø Capsules for anchoring/ bolting

Ø Tile & Structural Adhesive

Ø Sealants

Ø Waterproof coatings & membrane

Ø Insulation

Ø Anticorrosive Products

CICO TECHNOLOGIES LIMITED has been awarded the Rajiv Gandhi National Quality Award instituted by the Bureau of Indian Standards and the Bhartiya Udyog Ratan Award instituted by IDERA.

HISTORY:

In the early years of the twentieth century, Mr. N.R. Gupta, an engineer in the coalmines of West Bengal was perplexed with the complexities and safety hazards faced by the miners due to leakage of water in the coalmines. He realized that a miner's task would be far safer and simpler, had there been a solution to prevent leakage of water through the rock pores.

Driven to work on this premise, he formulated special chemical additives that could alter the properties of mortar and concrete. The initial success of his formulae spurred him on to develop various specialty chemicals and systems that would eventually go on to become benchmarks of concrete improving techniques under the brand of "CICO".

Seven decades and three generations later, they at CICO Technologies Ltd., continue to march ahead in their pursuit of excellence through their constant endevour at introducing neo-generation technologies as well as upgrading their existing technical expertise.

Mr. Amit Gupta - Chairman and Managing Director

Amit Gupta, a third-generation entrepreneur, is singularly credited for making CICO brand synonymous with the Construction Chemicals in the country. Even though CICO has decades of experience in the business, Mr. Gupta has been responsible for its unprecedented growth in recent years. He converted what was a family-run enterprise till the turn of the last century into a professionally managed organization ready to take the challenges of tomorrow.

Mr. Gupta has not only comprehensively expanded the product category of CICO by almost 40 percent, but also further improved the range keeping in mind the market potential. In addition to the traditional offerings from CICO's basket, the range has been extended to Protective & Anti-corrosive Coatings, Protective Coatings for Wood, Capsules for Anchoring/Bolting, Insulation Products, New-generation Sealants, Industrial Flooring and Specialty Adhesives.

Under his stewardship, the company also began to foray into the international markets - with a presence in Sri Lanka, Nepal, Bangladesh and Maldives. He is currently executing a major plan for overseas presence under which a joint venture is being set up with Aljabor Trading of Qatar for a manufacturing unit in Doha. The objective of this venture is to target not only the growing market in West Asia, but also to spread the reach to the East African countries.

Mr. Gupta also executed some innovative financial restructuring, which has seen the company grow from a turnover of Rs. 113 million in 2000-1 to Rs. Rs.400 million today, with a target of Rs.520 million over the next two years.

His other initiatives include taking the Construction Chemicals business - otherwise a wholesale and project contract-oriented one - to the retail, an off-the-shelf module with a nationwide network of distributors. His latest initiative is in the area of e-commerce via the internet to enable interactive marketing and customer feedback by a mere click of the button.

A trendsetter in many ways, he also applied for the 9001 Series certification as per the norms set by the International Standards Organisation, which was unheard of in the Construction Chemicals industry.

Research and Development has been another area of focus for him. Even though CICO TECHNOLOGIES LIMITED has technical collaborations with some of the best-known names in the globe, the company has been innovative enough to develop global technologies to suit the specific needs of the domestic market and weather conditions.

Mr. Gupta has been nominated for the Ernst & Young Entrepreneur of the Year Award is also a National Council member of the Construction Federation of India, the prime body of the construction industry.

He secured a PGDM and a Master's degree in Economics from the Jadavpur University in Kolkata, and started his career with Siemens India Limited in 1978 with job responsibilities that spanned areas such as finance, production, operations and marketing. Mr. Gupta learnt the professional aspects of a business at Siemens. He joined the CICO group in 1980 and implemented innovative aspects to the family business that saw a manifold growth.

In 2000, realizing the importance of professionalism, he reorganized the family business with only the brands CICO and TAPECRETE to form CICO TECHNOLOGIES LIMITED.

VISION

They at CICO have been successful in converting their legacy into a stepping-stone for entering into the new millennium. The result is CICO TECHNOLOGIES LIMITED; a young and responsive organization prepared to take the Construction Chemical technology, products, services and solutions to the customer's doorstep. They have accomplished this task through their team of professionals who are committed, efficient and proficient and indeed clearly the business leaders.

Construction Chemical Industry has traditionally been focused largely on projects and "after construction problems" involving high-end engineering skills. Presently this industry is being viewed as a "sunrise industry" as efforts are on the anvil to take the products, systems and the services to the market place. The process of converting various specialty products into "over the trade counter"(OTC) products is bound to enable this industry to look beyond the horizons in terms of sales and services. Imparting product knowledge, skills and services, as an integral part of this business continue to be the main strength of future business approach.

Their past successes and achievements have brought us the recognition and repute which has established CTL's leadership. With ACTIS as their equity partners they are confident of breaking further international barriers and taking theirselves to newer areas of development both at home and abroad.

It shall be their endeavor to make CICO TECHNOLOGIES LIMITED a benchmark in customer care and the last word in Construction Chemicals and services.

PRESS RELEASES

QC-100 TOTAL QUALITY MANAGEMENT AWARD

CICO Technologies Limited has been conferred with the prestigious International Star Quality Award in Gold category for Quality by the Business Initiative Directions (BID) in Geneva.

The award is in recognition of the stringent quality standards set by the company for both in-house practices as well as customers. The awarding committee recognized the high quality culture prevalent within the organization, which is one of commitment to quality.

The other Indian awardee was the leading international telecom giant Videsh Sanchar Nigam Ltd (VSNL).

Indian Oil Ltd., one of the fortune five hundred companies was the previous winner of the International Star Quality Award for their commitment to quality philosophy.

The award ceremony was presided over by the president and Chief Executive of Business Initiative Directions (BID), Jose E. Prieto. BID has made its presence in 173 countries by creating a platform for the implementation of an integral quality process through technology and procedures of the QC100 Total Quality Management.

"The award is a proof of our achievements in the industry and we will continue to deliver the best in the times to come," Amit Gupta, chairman and managing director, CICO Technologies Limited.

In order to reach out to the smallest customer, CICO Technologies Limited pioneered the retail management of construction chemicals in India and has the largest channel network across the length and breadth of the country.

The company commands a major market share and is involved in different infrastructural development like Golden Quadrilateral, Ports expansions, Roadways, Atomic & Hydel power projects, Airports, dams etc.

Also CICO's products and systems have been used in all types of infrastructure projects. It has been India's outstanding partner for infrastructure development and has been associated with several prestigious initiatives that have been funded by institutions like the Asian Development Bank and the World Bank.

CICO's presence in the neighbouring markets like Sri Lanka, Nepal, Bangladesh, Maldives and Qatar is rapidly growing.

CTL's mission is to maintain its leadership in the business with total commitment towards continuous improvement in quality standards through ongoing research and development efforts.

Appeared in:

Ø Navbharat Times: November 18, 2006

Ø The Statesman: November 19, 2006

Ø Civil Engineering and Construction Review: December 2006

Ø New Building Material & Construction World: December 2006

Ø Construction World: December 2006

Ø The Masterbuilder: December 2006

Ø Architecture & Design: December 2006

Ø Reality Plus: January 2006

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 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. 44.07
UK Pound	1	Rs. 86.17
Euro	1	Rs. 57.97

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--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
NR		In view of the lack of information, we have no basis upon which to recommend credit dealings	No Rating

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