MIRA INFORM REPORT

Report Date :

20.02.2007

IDENTIFICATION DETAILS

Name :	JUBILIANT ENGINEERING LIMITED
Registered Office :	Plot No. 29, Nagarjuna Hills, Panjagutta, Hyderabad – 500 082, Andhra Pradesh
Country:	India
Financials (as on):	31.03.2006
Date of Incorporation :	14.10.1996
Com. Reg. No.:	01-25483
CIN No.: [Company Identification No.]	L74140AP1996PLC025483
TAN No.: [Tax Deduction & Collection Account No.]	CMBJ03153D
PAN No.: [Permanent Account No.]	AAACJ6045P
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Engaged in as mechanical, electrical and textile engineers, who undertake repair, maintenance and installation services on turnkey basis.

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 325000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are fair. Financial position is satisfactory. Payments are usually correct and as per commitments. The company is doing well. It can be considered good for any normal business dealings at usual trade terms and conditions.

LOCATIONS

Registered Office :	Plot No. 29, Nagarjuna Hills, Panjagutta, Hyderabad – 500 082, Andhra Pradesh, India.
Tel. No.:	91-40-23351585
Fax No.:	91-40-23357820 / 23358387
Email :	hyd_1patodia@gtnindustries.com
Website :	http://www.gtnindustries.com
Area :	1100 sq.ft.
Location :	Rented - Commercial
Factory 1 :	No. 509/1-A, Maniakarampalayan Road, Nallpalayan, Coimbatore – 641 006, India
Tel. No.:	91-422-2534149
Fax No.:	91-422-2534137

DIRECTORS

Name :	Mr. Mahendra Kumar Patodia
Designation :	Managing Director
Address :	Plot No 145, Road No. 3, Banjara Hills, Hyderabad
Date of Birth/Age :	25.08.1951
Date of Appointment :	14.10.1996
Name :	Mr. V. Raghu Ram
Designation :	Director
Address :	Ligh – 238, APHB Colony, Moulali, Hyderabad
Date of Birth/Age :	20.12.1954
Date of Appointment :	02.12.2003
Name :	Mr. Chander Raj Garg
Designation :	Director
Address :	406, Lumbiri Rock Dale, Emrald Block, Somajiguda, Hyderabad
Date of Birth/Age :	15.07.1952
Date of Appointment :	02.12.2003
Name :	Mr. J Venkateswarlu
Designation :	Director
Address:	Plot No. 183, Bhoodevi Nagar, Venkatapuram, Tirumalagiri, Secundarabad – 500 015, Andhra Pradesh, India.
Date of Birth/Age :	15.04.1964
Date of Appointment :	13.06.2006
Other Directorship :	Cotstyle Yarn Private Limited U51494AP2003PTC040460
Name :	Ms. Anjana Patodia
Designation :	Director

MAJOR SHAREHOLDERS

Names of Shareholders	No. of Shares
M. K. Patodia	363,400
Anjana Patodia	88,400
M K Patodia (HUF)	297,500
C. R. Gang	200
M. Satyanarayana	200
V. Raghuram	200
Modestry Finance and Investment Private Limited	100
Total:	750,000

BUSINESS DETAILS

Line of Business :

Engaged in as mechanical, electrical and textile engineers, who undertake repair, maintenance and installation services on turnkey basis.

Products:

Products	ITC Code No.:
Industrial Gate Value & Accessories	3802/3808

Terms :

Selling :

Contract, Credit (30 days) or Cash terms

Purchasing :

Cash or Credit (30 days) terms

PRODUCTION STATUS

Particulars	Unit	Installed Capacity
Gate Value Assembly	Nos.	3600
Internals	Nos.	87000

GENERAL INFORMATION

Customers :

Manufacturers

No. of Employees :

300

Bankers :

Ø HDFC Bank, Hyderabad – 500 001, Andhra Pradesh

Ø Central Bank of India, Panjagutta Branch, Hyderabad – 500 082, Andhra Pradesh

Facilities:

Secured Loan	Amount (In Millions)
Rupee Term Loan from Bank
Bank of Punjab Limited – Term Loan – I	13.631
Bank of Punjab Limited – Term Loan – II	22.187
Working Capital Loans form Bank
Packing Credit Account (INR) – BOP	--
Foreign Currency Packing Credit – BOP	23.296
Foreign Currency Packing Credit – PNB	15.121
Foreign Currency Packing Credit – UTI	13.122
Unsecured Loan
Form Body Corporate
Perfect Knitters Limited	11.000
Total:	98.357

Security:

Term Loan:

Secured by way of first charge on all fixed assets of the company both present & future, second charge on Bankers goods as specified in clause 2[a] below, personal guarantee of a Director of the company and corporate guarantee of bodies corporate.

Working Capital Loan:

1. Secured by way of hypothecation of stocks, book debts and other movable current assets (bankers goods) of the company, both present & future, second charge on Fixed Assets as referred in clause [1] above and personal guarantee of a directors of the company.

2. Working capital loans from BOP are additionally secured by corporate guarantee given by bodies corporate. Working capital loan form Punjab National Bank is also additionally secured by corporate guarantee given by a body corporate.

Banking Relations :

Satisfactory

Auditors :

Name :

D. K. Baid & Company

Chartered Accountants

Address :

5-8-4-12, 2^nd Floor, Abids Shopping Centre, Hyderabad – 500 001, Andhra Pradesh

Tel. No.:

91-40-23203648

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.10 each	Rs. 7.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
750000	Equity Shares	Rs.10 each	Rs. 7.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2006	31.03.2005	31.03.2004
SHAREHOLDERS FUNDS
1] Share Capital		7.500	7.500	2.500
2] Reserves & Surplus		76.779	19.413	0.779
3) (Accumulated loss)		0.000	0.000	0.000
NETWORTH		84.279	26.913	3.279
LOAN FUNDS
1] Secured Loans		129.310	87.360	12.979
2] Unsecured Loans		11.000	11.000	9.000
TOTAL BORROWING		140.310	98.360	21.979
DEFERRED TAX LIABILITIES		4.344	3.152	0.632
TOTAL		228.933	128.425	25.890
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		69.554	53.539	11.040
Capital work-in-progress		0.000	0.000	13.999
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	102.355	60.461	0.204
	Sundry Debtors	32.972	14.586	1.059
	Cash & Bank Balances	33.839	9.988	3.131
	Loans & Advances	33.612	10.881	1.184
Total Current Assets		202.778	95.916	5.578
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	43.401	21.034	4.755
	Provisions	0.000	0.000	0.000
Total Current Liabilities		43.401	21.034	4.755
Net Current Assets		159.377	74.882	0.823
MISCELLANEOUS EXPENSES		0.002	0.004	0.028
TOTAL		228.933	128.425	25.890

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
Sales Turnover		299.030	95.585	11.148
Other Income		0.379	0.717	0.000
Total Income		299.409	95.999	11.148
Profit/(Loss) Before Tax		76.372	21.985	0.982
Provision for Taxation		1.903	3.351	0.699
Profit/(Loss) After Tax		74.469	18.634	0.283
Earnings in Foreign Currency :
Total Earnings		NA	79.474	2.631
Imports :
	Raw Materials	NA	28.499	0.000
	Stores & Spares	NA	17.808	0.000
	Capital Goods	NA	5.260	11.508
Total Imports		NA	51.567	11.508
Expenditures :
	Purchase of Traded Goods	0.000	0.000	2.666
	Manufacturing Expenses	0.000	0.000	4.542
	Personal Expenses	0.000	0.000	1.238
	Sales and Distribution Expenses	0.000	0.000	0.174
	Raw Material Consumed	150.254	40.985	0.000
	Purchases made for re-sale	0.000	18.565	0.000
	Consumption of stores and spares parts	42.776	17.382	0.000
	Increase/(Decrease) in Finished Goods	[34.097]	[26.967]	0.000
	Salaries, Wages, Bonus, etc.	9.701	5.124	0.000
	Managerial Remuneration	0.000	0.000	0.000
	Payment to Auditors	0.030	0.018	0.000
	Interest	9.113	4.505	0.409
	Insurance Expenses	0.877	0.306	0.000
	Power & Fuel	2.988	1.534	0.000
	Depreciation & Amortization	3.972	2.262	0.555
	Other Expenditure	37.423	10.300	0.583
Total Expenditure		223.037	74.014	10.167

KEY RATIOS

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
PAT / Total Income	(%)	24.87	19.41	2.54
Net Profit Margin (PBT/Sales)	(%)	25.54	23.07	8.81
Return on Total Assets (PBT/Total Assets}	(%)	28.04	14.71	3.21
Return on Investment (ROI) (PBT/Networth)		0.91	0.82	0.30
Debt Equity Ratio (Total Liability/Networth)		2.18	4.44	8.15
Current Ratio (Current Asset/Current Liability)		4.68	4.56	1.17

LOCAL AGENCY FURTHER INFORMATION

History

Subject was incorporated on 14^th October, 1996 at Hyderabad in Andhra Pradesh under the name and style of Jubilant Investments & Real Estates (Private) Limited having Company Registration Number 01-25483.

The name of the company was changed to the present with effect from 9^th December, 2003

It purchases 100% from local market .

It sells 100% in local market.

It is reported that the company until 09.12.2003 was acting only as estate agents and since then it has switch over to the new line of business which is expected to enhance the income of the company in the coming years.

Performance Review:

The directors are gald to report that the Net Sales/ Income form operation increased to almost 8 times from Rs. 11.118 Millions in 2003-04 to Rs. 95.998 Millions in 2004-05. The consequence to that the operating profit increased to Rs. 28.752 Millions in 2004-05 from 1.946 Millions in 2003-04. Accordingly the profit before tax also improved from Rs. 0.982 Millions to Rs. 21.985 Millions.

After making mandatory provisions for the deferred tax liability in the term of accounting standard 22 and current tax, amounting to Rs. 3.351 Millions, the net profit after tax stood at Rs. 18.634 Millions as against previous year’s Rs. 0.284 Millions.

The overall improvement in the sales and profit can be attributed to the fact that company has received good amount of export orders from its principle customer FMC and will also receive good amount of export orders from them in future.

Change of Status of the company form DTA Unit to 100% EOU:

As you are aware that the company has been engaged in the business of export of Engineering goods and components required by their prime customer FMC. In consequence of that the company has changed its status from DTA unit to 100% EOU by registering itself with DC, MEPZ vide no. A/2004/053/EOU-TN Dated 26.10.2004. The company has converted in to 100% EOU on 22.11.2004 by declaring its commencement of production on that date.

Fixed Assets:

Buildings, Plant & Machinery, Electrical Installation, Computers, Furniture & Fixtures, Office Equipment, Dies & Equipments and Vehicles, etc.

Name of the company	JUBILIANT ENGINEERING LIMITED
Presented By	Mr. V Raghu Ram, Director
1) Date and description of instrument creating the change	24.12.2003 Deed of Hypothecation of Assets to secure Term Loan
2) Amount secured by the charge/amount owing on the securities of charge	Term Loan – Rs. 15.000 Millions FLC (DP basis) – Rs. 12.300 Millions Bank Guarantee – Rs. 1.500 Millions (Outstanding facilities 1 & 2 not to exceed Rs. 15.000 Millions at any time.)
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	First charge on all Fixed assets specified in Schedule “A” both present & future of the Company includes of machinery of Rs. 20.160 Millions & other assets of Rs. 1.990 Millions to be installed and hypothecation of stocks imported/ purchased under LC.
4) Gist of the terms and conditions and extent and operation of the charge.	Term Loan – 0.50% below PTLR i.e. 12.50% p.a. presently Monthly compounding. Margin – 33.33% FLC (DP basis) – Margin – 15% (FDRs with Branch). Commission – 0.15% Bank Guarantee – Margin – 10% (FDRs with branch) Commission – 2%
5) Name and Address and description of the person entitled to the charge.	Bank of Punjab Limited 1-7-283/1&2, 126, Sarojini Devi Road, Secunderabad – 500 003, Andhra Pradesh, India.
6) Date and brief description of instrument modifying the charge	Not Applicable
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.	Not Applicable

Name of the company	JUBILIANT ENGINEERING LIMITED
Presented By	Mr. M K Patodia, Director
1) Date and description of instrument creating the change	24.12.2003 Deed of Hypothecation of Assets to secure Term Loan
2) Amount secured by the charge/amount owing on the securities of charge	Term Loan – Rs. 15.000 Millions FLC (DP basis) – Rs. 12.300 Millions Bank Guarantee – Rs. 1.500 Millions (Outstanding facilities 1 & 2 not to exceed Rs. 15.000 Millions at any time.)
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	First charge on all Fixed assets specified in Schedule “A” both present & future of the Company includes of machinery of Rs. 20.160 Millions & other assets of Rs. 1.990 Millions to be installed and hypothecation of stocks imported/ purchased under LC.
4) Gist of the terms and conditions and extent and operation of the charge.	Term Loan – 0.50% below PTLR i.e. 12.50% p.a. presently Monthly compounding. Margin – 33.33% FLC (DP basis) – Margin – 15% (FDRs with Branch). Commission – 0.15% Bank Guarantee – Margin – 10% (FDRs with branch) Commission – 2%
5) Name and Address and description of the person entitled to the charge.	Bank of Punjab Limited 1-7-283/1&2, 126, Sarojini Devi Road, Secunderabad – 500 003, Andhra Pradesh, India.
6) Date and brief description of instrument modifying the charge	Not Applicable
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.	Not Applicable

Name of the company	JUBILIANT ENGINEERING LIMITED
Presented By	Mr. V Raghu Ram, Director
1) Date and description of instrument creating the change	24.12.2003 Deed of Hypothecation of Assets to secure Term Loan
2) Amount secured by the charge/amount owing on the securities of charge	Term Loan – Rs. 15.000 Millions FLC Sub Limit (DP basis) – Rs. 12.300 Millions Bank Guarantee – Rs. 1.500 Millions Total: Rs. 16.500 Million
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	First charge on all Fixed assets specified in Schedule “A” both present & future of the Company includes of machinery of Rs. 20.160 Millions & other assets of Rs. 1.990 Millions to be installed and hypothecation of stocks imported/ purchased under LC.
4) Gist of the terms and conditions and extent and operation of the charge.	Term Loan – 0.50% below PTLR i.e. 12.50% p.a. presently Monthly compounding. Margin – 33.33% FLC (DP basis) – Margin – 15% (FDRs with Branch). Commission – 0.15% Bank Guarantee – Margin – 10% (FDRs with branch) Commission – 2%
5) Name and Address and description of the person entitled to the charge.	Bank of Punjab Limited 1-7-283/1&2, 126, Sarojini Devi Road, Secunderabad – 500 003, Andhra Pradesh, India.
6) Date and brief description of instrument modifying the charge	Letter dated 16.06.2005 form Bank of Punjab Limited for completely repayment of Term Loans only and enhanced working capital facilities remain the same.
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.	Complete repayment of: Term Loan – I – Rs. 15.000 Millions Term Loan – II – Rs. 22.000 Millions There are no due outstanding in Term Loan Accounts with Bank of Punjab and the Working Capital Facilities are not changed. Bank of Punjab, UTI Bank and Punjab National Bank shall have 1^st charge on the all Current Assets and 2^nd charge on the entire Block Assets. Exim Bank Shall have 1^st charge on Block Assets and 2^nd charge on the Current Assets of the company.

Name of the company

JUBILIANT ENGINEERING LIMITED

Presented By

Mr. V Raghu Ram, Director

1) Date and description of instrument creating the change

24.12.2003

Deed of Hypothecation of Assets to secure Term Loan

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

Term Loan – Rs. 15.000 Millions

FLC Sub Limit (DP basis) – Rs. 12.300 Millions

Bank Guarantee – Rs. 1.500 Millions

Total: Rs. 16.500 Million

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

First charge on all Fixed assets specified in Schedule “A” both present & future of the Company includes of machinery of Rs. 20.160 Millions & other assets of Rs. 1.990 Millions to be installed and hypothecation of stocks imported/ purchased under LC.

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

Term Loan – 0.50% below PTLR i.e. 12.50% p.a. presently Monthly compounding.

Margin – 33.33%

FLC (DP basis) – Margin – 15% (FDRs with Branch).

Commission – 0.15%

Bank Guarantee – Margin – 10% (FDRs with branch)

Commission – 2%

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

Bank of Punjab Limited

1-7-283/1&2, 126, Sarojini Devi Road, Secunderabad – 500 003, Andhra Pradesh, India.

6) Date and brief description of instrument modifying the charge

28.03.2005

Agreement for Hypothecation of Movable Assets forming part of Fixed/Block Assets (pari passu second charge)

Deed of Hypothecation of Assets to secure Term Loans.

Packing credit agreement.

Deed of Hypothecation to secure LC on DA/DP basis.

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.

Various facilities:

(Rs. In Millions)

Facilities	Existing (Bank of Punjab Limited & UTI Bank Limited)	Additional (Punjab National Bank)	Total
Term Loan	37.000	10.000	47.000
Packing Credit	50.000	35.000	85.000
Bills Discounting	40.000	35.000	75.000
Bank Guarantee	4.000	NIL	4.000
FLC	14.500	20.000	34.500
Total	145.500	100.000	245.500

Additional facilities form –

Punjab National Bank,

Mid Corpoarte Branch

Banjara Hills, Hyderabad

Pari passu First Charge on the company’s entire current assets, goods, movables, and other assets, present & future along with Bank of Punjab Limited and UTI Bank Limited and First & exclusive charge in favour Punjab National Bank on the fixed assets to be acquired by the company by availing a term loan of Rs. 10.000 Millions and pari passu second charge on movable fixed assets along with Bank of Punjab Limited and UTI Bank Limited.

Packing Credit – (up to 90 days)

Margin – 10%

FC –

Rate of Interest – LIBOR + 0.75% p.a.

RUPEE –

Rate of interest – BPLR – 3.25%

i.e. 7.5% p.a.

Foreign Bills Discounting –

Rate of Interest – Up to 90 days – BPLR – 3.25% i.e. 7.5% p.a. and beyond 90 days – BPLR – 0.25% i.e. 10.50% p.a.

FLC –

Margin – 10%

Commission – As per Bank/FEDAI guidelines

Term Loan –

Margin – 50%

Interest – 11.25% p.a.

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.44.17
UK Pound	1	Rs.86.69
Euro	1	Rs.58.22

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	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		60

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		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