MIRA INFORM REPORT

Report Date :

17.02.2007

IDENTIFICATION DETAILS

Name :	HYVA INDIA PRIVATE LIMITED
Formerly Known As:	HYVA INDIA TRANSPORTATION SYSTEMS PRIVATE LIMITED
Registered Office :	Plot # C-255, MIDC Pawne Village, Navi Mumbai - 400 705, Maharashtra
Country:	India
Financials as on:	31.12.2005
Date of Incorporation :	02.09.1996
Com. Reg. No.:	11-102299
CIN No.:	U99999MH1996PTC102299
TAN No.: (Tax Deduction & Collection Account No.)	MUMH07261C
PAN No.: (Permanent Account No.)	AAACH2006C
Legal Form :	Private Limited Liability company. Subject is a subsidiary of Hyva Holding B.V., Holland
Line of Business :	Manufacturing and Trading of Cranes, Compactors, Scissors-Tipping Systems and other Transportation Systems. This involves assembly of various components that are either imported from foreign countries or purchased in the domestic markets.

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 1400000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. General financial position is satisfactory. Payments are usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

LOCATIONS

Registered Office :	Plot No. C 112, MIDC TTC Industrial Area, Pawne Village, Navi Mumbai - 400 705, Maharashtra
Tel. No.:	91-22-66165590
Fax No.:	91-22-27672846
E-Mail :	sudhirp@hyvaindia.com
Website :	http://www.hyvaindia.com
Administrative Office :	Plot # C – 246, MIDC, TTC, Pwane, Navi Mumbai – 400 705, Maharashtra
Tel. No.:	91-22-27905441 / 2 / 4 / 27683425
Fax No.:	91-22-27672846 / 25118307
E-Mail :	hyvaind@bom3.vsnl.net.in
Factory 1 :	Plot No. D-222 / 34, MIDC, TTC Shiravane, Navi Mumbai - 400 706, Maharashtra
Tel. No.:	91-22-27672272 / 27636909

DIRECTORS

Name :	Mr. Sudhir M. Prabhu
Designation :	Managing Director
Address :	Bunglow No. 3, Madhuvan, Deonar Cooperative Housing Society, Gowandi Station Road, Deonar, Mumbai - 400 088
Date of Birth/Age :	25.11.1950
Qualification :	Diploma in Production
Experience :	25 years
Date of Appointment :	02.09.1998/03.09.1996
Name :	Mr. Jacob W. Vaandrager (Foreign)
Designation :	Director
Address :	Hyva Beheer B V, Ondernemingsweg-1, 2404HM, Alphen Ad Rijn, Holland
Date of Appointment :	18.11.1997
Name :	Mr. Louwrens M. Dijkstra (Foreign)
Designation :	Director
Address :	Hyva Beheer B V, Ondernemingsweg-1, 2404HM, Alphen Ad Rijn, Holland
Date of Birth/Age :	01.10.1955
Date of Appointment :	18.11.1997
Name :	Mr. Haresh M. Sanghvi
Designation :	Alternate Director to Mr. Jacob Vaandrager
Address :	1/69, Jabareya Court, Marine Drive, Mumbai - 400 020
Date of Appointment :	15.01.1998
Name :	Mr. Ashok Deshmukh
Designation :	Alternate Director to Mr. Lawrence Dijkstra
Name :	Mr. B. R. Tarafdar
Designation :	Company Secretary
Name :	Mrs. Madhuvanti Kamath Prabhu
Designation :	Alternate Director
Address :	Bunglow No. 3, Madhuvan, Deonar Co-op. Hsg. Soc. Gowandi Station Road, Deonar, Mumbai - 400 088
Date of Birth/Age :	26.01.1957
Date of Appointment :	02.09.2004
Name :	Mrs. Kirti Vijay Shenoy
Designation :	Alternate Director
Address :	B-116, Meghdoot, Raheja Township, Malad (East), Mumbai-400097, Maharashtra
Date of Birth/Age :	18.11.1966
Date of Appointment :	14.08.2004
Name :	Mr. Roelof Koch
Designation :	Director
Address :	Hyva Beheer B V, Ondernemingsweg-1, 2404HM, Alphen Ad Rijn, Holland
Date of Birth/Age :	04.11.1954
Date of Appointment :	02.09.2004

MAJOR SHAREHOLDERS

Names of Shareholders	No. of Shares
Mr. Ashok S. Deshmukh	10
Mr. Sudhir M. Prabhu	20
Hyva Beteiligungs Verwaltungs GmbH, Austria	1251000
Hyva Transport Technik	125100

BUSINESS DETAILS

Line of Business :	Manufacturing and Trading of Cranes, Compactors, Scissors-Tipping Systems and other Transportation Systems. This involves assembly of various components that are either imported from foreign countries or purchased in the domestic markets.
Products :	Cranes Compactors Transportation System Scissor – Tipping System
Agencies Held :	HMF, Denmark JOST, Germany RINGFEDER, Germany

GENERAL INFORMATION

No. of Employees :

96

Bankers :

ABN Amro Bank

ICICI Bank

Citibank NA, Bandra Kurla Complex, G-Block, Bandra (East), Mumbai - 400 051

HDFC Bank Limited

Bharat Co-operative Bank

Facilities :

SECURED LOANS	31.03.2005 (Rs. in millions)
Loans and advances from Banks
Cash Credit	--
Short Term Loan	100.000
Long Term Loan	25.700
Other loans and advances
Dues under hire purchase agreements	0.693
Total	126.393

Banking Relations :	Satisfactory
Auditors :	Deloitte Haskins & Sells Chartered Accountants
Address:	12, Dr. Annie Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai-400018, Maharashtra
Tel. No.:	91-22-56679000
Fax No.:	91-22-56679025
Associates/Subsidiaries :	Ujwal Process Mechanical Engineering Private Limited Hyva International Hyva Holding BV Hyva Thailand Hyva Malaysia SDN BHD Hyva Transporttechnik Gmbh Hyva Lift Technamics BV Hyva Do Brasil Hydraulica Limited Hyva Mechanics Yangzhou Company limited Kennis Mechinefabriek BV
Parent Company:	Hyva Holding B.V., Holland

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000	Equity Shares	Rs. 10/- each	Rs. 15.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1251200	Equity Shares	Rs. 10/- each	Rs. 12.510 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.12.2005	31.03.2005	31.03.2004
SHAREHOLDERS FUNDS
1] Share Capital		12.510	12.510	12.510
2] Share Application Money		0.005	0.005	0.005
3] Reserves & Surplus		339.402	193.908	87.496
NETWORTH		351.917	206.423	100.011
LOAN FUNDS
1] Secured Loans		151.205	126.393	23.451
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		151.205	126.393	23.451
TOTAL		503.122	332.816	123.462
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		69.318	65.516	31.995
Capital work-in-progress		9.594	0.486	1.869
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	1.221	0.098
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	301.448	217.146	63.925
	Sundry Debtors	335.322	181.399	100.019
	Cash & Bank Balances	76.400	23.308	48.237
	Other Current Assets	12.032	0.000	0.000
	Loans & Advances	187.208	169.155	37.097
Total Current Assets		912.410	591.009	286.526
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	345.196	244.595	171.558
	Provisions	143.004	80.335	23.837
Total Current Liabilities		488.200	324.930	197.026
Net Current Assets		424.210	266.079	89.500
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		503.122	332.816	123.462

PROFIT & LOSS ACCOUNT

PARTICULARS		31.12.2005	31.03.2005	31.03.2004
Sales Turnover		1300.826	1271.962	683.235
Other Income
Total Income		1300.826	1271.962	683.235
Profit/(Loss) Before Tax		213.442	173.401	65.899
Provision for Taxation		--	66.989	40.748
Profit/(Loss) After Tax		213.442	106.412	25.151
Export Value		25.677	66.777	0.493
Import Value		NA	296.798	157.904
Expenditures :
	Interest	7.301	2.638	--
	Other Expenditure	1087.384	1098.562
Total Expenditure		1094.685	1101.200	617.334

KEY RATIOS

PARTICULARS		31.12.2005	31.03.2005	31.03.2004
PAT / Total Income	(%)	16.41	8.36	3.68
Net Profit Margin (PBT/Sales)	(%)	16.41	13.62	9.65
Return on Total Assets (PBT/Total Assets}	(%)	21.74	26.39	20.69
Return on Investment (ROI) (PBT/Networth)		0.61	0.84	0.66
Debt Equity Ratio (Total Liability/Networth)		1.82	2.18	2.20
Current Ratio (Current Asset/Current Liability)		1.87	1.82	1.45

LOCAL AGENCY FURTHER INFORMATION

The name of the company was changed to present with effect from 24^th January, 2001.

Subject is a wholly owned Dutch subsidiary of Hyva Holding B.V, Holland. They commenced their operations on TEST basis to feel and know the Indian Business by making absolute minimum investments as well as exposure.

The company is the 22^nd Daughter Company of Hyva Holding B.V. At present, they are consolidating their business plan for 2000-2010 based on hands on experience gained by them.

Their customers are their sister companies around the world. Their world-wide suppliers are channelized through their Dutch Office. They would prefer dealing with companies whom they know well, it can be a customer or suppliers.

The company is engaged in manufacturing and trading of cranes, compactors, scissors-tipping systems and other transportation systems. This involves assembly of various components that are either imported from foreign countries or purchased in the domestic markets.

As such, considering the number, various sizes and specification of such parts and lack of uniform meaningful unit of measurement for the items, the management is of the opinion that it was not possible to had separate quantitative details for various items involved in the manufacturing business.

Performance

During the period under report, the company has achieved high level localization of cylinders initiated the process of localization of hydraulic cylinders, and other components which has resulted in reducing its cost and increase its gross margins.

Business results

The buoyancy in the India Economy as a whole has gained momentum during the year under report. The strong domestic economy, a resurgent capital market and improved foreign exchange reserves have instilled a new confidence in the Indian corporate sector. The company’s operational and financial performance has registered a significant growth over the previous year.

Exports

Subject has started executing export order for Volvo India and Tata Motors.

The company has been accredited with ISO 9001 : 2000 Certification.

It is in trade terms with:-

· Suhail & Company

· Vora Industries

· Swastik Engineers Private Limited

· Weldon Engineers Private Limited

· Excel Engfab Private Limited

· Unique Welding Products Private Limited

· Metcoan Coating & Chemicals

· Intercrome

· Powerlift Equipments Private Limited

Fixed Assets:

Ø Land

Ø Leasehold Improvements

Ø Plant & Machinery

Ø Vehicles

Ø Computers

Ø Furniture & Fittings

Ø Electrical Installation

Ø Tools & Equipments

Ø Office Equipments

Business Operations:

The Sustained efforts of the management to prune operating costs, optimize operations by improving yields and maximizing productivity have fructified during the review period the results show a remarkable rise of 91 % in gross income at Rs. 1267.100 million. The profit after tax at Rs. 106.400 million showed a remarkable increase of over 150% as compared to previous year

The company has started full fledged operation at Bangalore & Jamshedpur. During the year 2004-05 46% (approx) of the sales was made by these units

Considering the buoyant market and encouraging trends the company has taken steps to substantially expand the production capacity of the company. The company has acquired land at MIDC, Navi Mumbai for building a new factory. Civil construction has already commenced and company plan to shift it operation to its own premises by June 2006

Name of the Company HYVA INDIA PRIVATE LIMITED Presented by Mr. ABN AMRO Bank N V & HYVA INDIA PRIVATE LIMITED
Date and description of instrument creating the change	Dated: 13^th January, 2004 Special Hypothecation Agreement
Amount secured by the charge/amount owing on the securities of charge	Import and Inland LC : INR Rs. 45.000 million Overdraft/STPLR (Within the sub limit of facility 1) : (INR Rs. 45.000 million) OBSI: EURO Rs. 0.500 millions
Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	Hypothecation of the Borrower’s fixed assets morefully described in the Schedule II to the agreement, whether installed or not and whether lying loose or in cases or being on or upon or at any time hereafter during the continuance of this security being on or upon or about the premises and godowns, factory or wherever else the same may be or be held by the party to the order or disposition of the Borrower or in the course of transit
Gist of the terms and conditions and extent and operation of the charge.	The above assets hypothecated to the bank as security for the payment by borrower to the bank of all the moneys that may be due and payable by the Borrower to the bank of all the moneys that may be due and payable by the Borrower to the Bank under facilities aggregating INR Rs. 45.000 millions plus Euro Rs. 0.500 millions with all interest, charges, costs and expenses payable to and incurred by the bank in relation thereto
Name and Address and description of the person entitled to the charge.	ABN Amro Bank N V Sakhar Bhavan Nariman Point Mumbai-400021
Date and brief description of instrument modifying the charge	Dated: 8^th March, 2005 Supplemental Special Hypothecation Agreement
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.	At the request of the Borrower the bank has agreed to revise/modified the credit facility/ies upto INR Rs. 87.500 millions against hypothecation of borrowers fixed assets including as detailed in the Schedule to the Agreement, whether installed or not and whether now lying loose or in case of being on or at any time hereafter during the continuance of this security being on or upon or about the premises and godowns, factory or wherever else the same may be or be held by any party to the order or disposition of the Borrower or in the course of transit Interest at negotiated rate. Thus, the charge now stands secured at INR Rs. 87.500 millions

Name of the Company HYVA INDIA PRIVATE LIMITED

Presented by ABN AMRO Bank N V & HYVA INDIA PRIVATE LIMITED

Date and description of instrument creating the change	Dated: 13^th January, 2004 Special Hypothecation Agreement
Amount secured by the charge/amount owing on the securities of charge	Import and Inland LC : INR Rs. 45.000 million Overdraft/STPLR (Within the sub limit of facility 1) : (INR Rs. 45.000 million) OBSI: EURO Rs. 0.500 millions
Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	Hypothecation of the Borrower’s fixed assets morefully described in the Schedule II to the agreement, whether installed or not and whether lying loose or in cases or being on or upon or at any time hereafter during the continuance of this security being on or upon or about the premises and godowns, factory or wherever else the same may be or be held by the party to the order or disposition of the Borrower or in the course of transit
Gist of the terms and conditions and extent and operation of the charge.	The above assets hypothecated to the bank as security for the payment by borrower to the bank of all the moneys that may be due and payable by the Borrower to the bank of all the moneys that may be due and payable by the Borrower to the Bank under facilities aggregating INR Rs. 45.000 millions plus Euro Rs. 0.500 millions with all interest, charges, costs and expenses payable to and incurred by the bank in relation thereto
Name and Address and description of the person entitled to the charge.	ABN Amro Bank N V Sakhar Bhavan Nariman Point Mumbai-400021
Date and brief description of instrument modifying the charge	NA
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.	NA

Name of the Company HYVA INDIA PRIVATE LIMITED

Presented by ABN AMRO Bank N V & HYVA INDIA PRIVATE LIMITED

1. Date and description of instrument creating the change

Dated: 30^th January, 2003

Facility cum Hypothecation Agreement

Entire Stocks and Book Debts

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

Rs. 10.000 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

The whole of the current assets of the Borrower namely, Stock of Raw materials, stocks in process, Semi finished and finished goods, stores and Spares not relating to plant and machinery, bills receivables and book debts and all other movable, both present and future whether now lying loose or in cases or which are lying or stored in or about or shall herein after from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about the Borrowers factory premises and godown situated at Navi Mumbai in the state of Maharashtra or wherever else the same may be or be held at any party to the order or disposition of the Borrower in the course of transit or on high seas or on order or delivery, howsoever and wherever in the possession of the Borrower and either by way of substitution or addition

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

First Charge on all the borrower’s stock and book debts to secure all the credit facilities to the extent granted to company as described below

For Cash Credit /Overdraft:

At ABN Amro PLR (16% p.a.)

Less: 2% (effective rate – 14% p.a.)

(I) For STPLR Loans

Upto INR: 10.000 million – Negotiate rate currently at 9.50% p.a.

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

ABN Amro Bank N V

Sakhar Bhavan

Nariman Point

Mumbai-400021

6. Date and brief description of instrument modifying the charge

Dated: 13^th January, 2004

Facility cum Hypothecation Agreement

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.

a) Past modification :

The original charge created on 30.01.2003 for Rs. 10 millions was modified and increased to Rs. 25 millions on 5.6.2003

b) Present modification:

At the request of the Borrower the Bank has agreed to increase/increased the credit facilities as shown hereunder:

Facility	Limit (Rs. In Millions)	Rate of Interest
Import and Inland Letter of Credit	INR 45.000	Standard Tariff
Overdraft/Short Term Prime Lending Rate Loan (STPLR)	(INR 45.000)	Overdraft: At Bank’s PLR (16% p.a.) less 2% p.a. STPLR: At Negotiated Rate
Total	INR 45.000

Against hypothecation of all book debts and tangible movable properties of the Borrower including Raw materials, stocks in process, Semi finished and finished goods, stores and Spares not relating to plant and machinery, bills receivables and book debts and all other movable, both present and future whether now lying loose or in cases or which are lying or stored in or about or shall herein after from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about the Borrowers factory premises and godown including any such goods in the course of transit or delivery

Thus, the charge now stands secured at Rs. 45.00 millions

Name of the Company HYVA INDIA PRIVATE LIMITED

Presented by ABN AMRO Bank N V & HYVA INDIA PRIVATE LIMITED

Date and description of instrument creating the change	Dated: 30^th January, 2003 Facility cum Hypothecation Agreement Entire Stocks and Book Debts
Amount secured by the charge/amount owing on the securities of charge	Rs. 10.000 millions
Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	The whole of the current assets of the Borrower namely, Stock of Raw materials, stocks in process, Semi finished and finished goods, stores and Spares not relating to plant and machinery, bills receivables and book debts and all other movable, both present and future whether now lying loose or in cases or which are lying or stored in or about or shall herein after from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about the Borrowers factory premises and godown situated at Navi Mumbai in the state of Maharashtra or wherever else the same may be or be held at any party to the order or disposition of the Borrower in the course of transit or on high seas or on order or delivery, howsoever and wherever in the possession of the Borrower and either by way of substitution or addition
Gist of the terms and conditions and extent and operation of the charge.	First Charge on all the borrower’s stock and book debts to secure all the credit facilities to the extent granted to company as described below For Cash Credit /Overdraft: At ABN Amro PLR (16% p.a.) Less: 2% (effective rate – 14% p.a.) (I) For STPLR Loans Upto INR: 10.000 million – Negotiate rate currently at 9.50% p.a.
Name and Address and description of the person entitled to the charge.	ABN Amro Bank N V Sakhar Bhavan Nariman Point Mumbai-400021
Date and brief description of instrument modifying the charge	Dated: 13^th January, 2004 Supplementary Facility cum Hypothecation Agreement
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.	First Charge on all the borrower’s stock and book debts to secure the enhanced credit facilities to the extent of INR:25.00 million granted to the company For Cash Credit /Overdraft: At ABN Amro PLR (16% p.a.) Less: 2% (effective rate – 14% p.a.) (I) For STPLR Loans Upto INR: 25.000 million – Negotiate rate currently at 9.50% p.a.

Name of the Company HYVA INDIA PRIVATE LIMITED

Presented by ABN AMRO Bank N V & HYVA INDIA PRIVATE LIMITED

Date and description of instrument creating the change	Dated: 30^th January, 2003 Facility cum Hypothecation Agreement Entire Stocks and Book Debts
Amount secured by the charge/amount owing on the securities of charge	Rs. 10.000 millions
Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	The whole of the current assets of the Borrower namely, Stock of Raw materials, stocks in process, Semi finished and finished goods, stores and Spares not relating to plant and machinery, bills receivables and book debts and all other movable, both present and future whether now lying loose or in cases or which are lying or stored in or about or shall herein after from time to time during the continuance of the security of these presents be brought into or upon or be stored or be in or about the Borrowers factory premises and godown situated at Navi Mumbai in the state of Maharashtra or wherever else the same may be or be held at any party to the order or disposition of the Borrower in the course of transit or on high seas or on order or delivery, howsoever and wherever in the possession of the Borrower and either by way of substitution or addition
Gist of the terms and conditions and extent and operation of the charge.	First Charge on all the borrower’s stock and book debts to secure all the credit facilities to the extent granted to company as described below For Cash Credit /Overdraft: At ABN Amro PLR (16% p.a.) Less: 2% (effective rate – 14% p.a.) (I) For STPLR Loans Upto INR: 10.000 million – 9.50% p.a. Beyond INR: 10.000 million – 12.50%
Name and Address and description of the person entitled to the charge.	ABN Amro Bank N V Sakhar Bhavan Nariman Point Mumbai-400021
Date and brief description of instrument modifying the charge	Dated: NA Facility cum Hypothecation Agreement
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.	NA

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. 44.20
UK Pound	1	Rs. 86.72
Euro	1	Rs. 58.23

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	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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

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

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