MIRA INFORM REPORT

Report Date :

15.02.2007

IDENTIFICATION DETAILS

Name :	NEW (INDIA) IMAGING INDUSTRIES PRIVATE LIMITED
Registered Office :	A/95, TTC Industrial Area, MIDC, Khairane, Navi Mumbai
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	25.10.2002
Com. Reg. No.:	11-137684
CIN No.: [Company Identification No.]	U22200MH2002PTC137684
ICE – No.:	0302076760
TAN No.: [Tax Deduction & Collection Account No.]	MUMN09276B
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture, Trader, Exporter and Importer of Inkjet Media – “ Compu Color”, “Plus print” , Tracing Paper “Sihl Utoflex Gem”, Vinyl “Sihl Plus Print”, Solvent Media “Plus Print”, Cloth Banner, “Sihl”, Polyester Film “Folex”

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 30000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a successor of old established proprietory concern. Directors are experienced, respectable and resourceful businessmen. Their trade relations are fair. Financial position is good. 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/Factory Office :	A/95, TTC Industrial Area, MIDC, Khairane, Navi Mumbai
Tel. No.:	91-22-27782281/2/3/4
Fax No.:	91-22-27782285
Mobile No.:	91-9820024522
E-Mail :	national@bom4.vsnl.net.in, info@nationalind.com nationalind@vsnl.com, haresh_joshi@hotmail.com
Website :	http://www.nationalind.com
Area :	20,000 sq. ft.
Location :	Owned
Corporate Office :	Plot No. A/95, TTC Industrial Area, MIDC, Khalrane, Thane Belapur Road, Navi Mumbai – 400 705, Maharashtra, India
Tel. No.:	91-22-27780648
Plants :	· Plot No. 128, 129, 130 Mustafa Bazar, Union Park Lane, Victoria Road, Mazgaon, Mumbai – 400 010, Maharashtra, India · Navi Mumbai · Maharashtra
Warehouse :	Plot No.128, 129, 130, Mustafa Bazar, Union Park Lane, Victoria Road, Mazgaon, Mumbai – 400 010, Maharashtra, India
Branches :	Located At :- · Delhi · Kolkata, West Benal · Hyderabad, Andhra Pradesh · Bangalore, Karnataka · Lucknow, Uttar Pradesh

SOLE PROPRIETOR/PARTNERS/DIRECTORS

Name :	Mr. Rajan N. Vaswani
Designation :	Director
Date of Birth :	03.02.1962
Qualification:	Graduate
Experience:	22 years
Address:	122-A, Sea Lord Apartment, Cuffe Parade, Mumbai – 400 005, Maharashtra
Date of Appointment :	25.10.2002
Name :	Mrs. Sonia Rajan Vaswani
Designation :	Director
Date of Birth :	05.03.1964
Qualification :	Graduate
Experience:	5 Years
Address :	122-A, Sea Lord Apartment, Cuffe Parade, Mumbai – 400 005, Maharashtra
Date of Appointment :	25.10.2002

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
Mr. Rajan N. Vaswani	85,000
Mrs. Sonia Rajan Vaswani	85,000

BUSINESS DETAILS

Line of Business :	Manufacture, Trader, Exporter and Importer of Inkjet Media – “ Compu Color”, “Plus print” , Tracing Paper “Sihl Utoflex Gem”, Vinyl “Sihl Plus Print”, Solvent Media “Plus Print”, Cloth Banner, “Sihl”, Polyester Film “Folex”
Products :	v Utoplex Tracing Paper v SIHL Traink Paper v Compu Color v Inject Paper v Folex v Inject Film v Plus Print and Gen Plain Paper v conversation and Marketing of Paper and Film.
Product Range :	Its’ product range includes:- v Tracing paper (Sihl & Utoplex brand and to OEM's) v Check plot paper Bond paper for CAD/CAM (Indigenous) v Digital imaging media (Ink jet/DI - Electric media v Compu Colour/Folex/Sihl brands v Signage media v Image Protection Security Paper v Inkjet v Transparent v Electrostatic Paper
Agencies Held :	The agencies held by the company are:- SIHL Group Allmendstrasse 125, Postfach 1910, CH-8021, Zurich, Switzerland Folex Film System P. O. Box 608, CH-8010, Zurich, Switzerland Felix Schoeller Bung Gretesch, 49086 Osnabruck, Post Fach 3667, 49026 Osnabruck, Germany Folex AG Ziegler Paper AG Post Fach, CH-4203, Grellingen, Switzerland Land Quart Switzerland Speciality Toner Corporation
Export :	Bangladesh, Switzerland
Imports from :	Switzerland, Inkjet Paper from Germany, UK, Korea, Taiwan, China, Korea
Terms :
Selling :	L/C, Credit (90 days) terms
Purchasing :	L/C, Credit (30 days) terms

PRODUCTION STATUS

Particulars	Unit	Installed Capacity	Actual Production
Paper – Tracing and Inkjet	Tons.	2,500	1,500
Plain Paper	Tons.	600	300

GENERAL INFORMATION

Suppliers :

Some of the major suppliers are :-

Ø SIHL Group

Ø Felix Schoeller

Ø Zurich Paper Mill

Ø C. H. Java & Company

Ø Modi Xerox Limited

Ø Excel Tubes and Cones

Ø J. K. Packaging & Printing Works

Ø Jay Equipment & Systems Private Limited

Ø Jayshree Packaging

Ø Parksons Packaging Limite

Ø Delta Systems

Ø Delux Electric and Hardware Stores

Ø H. R. Joshi & Company

Ø Multitec Industries Private Limited

Ø Rama Krishna Engineers Private Limited

Ø Shrink Packaging Systems Private Limited

Ø Support Services

Ø Tidland Web Accessories Private Limited

Customers :

v Wholesalers

v Retailers

v End Users

v Oem’s

Some of its’ major customers are :

v Akama Paper Private Limited

v Allied Photographics India Limited, Bangalore, Karnataka

v Allied Photographics India Limited, Mumbai, Maharashtra

v Allied Photographics India Limited, Chennai, Tamilnadu

v Allied Photographics India Limited, Hyderabad, Andhra Pradesh

v Allied Photographics India Limited, Kochi, Karala

v Allied Photographics India Limited, Kolkata, West Bengal

v Alpha Agencies

v Andhra Stationery Syndicate

v A-1 Computers

v Arihant International

v Arora Trade Services

v Asian Reprographics

v Asterisk Media India Private Limited

v Ayrton Agencies Private Limited

v Bharat Trading Company

v Bhaskar Art Centre

v B. M. Paper Agencies

v B. Sheth & Sons

v Chandmor Agencies

v Chemo Graphic Impex

v Computech India

v Dixit Trading Company

v Evergreen Syndicate

v Express Statinery Mart

v Fab R. Signs

v Chandmor Agencies

v Hyderabad Reprographics Private Limited

v Imaging Technologies Inc.

v Plus Consumables

v Sheth Brothers, Kolkata, West Bengal

v Sprint Papers (Private) Limited

v Technova Imaging Systems Limited

v The Exclusive

No. of Employees :

44

Bankers :

Bank of Baroda

Cuffe Parade Branch, Mumbai – 400 005, Maharashtra, India

Facilities :

The company enjoys Rs. 10.000 millions from its’ bankers.

	As on 31.12.2003
Secured Loans
Bank of Baroda Term Loan Accounts	1.791
Unsecured Loans
Mr. Rajan N. Vaswani	11.313
Mrs. Sonia Rajan Vswani	2.400
Total	13.713

Banking Relations :	Good
Auditors :	H. R. Joshi & Company Chartered Accountants 1^st Floor, Ganesh Bhuvan, 43/45, 2^nd Marine Street, Mumbai – 400 002, Maharashtra, India
Tel. No.:	91-22-22060217
Fax No.:	91-22-22089788
Memberships :	Ø Indo American Society Ø Indo Swiss Society Ø Indo German Chamber of Commerce

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs. 10/- Each	Rs. 2.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
170000	Equity Shares	Rs. 10/- Each	Rs. 1.700 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		1.700	1.700	0.100
2] Reserves & Surplus		7.286	3.988	0.932
3] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		8.986	5.688	1.032
LOAN FUNDS
1] Secured Loans		16.487	12.786	8.529
2] Unsecured Loans		8.490	13.115	15.796
TOTAL BORROWING		24.977	25.901	24.325
TOTAL		33.963	31.589	25.357
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		14.640	15.659	14.263
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	19.644	15.008	13.913
	Sundry Debtors	14.185	12.003	11.282
	Cash & Bank Balances	0.092	0.078	0.023
	Other Current Assets	1.179	0.946	1.507
	Loans & Advances	2.889	1.394	0.116
Total Current Assets		37.989	29.429	26.841
Less : CURRENT LIABILITIES & PROVISIONS
Current Liabilities		16.272	12.868	15.799
Provisions		2.420	0.670	0.000
Total Current Liabilities		18.692	13.538	15.799
Net Current Assets		19.297	15.891	11.042
MISCELLANEOUS EXPENSES		0.026	0.039	0.052
TOTAL		33.963	31.589	25.357

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2005	31.03.2004
Total Income	174.019	35.105
Profit/(Loss) Before Tax	2.925	0.932
Provision for Taxation	0.670	0.000
Profit/(Loss) After Tax	2.255	0.932
Total Imports	141.020	28.643
Total Expenditure	30.072	34.173

KEY RATIOS

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
PAT / Total Income	(%)	NA	1.29	2.65
Net Profit Margin (PBT/Sales)	(%)	NA	1.68	2.65
Return on Total Assets (PBT/Total Assets}	(%)	NA	6.58	2.26
Return on Investment (ROI) (PBT/Networth)		NA	0.51	0.90
Debt Equity Ratio (Total Liability/Networth)		4.86	6.81	39.88
Current Ratio (Current Asset/Current Liability)		2.03	2.23	1.70

LOCAL AGENCY FURTHER INFORMATION

Form 8 Particular for creation or modification of charges

Name of the company	NEW (INDIA) IMAGING INDUSTRIES PRIVATE LIMITED
Presented By	BANK OF BARODA, CUFFE PARADE BRANCH, MUMBAI-400005
1) Date and description of instrument creating the change	Instrument of hypothecation of movable machinery dated August 2005.
2) Amount secured by the charge/amount owing on the securities of charge	Rs.0.490 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 movable machinery of company including all stocks and spare parts both present and future belonging to the company being and lying in the company’s premises or godowns of or rented by the company or otherwise used in connection with the business of the company (but excluding claims such as claims on life insurance policies, goodwill, outstandings, debts, claims for arrears of rent, benefit of contract and share in partnership)
4) Gist of the terms and conditions and extent and operation of the charge.	The charge is created to secure demand loan facility. Interest 10.50% p.a. with monthly rest.
5) Name and Address and description of the person entitled to the charge.	Bank of Baroda Cuffe Parade Branch Mumbai-400005
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

NEW (INDIA) IMAGING INDUSTRIES PRIVATE LIMITED

Presented By

BANK OF BARODA, CUFFE PARADE BRANCH, MUMBAI-400005

1) Date and description of instrument creating the change

Composite hypothecation agreement dated 17.07.2003.

Registered on 07.08.2003 under document No.7

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

RS.10.500 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 borrower’s stocks both present and future and including but without prejudice to the generality of the forging words all stocks of raw materials, work in process, semi finished goods and finished goods such as various types of papers etc. packing materials and stores etc. whatsoever and wheresover situate and/or in transit whether now belonging to or that may at any time during the continuance of this security belong t the borrower or that may be held by any party anywhere to the order and disposition or the borrower and

All the present and future book debts outstanding, monies receivable, claims, bills, now due and owing or which may at any tie hereafter during the continuance of this security become due and owing to the borrower in the course of its business by any person, firm, company or body corporate or by the Government of India or ay State Government or Indian Railways or any Government Department or Office or any Municipal or local or public or semi government body or authority whatever including those relating to the assets leased out and/or godown on hire purchase basis and

All the tangible movable machinery and plant and cranes, boats and crafts and the vehicles of the borrower together with spares, tools and future and the furniture fixtures and fittings and office equipments whether installed or nor and whether lying loose or in cases which are now lying or stored n or about or shall be brought into or be stored or be in or on or about the borrower’s premises and godowns or whatever else the same may be or be held by any party to the order or disposition of the borrower (including those on lease or ire purchase) relating or pertaining to the borrower’s works at Navi Mumbai etc.

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

The charge is created to secure the following credit facilities together with interest/ commission and margin as stated below :

Nature of Facility	Interest/Commission	Margin
Term Loan Rs.2.500 millions	TPLR+2%	30% on machinery
Cash Credit Rs.7.500 millions	STPLR II+2%	25% on stocks
Inland Guarantee Rs.0.500 millions	2% for pref. 3% for fin.+Rs.150/- subject to change as per RBI/Bank’s Guidelines.	40% on Book debts

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

Bank Of Baroda, Cuffe Parade Branch, Mumbai-400005

6) Date and brief description of instrument modifying the charge

Composite hypothecation agreement dated 12.05.2005

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 charge is increased by Rs.5.000 millions i.e. increased from Rs.10.500 millions to Rs.15.5000 millions to secure the following additional credit facilities together with interest/commission and margin as stated below:

Nature of Facility	Interest/Commission	Margin
Cash Credit Rs.2.500 millions	BPLR 0.25%	Stocks 25% Book Debts 40% Machinery 30%
Import Letter of Credit Rs.2.500 millions	As per Bank’s rules

HISTORY

Subject was originally established on 17.08.1982 at Mumbai in Maharashtra as a Partnership Concern and was converted into a Sole Proprietory Concern in the year 1989.

During the year starting from 01.04.2003, started a Private Limited Liability Company namely at the present name.

Subject has been established as converter of tracing paper and allied products since many years and engaged in conversion and distribution of Sihl products al over India company has a strict criteria for quality control for conversion of Sihl products and a special thrust is on the packaging to make it more attractive and affordable as per international standards.

Diversified in Media for large format and small format Digital printing application, special products for engineering office etc in the year 1994.

Subject has been dedicated in the field of Transparent papers close to over three decades in the association with SIHL, since 1972. The company is the only company in India which maintains a strict criteria for quality control for the conversion of its special media paper in Sheets and Roll form.

With the unshering in of new millennium the indications are clear that the future belongs to the Digital Imaging. With over three decades of existing leaderships, the company is nurtured and expanded. The company is prepared for the future.

Subject is also engaged in paper conversion, speciality papers, printing papers, inkjet media, digital signage media and government suppliers.

It is in trade terms with:-

v Bharat Heavy Electricals Limited

v Hindustan Aeronautics Limited

v Oil & Natural Gas Corporation Limited

v Tata Engineering & Locomotive Company Limited

v Tata Iron & Steel Company Limited

v TECHNOVA

v SIHL, Switzerland

v Folex Systems, Switzerland

v Felix Schoeller, Germany

v Ziegler Paper AG, Switzerland

Profile

The world leaders had recognized the immense potential of country and air vying to get a headstart. The company being the pioneer and the market leader since past many decades in introducing new technologies is a preferred partner. They had tie-up with world leaders like SIHL, Folex Film systems, Felix Schoeller Digital Imaging, to market their products in India.

The company is symbol of technology and tradition, know-how and experience, they regard future challenges positively and linking growth plants energetically in liasion with principles. The company is constantly in touch with its principals, i.e. SIHL, Folex Film Systems and Felix Schoeller Digital Imaging, in the area of new development of future-oriented solution for the changing requirements of the market. The know-how the vast experience and the results of research and development are concentrated and applied objectively in the product which are renowned for the very highest characteristics, all this is immediately brought in India by company.

The company’s fixed assets of important value includes building under construction, electrical installation, furniture & fixtures, land & building, office equipments, plant & machinery, airconditioner, computer, goodwill, mobile phone, motor car, office equipment and typewriter.

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.44.20
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	NO
--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 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

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