MIRA INFORM REPORT

Report Date :

11.01.2007

IDENTIFICATION DETAILS

Name :	EASTERN LOGICA INFOWAY LIMITED
Registered Office :	16, Ganesh Chandra Avenue, Ground Floor, Kolkata – 700013, West Bengal
Country :	India
Financials (as on) :	31.03.2005
Date of Incorporation :	28.07.1995
Com. Reg. No.:	21-73218
CIN No.: [Company Identification No.]	U99999WB1995PTC073218
TAN No.: (Tax Deduction & Collection Account No.)	CALE01546G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Dealer and Distributor of Software, Accessories, Networking Services, Maintance , Power Equipment and Wholesale and retail part of the I.T Plaza

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 130000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well – established company having satisfactory track. Directors are reported as experienced, respectable and resourceful businessmen. Their trade relations are fair. 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 :	16, Ganesh Chandra Avenue, Ground Floor, Kolkata – 700013, West Bengal
Tel. No.:	91-33-22256455/56/6538/162
Fax No.:	91-33-22373033
E-Mail :	gaurav@easternitgroup.com, q@easternitgroup.com
Website :	http://www.easternitgroup.com
Area :	2200 Sq. ft
Location :	Owned

DIRECTORS

Name :	Mr. Jatinkumar Baid
Designation :	Director
Address :	P – 38, Lake Road, Kolkata – 700029
Date of Birth/Age :	3^rd July, 1966
Qualification :	B.Com
Experience :	25 Years
Name :	Mrs. Snehlata Baid
Designation :	Director
Address :	P – 38, Lake Road, Kolkata – 700029
Date of Birth/Age :	01^st November, 1968
Name :	Mr. Gaurav Goel
Designation :	Director
Address :	57G, Ballygunj, Circular Road, Kolkata – 700019
Date of Birth/Age :	9^th February, 1970
Qualification :	B. E. Computer
Experience :	12 Years
Name :	Mrs. Shwta Goel
Designation :	Director
Address :	57G, Ballygunj, Circular Road, Kolkata – 700019
Date of Birth/Age :	22^ND July, 1974
Qualification :	B. Sc
Experience :	7 Years

MAJOR SHAREHOLDERS

Names of Shareholders	No. of Shares
Mr. Jatinkumar Baid	25
Mrs. Snehlata Baid	25
Mr. Gaurav Goel	25
Mrs. Shwta Goel	10

BUSINESS DETAILS

Line of Business :	Dealer and Distributor of Software, Accessories, Networking Services, Maintance , Power Equipment and Wholesale and retail part of the I.T Plaza
Terms :
Selling :	Others (90 days)
Purchasing :	Cash

GENERAL INFORMATION

Customers :	Wholesalers, Retailers and Others
No. of Employees :	37
Bankers :	v ING – Vasya Bank Limited, Sikkam House, 4/1, Middleton Street, Kolkata – 700017 v Bank of India, Main Branch, Brabone Road, Kolkata – 700001 v HDFC Bank, BBD Bagh, Kolkata – 700001
Facilities :	v ING – Vasya Bank Limited – Rs. 5.000 Millions v Bank of India – Rs. 3.000 Millions v HDFC Bank – Rs. 3.000 Millions

Banking Relations :	Satisfactory
Auditors :	Gujrani & Company Chartered Accountant
Address:	7A, Bentick Street, 2^nd Floor, (Old Wing) Kolkata – 700001
Tel. No.:	91-33-22438178/8179
Fax No.:	91-33-22438182
E-Mail :	gujrani_co@hotmail.com
Associates/Subsidiaries :	Eastern Comnet Limited 16, Ganesh Chandra Avenue, Ground Floor, Kolkata – 700013, West Bengal Line of business – Internet, Accessories etc. Eastern Infosys 16, Ganesh Chandra Avenue, Ground Floor, Kolkata – 700013, West Bengal Line of business – Computer Parts

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
5,00,000	Equity Shares	Rs. 10/- Each	Rs. 5.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4,00,000	Equity Shares	Rs. 10/- Each	Rs. 4.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2005
SHAREHOLDERS FUNDS
1] Share Capital		4.000
2] Share Application Money		0.000
3] Reserves & Surplus		21.862
4] (Accumulated Losses)		0.000
NETWORTH		25.862
LOAN FUNDS
1] Secured Loans		6.760
2] Unsecured Loans		1.200
TOTAL BORROWING		7.960
DEFERRED TAX LIABILITIES
TOTAL		33.822
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.748
Capital work-in-progress		0.064
INVESTMENT		14.000
DEFERREX TAX ASSETS
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	10.000
	Sundry Debtors	4.000
	Cash & Bank Balances	3.000
	Other Current Assets	1.000
	Loans & Advances	2.394
Total Current Assets		20.394
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	0.013
	Provisions	1.371
Total Current Liabilities		1.384
Net Current Assets		19.010
MISCELLANEOUS EXPENSES		0.000
TOTAL		33.822

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2005
Sales Turnover [including other income]	394.601
Profit/(Loss) Before Tax	8.711
Provision for Taxation	0.000
Profit/(Loss) After Tax	8.711

KEY RATIOS

PARTICULARS		31.03.2005
PAT / Total Income	(%)	2.20
Net Profit Margin (PBT/Sales)	(%)	2.20
Return on Total Assets (PBT/Total Assets}	(%)	41.20
Return on Investment (ROI) (PBT/Networth)		0.33
Debt Equity Ratio (Total Liability/Networth)		0.36
Current Ratio (Current Asset/Current Liability)		14.73

LOCAL AGENCY FURTHER INFORMATION

Business

They are putting up New Branches at Patna, Bhuhaneswar

As per Website Details:

Eastern Comnet (Private) Limited
Distributor house of the hub D-LINK, VALRACK, LITON, LG.

A true system integration company.

Group Headed By Mr J.K BAID.

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.44.30
UK Pound	1	Rs.87.61
Euro	1	Rs.57.61

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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