MIRA INFORM REPORT

Report Date :

22^ndJanuary, 2007

IDENTIFICATION DETAILS

Name :	MIRC ELECTRONICS LIMITED
Registered Office :	Onida House, G-1, MIDC, Mahakali Caves Road, Andheri (East), Mumbai - 400 093, Maharashtra, India.
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	01.01. 1981
Com. Reg. No.:	11-23637
CIN No.: [Company Identification No.]	L32300MH1981PLC023637
TAN No.: (Tax Deduction & Collection Account No.)	MUMM21150D
PAN No.: (Permanent Account No.)	AAACM8055A
Legal Form :	A Public limited liability company. The company's shares are listed on the Stock Exchanges.
Line of Business :	Manufacturing of Television Sets, Video Cassettes, Video Cassette Recorders, Audio and Compact Disc Players

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 8500000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well-established company having satisfactory track. Their trade relations are reported as fair. 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 :	Onida House, G-1, MIDC, Mahakali Caves Road, Andheri (East), Mumbai - 400 093, Maharashtra, India.
Tel. No.:	91-22-2838 8535/2824 2103/28236475
Fax No.:	91-22-2838 4499 / 2832 5068
E-Mail :	info@onida.net
Website :	http://www.onidaworld.com
Factory 1 :	Village Kudus, Bhiwadi Wada Road, Taluka Wada, Thane, Maharashtra, India

DIRECTORS

Name :	Mr. Gulu L. Mirchandani
Designation :	Chairman & Managing Director
Qualification :	B.E. (Mechanical)
Other Directorship	He was President of ‘Consumer Electronics and TV Manufacturers Association’ and Chairman of the Bombay Chapter of the World Presidents’ Organisation (WPO)
Name :	Mr. Vijay J. Mansukhani
Designation :	Whole-time Director
Qualification :	Graduate from the College of Marine Engineering, Mumbai
Experience :	30 Years
Other Directorship	He is the Managing Director of Adino Telecom Limited, a joint venture with Enkay Telecommunications (India) Limited
Name :	Mr. Manoj K. Maheshwari
Designation :	Director
Qualification :	B.Sc.(Chemistry) and Post Graduate in Industrial Management
Name :	Mr.. Vimal Bhandari
Designation :	Director
Qualification :	Chartered Accountant
Other Directorship	He is currently An Executive Director on the Board of Infrastructure Leasing and Financial Services Limited
Name :	Mr. Harsh Mariwala
Designation :	Director
Qualification :	B.Com
Other Directorship	He is the Chairman and Managing Director of Marico Industries Limited, and is also on the board of various Public Limited Companies

Name :	Mr. Gautam Doshi
Designation :	Director
Qualification :	Chartered Accountant
Other Directorship	He is the Director of Ambit Corporate Finance Re. Limited
Name :	Mr. Vinod Verma
Designation :	Company Secretary

MAJOR SHAREHOLDERS

As on 31.12.2006

Names of Shareholders	No. of Shares	% of Holding
A. SHAREHOLDER PROMOTERS
1. India -- Individuals / Hindu Undivided Family -- Central Government / State Government -- Bodies Corporate -- Financial Institutions / Banks -- Any Other	1883231 -- 76217432 -- --	1.33 -- 53.67 -- --
Sub-Total (A-1)	78100663	55.00
2. Foreign -- Individuals (Non-Resident Individuals/ Foreign Individuals) -- Bodies Corporate -- Institutions -- Any Other	-- -- -- --	-- -- -- --
Sub-Total (A-2)	--	--
Total Shareholding of Promoter and Promoter Group (A)=(A)(1)+(A)(2)	78100663	55.00
PUBLIC SHAREHOLDING
1. Institutions -- Mutual Funds / UTI -- Financial Institutions/ Banks -- Central Government / State Government -- Venture Capital Funds -- Insurance Companies -- Foreign Institutional Investors -- Foreign Venture Capital Investors -- Any Other	2400 14008 -- -- 3058585 12189551 -- --	0.00 0.01 -- -- 2.15 8.58 -- --
Sub-Total (B-1)	15264544	10.75
2. Non- Institutions -- Bodies Corporate -- Individuals i) Individual shareholders holding nominal share capital uotp Rs. 0.100 millions ii) Individual shareholders holding nominal share capital in exces of Rs. 0.100 millions -- Any Other -- Clearing Members -- Non-Resident Indians	15522500 28940933 3428092 -- 238541 504311	10.93 20.38 2.41 -- 0.17 0.36
Sub-Total (B-2)	48634377	34.25
Total Shareholding of Promoter and Promoter Group (B)=(B)(1)+(B)(2)	63898921	45.00
Total (A+B)	141999584	100.00
GRAND TOTAL	141999584	100.00

Major Shareholder as on 31.12.2006

Sr. No.	Name of the shareholder	Nos. of shares	Shares as a percentage of total number of shares {i.e., Grand Total (A)+(B)+(C) indicated in Statement at para (I)(a) above}
1.	Guviso Holdings Pvt. Ltd	74896575	52.74
	Gulu L. Mirchandani & Gita Mirchandani	976010	0.69
	Gulita Securities Limited	592160	0.42
	Onida Saka Limited	17637	0.01
	Onida Credit & Investments Limited	355	0.00
	Monica Electronics Limited	366705	0.26
	Adino Electronics Limited	344000	0.24
	Gulu L. Mirchandani	44737	0.03
	Gita G. Mirchandani	11226	0.01
	Vijay J. Mansukhani & Marissa Mansukhani	631321	0.44
	Vijay J. Mansukhani	10	0.00
	Marissa V. Mansukhani & Vijay J. Mansukhani	20000	0.01
	Marissa V. Mansukhani	26260	0.02
	Kaval G. Mirchandani	30029	0.02
	Kaval G. Mirchandani & Gulu L. Mirchandani	14000	0.01
	Sasha G. Mirchandani	5570	0.00
	Sasha G Mirchandani & Gulu L. Mirchandani	380	0.00
	Sonu Mirchandani	1398	0.00
	Master Karan S. Mirchandani	11013	0.01
	Varun Mirchandani	11013	0.01
	Sita Dayaram Khilnani & Marissa Vijay Mansukhani	14	0.00
	Ranjana R. Salvi	100000	0.07
	Padma Hargun Lalwani & Marissa Vijay Mansukhani	97	0.00
	Sita Dayaram Khilnani & Vijay J. Mansukhani	63	0.00
	Akshay Mansukhani	60	0.00
	Khilnani Sita Dayaram Mirchandani Gita Gulu	30	0.00
Total		78100663	55.00

BUSINESS DETAILS

Line of Business :

Manufacturing of Television Sets, Video Cassettes, Video Cassette Recorders, Audio and Compact Disc Players

Products :

Product Description	Item Code No. (ITC Code)
Colour Television Receivers	8528.10
Air Conditioners	8415.10
Washing Machines	8450.10

Brand Names :

IGO

PRODUCTION STATUS

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Televisions	Nos.	2300000	3000000	914486
Washing Machines	Nos.	780000	380000	78356
Air-Conditioners	Nos.	300000	100000	21181
Television Components and Spares	Nos.	NA	NA	NA
Electronic Turners		3720000	3720000	2094464

GENERAL INFORMATION

No. of Employees :

2000

Bankers :

v State Bank of India

v Canara Bank

v SBI Commercial & International Bank Limited

v IDBI Bank Limited

v HDFC Bank Limited

v The South Indian Bank Limited

Facilities :

Secured Loans:	31.03.2006 (Rs. In millions)
From Banks:	1354.496
Total	1354.496
Of the above Rs. 987.558 (Previous year : Rs. 653.033 is repayable within one year) Notes : 1) Cash Credit is secured by first pari passu charge in favour of the bankers by hypothecation of Company’s current assets and by second charge on the Company’s immovable and movable properties and further secured by the corporate guarantee of the Holding Company. 2) Long Term Loan from UTI Bank Limited is secured by wau of sub servient charge on all movable Plant and Machinery / Furniture and Fixtures etc. 3) Long Term foreign currency loan from HDFC Bank Limited is secured by first charge on Fixed Assets at Wada Factory.
Unsecured Loans:	31.03.2006 (Rs. In millions)
From Banks	200.000
From Others	107.450
Total	307.450

Of the above Rs. 207.450 (Previous year : Rs. 499.266 is repayable within one year)

Banking Relations :	Satisfactory
Auditors :	v N. M. Raiji & Company Chartered Accountants
Associates/Subsidiaries :	Ø Onida Finance Limited Ø Onida Savak Limited Ø Onida Saka Limited Subsidiaries : Ø Akasaka Electronics Limited Ø Imercius Technologies India Limited

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
15,00,00,000	Equity shares	Rs. 1/- each	Rs. 150.000 millions
20,00,000	Preference shares	Rs. 100 each	Rs. 200.000 millions
	Grand Total		Rs. 350.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
14,19,99,584	Equity shares	Rs. 1/- each	Rs. 141.999 millions
Less	Calls in arrears		Rs. 0.064 million
	Grand Total		Rs. 141.935 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		141.935	140.476	140.476
2] Share Application Money		0.000	1.459	0.000
3] Reserves & Surplus		2012.768	1806.280	1735.163
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2154.703	1948.215	1875.639
LOAN FUNDS
1] Secured Loans		1354.496	1263.259	937.829
2] Unsecured Loans		307.450	749.266	227.019
TOTAL BORROWING		1661.946	2012.525	1164.848
DEFERRED TAX LIABILITIES		194.118	138.655	187.453
TOTAL		4010.767	4099.395	3228.940
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2067.492	2025.625	1889.486
Capital work-in-progress		0.101	43.527	1.000
INVESTMENT		211.353	208.762	86.591
DEFERREX TAX ASSETS		0.000	0.000	1.886
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1748.806	1642.477	937.849
	Sundry Debtors	1131.171	903.385	840.509
	Cash & Bank Balances	367.242	208.043	71.203
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	469.153	543.041	896.860
Total Current Assets		3716.372	3296.946	2746.421
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	1828.915	1355.208	1314.518
	Provisions	155.636	120.257	181.926
Total Current Liabilities		1984.551	1475.465	1496.444
Net Current Assets		1731.821	1821.481	1249.977
TOTAL		4010.767	4099.395	3228.940

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2006	31.03.2005	31.03.2004
Sales Turnover [including other income]	12249.648	10961.775	9413.265
Profit/(Loss) Before Tax	506.115	405.905	531.799
Provision for Taxation	178.190	128.060	93.760
Profit/(Loss) After Tax	327.925	277.845	438.039
Export Value	498.357	457.972	303.010
Import Value	2780.645	2293.083	1613.638
Total Expenditure	11743.533	10555.870	8744.873

QUARTERLY RESULTS

PARTICULARS	30.06.2006	30.09.2006
TYPE	1^stQtr	2^nd Qtr
Sales Turnover	3330.900	3994.800
Other Income	4.100	3.900
Total Income	3335.000	3998.700
Total Expenditure	3132.600	3737.300
Operating Profit	202.400	261.400
Interest	47.100	51.600
Gross Profit	155.300	209.800
Depreciation	49.700	49.700
Tax	36.800	54.900
Reported PAT	68.800	105.200

200606 Quarter 1 :-- Expenditure Includes (Increase)/Decrease in stock in Trade Rs (157.30)million Consumption of Raw Material Rs 2658.80 million Staff Cost Rs 171.60 million Other expenditure Rs 459.50 million Tax Includes Fringe Benefit Tax Rs 2.20 million Provision for Taxation, inclusive of deferred Tax Rs 34.60 million.

200609 Quarter 2 :-- Expenditure Includes (Increase)/Decrease in stock in Trade Rs (323.80)million Consumption of Raw Material Rs 3360.10 million Staff Cost Rs 164.60 million Other expenditure Rs 536.40 million Tax Includes Fringe Benefit Tax Rs 3.00 million Provision for Taxation, inclusive of deferred Tax Rs 51.90 million.

KEY RATIOS

PARTICULARS	31.03.2006	31.03.2005	31.03.2004
Debt Equity Ratio	0.90	0.83	0.59
Long Term Debt Equity Ratio	0.90	0.83	0.45
Current Ratio	1.81	1.80	1.52
TURNOVER RATIOS
Fixed Assets	4.34	4.25	4.33
Inventory	7.90	9.21	9.21
Debtors	13.17	13.62	12.40
Interest Cover Ratio	3.87	4.14	9.33
Operating Profit Margin (%)	6.77	6.14	7.25
Profit Before Interest and Tax Margin (%)	5.09	4.51	5.93
Cash Profit Margin (%)	4.13	3.97	5.68
Adjusted Net Profit Margin (%)	2.45	2.34	4.36
Return on Capital Employed (%)	17.55	15.31	18.63
Return on Net Worth (%)	15.99	14.53	21.76

STOCK PRICES

Face Value	Rs.1.00
High	Rs.20.75
Low	Rs.20.20

LOCAL AGENCY FURTHER INFORMATION

History

Incorporated as a private limited company by Gulu Mirchandani, Vijay Mansukhani and Sonu Mirchandani of the Onida group, MIRC Electronics manufactures the well-known Onida brand of colour televisions (CTVs) and video cassette recorders. Other group companies are Onida Saka, Onida Savak and Monica Electronics. 

 MEL tapped the capital market to finance its CTV expansion, and diversification into the audio segment. Commercial production at the expanded capacity started from Jul.'95. The company has opened Onida Arcades, exclusive retail shops, and introduced state-of-the-art wide-vision TVs and audio systems. MEL was awarded the ISO 9001 certification during 1994-95. 

 The company concentrated on reinforcing and improving the penetration of its sales and after sales support infrastructure. During 1997-98, the company came out with a new range of products christened 'Techno Value', which has been launched with considerable success. In 1998-99, it introduced the WEBCRUISER - the world's first internet TV, the trendy TV and PIP in the 25" segment. In 1999-2000, the company introduced multi-coloured Candy in the 14 inch TV segment. 

 In the fiscal 2001, it came out with 29KY Thunder series which was amongst the first 650 watt television set in the world and has embarked on the process to launch a plasma display tube television in collaboration with Fujitsu. With effect from 1st April,2001 Onida Infotech Serivces Ltd was merged with MIRC Electronics Ltd. In 2001-02 it had launched the 29 inch Home Theatre,the first to convert a mono recording into a 5.1 output surround sound.

PROFILE

Subject is the maker of the Onida brand of TVs has grown a number of connectivity options in its backyard. There are VSAT links, leased lines, VPN links, ISDN links, RF (Radio Frequency) links, and dial up links. The company is now able to share its SAP R/3 data among 140 users across 38 locations nationwide without the fear of losing valuable transaction and operations data in a communications breakdown.

Since MEL runs an ERP which demands data be available all the time and has users sprinkled in multiple locations nationwide, it had to ensure multiple connectivity options. And the initiative has paid off very well.

Subject was founded in 1981 and began computerization five years ago by deploying LANs at various locations with CAT 5 structured cabling. RF links were deployed in a couple of years between its offices in Mumbai and Thane to share information.

The RF links connect the HO (Head Office) to two locations in Mumbai, the Mumbai branch office and the Onida Infotech building. Bandwidth of the RF links is 1.5 Mbps and they are backed up with dialup links. The RF equipment includes wireless transceivers and wireless modems from Wi-LAN.

The Company uses HCL Infinet’s network to support a 64 Mbps leased line which connect to 20 branch offices nationwide. Each link is backed up with 128K ISDN links. The company also uses the service provider’s VPN for security. A firewall sits between the mail server at the HO and the Internet. A 128K DSL and a back up 64K DSL link help make the connection.

The Company earlier had a PAMA link between the HO and the New Delhi office. It has recently migrated the link to a VPN. The bandwidth is 32 Kbps and will soon be doubled due to expected higher data traffic.

Financial performance: 

MIRC had another successful year with a growth of 12.64 % in the overall turnover of Rs. 13432.100 millions from Rs. 11925.100 millions fro the year ended 31^st March, 2006. Profit before tax registered a growth of 24.69 % at Rs. 506.100 million from Rs. 405.900 millions, while profit after tax stood at Rs. 327.900 millions up from Rs. 277.800 millions an increase of 18.02%.

Merger of Onida Savak Ltd. with the company: 

As a strategic consolidation initiative, the Board of Directors of the company considered the proposal to amalgamate Onida Savak Ltd. (OSL) with the company in return for synergic benefits. This merger was approved by the members at the extra-ordinary general meeting held on 3rd June 2005. Since OSL was classified as a sick company under the provisions of the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA), a relevant petition was filed before the Appellate Authority for Industrial and Financial Reconstruction/Board for Industrial and Financial Reconstruction. The Board by its order approved the Scheme with effect from its transfer date i.e. 31st March 2005 and the accounts being presented incorporate the impact of the amalgamation. 

Sale of Onida Infotech division

The Company’s Management decided to sell the Onida Infotech Division on a going concern basis and concentrate on its core business. The Onida Infotech Division had been engaged in the designing, developing, marketing and supporting of software in the field of Enterprise Resource Planning (ERP) and relevant extensions. In pursuance with a resolution passed through postal ballot by the shareholders and the scrutiniser’s report dated 12 November 2003, the Company approved the sale of the Onida Infotech Division.

During the year under review, the said division was sold together with employees, directly relevant to the business with a continuity of service and full protection of the existing terms and conditions.

Fixed Assets :

Ø Goodwill

Ø Trademarks

Ø Leasehold & Freehold Land

Ø Buildings

Ø Plant & Machinery

Ø Electrical Fitting

Ø Furniture & Fixtures

Ø Office Equipments

Ø Motor Vehicles

Ø R And D Building

Ø R And D Plant And Machinery

Ø Electrical Fitting

Ø Furniture

Ø Fixture And Equipments.

Onida Today

Onida today enjoys a strong equity among consumers making it one of the leading brands in India. Their constant endeavor to introduce products of substance that offer the very best in technology and the finest design have made Onida a leading player in the electronics and entertainment business today.

Onida has recently made a foray in other household appliances including air-conditioners, washing machines, DVDs, Plasma and LCD televisions and home theatre systems.

For offices, Onida has also introduced state-of-the-art multi-media presentation products.

The Network

Onida has a network of 33 branch offices, 208 Customer Relation Centers and 41 depots spread across India. MIRC Electronics shares are listed on the National and Mumbai Stock Exchanges. The company enjoyed a market capitalization of Rs.301.46 Cr. as on 31st March 2005.

The transition of Onida from a family-owned business to a professionally managed company has largely been made possible by the vision of the Chairman & Managing Director, Mr.G.L.Mirchandani.

Products

• LCD Television
• Plasma Television
• DVD Player
• DVD Recorder
• Air Conditioner
• Washing Machine
• Microwave Oven

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.44.24
UK Pound	1	Rs.86.95
Euro	1	Rs.57.33

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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--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