MIRA INFORM REPORT

 

Report Date :

18.06.2007

 

IDENTIFICATION DETAILS

 

Name :

PERFETTI VAN MELLE INDIA PRIVATE LIMITED

 

 

Formerly known as:

PERFETTI INDIA PRIVATE LIMITED

 

 

Registered Office :

47th Milestone, Delhi Jaipur Highway, Manesar, Gurgaon – 122 050, Haryana.  

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

26.06.1992

 

 

Com. Reg. No.:

05-36116

 

 

CIN No.:

U51909HR1992PTC036116

 

 

TAN No.:

(Tax Deduction & Collection Account No.)

DELP08306E

 

 

Legal Form :

Private Limited Liability Company. The company is a subsidiary of Perfetti Van Melle Spa, Italy.

 

 

Line of Business :

Manufacturer of confectionery goods like Chewing Gum and Toffee.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

USD 5500000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well-established company having satisfactory track records. The company's products are well received.

 

It is expected to wipe out all previous losses, which was mainly due to heavy marketing and distribution expenses. Trade relations are fair. Payments are usually correct and as per commitments.

 

The company can be considered good for normal business dealings at usual trade terms and conditions.

 

 

LOCATIONS

 

Registered Office :

47th Milestone, Delhi Jaipur Highway, Manesar, Gurgaon – 122 050, Haryana.  

Tel. No.:

91-124-2390337/ 2390351/ 2390352

Fax No.:

91-124-2390342

Email :

harsh.arora@in.pvmgrp.com

 

 

Corporate Office :

Global Business Park, Tower A, 1st Floor, Merauli, Gurgaon, Haryana, India

Tel. No.:

91-124-2803216 to 2803221

Fax No.:

91-124-2803212

 

 

Marketing office:

D-62, Defence Colony, New Delhi - 110 024

Tel. No.:

91-11-24601724/24694339

Fax No.:

91-11-24601722

 

 

Factory 1 :

47th Mile Stone, Jaipur-Highway, Manesar Village, District Gurgaon, Haryana

Tel. No.:

91-124-2337337 / 2337338 / 2337339 / 6337340

Fax No.:

91-124-2337342

 

 

Factory 2 :

7, Karaipuduchery Village, Kattangulathur Block Chenglepet Taluk, Kanchipuram District, Guduvanchery, Tamil Nadu - 603202

 

 

DIRECTORS

 

Name :

Mr.  Massimo Terrevazzi

Designation :

Director

Address :

Minister Nelissenstraat 2, 4818 HT Breda;4818

Date of Birth/Age :

01.05.1962

Date of Appointment :

17.04.2006

 

 

Name :

Mr. Gianfranco Trippini (Foreigner)

Designation :

Chairman

Address :

XXV. Aprite – 7, Lainate (Milan), Italy

Date of Birth/Age :

01/01/1933

Date of Appointment :

01/12/1992

 

 

 

 

Name :

Mr. Prakash Wakankar

Designation :

Director

Address :

Apartment No:504, Building -14, Heritage City, Gurgaon;122002, Haryana

Date of Appointment :

17.04.2006

 

 

Name :

Mr. Stefano Pelle

Designation :

Director

 

 

Name :

Mr. Abhey Yograj

Designation :

Director

 

 

Name :

Mr. P Shikhermal Surrana

Designation :

Director

 

 

KEY EXECUTIVES

 

Name :

Mr. Harsh Arora

Designation :

Company Secretary

Address :

12/6, Punjabi Bagh, New Delhi – 110 026, India

Date of Birth :

27/08/1959

Date of Appointment :

28/01/1999

 

 

MAJOR SHAREHOLDERS

 

Names of Shareholders

 

No. of Shares

Giorgio Perfetti

 

24

Augusto Perfetti

 

24

Ubaldo Traldi

 

1

Francesco Merlano

 

1

Gianfranco Trippin

 

1

Abhey Yograj

 

24

Ajay Muttreja

 

1

Jyoti Sagar

 

24

 

 

Names of Shareholders

 

Percentage of holding

Foreign holding (Foreign institutional investor(s), Foreign companies, Foreign financial institutional(s), Non-resident(s) or Overseas corporate bodies or Others

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of confectionery goods like Chewing Gum and Toffee.

 

 

Products :

·         Mentos

·         Center Fresh

·         Alpenliebe

·         Center Shock

·         Chlormint

·         Big Babol

·         Cofitos

·         Fruittella

 

 

Brand Names :

Bigbubble, Centerfresh, Coffeetaste and Alpenliebe.

 

 

Exports to :

Italy

 

 

Imports from :

Indonesia and Poland

 

 

Terms :

 

Selling :

Cash, L/C, Credit (30 days) or other terms.

 

 

Purchasing :

L/C,  Credit (30 to 60 days) or other

 

PRODUCTION STATUS

 

Particulars

 

Unit

Actual Production

 

 

 

 

Confectionery Item

 

Kilo Grams

29930049

 

 

GENERAL INFORMATION

 

Suppliers :
  • Perfetti Van Melle SPA, Italy

 

 

Customers :

Wholesalers

 

 

No. of Employees :

450

 

 

Bankers :

ˇ         Hong Kong Bank

      New Delhi – 110 001, India

 

ˇ         Citi Bank

      Connaught Place, New Delhi – 110 001, India

 

 

 

Banking Relations :

Good 

 

 

Auditors :

 

Name :

Deloitte Haskins and Sells

Chartered Accountant

Address :

MCT House, One Okhila Centre, Block A, Okhla Institutional area, New Delhi, Delhi;110025

 

 

Associates :
  • Perfetti Van Melle International Trust BV, The Netherlands

 

 

Subsidiaries :

ˇ         Gum Base Company SpA, Italy

ˇ         PT Perfetti Van Melle, Indonesia

ˇ         Perfetti Van Melle Phils., Inc.

ˇ         Perfetti Van Melle Benelux B. V.

ˇ         Perfetti Van Melle Bangladesh Private Limited

ˇ         Perfetti Gida, Turkey

ˇ         Perfetti Van Melle Confectionery (Shenzhen) Company Limited

ˇ         Perfetti Van Melle Confectionery (Shanghai) Company Limited

ˇ         Perfetti Van Melle Brazil Limited

 

 

Holding Company :

ˇ         Perfetti Van Melle Holding BV, The Netherlands

 

 

Ultimate Holding Company :
  • Perfettii Van Melle SpA, Italy

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

656000000

Equity Shares

Rs.10/- each

Rs. 6560.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

53031987

Equity Shares

Rs.10/- each

Rs.530.319 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

530.320

578.320

626.416

2] Reserves & Surplus

848.107

797.016

705.835

NETWORTH

1378.427

1375.336

1332.251

LOAN FUNDS

 

 

 

1] Secured Loans

0.000

30.052

0.000

2] Unsecured Loans

0.000

0.000

0.000

TOTAL BORROWING

0.000

30.052

0.000

 

 

 

 

TOTAL

1378.427

1405.388

1332.251

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

718.218

767.983

694.230

Capital work-in-progress

59.803

22.874

19.825

 

 

 

 

INVESTMENT

0.000

13.528

1.407

DEFERREX TAX ASSETS

19.037

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

448.948

437.277

306.986

 

Sundry Debtors

56.820

44.762

20.293

 

Cash & Bank Balances

542.779

569.736

598.587

 

Loans & Advances
312.943

179.024
318.730

Total Current Assets
1361.490

1230.799

1244.596

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities

640.629

517.576

563.205

 

Provisions

139.492
112.220
64.602

Total Current Liabilities
780.121

629.796

627.807

Net Current Assets
581.369

601.003

616.789

 

 

 

 

TOTAL

1378.427

1405.388

1332.251

 

 

 

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

31.03.2006

31.03.2005

31.03.2004
Sales Turnover [including other income]

5401.661

4544.540

3704.379
 

 

 

 
Profit/(Loss) Before Tax

409.256

441.961

512.698
Provision for Taxation

177.493

163.879

171.625
Profit/(Loss) After Tax

231.763

277.986

341.073
 

 

 

 
Import Value

286.246

291.145

NA
 

 

 

 
Export Value

140.406

070.718

NA
 

 

 

 
Total Expenditure

4992.405

3623.858

3191.681

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2006

31.03.2005

31.03.2004

PAT / Total Income

(%)
4.29
6.11

9.20

 

 
 
 

 

Net Profit Margin

(PBT/Sales)

(%)
7.57
9.72

13.84

 

 
 
 

 

Return on Total Assets

(PBT/Total Assets}

(%)
18.95
21.71

26.15

 

 
 
 

 

Return on Investment (ROI)

(PBT/Networth)

 
0.29
0.32

0.39

 

 
 
 

 

Debt Equity Ratio

(Total Liability/Networth)

 
1.56
1.48

1.47

 

 
 
 

 

Current Ratio

(Current Asset/Current Liability)

 
1.74
1.95

1.98

 

 

LOCAL AGENCY FURTHER INFORMATION

 

History:

 

Subject was originally incorporated under the name and style of "Perfetti India Private Limited" on 26th June, 1992 at New Delhi in India having Company Registration Number 49319.

 

The company shifted its registered office from "A-10, Green Park, New Delhi - 110 016 to present during the year 2001.

 

Now, the company again shifted its registered office from D-62, Defence Colony, New Delhi - 110 024 to present during the year.

 

The subject became a private limited company with effect from 12/10/2001 and the name of the company was changed to present w. e. f. 09/12/2002.

 

Buy-back of Shares

 

The company brought back 4809628 Equity Shares of Rs. 10/- each (fully paid up) at a price of Rs. 48.84 per Equity Shares. Consequently, the paid-up share capital of the company stands reduced from Rs. 626.416 millions to Rs. 578.320 millions as on 31st March, 2005.

 

Background

 

Perfetti Van Melle India Private Limitede (formerly Perfetti India Private Limited) (‘the Company’) was incorporated on June 26, 1992 to manufacturer and market confectionery products, including chewing gums and toffees. The company was jointly promoted by Perfetti Van Melle SpA (formerly Perfetti SpA), a company incorporated in Italy and BN Holdings Limited, a company incorporated in the Isle of Mann, United Kingdom. Pursuant to the transfer by BN Holdings Limited of its entire holdings of 9100000 equity shares to Perfetti Van Melle SpA, in 1999, the Company become wholly owned subsidiary of Perfetti Van Melle SpA. During the year 2002, Perfetti Van Melle SpA transferred its entire holdings of 49553500 equity shares to Perfetti Van Melle Holdings B. V. Netherlands. Further, pursuant to the worldwide merger of the Perfetti and Van Melle Groups, Van Melle Confectionery India Private Limited merged with the company and under the scheme of amalgamation 13088087 equity shares of Rs. 10/- each were issued to the shareholders of erstwhile Van Melle Confectionery India Private Limited. The scheme of amalgamation had come into legal operation retrospectively from April 1, 2002. In the year 2002, upon completions of formalities with the relevant High Courts and Registers of Companies, the Company changed its name to Perfetti Van Melle India Private Limited. The Company is a subsidiary of Perfetti Van Melle Holding B. V. by virtue of their holding 93.4 percent equity shares in the paid up shares capital as at 31.03.2006.         

 

 

PERFETTI GROUP

 

Perfetti is an integrated and diversified international group, wholly privately owned, operating in the confectionery sector. It operates internationally with its own production and distribution units, and has shareholding and sales agreements concentrated mainly in the chewing-gum, candies and lozenge segments, promoting its brands everywhere under the guidance of Perfetti S.p.A.

 

Europe :

 

Name :

Perfetti S.p.A., Italy

Address :

Via XXV Aprile 7/9, 20020 Lainate, Milano, Italy

Tel. No.:

39-02-935351

Fax No.:

39-02-9373279

E-Mail :

perfetti@perfetti.it

 

 

Name :

Gum Base Company S.p.A., Italy

Address :

Via Nerviano 25, 20020Lainate, Milano, Italy

Tel. No.:

39-02-931721

Fax No.:

39-02-93570533

E-Mail :

gumbase@gumbase.com

Website :

http://www.gumbase.com

 

 

Name :

Gelco S.r.l., Italy

Address :

Via E. Mattei, Zona Industriale, 64020 Castelnuovo Vomano, Teramo, Italy.

Tel. No.:

39-0861-57223/4

Fax No.:

39-0861-57833

E-Mail :

segreteria@gelco.it

 

 

Name :

La Giulia Ind. S.p.A

Address :

Via E. Fermi 17, 34170 Gorizia, Italy

Tel. No.:

39-0481-528211

Fax No.:

39-0481-528222

E-Mail :

lagiulia@tmedia.it

 

 

Name :

Frisk Int.NV

Address :

Technologielaan 2, B-3001 Leuven, Belgium

Tel. No.:

32-16-395001

Fax No.:

32-16-395000

E-Mail :

info@frisk.be

 

 

Name :

Sula GmbH & Company KG

Address :

Industrie Strasse 23, 48629 Metelen, Postfetch 12 20, 48626 metelen, Germany

Tel. No.:

49-25569394-0

Fax No.:

49 25561862/ 25569394-33

E-Mail :

sula@sula.com

Website :

http://www.sula.com

 

 

Name :

Perfetti Gida San. VE TIC. A.S.

Address :

Kirac Koyu, Merkez Mah., Ataturk Cad. No. 17, 34900 Buyucekmece/ Istanbul, Turkey.

Tel. No.:

90-212-5963137 PBX / 91-212-6200458

Fax No.:

90-212-6200458

E-Mail :

perfetti@perfetti.com.tr

 

 

Name :

Van Melle Export B.V.

Address :

P.O. Box 3000, 4800 DA Breda, Holland

Tel. No.:

31-76-5275212

Fax No.:

31-76-5203322

 

 

Name :

Perfetti S.A.

Address :

Riera de Targa n 53, 08339 Vilassae de Dalt, (Baecellona), Spain

Tel. No.:

34-93-7530501

Fax No.:

34-93-7533444

E-Mail :

jserra@perfetti.es

 

 

Name :

Perfetti Helals S.A

Address :

36 Penetelis Str., 175 64 P. Faliro, Athens, Greece

Tel. No.:

30-1-9480366

Fax No.:

30-1-9480368

E-Mail :

contract@perfetti.gr

 

 

Name :

Perfetti CR s.r.o.

Address :

Vodickova, 30 (3 schodiste), 11000 Praha 1, CZECH REPUBLIC

Tel. No.:

420-2-24162060

Fax No.:

420-2-24162059

E-Mail :

Perfetti.praha@worldonline.cz

 

 

Name :

Dimpex S.A.

Address :

Zona Industriale, 6804 Bironico/ Switzerland

Tel. No.:

41-91-9359181

Fax No.:

41-91-9359189

 

 

Name :

Perfetti Confectioner Company Limited

Address :

318 Lu Chun Road, Minhang, Shanghai 200240 P.R. of China

Tel. No.:

86-21-64626300/ 64626413/ 64626454/ 64627254

Fax No.:

86-21-64306398

E-Mail :

perfetti@perfetti.com.cn

 

 

Name :

PT. Perfetti Indonesia

Address :

Gedung Ambhare, JI Dr. Saharjo no. 181, Jakarta 12860

Tel. No.:

62-21-8307681/ 8293687/ 8316344

Fax No.:

62-21-8308332

E-Mail :

ptpi@perfetti.co.id

 

 

Name :

Perfetti Confectionery Vietnam Limited

Address :

70/1 Highway n. 1, Linh Xuan Village, Thu Duc District, Ho Chi Minh City, Vietnam

Tel. No.:

84-8-8967095

Fax No.:

84-8-8967094

E-Mail :

perfetti@hcm.vnn.vn

 

 

Name :

Gum Base Asia Limited

Address :

Rm. 1203, Leighton Centre, 77 Leighton Road, Causeway Bay, Hong Kong

Tel. No.:

852-28822355/ 25108674

Fax No.:

852-28871311

E-Mail :

gumasia@attglobal.net

 

 

Name :

Perfetti South Africa Pty Ltd.

Address :

Epsomdownns Office Complex, Process House, 13 Sloane Street – Bryanston 2021 Johannesburg, South Africa

Tel. No.:

27-11-4638491/4

Fax No.:

27-11-4638495

E-Mail :

info@perfetti.co.za

 

 

Name :

Perfertti Do Brasil

Address :

Rua Parsch, 100, Distrito Industrial, Vinhedo – S.P. Cep: 13280-000 Caixa Postal 277-1, barsil

Tel. No.:

55-19-38767800

Fax No.:

55-19-38767844

E-Mail :

perfetti@perfetti.com.br

 

 

PRESS RELEASES :

 

Source : The Hindu Business Line (Dated : July 3, 2003)

 

CHENNAI, July 3

 

Perfetti Van Melle India Private Limited is a wholly-owned subsidiary of Perfetti Van Melle, the Italy headquartered confectionery company that was formed after the merger of perfetti, the privately owned Italian chewing gum and confectionery group, and Van Melle, the Dutch confectionery group. The Indian operation is made up of two plants – one at Manesar in Haryana, about 40 km from Delhi, and another at Guduvancheri plant to Van Melle. The former has a capacity of 30000 tonnes per annum and the later 10000 tonnes per annum. Perfetti set up its operations in India in 1994 while Van Melle inaugurated its plant here in early 2001.

 

“India is one of the biggest set-up (for Perfetti Van Melle) in the world. In terms of volumes, we are going to be the second or third subsidiary in the world,” Mr. Pelle says.

 

According to him, in India, the company produces 11 brands – three belonging to the erstwhile Van Melle and the rest to the former Perfetti basket. These include Mentos, Fruit-tella, Marbels, Alpenliebe, Cofitos, Big Babol, and Center Fresh. The Chennai plant manufactures Mentos, Fruit-tella, Marbels and Alpen Liebe, while the other products are manufactured at the Manesar facility.

 

 

 

 

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.40.97

UK Pound

1

Rs.80.73

Euro

1

Rs.54.56

 

 

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

6

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

 

54

 

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