MIRA INFORM REPORT

Report Date :

05.05.2007

IDENTIFICATION DETAILS

Name :	OMML JSC JV DIVISION OF OM METALS INFRAPROJECTS LIMITED
Formerly Known As.:	OM METALS LIMITED
Registered Office :	Om Towers, Church Road, M I Road, Jaipur – 324007, Rajasthan
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	22.12.1971
Com. Reg. No.:	16-1388
CIN No.: [Company Identification No.]	U27101RJ1971PTC001388
TAN No.: [Tax Deduction & Collection Account No.]	JPRO01782E
PAN No.: [Permanent Account No.]	AAACO7299Q
Legal Form :	A public limited liability company. The company's shares are listed on the Stock Exchanges
Line of Business :	Designing, Manufacturing, Supplying, Transporting, Erecting and Commissioning of Radial Gates, Vertical Gates, Cranes, Penstock Pipes, Trash Racks, Electrical and Mechanical Hoists, Electrical Control Panels for Irrigation and Hydro-Electric Power Projects. The company is also Supplying and Installing Hydraulic Hoists for Operation of Gates.

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 1800000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well – established company having satisfactory track. Trade relations are fair. 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 :	Om Towers, Church Road, M I Road, Jaipur – 324007, Rajasthan
Tel. No.:	91-141-2366679-80, 89
Fax No.:	91-141-2371610
E-Mail :	ommljaipur@yahoo.com
Website :	http://www.ommetals.com
Factory :	1.Factory at B-117/118, Indraprastha Industrial Area, Kota, Rajasthan 2. Kameng in Arunachal Pradesh, Largi, Koldam in Himachal Pradesh, Karbilangpi in Assam, Goshikhurd in Maharashtra, Sewa in Jammu & Kashmir, and various other projected sites.
Branch Office :	W3 / 3, Sainik Farms, Western Avenue, Khan Pura, New Delhi – 110062, India
Tel. No.:	91-11-29551612
Fax No.:	91-11-29551687

DIRECTORS

Name :	Dr. T.C. Kothari
Designation :	Chairman
Name :	Mr. C.P. Kothari
Designation :	Managing Director)
Name :	Mr. D.P. Kothari
Designation :	Director
Name :	Mr. P.C. Jain
Designation :	Director
Date of Birth/Age :	10.10.1946
Qualification :	B.E
Date of Appointment :	15.07.2001
Memberships/chairmanships of committees across Public Companies :	Om Metals Infraprojects Limited: Audit committee Shareholder’s/ Investor’s Grievenance Committee
Name :	Mr. Kamal Chandwar
Designation :	Director
Date of Birth/Age :	06.08.1953
Qualification :	Graduate
Date of Appointment :	10.03.2004
Memberships/chairmanships of committees across Public Companies :	Om Metals Infraprojects Limited: Audit committee Shareholder’s/ Investor’s Grievenance Committee
Name :	Mr. Ghan Shyam Gupta
Designation :	Director
Date of Birth/Age :	07.06.1945
Qualification :	B.E.
Date of Appointment :	15.12.2005
Name :	Mr. Sunil Kothari
Designation :	Director
Date of Birth/Age :	09.01.1965
Qualification :	Diploma in Business Admn.
Date of Appointment :	28.04.2006
Directorships held in other public companies :	(1) Om Rajasthan Carbide Limited (2) Benzer Agencies Limited

SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares	Percentage of Holding
Promoters	44324890	78.88
Mutual Funds and UTI	468969	0.83
FIIs	457760	0.81
Corporate Bodies	7135854	12.70
Indian Public	3610053	6.42
NRIs/OCBs	193624	0.34
Total	56,191,150	100.00

BUSINESS DETAILS

Line of Business :	Designing, Manufacturing, Supplying, Transporting, Erecting and Commissioning of Radial Gates, Vertical Gates, Cranes, Penstock Pipes, Trash Racks, Electrical and Mechanical Hoists, Electrical Control Panels for Irrigation and Hydro-Electric Power Projects. The company is also Supplying and Installing Hydraulic Hoists for Operation of Gates.
Products :	Ø Fabrication and Erection of Dam Gates/Hoists/Cranes of Irrgation & Power Projects Ø Conversion of H.R Coil to C. R. Sheet Ø Entertainment

GENERAL INFORMATION

Customers :

Central Government psu’s & Corporations like

NTPC

NEEPCO

VIDC

NHPC

THDC

Various state irrigation & Electricity Boards

COMPETITORS

Texmaco – Calcutta

DSD Noell – Germany

Alstom Power – Portugal

TechnoPromeExport – Russia

Foreign Collaborations/Joint Ventures

No. of Employees :

200

Bankers :

State Bank of Bikaner & Jaipur

Industrial Estate, Kota

State Bank of Patiala

Janpath, New Delhi

Bank of Baroda

Jhalawar Road, Kota

IDBI Bank

C-Scheme, Jaipur

Facilities :

SECURED LOANS :	Rs in Millions
a) TERM LOAN :
From SBBJ	110.721
See note No. 1 (a)
From Others banks	6.763
See note No. 1(b)
Sub-Total
b) Working Capital Loan
From Banks (Rupee loan)	44.075
(See note No.2)
From Banks (Foreign currency loan)	0.000
(See note No.2)
c) Short Term Loan against FDR	69.523
from Bank
(See note No.3)
Total	231.082
Note: (i) Term Loan includes Rs. 35.479 Millions due with in a year ( Previous year Rs.29.285 Millions) (ii) * including foreign currency loan of Rs. Nil (Previous year Rs. 48.182 Millions) repayable in Indian currency.
1 (a) Secured by way of equitable mortgage of lease of land belonging to M/s Om Structural India PrivateLimited & Om Kothari Parivarik Trust, Sah Buildcon PrivateLimited & Richa Builders PrivateLimited under an agreement and hyp. of Plant & Machinery and others assets of hotel cum revolving rest at Jaipur and equitable mortgage of lease hold land & building of multiplex Division at Kota and lease hold land located at VKI Jaipur and hyp. of Plant & Machinery and other assets of the above said divisions and further secured by way of personal guarantees of Mr. T. C. Kothari C. P. Kothari & Mr. D. P. Kothari directors of the company.
(b) Secured by way of Hyp. of vehicles financed by other banks.
2. Working capital loans are secured by way of hypothecation of raw material, finished goods, stores & spares, food & beverage, liquor and book debt's on ranking pari - passu . basis inter se between the lender. These loans are further secured / to be secured on pari-passu charges by way of first and second charges ( except on which secured loans taken from banks and other parties etc. by way of mortgage/ hypothecation of all the immovable / movable properties of the Company's ) & personal guarantees of the Shri T.C.Kothari, Shri C.P.Kothari and Shri D.P.Kothari Directors of the company and further secured by way of equitable mortgage of land & building belonging to Om Kothari Cement & Chemicals (P) Limited, Jupiter Metals (P) Limited ,Om Rajasthan Carbide Limited, Jupiter Mfg. PrivateLimited and Om Structural (India) PrivateLimited
3. Secured by way of deposit of FDR.
4. In the case of Bank Gaurantee Limits, it is secured by way of deposit of FDR and counter gaurantee of the Company and collateral securities as mentioned above (2) and personal guaranteed of the directors of the Company and collateral securities as mentioned above (2 ) & 3 on ranking pari-passu basis inter se between the lender.

Banking Relations :	Satisfactory
Auditors :
Name :	M.C. Bhandari & Company Chartered Accountants Kota Milind Vijayvargiya & Associates Chartered Accountants Kota J.N. Khandelwal & Company Chartered Accountants Kota B. Khosla & Cmpany Chartered Accountants Jaipur
Holding Comapny :	Om Structurals India (P) Limited (OSIPL) Om Rajasthan Carbide Limited Om Kothari Cement & Chemicals (Private) Limited Om Kothari Steel & Alloys Limited Richa Builders (Private) Limited SAH Build con (Private) Limited Lambodar Finvest (Private) Limited Om Kothari Enterprises Limited Jupiter Mfg. Company (Private) Limited Om Kothari Pariwarik Trust Om Kothari Foundation Well Wisher Construction & Finance (Private) Limited Luhadia construction (Private) limited Kundan Mai Mukand Mai traders (Private) Limited Himgiri Dealcom (Private) Limited Om Transport Corporation Om Adirath Company (Private) Limited Om Power Corporation Limited Benzer Agencies Limited Bahubali Housing Company (Private) Limited
Subsidiaries :	Om Metal Auto (Private) Limited
Joint Venture :	1) OML+ JSC. Ukrain (JV) Kameng 2) Om Metals Consortium

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
80000000	Equity Shares	Rs.1/-each	Rs. 80.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
56191150	Equity Shares	Rs.1/-each	Rs. 56.191 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		56.191	56.191	56.191
2] Share Application Money		0.000	0.000	0.0000
3] Reserves & Surplus		403.182	215.192	202.307
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		459.373	271.383	258.498
LOAN FUNDS
1] Secured Loans		231.082	197.442	111.613
2] Unsecured Loans		3.277	0.996	1.565
TOTAL BORROWING		234.359	198.438	113.178
DEFERRED TAX LIABILITIES		21.347	23.637	9.808
TOTAL		715.079	493.458	381.484
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		378.210	320.202	228.113
Capital work-in-progress		38.359	62.196	41.759
INVESTMENT		10.188	7.929	9.574
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	166.605	117.099	77.500
	Sundry Debtors	102.159	112.401	55.345
	Cash & Bank Balances	530.086	303.601	44.337
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	100.244	85.982	50.148
Total Current Assets		899.094	619.083	227.330
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities & Provision	610.772	515.952	125.527
	Provisions
Total Current Liabilities		610.772	515.952	125.527
Net Current Assets		288.322	103.131	101.803
MISCELLANEOUS EXPENSES		0.000	0.000	0.235
TOTAL		715.079	493.458	381.484

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2006	31.03.2005	31.03.2004
Sales Turnover		643.104	374.172	355.036
Other Income		244.462	97.632
Total Income		887.566	471.804
Profit/(Loss) Before Tax		244.550	50.321	43.090
Provision for Taxation		20.910	17.779	2.190
Profit/(Loss) After Tax		223.640	32.542	40.900
Earnings in Foreign Currency :
	Export Earnings	2.594	0.000	0.000
Total Earnings		2.594	0.000	0.000
Imports :
	Raw Materials	63.587	77.686	13.614
Total Imports		63.587	77.686	13.614
Expenditures :
	Material consumed ,provision & beverage / Trading	361.321	219.793
	Payments to & provision for employees	30.719	27.569	300.034
	Mfg. operating upkeep house expenses & film dist.	143.261	100.006
	Administrative & selling expenses	53.990	37.523
	Financial expenses	23.877	20.793
Total Expenditure		613.168	405.684	300.034

QUARTERLY RESULTS

PARTICULARS	30.06.2006	30.09.2006	31.12.2006
Type	1st Qtr	2nd Qtr	3rd Qtr
Sales Turnover	238.000	236.000	212.300
Other Income	8.700	8.400	8.900
Total Income	246.700	244.400	221.200
Total Expenditure	154.800	164.000	154.000
Operating Profit	91.900	80.400	67.200
Interest	5.300	6.700	17.700
Gross Profit	86.600	73.700	49.500
Depreciation	5.000	6.000	5.400
Tax	3.000	3.200	6.600
Reported PAT	78.600	64.500	37.500

200606 Quarter 1 –

Expenditure Includes (Increase) / Decrease in Stock in Trade Rs (25.788)million Consumption of Raw Materials Rs 116.593 million Staff Cost Rs 17.984 million Other Expenditure Rs 45.994 million Tax includes Provision for Provision for Tax Rs 2.500 million Fringe Benefit Tax Rs 0.500 million EPS is Basic & Diluted Status of Investor Complaints for the quarter ended June 30, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter Nil Complaints disposed off during the quarter Nil Complaints unresolved at the end of the quarter Nil 1. The above results have been reviewed by the Audit Committee and taken on record by the Board of Directors at their meeting held on July 30, 2006. 2. Previous year figures have been regrouped/reclassified / rearranged wherever necessary.

200609 Quarter 2 –

Expenditure Includes (Increase) / Decrease in Stock in Trade Rs (8.515)million Consumption of Raw Materials Rs 111.050 million Staff Cost Rs 6.842 million Other Expenditure Rs 54.618 million Tax includes Provision for Provision for Tax Rs 2.500 million Fringe Benefit Tax Rs 0.700 million EPS is Basic & Diluted Status of Investor Complaints for the quarter ended September 30, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter 02 Complaints disposed off during the quarter 02 Complaints unresolved at the end of the quarter Nil 1. The above results have been reviewed by the Audit Committee and taken on record by the Board of Directors on October 30, 2006. 2. Previous year figures have been regrouped/reclassified / rearranged wherever necessary. 3. In view of the segments revenue being less than 10% of total revenue as per AS 17, segment reporting is not done.

200612 Quarter 3 –

Expenditure Includes (Increase) / Decrease in Stock in Trade Rs (4.639)million Consumption of Raw Materials Rs 88.872 million Staff Cost Rs 10.398 million Other Expenditure Rs 59.267 million Tax includes Provision for Provision for Tax Rs 6.00 million Fringe Benefit Tax Rs 0.60 million EPS is Basic & Diluted Status of Investor Complaints for the quarter ended December 31, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter 02 Complaints disposed off during the quarter Nil Complaints unresolved at the end of the quarter 02 1. The above results have been reviewed by the Audit Committee and taken on records by the Board of Directors on January 27, 2007. 2. Previous year figures have been regrouped / reclassified / rearranged wherever necessary. 3. The segment revenue not being more than 10% of the total revenue segment reporting not done as per AS - 17.

KEY RATIOS

PARTICULARS	31.03.2006	31.03.2005	31.03.2004
Debt Equity Ratio	0.60	0.61	0.45
Long Term Debt Equity Ratio	0.45	0.39	0.24
Current Ratio	1.19	1.08	1.21
TURNOVER RATIOS
Fixed Assets	1.62	1.29	1.24
Inventory	5.18	4.71	5.81
Debtors	6.84	5.46	6.32
Interest Cover Ratio	11.23	3.42	3.66
Operating Profit Margin (%)	40.60	18.98	23.37
Profit Before Interest and Tax Margin (%)	36.55	15.53	19.47
Cash Profit Margin (%)	34.50	10.55	17.33
Adjusted Net Profit Margin (%)	30.45	7.10	13.43
Return on Capital Employed (%)	46.69	17.27	17.74
Return on Net Worth (%)	62.37	12.69	17.75

LOCAL AGENCY FURTHER INFORMATION

FIXED ASSETS

Ø Lease hold land including Tenancy regret

Ø Agriculture Land

Ø Building/ Temp. Labour Quarter Shed

Ø Plant & Machinery

Ø Electrical Fitting

Ø Office Equipments

Ø Furniture & Fixture

Ø Computer

Ø Vehicle

Ø A.C./ Cooler

BUSINESS

Subject fabricates engineering equipment and executes contracts such as designing, manufacturing, supplying, transporting, erecting and commissioning of radial gates, vertical gates, cranes, penstock pipes, trash racks, electrical and mechanical hoists, electrical control panels for irrigation and hydro-electric power projects. The company is also supplying and installing hydraulic hoists for operation of gates.

It is one of the leading turnkey contractors in the field of manufacturing, supplying, erecting and commissioning of all types of dam gates for irrigation of hydroelectric power projects.

NAME CHANGE 

With the foray into infrastructure sector through Port and SEZ the name of the Company has been changed from 'Om Metals Limited' to 'Om Metals Infraprojects Limited' to more emphasisely indicating the nature of core business of company such as Hydro mechanical equipments used in dams, townships, IT Parks and now port and SEZ. 

OPERATIONS 

i.) ENGINEERING DIVISION: 

The Year has seen a record profit in engineering division for the basic reason of execution of high valued Gosikhurd project. A major portion of revenue is contributed by Gosikhurd project which is a Rs.1360 Millions project relatively higher in comparison to other projects which are between Rs.25 to Rs.500 Millions. A higher margin, static fixed cost and overheads cost not rising proportionately are the primary reason but over and above the receipt of arbitration claim for North Koel Project Bihar is another reason of relatively higher profits. 

Government of India is geared up for maintaining the momentum of 7-8% growth in GDP and to cater the fast movement in the infrastructural development and the Govt.'s initiation of 'power for all' by installing additional 100000 MW of generation capacity by 2012 is of paramount importance. The company is fully geared up to take up upcoming challenge in the execution of turnkey contract for Hydro mechanical Equipments, fabrication of radial gates for irrigation/ hydel projects, manufacturing of hoists. The company has secured contracts in global competitive biddings by outperforming MNCs. The company is presently working on projects in Gujarat (Baroda), Assam, Jammu & Kashmir, Himachal Pradesh, Maharastra, and Arunachal Pradesh. By commissioning one of the largest vertical lift gates in the world for Koldam Project of NTPC the company is at strong pavement of meeting pre qualification criteria for bigger size projects in India and overseas. The Company has robust order book position of Rs.6000 Millions and it has submitted fresh tenders for work contracts worth Rs.2950 Millions and in majority of tenders the company has already passed the pre qualification stage. The company is fully confident to achieve Rs.1000 Millions plus turnover from this division alone in the years to come. 

ii) HOTEL DIVISION: 

The Hotel is encashing the growth in tourism especially in Rajasthan, which is a favourite destination for the overseas tourists. The most ethically designed conference hall and business center are very business friendly and catching up conglomerates for convocation and business conferences. The hotel business has seen more than 40% growth in comparison to last year and has recorded profits. In the post loan repayment period the hotel will generate good revenue. The hotel business in Jaipur is a cruising business and in the years ahead owing to commonwealth games in New Delhi the Company expects to generate handsome revenue out of this business. 

iii) MULTIPLEX DIVISION 

The revenue generation from the multiplex was phenomenal this year again. The company has leased out the three screen theatres to Inox Leisure a renowned multiplex chain in India, recently in the ongoing fiscal at a handsome fee every year. The discontinuance of entertainment tax exemption from next fiscal has persuaded the company to do so. The other income from restaurants, shops and parking shall continue to add in the revenue. 

iv) REAL ESTATE 

On the back of a booming economy, real estate market in India is on a high growth curve. The revolution in infrastructure developments in housing, shopping malls and residential townships has carved the way for the company coming up in big way in this sector. The first lot sale of space in Om Enclave, biggest residential township in Kota, Rajasthan is a reason to cherish and is a morale boosting factor to establish company's presence in and accross the country. 

The construction work of slum rehabilitation and residential apartments at Bandra Reclamation, Mumbai is soon to commence. 

The Company has been awarded a land of 50 acre for development of IT park in Airoli Knowledge park, Navi Mumbai in joint venture with B Raheja a renowned real estate conglomerate of Mumbai. 

In a big leap in infrastructure sector, the company on JV basis has been qualified for development of Port and SEZ in Pondicherry. The concession agreement for development of port on BOT basis has been signed by Govt. of Pondicherry and for SEZ, the clearance of Central Govt. is awaited. 

The company is under the way for finalising deals for big size residential, commercial and IT park projects in Jaipur and Hyderabad. 

v) AUTOMOBILE 

In its first year of complete operation, Toyota dealership -3S facility showroom at Jaipur has done commendable business and in the years to come the revenue from services and spares shall multiply with the number of units rolling on the street. The revenue generation in the year under progress is again expected to grow handsomely. 

PROSPECTS 

The core business of the company is all set to touch a 1000 million mark in the running fiscal. The company is fully geared to meet all the targets set by Ministry of Power to generate additional 50,000 MW electricity through Hydro Project Developments in the tenth eleventh five year plan. The Company also aspires to reap the benefits inherited in real estate projects under the pipeline as on date. 

AMALGAMATION 

 In the world of increasing corporatisation, the Company, with a view to integrate the business synergies and reap the benefit of consolidation, is undergoing amalgamation with six Companies. This shall channelise synergies and shall lead to optimum utilization of available resources. Amalgamation will result in improved asset base of the Company, being Transferee Company, by consolidating the immovable assets of six Transferor Companies; the same shall enable the Company to raise resources for future growth and expansion of the business. In increasing era of competition, the Company shall become more competitive in long run with more financial stability and increased networth, resulting in enhanced value to the stakeholders. 

As Per Website Details

Background

M/s. Om Metals Limited (OML), An ISO 9002 Company and parent company of the Om Kothari Group, is engaged in diversified activities like Execution of turnkey contract for Hydro mechanical Equipments, fabrication of radial gates for irrigation/ hydel projects, manufacturing of hoists. In span of 32 years , Kothari Group has transformed into a multifaceted organisation with an asset base of more than Rs. 1000.000 Millions in year 2003.Om Metals has grossed a turnover of Rs. 480 Million in the financial year ending March 2001.They are the Leading company in the field of execution of turnkey contracts for Hydromechanical equipment for Irrigation and Hydropower projects. More than 50 Irrigation and Hydro Power projects successfully completed across the nation and abroad by us. Various Projects including Multiplex Cinema Project commissioned in record period of 6 months by the Company. Currently Company is employing more than 100 managerial & technical personnel and 350 skilled manpower. Not a single Bank Guarantee has been invoked in the history of Om Metals out of almost Rs.4000.000 Millions BG’s issued . Company had bagged prestigious contracts from organisation like World Bank, NTPC, Ministry of External Affairs, NHPC, NEEPCO and others Profit making company since its inception.

The Group has following diversified business interests:

1. Engineering Division :-

The Engineering division of the company is well equipped with the latest machinery & equipments. The company has employed qualified and experienced technocrats /experts who are capable of designing, fabrication and erection of Vertical/ Radial/ Spillway Gates and Hydraulic/ Electrical Hoists.

2. Amusement Centers :-

The Company started this division by launching its 3-Screen Multiplex theatre in the month of March 2002. The company has further integrated this division back ward by taking distribution rights of films.

3. Hotel Division :-

The Company started this division by launching its 3-Screen Multiplex theatre in the month of March 2002. The company has further integrated this division back ward by taking distribution rights of films.

4. Real Estate :-

The Group in last couple of years has massively entered in Real Estate sector in Mumbai by purchasing properties in prime locations of Navi Mumbai. They are coming up with shopping Malls-cum- Multiplexes on these properties in the name of “ City Center ” and “Palm Beach Galleria”, the construction of which is in full swing.

5. Automobile Division :-

The Group in one of its subsidiaries has been awarded letter of intent from M/S Toyota Kirloskar Motors Private Limited. for the sales and servicing of TOYOTA vehicles and their spare parts for Jaipur territory comprising 10 districts. The Group has recently inaugurated its Showroom-cum-workshop of TOYOTA Dealership on 30th March 2005.

PRODUCTS

Specialisation in execution of turnkey contracts covering

• Design & Engineering
• Manufacturing
• Transportation, supply and installation

Testing and commissioning of radial gates, spilway & stoplog gates, vertical gates, d.t.gates, intake gates, hydraulic/electric hoists, eot and gantry cranes, trash rack and trash rack cleaning machines used in dams and hydro electric power and irrigation projects.

OM Metals Infraprojets Limited has informed the BSE that the board at its meeting held on March 16 has declared an interim dividend of 20% i.e. Rs. 0.20/- per equity share of Rs. 1/- each, for the financial year ending on March 31,2007

Previous : Blue Star Infotech Board to pay Rs. 2 as dividend

Next : Rico Auto board declares 75 % dividend

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.40.57
UK Pound	1	Rs.80.97
Euro	1	Rs.55.90

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