MIRA INFORM REPORT

Report Date :

03.11.2007

IDENTIFICATION DETAILS

Name :	ARMSEL MHE PRIVATE LIMITED
Formerly Known As :	MATERIAL HANDLING ENGINEERS PRIVATE LIMITED
Registered Office :	# 24, Koramangala Industrial Layout, Hosur Road, Bangalore -560 095, Karnataka
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	03.06.1981
Com. Reg. No.:	08-4248
CIN No.: [Company Identification No.]	U72206KA1981PTC004248
TAN No.: [Tax Deduction & Collection Account No.]	BLRA05276F
PAN No.: [Permanent Account No.]	AABCM1443P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing, importing, exporting and trading of all kinds of cranes, hoists, tankers, weight lifting and material handling equipments.

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 99000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and reputed company having satisfactory track records. Directors are reported as experience and respectable businessmen. Trade relations are reported as fair. Business is active. 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 :	# 24, Koramangala Industrial Layout, Hosur Road, Bangalore -560 095, Karnataka, India
Tel. No.:	91-80-2553 0439 / 2553 0440, 4110 4897 / 98
Mobile No.:	91-9845150140
Fax No.:	91-80-2553 0411
E-Mail :	armsel@vsnl.com info@armsel.com armsel@airtelbroadband.in
Website :	http://www.armsel.com
Area :	Leased
Factory:	78/A, KIADB Industrial Area, Jlgini, Anekal Taluk, Bangalore – 562 106, Karnataka, India
Tel. No.:	91-80-27825252 / 27825351
Fax No.:	91-80-27825796
Area :	135000 sq. ft.

DIRECTORS

Name :	Mr. A C Heri
Designation :	Managing Director
Address :	Flat C – 1, 2^nd Floor, ‘Chartered Cottage’ No. 8, Langford Road, Richmond Town, Bangalore – 560025, Karnataka, India
Date of Birth/Age :	06.11.1942
Qualification :	L. M. B.
Date of Appointment :	03.06.1981
Name :	Mr. Preet H Heri
Designation :	Director
Address :	Flat C – 1, 2^nd Floor, ‘Chartered Cottage’ No. 8, Langford Road, Richmond Town, Bangalore – 560025, Karnataka, India
Date of Birth/Age :	19.10.1977
Qualification :	M. S.
Date of Appointment :	15.06.1998
Name :	Mr. Sushil C Heri
Designation :	Director
Address :	No. 6, New No. 13, Norris Road, Richmond Town, Bangalore – 560025, Karnataka, India
Date of Birth/Age :	30.09.1968
Qualification :	B. Com
Date of Appointment :	25.09.1990
Name :	Mrs. D. M. Heri
Designation :	Director
Address :	Flat C – 1, 2^nd Floor, ‘Chartered Cottage’ No. 8, Langford Road, Richmond Town, Bangalore – 560025, Karnataka, India
Date of Appointment :	01.04.2003

KEY EXECUTIVES

Name :	Ganapathi and Mohan
Designation :	Company Secretary
Address :	No. 53, Gandhi Bazaar main Road, Bangalore – 560004, Karnataka, India
Name :	Mr. Sham Sundar
Designation :	Export Manager
Name :	Mr. S Ranganath
Designation :	Marketing manager
Name :	Mr. A. Vinaya Shetty
Designation :	Purchasing Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
A. C. Heri	119860
D. M. Heri	1150
Sushil C. Heri	4990
Preet H. Heri	3000
C. S. Furtado	6000
Total	135000
Equity Share Breakup
Category	Percentage of Holding
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturing, importing, exporting and trading of all kinds of cranes, hoists, tankers, weight lifting and material handling equipments.

Products :

Item Code No.	Product Description
842610	Cranes
843131	Electric Hoists
871100	Tankers

Agencies Held :

SWF Germany

Exports :

Products :

Cranes and Hoists

Countries :

China, France, Italy, Germany, Indonesia, Nigeria, Ghana, United Arab Emirates, Yemen, Zambia, Oman, Kuwait [Middle East], Dubai, and Saudi Arabia

Imports :

Products :

Crane Kits

Countries :

Germany and Hongkong

Terms :

Selling :

L/Cm Cash and Credit

Purchasing :

L/C and Credit [60 days]

PRODUCTION STATUS

Particulars	Actual Production
Cranes		70 Nos.
Hoists		250 Nos.
Others, Wines etc.		120 Nos.

GENERAL INFORMATION

No. of Employees :	162 [In Office : 42 and In Factory :120]
Customers :	End Users
Bankers :	· Vijaya Bank, Address: Bridge Road, Bangalore - 560 001, Karnataka · HDFC Bank

Banking Relations :	Satisfactory
Auditors :
Name :	S. P. Krishnamurthy and Company Chartered Accountants
Address :	No 36/162, 4^th Main, 14^th Cross, Vylikaval, Bangalore – 560 003, Karnataka, India
Tel. No.:	91-80-331 2859
Fax No.:	91-80-344 9580 / 23312859
Associates/Subsidiaries :	Ø Power Gear (Bangalore), - No. 24, Koramangala Industrial Layout, Hosur Road, Bangalore - 560 095, Karnataka - Manufacturers of cranes and hoists works Sarakki Industrial Estate, Bangalore, Karnataka

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
140000	Equity Shares	Rs.100/- Each	Rs.14.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
135000	Equity Shares	Rs.100/- Each	Rs.13.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2007	31.03.2006	31.03.2005
SHAREHOLDERS FUNDS
1] Share Capital		13.500	13.500	13.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		11.418	7.129	5.433
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		24.918	20.629	18.933
LOAN FUNDS
1] Secured Loans		29.925	28.672	21.612
2] Unsecured Loans		13.431	14.681	11.759
TOTAL BORROWING		43.356	43.353	33.371
DEFERRED TAX LIABILITIES		3.164	3.245	3.245
TOTAL		71.438	67.227	55.549
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		20.549	26.646	26.429
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.006	0.006	0.006
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	27.707	22.200	25.275
	Sundry Debtors	54.085	43.656	27.386
	Cash & Bank Balances	10.939	4.664	4.313
	Other Current Assets	4.856	0.841	1.085
	Loans & Advances	3.669	2.751	1.290
Total Current Assets		101.256	74.112	59.349
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	46.717	32.478	29.709
	Provisions	3.656	1.059	0.526
Total Current Liabilities		50.373	33.537	30.235
Net Current Assets		50.883	40.575	29.114
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		71.438	67.227	55.549

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
Sales Turnover		154.346	121.601	85.041
Other Income		1.106	1.198	0.588
Total Income		155.452	122.799	85.629
Profit/(Loss) Before Tax		6.818	2.755	1.690
Provision for Taxation		2.611	1.059	0.579
Profit/(Loss) After Tax		4.207	1.696	1.111
Earnings in Foreign Currency :
Total Earnings		1.174	0.911	0.118
Imports :
Total Imports		14.672	3.875	0.494
Expenditures :
	Material Consumed	119.785	45.453	37.814
	Manufacturing Expenses	0.000	25.770	25.090
	Financial Charges	5.569	3.739	3.304
	Selling Expenses	19.056	6.140	5.541
	Administrative Expenses	0.000	5.753	6.427
	Depreciation & Amortization	1.733	1.543	1.288
	Increase/(Decrease) in Finished Goods	0.000	[4.458]	0.629
Total Expenditure		146.143	5.458	83.940

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	0.03	1.38	1.30
Net Profit Margin (PBT/Sales)	(%)	4.42	2.26	1.99
Return on Total Assets (PBT/Total Assets}	(%)	5.60	2.73	1.97
Return on Investment (ROI) (PBT/Networth)		0.27	0.13	0.09
Debt Equity Ratio (Total Liability/Networth)		3.76	3.73	3.36
Current Ratio (Current Asset/Current Liability)		2.01	2.21	1.96

LOCAL AGENCY FURTHER INFORMATION

history

The company was incorporated on 3^rd June, 1981 at Bangalore in Karnataka under the name and style of Material Handling Engineers Private Limited having Company Registration Number 4248. The name of the company was changed to present with effect from 19.10.1998.

The company is in trade terms with the following :

Ø Tata Iron and Steel Company, Jamshedpur, Bihar

Ø Rourkela Steel Plant, Rourkela, Orissa

Ø Durgapur Steel Plant, Durgapur, West Bengal

Ø TRF Limited, Jamshedpur, Bihar

Ø Alloy Steel Plant, Durgapur, West Bengal

Ø Engines (India) Limited, New Delhi

Ø Airliquide Engineering (India) Limited, Hyderabad, Andhra Pradesh

Ø M. N. Dastur and Company, Calcutta, West Bengal

Ø Western Coal Fields, Bilaspur, Madhya Pradesh

Ø Hindustan Motors Limited, Chennai, Tamilnadu

Ø Spic Group, Chennai, Tamilnadu

Ø Gas Authority of India Limited, Mumbai

Ø Mecon, Ranchi, Bihar

Ø Mecon Limited, Bangalore, Karnataka

Ø Greaves Limited, Chennai, Tamilnadu

Ø K. E. B., Bangalore, Karnataka

Ø Indomag Steel, Delhi

Ø Hipoten Biochem, Tumkur, Karnataka

Ø Indian Oil Limited, Mumbai

Ø HAL, Bangalore, Karnataka

Ø Bharat Heavy Engineering Limited, Bangalore, Karnataka

Ø ISRO, Bangalore, Karnataka

The company's fixed assets of important value include land, building, plant and machinery, tools, electrical installations, office equipments, furniture and fixtures, ve0hicles, hoists, R and D equipments, etc.

Bankers Charges Report as per Registry

Name of the company	MATERIAL HANDLING ENGINEERS PRIVATE LIMITED
Presented By	A C Heri
1) Date and description of instrument creating the change	10.07.1982 – agreement for overdraft
2) Amount secured by the charge/amount owing on the securities of charge	Rs. 0.150 Million
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	Pledge of supply bills
4) Gist of the terms and conditions and extent and operation of the charge.	Interest @ 15.5 % p.a. 1 ½ Commission P. A. 10 % margin
5) Name and Address and description of the person entitled to the charge.	Vijaya Bank, Bridge Road, Bangalore - 560 001, Karnataka
6) Date and brief description of instrument modifying the charge	02.08.1984 Agreement for overdraft
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.	Increased from Rs. 0.150 Million to Rs. 0.450 Million interest rate reduced from 17.5 % to 16.5 % other conditions remain unaltered.

This form is for	Modification of charge
Charge identification number of the charge to be modified	90194700
Corporate identity number of the company	U72206KA1981PTC004248
Name of the company	ARMSEL MHE PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	# 25, Koramangala Industrial Layout, Hosur Road, Bangalore -560095, Karnataka
Type of charge	Immovable Property Movable Property Floating Charge
Particular of charge holder	Vijaya Bank, Bridge Road, Bangalore - 560 001, Karnataka
Date of instrument Creating the charge	15.02.2007
Amount secured by the charge	Rs. 69.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest WCL at VBPLR with a minimum of 11.75 % p.a. rising of falling therewith on daily products with monthly rests, pre eff rate 11.75 % p.a. penal interest for non compliance of terms of sanction: Max 2 % p.a. over the normal rate. Terms of repayment Working capital facility repayable on demand facility for a period of one year. Margin Raw materials : Semifinished goods / finished goods 25 % CC MISC 15 % DBD 25 % Bank Guarantee 20 % Foreign letter of credit 10 % Extent operation of the charge Exclusive first charge on the assets of the company and to the full extents. Others : Cash credit [Hypothecation] : Rs. 12.500 Millions Bank Guarantee : Rs. 30.00 Millions

WEBSITE DETAIL:

Subject is a provider of lifting solutions with a track record in pioneering, leading and shaping the developments in the lifting industry.

Subject lifting equipment keep production processes up and running around the country, meeting tough end-user demands for increased uptime, reliability, safety, top performance and the lowest possible lifetime costs. They have the right equipment – large and small – to help their customers run their operations very efficiently, whatever the field they are in, from paper, primary metals, mining, ports, and shipyards to power generation, waste management, plastics, defence, automotive manufacturing, and numerous other applications.

Their extensive maintenance network provides them with a valuable source of experience and know-how, and they use this input in further developing their expertise. In particular, they focus on areas such as advanced automation, preventive maintenance, remote monitoring, product design, operator ergonomy and safety, and environmentally sound solutions.

Established in 1974 as Proprietorship concern, Armsel started business in the line of manufacturing Material Handling Equipment in a small way. The Firm followed the natural growth pattern because of commitment to Quality, Delivery and Competitive Price and therefore, has become a reputed and leading supplier of Material Handling Equipments in India. Along with the increase in the business, the company added and merged the manufacturing resources to the optimum required level and became Armsel MHE Private limited in 1981. Over the period, the Company added, diversified and consolidated its operations to align with the business and market requirement and has remained at par with the business trends.

Promoters

The Founder Mr. A.C.Heri a Mechanical Engineer after serving in major industries like M/s. Morris and Brady Engineering Company Ltd, M/s. Chemtex Engineering of India Limited and others in Bombay for initial 8 years of his career, shifted to the City of Bangalore in the year 1974. Started a small-scale industry employing just 5 Technicians in the name of ARMSEL (BANGALORE) offering expert maintenance, repairs and modification services to all major users of EOT Cranes and Hoists around Bangalore. Even though the initial growth was gradual the services rendered by the firm was very well accepted and appreciated by the major industries and the business grew. In the year 1981 the firm got incorporated as a private limited company as - "ARMSEL MHE PVT LTD" and set up a full fledged crane manufacturing plant on a three and half acre industrial plot at Jigani Industrial Area, Bangalore to meet the encouraging demand from major consultants and users like Steel Plants around the Country.

Milestones

1974 The company was founded by Mr. A.C.Heri, as a SSI unit at Koramangala Industrial Estate, in the City of Bangalore . In the beginning years, the company started with activities such as repairs, servicing and modifications of imported cranes and hoists in the material-handling field.

1977 Started manufacturing Wire King model, electric wire rope hoists.

1978 Introduced Single Girder and Double Girder EOT cranes at Bangalore.

1980 Introduced Co-Axial model EPITRANS Hoists with micro speed attachments for general-purpose use.

1981 Introduced Precision Electric Chain Hoists with machined and heat treated load wheel and Grade - 80, lifting chains.
M/s. The copmany (earlier name Material Handling Engineers Private Limited) - A Company specially floated with full fledged facilities for manufacturing heavy duty Cranes, Winches and Pressure Vessels, was incorporated and registered. Mrs. D.M.Heri joined the group as a Director.

1982 Introduced Heavy Duty Goliath Cranes with overhang on both ends, specially designed to work in ports, Granite Plants, Warehouses, Transshipment Centers , etc.

1984 Introduced Jib Cranes of all type, including motorized boom swivel.

1986 Introduced Winches for Steel Plants and General use.

Mr. SUSHIL C. HERI - the eldest son of founder Director Mr. A.C. HERI also joined the group as Executive Director in-charge of manufacturing at the new plant at Jigani.

1990 Introduced Grabs and Tongs mainly for steel plants.

1992 Introduced Wall Mounted Cranes upto a capacity of 5000 Kgs., to service local areas in the bay under the EOT Cranes.

1994 Introduced Hand Chain Hoists (Chain Pulley Blocks) with traveling trolleys and improved version of chain hoists, coded pressure vessels, etc.

1995 Introduced - LPG Industrial Storage and Handling Systems, LPG Industrial Installations and Bottling / Filling Plants.
Bureau of Indian Standards elected Mr. A.C. Heri in the Sectional Committee ME-14 On Cranes, Lifting Chains and Related Equipments for drafting and Modifying BIS standards for lifting equipment.

1997 Continued to improvise, standardize and economize the production to offer total customer satisfaction.

1998 Mr. Preet Heri after completing his Masters Degree in Manufacturing Technology from RMIT, Melbourne joined the company as Technical Director.

1999 The business of M/s. Armsel ( Bangalore ), a proprietary concern was fully taken over by the company Armsel MHE Private Limited, under the same management headed by Managing Director Mr. A.C.Heri.

2000 The entire manufacturing activities were shifted to Jigani Industrial Area, wherein the company developed full fledged manufacturing facilities adding 3 huge crane bays cater to vast manufacturing requirements.

2002 Expanded the facility by constructing the third bay, which has added to their production capacity.

2003 Supplied many numbers of explosion proof cranes suitable for Gas Group IIC to prestigious customer like IOCL, CPCL, GAIL, etc.

2004 Executed a prestigious project of Rail Handling System for SAIL- Bhilai Steel Plant through M/s. Vai Engineering and Automation Limited, Kolkata, the order value was approx. Rs.17.5 Million.

2005 Mr. Preet Heri – Technical Director was inducted as an alternate Committee member of Bureau of Indian Standards in the Sectional Committee ME-14 on Cranes, Lifting Chains and Related Equipments for drafting and modifying BIS standards.

2005 Constructed a new Crane Test Bay for Cranes upto a capacity of 100 Tones with an overall height of 13 Mtrs with length and breadth of 40 X 15 Mtrs and necessary dead load and test/measuring equipment.
Introduced standard cranes with imported SWF Crane Kits into the market executed number of Double Girder and Single Girder Crane orders for machine tool and automotive industries.

Product

• Hand Chain Hoist
• Electric Chain Hoist
• Electric Wire Rope Hoist
• Light Crane System
• Jib Crane
• Semi-Portal Crane
• Canti lever Crane
• Underslung Crane
• Rail Mounted Overhead Crane
• Gantry Crane
• Custom made Cranes and Hoists
• Explosion proof Cranes and Hoists
• Winches
• Crane accessories
• Festoon Systems
• Totally enclosed Power Conductors
• Shrouded Bus Bar System
• Push Button Pendents
• Engery Chain Systems
• Tongs
• Grabs Buckets/Grabs
• Spreader Beams
• Radio Remote Controls

Reference

• Aircraft Manufacturing
• Aluminium Processing Industries
• Atomic Power
• Automotive
• Construction Sites
• Consultants
• Defence
• EPC Contractors
• General Engineering
• Granite Processing
• Machine Tool Industry
• Mining
• Other Industries
• Paper Processing
• Ports
• Power
• Railways
• Refineries
• Ship Building
• Space
• Steel Plants
• Sugar Factories

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.39.33
UK Pound	1	Rs.79.74
Euro	1	Rs.55.74

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	6
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--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		48

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.	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