MIRA INFORM REPORT

Report Date :

02.11.2007

IDENTIFICATION DETAILS

Name :	PARRYWARE ROCA PRIVATE LIMITED
Formerly Known As :	PARRYWARE GLAMOUROOMS PRIVATE LIMITED
Registered Office :	Parrryware Division, Post Box No.12, Dare House, Perry’s Corner, 234, NSC Bose Road, Chennai – 600001, Tamilnadu
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	12.08.1983
Com. Reg. No.:	18 - 010243
CIN No.: [Company Identification No.]	U15421TN1983PTC010243
TAN No.: [Tax Deduction & Collection Account No.]	CHEE03369C
PAN No.: [Permanent Account No.]	AAACE9982E
Legal Form :	Private Limited Liability Company.
Line of Business :	Manufacturer and Exporters of Sanitaryware.

RATING & COMMENTS

MIRA’s Rating :

Aa

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subjects is a well-established and reputed company having fine track. Available information indicated high financial resposibility of the company. Financial position is good. Trade relations are fair. Payments are correct and as per commitments. The company can be considered good for any normal business dealings. It can be regarded as a promising business partner in a medium to long-run.

LOCATIONS

Registered Office :	Parrryware Division, Post Box No.12, Dare House, Perry’s Corner, 234, NSC Bose Road, Chennai – 600001, Tamilnadu
Tel. No.:	91-44-25340251
Fax No.:	91-44-25340034 / 25340858
Email :	nirmalap@parry.murugappa.com
Factory 1 :	No.2, AB Road, Dewas, Madhya Pradesh – 455001
Tel. No.:	91-7272-58851 / 2/ 3/ 4
Fax No.:	91-7272-58471
Factory 2 :	Vellore District, Ranipet – 632 401, Tamilnadu
Tel. No.:	91-4172-222321 / 2/ 3
Fax No.:	91-4172-222811
Factory 3 :	No.223 to 226, Matsya Industries Area, Alwar, Rajasthan
Tel. No.:	91-144-881344 / 881409
Fax No.:	91-144-881352 / 881471
Branches :	Kolkata Chitrakoot Building, Flat No. 6, 8^th Floor, 230 A, AJC Bose Road, Kolkata – 700 020, Tel No.: 91-33-22873480 / 22873556 Mumbai Unit No. 1 C, Laxmi Industrial Estate, New Link Road, Andheri (W), Mumbai – 400053 Tel No.: 91-22-26325014 Fax No. :91-22-56789670 New Delhi Jeevan Deep Building , 10, Sansad Marg, New Delhi – 110001 Tel No.: 91-11-3342733 / 3364820 Fax No.: 91-11-3342580 Secunderabad P.B. No. 1553, 66, Rashtrapathi Road, Secunderabad- 500098 Tel No.: 91-40-7803068 Fax No.:91-40-7803068 Bangalore Akshodaya, no. 259 / 31, 10 th Cross Street, Wilson Garden, Bangalore – 560 027. Tel No.: 91-80-51207140 Fax No.:91-80-22274646 Cochin Indira Gandhi Road, Wellington Island, Cochin – 682003, Tel No. : 91-484-668987 Fax No.: 91-484-666079

DIRECTORS

Name :	Mr.D. kumarswamy
Designation :	Director
Address :	Block No. 1, MF2, Chawali Enclave, anubhav Fountations, 19, Thiruvengatam Street, Kasturiba nagar, Chennai – 600020
Date of Birth/Age :	05.06.1953
Date of Appointment :	25.03.2004
Name :	Mr. Kumbala Umesh Rao
Designation :	Director
Address :	13, Nagendra Nagr, Velacherry Road, Chennai – 600042, Tamilnadu
Date of Birth/Age :	26.01.1935
Date of Appointment :	01.04.1992
Name :	Mr. Swaminathan Rajath
Designation :	Director
Address :	22, Ramachandra, Iyer Street, T Nagar, Chennai – 60017, Tamilnadu
Date of Birth/Age :	14.10.1943
Date of Appointment :	03.11.2003
Name :	Mr. Devala Narayanan
Designation :	Director
Address :	2 /8, 5 th Street, 48, Somasundara Avenue, Sakthi Nagar, Porur, Chennai – 600116, Tamilnadu
Date of Birth/Age :	06.04.1937
Date of Appointment :	03.11.2003
Name :	Mr. N.P. Prabhu
Designation :	Director
Name :	Mr. R.Visweswaran
Designation :	Director
Name :	Mr. Adriano Casemiro Oliveira
Designation :	Alternate Director
Address :	234, NSC Bose Road, Parry’s Corneer, Chennai – 600001, Tamilnadu
Date of Birth/Age :	02.07.1953
Date of Appointment :	10.11.2006
Name :	Mr. Vellayan Arunchalam
Designation :	Director
Address :	No.5, Ambadi Road, Kottupuram, Chennai – 600085, Tamilnadu
Date of Birth/Age :	09.01.1953
Date of Appointment :	23.02.2006
Name :	Mr. kunnawalkam Elayavalli Varadhan
Designation :	Managing Director
Address :	F/2, sri Padman Apartment , No. 18, Baghirathimmal Street, T. Nagar, Chennai – 600617, Tamilnadu
Date of Birth/Age :	25.05.1962
Date of Appointment :	23.02.2006
Name :	Mr. Arun alagappan
Designation :	Chairmen
Name :	Mr. K E Ranganathan
Designation :	Managing Director
Name :	Mr. Emilio Salazar Noguera (Foreigner )
Designation :	Whole time Director
Name :	Mr. Josep Manuel Hermoso Delicado
Designation :	Ddirector
Name :	Mr. Olive R Tramgntina Adrimar (Foreigner )
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Nirmal Prabha
Designation :	Secretary
Address :	Flat C- 2, Loganathan Palace, 17 and 19, Norton 3 rd Street, Mandavali – 600028, TAmilnadu
Date of Birth/Age :	30.04.1967
Date of Appointment :	18.04.2006

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders	No. of Shares
D. kumarswamy	5
G. Jalaja	5
Eid Parry India Limited	1067420
Roca Sanitario S.A.	1067420
Equity Share Breakup	Percentage of Holding
Bodies corporate	100.00
Total	100 %

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporters of Sanitaryware.

GENERAL INFORMATION

Bankers :

State Bank of India Corporate Account Group Branch, 64, Greams Road, Chennai – 600001, Tamilnadu India Bank 31, Rajaji Salai, Chennai – 600001

Banking Relations :	---
Auditors :
Name :	Price Waterhouse represented by Mr. Ramesh Rajan Chartered Accountant
Address :	32, Khader Nawaz khan Road, Chennai – 600006, Tamilnadu
Associates :	Espiem Plastics limited EID Parry India Limited Roca Sanitario, Spain

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
2500000	Equity Share	Rs.10/- Each	Rs.25.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2134840	Equity Share	Rs.10/- Each	21.348 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2007	31.03.2006
SHAREHOLDERS FUNDS
1] Share Capital		21.348	15.000
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		1779.852	0.000
4] (Accumulated Losses)		0.000	(101.463)
NETWORTH		1801.200	(86.463)
LOAN FUNDS
1] Secured Loans		0.000	0.000
2] Unsecured Loans		12.492	101.169
TOTAL BORROWING		12.492	101.169
DEFERRED TAX LIABILITIES		175.872	119.100
TOTAL		1989.564	133.806
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1359.282	718.275
Capital work-in-progress		14.441	293.404
INVESTMENT		84.483	44.483
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	460.687	384.993
	Sundry Debtors	179.737	125.415
	Cash & Bank Balances	161.718	196.031
	Other Current Assets	1.264	1.610
	Loans & Advances	192.918	426.589
Total Current Assets		996.324	1134.638
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	404.152	2037.353
353	Provisions	60.814	19.641
Total Current Liabilities		464.966	2056.994
Net Current Assets		531.358	(922.356)
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		1989.564	133.806

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006
Sales Turnover		2765.646	1116.438
Other Income		32.015	4.060
Total Income		2797.661	1120.498
Profit/(Loss) Before Tax		296.656	12.557
Provision for Taxation		108.216	(95.596)
Profit/(Loss) After Tax		187.784	(108.153)
Imports Value		103.409	1.928
Export Value		58.636	4.338
Expenditures :
	Cost of Goods Sold	1003.286	974.474
	Depreciation & Amortization	89.054	4.801
	Other Expenditure	1406.619	104.571
Total Expenditure		2498.959	1083.846

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006
PAT / Total Income	(%)	6.71	(9.65)
Net Profit Margin (PBT/Sales)	(%)	10.72	1.12
Return on Total Assets (PBT/Total Assets}	(%)	12.59	0.67
Return on Investment (ROI) (PBT/Networth)		0.15	(0.14)
Debt Equity Ratio (Total Liability/Networth)		0.26	(24.96)
Current Ratio (Current Asset/Current Liability)		2.13	0.55

LOCAL AGENCY FURTHER INFORMATION

Form 8

Name of the company	East India Sugars Private Limited
Presented By	Mr. D. Kumaraswamy, Director
1) Date and description of instrument creating the change	28^th March, 2005 i) agreement of hypothecation of movable executed by the company in favour of Indian Bank.(hereafter referred to as The Bank) ii) Agreement for open cash credit (stocks / book Debts) executed by the company in favour of the bank. A certified true copy each of the agreement for open cash credit is enclosed
2) Amount secured by the charge/amount owing on the securities of charge	Cash credit facility of Rs.500.000 millions granted / agreed to be granted from time to time by the bank to the company together with interest, commission, costs, charges, payments, reimbursement and expenses, relating there to and payable by the agreement of hypothecation of movables and agreement of hypothecation of stocks and book debts dated the 28^th march 2005 between the company on one part and the bank on the other part.
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	Pari passu first charge by way of : a) hypothecation of goods, produce and merchandise which have been stored in the premises at 138, keel arungunam road, Nellikuppam – 607105, Cuddalore district or wherever stored from time to time and the goods which shall hereafter be stored in the said premises in addition to the goods now stored, by way of substitution or for and in lieu of any goods which may from time to time have been withdrawn and the whole of the borrowers stock whether raw or in the process of manufacturer and all articles manufactured there from which now or hereafter fro time to time, during the continuance of this security shall be brought into, stored or be in or about the borrower’s godowns or premises. b) hypothecation of book debts, outstanding monies, recoverable claims, bills, contracts, engagements, securities, investments, rights and assets
4) Gist of the terms and conditions and extent and operation of the charge.	a) The charge operates as security, inter alia, for the due repayment by the company to the bank of it’s cash credit facility of Rs.500.000 millions together with interest, commission, costs, charges and expenses, relating thereto and payable by the company to the bank in terms of the agreement of hypothecation of movables and agreement of hypothecation of stocks and book debts dated 28^th march, 2005. b) The bank shall charge and debit the open cash credit account of the company (Stocks / book Debts ) with interest at the rate of 3.75 % per annum below banks prime lending rate plus interest tax with a minimum of 7.25 % per annum plus interest with quaterly rests. c) The company shall on demand pay to the bank the outstanding owing t\o the bank in respect of the open cash credit (Stocks/book debts) inclusive of interest, commission, costs, charges and expenses. d) The company shall during the continuance of the agreement keep bank fully informed of the place or places where the goods are stored e) The company shall maintain a register of goods, produce, merchandise, stock, book debts and other similar assets hypothecated as security as aforesaid and all times open to the inspection of the bank. f) The hypothecated goods / produce / merchandise and / or other movables shall at all times during the currency of the security and so long as any money shall remain due and owing under the open cash credit (stocks/book debts) be maintained in good and proper condition and insured and kept insured against fire and such other risks as may be required by the bank. g) Bank and its agents without notice and at the expenses in all respects of the company to enter at any time into or upon the officer, godowns, jaithas and other premises of the company or places of storage of any of the hypothecated assets for the purpose of inspection and of checking the hypothecation assets and taking account and inspection of books of account of the company. h) The company if required by the bank cause the boards with the name of the bank legibly and distinctly printed or written placed and at all times maintained in a conspicuous portion at the factory / godown/ shop and / or other premises of the company. I) The Company shall not remove dismantle any of the movable or other hypothecated assets without the consent in writing of the bank. j) The company agrees to maintain a margin of 25 % on book dents and 25 % on inventory during the continuance of the security. K) The Bank shall not be in any way liable or responsible for any loss, damage or depreciation which the hypothecated assets may suffe or sustain while the same are in the possession of the bank.
5) Name and Address and description of the person entitled to the charge.	India Bank 31, Rajaji Salai, Chennai – 600001
6) Date and brief description of instrument modifying the charge	Not Applicable
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.	Not Applicable

Corporate identity number (CIN) Foreign company registration number	U15421TN1983PTC010243
Name of the Company	PARRYWARE ROCA PRIVATE LIMITED
Address	Parrryware Division, Post Box No.12, Dare House, Perry’s Corner, 234, NSC Bose Road, Chennai – 600001, Tamilnadu
This form is for	Creation of charges
Type of Charge	Book Debts Movable Property
Particulars of the charge holder	State Bank of India Corporate Account Group Branch, 64, Greams Road, Chennai – 600001, Tamilnadu
Nature or description of the instruments creating or modifying the charge	Agreement of hypothecation of goods and movable assets vide deed dated 1^st, February 2007.
Amount secured by the charge	Rs.150.000 millions
Brief of the principal terms and conditions	Rate of Interest – Not Applicable Terms of Repayment - As per the deed of hypothecation attached. Margin – As per the deed of hypothecation attached. Extent and operation of the charge – As per the deed of hypothecation attached
Short particular of the property charged	All present and future goods, book –debts and all other current assets of the company including document of title to goods, outstanding moneys, receivable etc., are hypothecated to the bank by way of first charge.

Attached Web Details

The Company is a 50:50 joint venture between EID Parry and Roca Sanitario. Headquartered in Chennai, India, Parryware Roca has under its fold the entire range of products that include vitreous sanitaryware, seat covers, plastic cisterns, bath tubs, kitchen sinks, electronic flushing systems and an imported range of bathroom products. Parryware is the first and only sanitaryware manufacturer in India to be conferred ‘Superbrand of India’ status. From being a sanitaryware brand, Parryware is transforming itself into a total bathroom solutions provider.

Roca is a leading player in the world in the business of the bathroom ceramics. ROCA has a commercial presence in more than 120 countries with a Group turnover amounting to approximately Euro 1.7 billion (Rs 8500 crores). ROCA is ranked World No.1 in the sanitaryware market.

Roca has been ranked world No 1 and Parryware Roca ranked No. 10 in the world in the sanitaryware industry by Ceramics World in 2007.

Since its inception, Parryware has risen to become the biggest and most respected Sanitaryware brand in the country. The company is part of the illustrious Murugappa group, one of India’s most renowned business conglomerates.

In 1990, Parryware took the industry to new heights with the ‘glamourooms’ concept. It has since brought out other leading – edge concepts like Stainzfree, Dual Flush and Anti-microbial surfaces. Its consistent path breaking efforts were rewarded, as the company was conferred the prestigious “Superbrand” Status.

Apart from being the leading sanitaryware brand in India, Parryware also has significant presence in South Africa, Sri Lanka and the Middle East among other countries.

With clear focus of the now and a strong sense of tomorrow, Parryware continues to dominate the industry and maintain the status as the premier bathroom solutions brand

The intrinsic brand values of Parryware continue to symbolize innovation, quality, service and experience.

The promise of Innovation - Over 100 Parryware Glamourooms can be created with the impressive range of product combinations from Parryware. Thus Parryware continues in its journey of promising customers unique customized innovative bathroom solutions.

The promise of Quality – Parryware gives to its customers products of Superfine unmatched quality

The promise of Service – the integrated after sale service through dedicated Customer Care Centers provides customer brand reassurance

The promise of experience – Parryware provides consistent unique experience through the experience centers across the country.

Press Release

Parryware presents Minimalistic solutions for your Glamouroom !

Chennai: 8 June, 2007:

Keeping in mind the recent trends of minimalistic and space saving designs, Parryware Roca Private Limited, the No 1 Bathroom Solutions provider, is proud to present two new Walvit Pans in its imported designer range.

Kent and Oxon Walvit Pans are uniquely shaped and use the water saving 6/3 Dual Flushing technology. The Walvit Pans are a perfect fit with Parryware Concealed Cisterns and are available with push plates in 3 colours – White, Ivory and Chrome Glossy.

The sleek Walvit pans when used with Parryware’s collection of imported designer bowls are bound to make your Glamourooms jaw dropping.

Parryware is the only bathroom solutions provider to offer service solutions through its Customer Care Centres. Our service centres have a 24x7 hotline to take care of all your Glamouroom needs.

Vijay Shanthi builders signs MoU with Roca

Promise to provide Chennai the best of bathrooms…

Chennai, June 15, 2007

Vijay Shanthi Builders, the Premium Builders from Chennai signs a Memorandum of Understanding with Parryware Roca Private Limited, the NO 1 bathroom solutions provider in India, to provide world class bathrooms in all their latest upcoming projects across the city. All the new and latest Vijay Shanthi projects will now house for the first time, unmatched quality, international designs and state-of-the-art product offerings from both Roca and Parryware.

Speaking to the media, Mr. K. E. Ranganathan, Managing Director, Parryware Roca Private Limited said, ““Chennai has witnessed a dramatic transformation in people’s lifestyle. Today people want the best in their dream homes. To fulfill this dream, Parryware brings home the world renowned Roca brand to Indian consumers. Roca reflects the contemporary European designs crafted by world class designers like David Chipperfield, Ramon Benedito etc.”

Mr. Ranganathan, continues,” Partnering with Vijayshanthi Builders who are synonymous with style, luxury and quality, we believe that we can bring to every Vijay Shanthi home in Chennai international Roca products with assured service back up from the trusted Parryware brand. Vijay Shanthi Builders have over the last two decades played a constructive role in building homes in the city. We are indeed privileged to work together with them and reinforce our commitment to provide the best and “wow” bathroom products to all our discerning customers in Chennai.”

Speaking at the meet, Mr. Naresh Jain, Director, Vijay Shanthi Builders Limited, said, “For over two decades we have strived to build better homes in Chennai. In our endevour to build dreams into reality, we believe in providing our customers the best products and services. When we looked around for latest in bathroom products we were delighted by the offerings of Roca, the world’s No 1. We are even more delighted to know that Roca is brought to us by Parryware, the most trusted name in India.

Mr. Naresh Jain, further added, “With Roca products in their bathrooms our customers can enjoy luxury in the best form. Being the most trusted brand in India, our tie up with Parryware Roca Private Limited will ensure that every Vijay Shanthi customer will have in their homes world class Roca designer products that enhance their standard of living.”

Says Mr. Emilio Salazar, Deputy Managing Director, Parryware Roca Private Limited, “In our commitment to grow the Indian market, we believe that Indian consumers need to experience the Roca brand. Through this MoU with a trusted builder like Vijay Shanthi Builders, we are indeed reinforcing the connect with more Indian houses who will now experience Roca.”

The largest Parryware Showroom in Chennai

Showroom to enhance ‘customer experience’

Chennai, July 04, 2007

A 3500 square feet showroom with an impressive long list of clientele, running to 30,000 customers, Standard Sanitation, Adyar is the largest Parryware showroom in Tamil Nadu. Committed to providing customer delight, this new look Parryware showroom, has re-created itself with a “new” look and feel. This ‘new look’ showroom was inaugurated by Arun Alagappan, Director, Parryware Roca Private Limited.

The showroom showcases premium bathroom products from Parryware, the No 1 bathroom solutions provider in India. Customers can find their favorite Parryware taps& fittings, vitreous sanitaryware, anti microbial seat covers and electronic flushing systems, among other bathroom products from their most trusted brand.

At the inaugural, Arun Alagappan, Director, Parryware Roca Private Limited said, “Today customers not merely buy products or services, they buy experiences. As a market leader it is our responsibility to provide customers a unique Parryware experience. Standard Sanitation has continuously evolved with changing customer preferences and is today one among the best Parryware showrooms in India. Together with Standard Sanitation, we endevour to bring Parryware closer to our customers and into their house holds. ”

At the function, R. Ramesh, Vice President Sales and Marketing, Parryware Roca Private Limited, said, “Product, service, innovation and experience are the four pillars on which Parryware has been built over the years. Our Parryware customers are special to us. To ensure customer delight we work effortlessly with all our dealer partners in building showrooms that are benchmarks in the industry. With Standard Sanitation, I feel proud that we have one such showroom in our home town. We have 200 such similar Parryware showrooms across the country.”

Currently, Parryware has a strong dealer network of 1000 dealers and 5000 retailers across the country.

Says Mr. Rahim Khan, Standard Sanitation, “Our association with Parryware dates back to 1950’s. We have grown together with this brand. Parryware is the market leader and is a well renowned name in the sanitaryware market. The secret of their success lies in their focus on working closely with dealer partners. With their ability to meet the ever changing customer requirements, I am confident that this showroom will enhance ‘customer experience’ in their choice of bathroom products”

Parryware International

Parryware, a leading player in the Indian markets and the first in the country to get the ISO 9001 certification has emerged as a major force to reckon with in international markets like UK, Sri Lanka, the Middle East and Africa

Parryware has constantly striven to produce world-classs products. Be it Stig Arisson's Swedish design for Cascade or the modern yet affordable Kalahari range. Parryware's products designed to international standards have always been trailblazers in the field of sanitaryware.

The collaboration with M/s Doulton Research Ltd. UK in 1960 resulting in the production of vitreous China Sanitaryware conforming to British Standards, won its ISI certification in 1966.

The Kalahari range designed according to international standards and has been approved by the South African Bureau of Standas (SABS). Parryware's Olympus range has been designed according to British Standards. In addition Parryware was the winner of the Capxill's certificate of merit in two consecutive years: 2000-2001 and 2001-2002. Parryware's stringent quality measures and rigorous testing have constantly placed its products on par with international standards.

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.39.37
UK Pound	1	Rs.81.82
Euro	1	Rs.56.83

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	8
OPERATING SCALE	1~10	8
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	8
--CREDIT LINES	1~10	8
--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		72

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

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