MIRA INFORM REPORT

Report Date :

17.09.2007

IDENTIFICATION DETAILS

Name :	FLEXITUFF INTERNATIONAL LIMITED

Formerly Known As :	Navishka Packaging Private Limited

Registered Office :	2^nd Floor of Main Building, 19 R N Mukherjee Road, Kolkata 700 001, West Bengal

Country :	India

Financials (as on) :	31.03.2007

Date of Incorporation :	08.04.1993

Com. Reg. No.:	10 -7621

CIN No.: [Company Identification No.]	U25202WB1993PLC111382

IEC No.:	1194001645

TAN No.: [Tax Deduction & Collection Account No.]	BPLF00116F

PAN No.: [Permanent Account No.]	AAACN5986H

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Manufacturer and Marketer of HDPE/PP, Woven Sacks/ FIBC (Jumbo Bags).

RATING & COMMENTS

MIRA’s Rating :

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 1673496

Status :	Good

Payment Behaviour :	Regular

Litigation :	Clear

Comments :	Subject is a well-established and reputed company having fine 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. The company can be regarded as promising business partner in a medium to long run.

LOCATIONS

Registered Office :	2^nd Floor of Main Building, 19 R N Mukherjee Road, Kolkata 700 001, West Bengal, India
Mobile No.:	91-9329841411
E-Mail :	mail@flexituff.com
Website :	www.flexituff.com

Corporate Office :	C 41 – 50, Sez, Sector – 3, Pithampur 454 775, District : Dhar, Madhya Pradesh, India
Tel. No.:	91-7292-391226 / 401681 / 82 / 83 / 91-7292-501682
Mobile No:	91-9302105021
Fax No.:	91-7292-401684 / 91-7292-501684
E-Mail :	ashish@flexituff.com mail@flexituff.com
Websites:	http://www.flexituff.com
Area:	572000 sq.fts
Location:	Leased

Factory 1 :	11, South Tukogari Main Road, Indore, Madhya Pradesh, India
Tel. No.:	91-7292-253173
Fax No.:	91-7292-527770

Factory 2 :	3A, Garstin Place, 5^th Floor, Kolkata 700 001, West Bengal, India
E-Mail :	mail@flexituff.com

Factory 3 :	94, Industrial Areas, Sector-1, Pithampur, Madhya Pradesh, India
Tel. No.:	91-7292-253173/74/75 / 391500
Fax No.:	91-7292-253380 / 401694
E-Mail :	mail@flexituff.com
Area:	117000 sq.fts
Location:	Leased

Factory 4 :	C 41 – 50, Sez, Sector – 3, Pithampur 454 775, District : Dhar, Madhya Pradesh, India
Tel. No.:	91-7292-401681 -83
Fax No.:	91-7292401684
E-Mail:	mail@flexituff.com
Area:	572000 sq.fts

DIRECTORS

Name :	Mr. Manish Kalani
Designation :	Managing Director
Address :	571, Suniket Shrinagar, Ext. Khajrana Road, Indore 452 001, Madhya Pradesh, India
Date of Birth/Age :	08.10.1968
Qualification :	MBA
Experience :	18 Years
Date of Appointment :	12.09.2002

Name :	Mr. Pawan Kumar Jain
Designation :	Director
Address :	62, Shikehak Nagar, Aerodram Road, Indore, Madhya Pradesh, India
Qualification :	M.Com
Experience :	28 Years
Date of Birth/Age :	07.06.1957
Date of Appointment :	14.01.2002

Name :	Mr. K B Kucheria
Designation :	Director
Address :	86, Paliwal Nagar, Indore 452 001, Madhya Pradesh, India
Date of Birth/Age :	17.02.2004
Date of Appointment :	20.03.2004

Name :	Mr. Adheshwar C Jain
Designation :	Director
Address :	11 / 12, Ashish Apartment, 10, Rajgarh Kothi, Geeta Bhawan Road, Indore, Madhya Pradesh, India
Date of Appointment :	25.03.2003

Name :	Mr. Kevan John Upperdine
Designation :	Additional Director
Address :	48, Wood Walk, Wombwell, England, S73 0NF, Barnsley 73, Yokshire, United Kingdom
Qualification:	Mechanical Engineer
Experience:	25 Years
Date of Birth/Age :	20.08.1959
Date of Appointment :	18.11.2006

Name :	Mr. Narendra Malviya
Designation :	Director
Address :	CM 35, Sukhlia, Indore, Madhya Pradesh, India
Date of Appointment :	17^th November, 2001

Name :	Mr. Mahesh Sharma
Designation :	Directors
Address :	128, Shiksha Extension, Indore, Madhya Pradesh, India
Date of Birth:	47 Years
Qualification :	MBA
Experience :	25 Years
Date of Appointment :	17^th November, 2001

Name :	Mr. Ravindra Kumar Chourasia
Designation :	Director

Name :	Mr. Ajay Mundra
Designation :	Director
Address :	H -92, Nalanda Complex, K S .Road, Industrial
Date of Birth:	52 years
Qualification :	FCA
Experience :	27 Years

Name :	Mr. Ravi Chaurasiya
Designation :	Director
Address :	101, Amar Tower, Vijaynagar, Indore
Date of Birth:	40 Years
Qualification :	FCA
Experience :	15 Years

Name :	Mr. Sunil Bhargava
Designation :	Director
Address :	1, College Road, Bani Park, Jaipur, India
Date of Birth:	52 Years
Qualification :	FCA
Experience :	28 Years

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Names of Shareholders		No. of Shares
Mr. Padma Kalani		3000
Mr. Manisha Kalani		2000
Kalani Industries Limited		522000
Hindustan Continental Limited		8000
Shresth Leasing And Finance Limited		20000
Navkar Abhikaran		5000
Himgiri Dyanamics Limited		55000
Optimates Textile Industries Limited		12000
Bindal Fertilizers Private Limited		10000
R C G Finance Private Limited		25000
Rapid Commercial And Finlease Private Limited		15000
Leopard Highnet Limited		5000
Mc Sure Capital Market Limited		20000
Agrawal Road Carrier Limited		1000
Bhoomi Agro Overseas Private Limited		20000
Indo Capitive Marketing Limited		10000
Mahaveer Agro Products		500
Measure Capital Market Limited		3500
Money Penny Fincom Limited		214000
Peony Investmen		113000
Sagittarius Securities		122000
Shreevar Overseas Limited		25000
Lyton Management Services Limited		30000
Neema Abhikaran Limited		5000
Sanovi Trading Private Limited		246500
Anshuman Properties Private Limited		247500
Olive Commercial Company Limited		65000
High Sky Properties Private Limited		238000
Saurabh Properties Private Limited		334350
Sunrise Properties Private Limited		114500
Seven Star Properties Private Limited		250650
Miscellani Global Private Limited		320400
Dumet Wire India Private Limited		171000
Sorley Holdings Limited		98376

Equity share breakup (percentage of total equity)

S. No.	Category	Percentage
1	Bodies corporate (not mentioned above)	99.75
2	Directors ore relatives of directors	0.25
	Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Marketer of HDPE/PP, Woven Sacks/ FIBC (Jumbo Bags).

Exports :
Products :	HDPE/PP Woven Sacks/Jumbo Bags /FIBCS
Countries :	USA, UK , Europe, Israel, Australia

Terms :
Selling :	L/C, Cash, Credit (30 Days – 120 Days)

Purchasing :	L/C, Cash (60 Days)

PRODUCTION STATUS

Particulars	Installed Capacity	Actual Production
2006-07	13000 MTs	14400 MTs
2005-06	13000 MTs	12316 MTs
2004-05	13000 MTs	11224 MTs

Production (including job work done for others): 11224.355 MT (7589.129 MT)

GENERAL INFORMATION

Customers:

Wholesalers, End Users

No. of Employees :

4338 ( 153 in Office, 4185 in Factory)

Bankers :

Ø State Bank of Indore

Ø Central Bank of India, Khelprasad

Ø PNB Siyaram, Indore

Ø State Bank of Bikaner and Jaipur, India

Facilities :

SECURED LOAN	As on 31.03.2005	Rs. In Millions
CASH CREDIT LOAN
State Bank of Indore I F Branch, Indore
-Cash Credit Loan	6.728	0.000
-Export Packing Credit	31.600	0.000
Add: Interest Accrued and Due	0.167	38.496
Central Bank of Indore, Siyaganj, Indore	0.000	0.000
-Export Bill Discounted	0.000	0.000
-Book Debts	1.200	0.000
-Cash Credit Loan	8.543	0.000
Add: Interest Accrued and Due	0.014	9.757
Punjab National Bank, Siyaganj, CC Loan	14.318	0.000
Add: Interest Accrued and Due	0.000	14.318
State bank of Bikaner and Jaipur, M Mohalla, Indore	0.000	0.000
-Cash Credit Loan	4.861	0.000
-Export Packing Credit	7.043	0.000
Add: Interest Accrued and Due	0.000	11.904
TERM LOANS
Form Central Bank of India, Siyaganj	18.323	0.000
Add: Interest Accrued and Due	0.205	18.528
From State Bank of Indore, IFB, Indor	40.436	0.000
Add: Interest Accrued and Due	0.074	40.510
From Punjab National Bank, Indore	40.596	0.000
Add: Interest Accrued and Due	0.253	40.850
From SB of Bikaner and Jaipur, Indore	46.000	0.000
Add: Interest Accrued And Due	0.000	46.000
Total	145.887	220.362

SECURED LOAN	As on 31.03.2005	Rs. In Millions
From M P A K V N (Indore) Limited (Against Allotment of Land)	14.724	0.000
Add: Interest Accrued and Due	0.126	14.850
Total		14.850


Banking Relations :	Satisfactory

Auditors :
Name :	L K Maheshwari and Company Chartered Accountants
Address :	324 – 325, Starlit Tower, 29, Y N Road, Indore 452 003, Madhya Pradesh, India
Tel No:	91-731-2436951
E-Mail:	lkm.indore@rediffmail.com

Associates/Subsidiaries	· Kalani Industries Limited Address: Treasure Island, 5^th Floor, 11, Tukoganj Main Road, Indore – 452 014, Madhya Pradesh, India Activity: Asbestos Cement Pressure Pipes and Wind mills · EWDPL (India) Private Limited Address: Treasure Island, 6^th Floor, 11, Tukoganj Main Road, Indore – 452 014, Madhya Pradesh, India Activity: Shoppinig Malls and Mulktiplexes · UCO Bank , Punjab National Bank, State Bank of Indore, Central Bank of India Lead Bank Mid Corporate Branch, Industrial Finance B, Mid Corporate Branch Address :Tilak Nagar, Siyaganj, Khel Prashal, Siyaganj, Indore Credit Limit: Fund Based Rs. 275.000 milli8ons, Non Fund Based Rs. 216.500 millions

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
15000000	Equity shares	Rs. 10/- each	Rs. 150.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2697900	Equity shares	Rs. 10/- each	Rs. 26.979 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		26.979	19.895	19.895
2] Share Application Money		0.000	30.000	0.000
3] Reserves & Surplus		391.395	252.509	208.564
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		418.374	302.404	228.459
LOAN FUNDS
1] Secured Loans		413.590	224.375	220.362
2] Unsecured Loans		5.000	9.897	14.850
TOTAL BORROWING		418.590	234.272	235.212
DEFERRED TAX LIABILITIES		51.303	31.545	29.990

TOTAL		888.267	568.221	492.661

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		711.930	389.209	321.665
Capital work-in-progress		17.577	0.000	0.000

INVESTMENT		0.000	0.440	0.440
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	199.651	118.628	159.258
	Sundry Debtors	180.775	154.456	108.277
	Cash & Bank Balances	23.556	15.777	11.634
	Other Current Assets	91.490	0.000	0.000
	Loans & Advances	0.000	73.490	67.900
Total Current Assets		495.472	362.351	347.069
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	330.408	182.202	174.666
	Provisions	6.304	1.628	0.948
Total Current Liabilities		336.712	183.830	175.614
Net Current Assets		158.760	178.521	171.455

MISCELLANEOUS EXPENSES		0.000	0.051	0.101

TOTAL		888.267	568.221	492.661

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005

Sales Turnover		1614.121	1229.059	1073.232
Other Income		5.659	4.198	2.485
Total Income		1619.780	1233.257	1076.717

Profit/(Loss) Before Tax		104.703	50.113	35.610
Provision for Taxation		22.644	2.764	20.321
Profit/(Loss) After Tax		82.059	47.349	15.289

Earnings in Foreign Currency :
Total Earnings		1342.497	954.287	725.617

Imports :
Raw Materials		121.420	109.513	90.535
Capitals Goods		142.371	10.732
Total Imports		263.791	120.245	90.535

Expenditures :
	Cost of Goods	1507.661	1098.772	0.000
	Selling expenses	0.000	0.000	0.000
	Manufacturing Expenses	263.731	202.620	0.000
	Administrative Expenses	20.276	16.864	0.000
	Raw Material Consumed	0.000	653.494	684.405
	Purchases made for re-sale	0.000	0.000	21.840
	Consumption of stores and spares parts	0.000	74.009	61.945
	Increase/(Decrease) in Finished Goods	0.000	21.883	(41.456)
	Salaries, Wages, Bonus, etc.	0.000	16.528	10.673
	Managerial Remuneration	0.000	0.180	0.180
	Payment to Auditors	0.000	0.019	0.017
	Interest	55.820	44.718	20.173
	Insurance Expenses	0.000	3.282	2.732
	Power & Fuel	0.000	53.894	55.861
	Depreciation & Amortization	22.393	17.720	11.343
	Other Expenditure	20.276	16.864	213.392
Total Expenditure		1890.157	1183.143	1183.144

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	5.06	3.91	1.41

Net Profit Margin (PBT/Sales)	(%)	6.48	4.07	1.42

Return on Total Assets (PBT/Total Assets}	(%)	8.54	6.66	5.32

Return on Investment (ROI) (PBT/Networth)		0.25	0.16	0.15

Debt Equity Ratio (Total Liability/Networth)		1.80	3.382	1.79

Current Ratio (Current Asset/Current Liability)		1.47	1.97	1.97

LOCAL AGENCY FURTHER INFORMATION

History:

Subject was incorporated on 8^th April, 1993 at Indore in Madhya Pradesh having Company Registration Number 10-14561.

Subject was incorporated as a Naviska Packing Private Limited and changed to the Gilt Pack International with effect from 4^th June, 2001.

Again subject was changed its name to Naviska Packaging Private Limited as on 21^st December, 2002.

Subject again changed its name from to Naviska Packaging Private Limited to the present with effect from 16^th April, 2003

Fixed Assets:

Ø Land

Ø Factory

Ø Plant And Machinery

Ø Electric Installation

Ø Furniture And Fixture

Ø Office Equipments

Ø Vehicles

Ø Computer

Review of Operations:

During the year under review, the company has performed well and has reported improvement in overall performance compared to last year in spite of competitive market conditions.

The company continued its focus in developing a robust export market and has achieved 14% increase in its turnover form Rs. 1074.200 millions in the previous year to Rs. 1229.100 millions during the under review. The profit before deprecation has also gone up from 46.954 millions in the previous year to Rs. 67.833 millions

The profit would have been higher but for steep fluctuation in dollar rupee account which resulted in loss of profit on account of exchange rate fluctuation. The raw material prices also showed an unusual upward trend on account of historical rise in the crude prices. This also resulted in pressure on profits as the entire raw material increase could not be passed onto the buyers.

Net profit after depreciation and provision for tax stood at Rs. 48.455 millions the directors are happy to report that the demand for the product is good and awe have a healthy order booking position.

Exports:

The company was recognized, as the highest exporter in the category of products from “PLEXCONCIL” for three consecutive years from 2001 – 02 to 2003 – 04. Subject is only company in India to get AIB (American Institutes of Backer) certification from USA. Furthermore it is the only Indian company to have been awarded the BRC (British Retail Consortium) Certification from UK and Europe. The above certificates make their company eligible for direct food contract packaging.

Expansion:

They are pleased o informs that the demand for the products of the company is continuously growing and the products are being well received in the market. In spite of constant expansion of production, there is still a pressure on the production facilities on account of robust demand.

The directors are pleased to inform that a new market has been identified in the UK for single loop bags specifically meant for the fertilizer industry of Europe. In this connection, the company is planning to make a strategic alliance with a company in the UK for purchase of approximately 2000 MT of single loop bags annually.

Furthermore their buyers in the USA have expressed interest in shifting part of their Mexican production of 4-loop bags to their Company Secretary the present production capacity and the machinery in the company are not sufficient to meet this new demand hence it’s being planned that in the year 2005-06 the company will have to undertake expansion of its production facility at SEZ by approximately 5000 MT p. a.

To finance this expansion of approximately Rs. 300.000 millions it’s proposed that equity of the company will be increased and further debt will be raised from financial institutions.

Future Plan of Action

The company is further engaged in devising measure for further improvements in the quality of the bags and the product range of the bags.

Corporation identity number or foreign company registrations number of the company	U25202WB1993PLC111382
Name of the company	FLEXITUFF INTERNATIONAL LIMITED
Address	2^nd Floor of Main Building, 19 R N Mukherjee Road, Kolkata 700 001, West Bengal, India
This Form is for	Creation of charge
Type of Charges	Movable property (not being pledge)
Particular of the charge holder	Punjab National Bank Siyaganj Branch, M G Road, Indore 452 001, Madhya Pradesh, India pnbmcdindr@dataone.in
Nature or description of the instrument creating charge	Hypothecation on assets to secure term loans
Date of the instrument creating charge	22.11.2006
Amount Secure by the charge	Rs. 38.400 millions
Brief of the principal terms and conditions and extent and operation of the charge	a) Rate of Interest: BPLR + 2% + 0.50% term premia – 2.75% i. e. presently prevailing 11.25% p. a. penal interest shall be 2% p. a. interest to be recovered as and when charged to the account b) Term of Repayment Term loan is repayable in quarterly installments as per following schedule. First 14 installments of Rs. 2.150 millions each next of Rs. 1.625 millions next of Rs. 1.491 millions next of Rs. 1.062 millions and last of Rs. 1.074 millions or entire outstanding in term loan account whichever is higher. c) Margin: Margin is 25% d) Extent and operation of the charge The term loan will extent on all assets and movable properties brought in stored in or to be in or about the premises or godown situated at C – 41 – 50, SEZ Sector 3, Pithampur, Dist. Dhar (M P)
Particulars of the Property charged	First pari passu hypothecation charge on the plant and machinery of the company situated at C-41 – 50, SEZ Sector – 3, Pithampur, Dist. Dhar (M P)

As per web details:

Commitment first person, singular

Team of subject is committed to serving all the FIBC requirements. The commitment stems less from the mammoth manufacturing facilities they possess and more from their 2000 strong work force. Nothing defines subject better than its people. Young in outlook and rich in experience, Team subject strives for total customer satisfaction, continuous improvement in quality and delivering ever larger value to its buyers.

Despite the over arching team spirit that prevails at subject, they believe, commitment to customers begins with the individual. Although, their 2000 member team works like a well greased machine, it is the individuals - the cogs, who fuel its driving commitment to quality and responsiveness.

100% customer orientation has helped subject gain wide global market share. A fact, acknowledged by the Govt. of India with this highest FIBC exporters award, for last 6 years in a row.

Awards, citations, growing volumes, expanding product range and satisfied customers are achievements they now take in their stride. But nothing fails to tickle them more than the idea of impossibility.

Throw them a challenge and you have them hooked.

Team subject nurtures its hunger to hit the ball out of the park. They like to be known as partners who can rise to the moment, who can be counted upon to meet a crisis head on

Product Range

Subject manufactures one of the widest range of FIBCs in the world. Whatever be the packaging and bulk transportation requirement, you will find a suitable product in their comprehensive range. Moreover, with their in house Design & Development Center, any packaging requirement can be aptly developed, tested and offered as sample very quickly. Some of the standard designs at subject are as under:

Ø FIBCs (coated/uncoated)

Ø Form Stable Baffle Bags

Ø Form Fitted Liner Bags

Ø Glued Liner bags

Ø Conductive Type C Bags

Ø Dissipative Type D Bags

Ø Type C +D Bags

Ø Sling Bags

Ø Drum Bags

Ø Asbestos bags

Ø Container Liner Bags

Ø Food Grade Bags

Ø Tunnel Lift Bags

Ø Builder Bags

Ø PP / Paper Sandwich Bags

Ø Sand Bags

Ø BOPP Printed Bags

Ø Garden Waste Bags

Ø Carry Bags

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.40.50
UK Pound	1	Rs.81.72
Euro	1	Rs.56.09

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	8
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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		66

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

MIRA INFORM REPORT

199.651

118.628

180.775

154.456

23.556

15.777

91.490

0.000

0.000

73.490

495.472

330.408

182.202

6.304

1.628

336.712

158.760

5.06

3.91

6.48

4.07

8.54

6.66

0.25

0.16

1.80

3.382

1.47

1.97

Unit