MIRA INFORM REPORT

Report Date :

24.06.2008

IDENTIFICATION DETAILS

Name :	MOSER BAER PHOTO VOLTAIC LIMITED
Registered Office :	43-B, Okhla Industrial Estate, New Delhi-110020
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	07.12.2005
Com. Reg. No.:	55-143431
CIN No.: [Company Identification No.]	U40106DL2005PLC143431
TAN No.: [Tax Deduction & Collection Account No.]	DELM12892F
PAN No.: [Permanent Account No.]	AAECM4997P
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Manufacturers of Photovoltaic Cells, Modules and Systems.

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
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 7400000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a new company of Moser Baer India Limited, a company having established fine track. Trade relations are fair. Payments are usually correct and as per commitments. The company can be considered for normal business dealings at usual trade terms and conditions on merits.

INFORMATION PARTED BY

Name :	Mr. Satish Gupta
Designation :	Finance Manager
Contact No.:	91-9810068332
Date :	23.06.2008

LOCATIONS

Registered Office :	43-B, Okhla Industrial Estate, New Delhi-110020, India
Tel. No.:	91-11-41635201-07/ 26911570-74
Fax No.:	91-11-41635211/ 26911860
E-Mail :	shares@moserbaer.net, pvinfo@moserbaer.in, satishgupta@maserbaer.net
Website :	http://www.moserbaerpv.in
Area :	Leased
Corporate Office/ Factory :	66, Udyog Vihar, Greater Noida-201306, Uttar Pradesh, India
Tel. No.:	91-120-4386000
Fax No.:	91-120-2569416

DIRECTORS

Name :	Mr. Deepak Puri
Designation :	Director
Name :	Mr. Rahul Puri
Designation :	Director
Name :	Mr. Harman Dasswahi
Designation :	Director
Name :	Mr. Rajesh Khanna
Designation :	Nominee Director
Address :	Haweli, 1^st Floor, Flat No.1, 19, L D Ruparel Marg, Nepean Sea Road, Malabar Hill, Mumbai-400006, Maharashtra, India
Date of Birth/Age :	24.12.1965
Date of Appointment :	24.01.2006
Other directorships :	Ø Max India Limited L24223PB1988PLc008031 Ø Nicholas Piramal India Limited U24110MH1947PTC005719 Ø Moser Baer India Limited L51909SL1983PLC015418 Ø Max New York Life Insurance Company Limited L74899SL2000PLC106723 Ø Max Healthcare Institute Limited L72200SL2001PLX111313 Ø Wargurg Pincus India Private Limited U74140MH2004PTC145467
Name :	John Willian Edward Levack
Designation :	Nominee Director
Address :	House C5, Stanley Knoll, 42, Stanley Village Road, Stanley, Hong Kong
Date of Birth/Age :	16.07.1959
Date of Appointment :	24.01.2006
Name :	Mr. Prakash Y Karnik
Designation :	Director
Address :	902, Glen Eagle, G D Ambekar Marg, Parel, Mumbai-400012, Maharashtra
Date of Birth/Age :	28.11.1952
Date of Appointment :	24.01.2006
Name :	Mr. Bernard Gallus
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Rajeev Krishnana
Designation :	Vice President, Business Development
Address :	3317, NW, Teal Place, Corvallis, Oregon-97330
Name :	Mr. Saurabh Mathur
Designation :	Company Secretary
Address :	2C, Block3, Pocket B, Ashok Vihar, Phase III, Delhi-110052
Date of Birth/Age :	24.01.1969
Date of Appointment :	24.01.2006
Name :	Mr. Satish Gupta
Designation :	Finance Manager
Mobile No. :	91-9810068332

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2007

Names of Shareholders	No. of Shares
Moser Baer India Limited	49994
Deepak Puri	1
Ratul Puri	1
Yogesh Mathur	1
Rakesh Govil	1
Vijay Kumar	1
Goutam Samanta	1
Total	50000

Equity Share Breakup (Percentage of Total Equity)

As on 30.09.2007

Category	Percentage
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers of Photovoltaic Cells, Modules and Systems.

Products :

Product Description	ITC Code
Photovoltaic Cells and modules	8541.40

Exports :

Countries :

European Countries

Imports :

Countries :

European Countries

Terms :

Selling :

L/C, Cash and Credit

Purchasing :

L/ C, Cash and Credit

GENERAL INFORMATION

Customers :	OEM’s
No. of Employees :	600
Bankers :	Ø Oriental Bank of Commerce, M-33, M Block Market, Greater Kailash II, New Delhi-110048, India Ø State Bank of India Ø State Bank of Saurashtra Ø Deutsche Bank Ø UCO Bank Ø Indian Overseas Bank Ø Bank of Baroda

Banking Relations :	Satisfactory
Auditors :
Name :	Price Water House and Coopers Chartered Accountant
Address :	Building 8, 7and 8^th Floor, Tower-B, DLF Cyber Centre, Gurgaon-122002, Haryana, India
Associates/Subsidiaries :	Ø Perafly Limited Ø Dalecrest Limited Ø Nicofly Limited Ø Perasoft Limited Ø Crownglobe Limited
Holding Company :	Moser Baer India Limited L51909DL1983PLC015418

CAPITAL STRUCTURE

As on 13.06.2007

Authorised Capital :

No. of Shares	Type	Value	Amount
30000000	Equity Shares	Rs. 10/- each	Rs. 300.000 Millions
220000000	Preference Shares	Rs. 100/- each	Rs. 2200.000 Millions
	Total		Rs. 2500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
28500000	Equity Shares	Rs. 10/- each	Rs. 285.000 Millions
13840000	Preference Shares	Rs. 10/- each	Rs. 1384.200 Millions
	Total		Rs. 1669.200 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		1669.200	260.500
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		[175.929]	(22.886)
NETWORTH		1493.271	237.614
LOAN FUNDS
1] Secured Loans		1139.109	0.000
2] Unsecured Loans		159.025	0.000
TOTAL BORROWING		1298.135	0.000
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		2791.405	237.614
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		9.163	0.000
Capital work-in-progress		1024.274	219.385
INVESTMENT		567.457	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	719.043	0.000
	Sundry Debtors	0.000	0.000
	Cash & Bank Balances	130.019	52.086
	Other Current Assets	3.910	0.019
	Loans & Advances	715.719	0.279
Total Current Assets		1568.691	52.384
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	375.462	34.006
	Provisions	2.718	0.149
Total Current Liabilities		378.180	34.155
Net Current Assets		1190.511	18.229
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		2791.405	237.614

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006
Sales Turnover		0.000	0.000
Other Income		5.607	0.025
Total Income		5.607	0.025
Profit/(Loss) Before Tax		[152.074]	(22.871)
Provision for Taxation		0.970	0.000
Profit/(Loss) After Tax		[153.043]	(22.871)
Expenditures :
	Salaries, Wages, Bonus, etc.	37.506	6.134
	Payment to Auditors	1.411	0.505
	Interest	17.187	0.021
	Insurance Expenses	3.848	0.000
	Depreciation & Amortization	0.919	0.000
	Other Expenditure	96.810	16.234
Total Expenditure		157.681	22.896

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006
PAT / Total Income	(%)	[2729.49]	(91484)
Net Profit Margin (PBT/Sales)	(%)	[2729.49]	(91484)
Return on Total Assets (PBT/Total Assets}	(%)	[9.63]	(43.66)
Return on Investment (ROI) (PBT/Networth)		[0.10]	(0.10)
Debt Equity Ratio (Total Liability/Networth)		1.12	0.14
Current Ratio (Current Asset/Current Liability)		4.14	1.53

LOCAL AGENCY FURTHER INFORMATION

Trade References :

Ø REC Scan Watters, Narway

Ø Deutch Salar, Germany

Bankers Charges Report as per Registry

This form is for	Creation of charge
Corporate identity number of the company	U40106DL2005PLC143431
Name of the company	MOSER BAER PHOTO VOLTAIC LIMITED
Address of the registered office or of the principal place of business in India of the company	43-B, Okhla Industrial Estate, New Delhi-110020, India
Type of charge	Book Debts Movable Property Other
Particular of charge holder	State Bank of Saurashtra, C-37, Atmaram House, Connaught Place, New Delhi-110001, India
Nature of description of the instrument creating or modifying the charge	Agreement of Hypothecation of Goods and Assets Letter regarding the Grant of individual limits within the overall limit.
Date of instrument Creating the charge	06.03.2007
Amount secured by the charge	Rs. 350.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per Bank’s Extant/Circular instruction subject to change from time to time. Terms of Repayment Within one Year Margin Ø Raw Materials (Domestic and imported) – 10% Ø Stocks-In-Process -10% Ø Finished Goods – 10% Ø Letter of Credit – 15% Ø Bank Guarantee – 15% Extent and Operation of the charge First Charge by way of Hypothecation on Pari passu basis on the current assets of the company Second charge by way of hypothecation on pari passu basis on the moveable fixed assets of the company.
Short particulars of the property charged	First pari passu charge on whole of the borrower’s stocks of raw materials, work in process, semi finished goods, finished goods, book debts, outstanding monies etc. more particularly described in the schedule to the agreement of the hypothecation of goods and assets second pari passu charge on all the tangible movable machinery and plant, vehicles etc. more particularly described in the schedule to the agreement of hypothecation of goods and assets.

AS PER WEBSITE

Overview:

Subject, is a wholly-owned subsidiary of Moser Baer India Limited, with its headquarters in New Delhi, India. It was set up for spearheading their foray into the exciting universe of photovoltaic products, systems and projects. Moser Baer is a global leader in the optical storage media industry. They intend to utilize the core strengths, technical expertise and high volume manufacturing excellence acquired through the successful growth of their optical media business to their advantage in the PV business.

Their vision for this sector is to enable reliable solar power as a competitive non-subsidized source of energy through competitively priced products and systems.

Their PV technologies, products and investments cover a wide spectrum ranging from polysilicon nuggets; conventional xSi cells and modules; xSi cell multiplier technologies; 500 X GaAs concentrator modules; largest form factor aSi thin film modules; etc.

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.42.97
UK Pound	1	Rs.84.72
Euro	1	Rs.66.99

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	9
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		56

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