MIRA INFORM REPORT

Report Date :

27.06.2008

IDENTIFICATION DETAILS

Name :	NEXTGEN CNC HYTEK PRIVATE LIMITED
Registered Office :	503, Mariegold Complex, Neco Gardens, Viman Nagar, Pune 411014, Maharashtra
Country :	India
Financials (as on) :	31.03.2007 [Hytek Marketing]
Date of Incorporation :	24.01.2007
Com. Reg. No.:	129526
CIN No.: [Company Identification No.]	U29299PN2007PTC129526
TAN No.: [Tax Deduction & Collection Account No.]	PNEN06441B
PAN No.: [Permanent Account No.]	AACCN4564D
Legal Form :	Private Limited Liability Company
Line of Business :	Acting as agents for selling of Machinery earnings through commission

RATING & COMMENTS

MIRA’s Rating :

B

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

Status :	New Company
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is a new company started to act as commission agents for selling of machinery. Directors are reported as experienced and respectable businessmen. Trade relations are fair. No payment records could be made available due to the nature of its activity. The company can be considered good for small to mediocre business dealings.

INFORMATION PARTED BY

Name :	Mr. Lekhraj Kataria
Designation :	Director
Date :	27.06.2008

LOCATIONS

Registered Office :	503, Mariegold Complex, Neco Gardens, Viman Nagar, Pune 411014, Maharashtra, India
Tel. No.:	91-20-40036057 / 40036056 / 40036229
Fax No.:	91-20-40036056
E-Mail :	hytek@vsnl.com
Website :	www.nextgenhytek.com

DIRECTORS

Name :	Mr. Lekhraj Kataria
Designation :	Director
Address :	121, Shivhari Complex, Vimannagar, Pune 411014, Maharashtra, India
Date of Birth/Age :	01.01.1962
Name :	Mrs. Preeti Kataria
Designation :	Director
Address :	121, Shivhari Complex, Vimannagar, Pune 411014, Maharashtra, India
Date of Birth/Age :	02.10.1963

BUSINESS DETAILS

Line of Business :

Acting as agents for selling of Machinery earnings through commission

GENERAL INFORMATION

No. of Employees :	14 [Group]
Bankers :	Corporation Bank ABN Amro Bank

Banking Relations :

---

Auditors :

Name :

M. Y. Malhotra and Company

Chartered Accountants

Associates/Subsidiaries :

Hytek Marketing

Address:	121, Shivhari Complex, Viman Nagar, Pune 411014
Tel. No.:	91-20-40036057
Fax No.:	91-20-40036056
Mobile No.:	91-9890027392
E-mail:	hytek@vsnl.com
Website :	www.hytekmarketing.biz
Location :	owned
Date of Incorporation :	1994
IEC No.:	3199003184
PAN No.:	AFQPK8682R
Proprietor :	Mr. Lekhraj Katariya Address: 726, Eden Garden, Viman Nagar, Pune
Age	45 Years
Qualification :	Engineer
Line of Business:	Distributor of Bernd Sigmund, Rascamat, Rolleri, Wilson Tool, Weber, ACF, Sahinier
No. of Employee:	14
Agencies Held:	Tooling for Punch Press Punch Press tool Grinder Fasteners Insertion Machine Modular Welding Table Iron Workers Welding Positioners Tube Bending and Cutting Wilson Tool, USA Roscamat, Spain ACF, Austria Rolleri, Italy RWT, Czech Republic Pedrazzoli, Italy

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs. 10/- each	Rs. 0.100 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs. 10/- each	Rs. 0.100 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

Particulars	31.03.2008
Commission Earned	9.600

HYTEK MARKETING

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2007
SHAREHOLDERS FUNDS
1] Share Capital		13.346
2] Share Application Money		0.000
3] Reserves & Surplus		0.000
4] (Accumulated Losses)		0.000
NETWORTH		13.346
LOAN FUNDS
1] Secured Loans		1.540
2] Unsecured Loans		0.974
TOTAL BORROWING		2.514
DEFERRED TAX LIABILITIES		0.000
TOTAL		15.860
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4.702
Capital work-in-progress		0.000
INVESTMENT		4.896
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.980
	Sundry Debtors	4.317
	Cash & Bank Balances	0.371
	Other Current Assets	0.067
	Loans & Advances	0.298
Total Current Assets		8.033
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	1.505
	Provisions	0.266
Total Current Liabilities		1.771
Net Current Assets		6.262
MISCELLANEOUS EXPENSES		0.000
TOTAL		15.860

HYTEK MARKETING

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007
Sales Turnover		4.509
Net Profit		8.944
Expenditures :
	Advertisement	0.078
	Repairs and Maintenance charges	0.079
	Bank charges	0.043
	Commission paid	0.098
	Courier charges	0.052
	Credit card charges	0.007
	Depreciation	0.721
	Electricity Expenses	0.021
	Exhibition Expenses	1.758
	Hardware and Electricals	0.001
	Insurance	0.007
	Interest on loan	0.132
	Internet Expenses	0.074
	Legal Fees	0.008
	Miscellaneous Expenses	0.007
	Office Expenses	0.095
	Petrol and Conveyance	0.116
	Printing and Stationery	0.076
	Rates and Taxes	0.003
	Vehicle Expenses	0.042
	Professional charges	0.020
	Salary	2.387
	Sales promotion	0.148
	Society maintenance charges	0.003
	Entertainment	0.015
	Staff welfare	0.022
	Audit fees	0.020
	Telephone and Postage	0.157
	Traveling Expenses	0.888

HYTEK MARKETING

KEY RATIOS

PARTICULARS		31.03.2007
PAT / Total Income	(%)	198.35
Net Profit Margin (PBT/Sales)	(%)	198.35
Return on Total Assets (PBT/Total Assets}	(%)	70.23
Return on Investment (ROI) (PBT/Networth)		0.67
Debt Equity Ratio (Total Liability/Networth)		0.32
Current Ratio (Current Asset/Current Liability)		4.53

LOCAL AGENCY FURTHER INFORMATION

HYTEK MARKETING OTHER DETAILS:

Capital Account of the Year Ended 31.03.2007

Proprietor: Mr. Lekhraj Kataria

Particulars	Amount [Rs. In Millions]	Particulars	Amount [Rs. In Millions]
To MTNL Housing Loan A/C	0.130	By Balance b/d	6.220
To interest on clover Puja Loan	0.004	By Profit for the year	8.945
To Drawings	1.133
To Vehicle Loan	0.062
To Housing Loan EMI	0.023
To Housing Loan to Fazal	0.467
To Balance b/d	13.346
Total	15.165		15.165

Fixed Assets:

• Air Conditioner
• Motor Cycle
• Coffee Machine
• Cycle
• Maruti Car
• Ford Icon Car
• Mobile Hand Set
• Office Furniture
• Office Premises
• Printer
• Refrigerator and Toaster
• UPS
• Vaccum Cleaner and other machine
• Xerox Machine
• Telephone Instrument

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] 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. 42.73
UK Pound	1	Rs. 84.38
Euro	1	Rs. 66.97

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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		29

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