MIRA INFORM REPORT

Report Date :

03.05.2008

IDENTIFICATION DETAILS

Name :	INKOTECH INDIA PRIVATE LIMITED
Formerly Known As :	FAMEX (INDIA) PRIVATE LIMITED
Registered Office :	5/31,WEA, Karol Bagh, New Delhi – 110005
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	22.08.2001
Com. Reg. No.:	55-112457
CIN No.: [Company Identification No.]	U25206DL2001PTC112457
TAN No.: (Tax Deduction & Collection Account No.)	DELI03932F DELI05104B
PAN No.: (Permanent Account No.)	AAACF5591Q
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and Suppliers of Computer Monitor, Plastic Moulded Cabinets, Plastic Parts of Refrigerator and Washing Machines.

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 155316
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and reputed company having Satisfactory track. Trade relations are fair. Business is active. Payments are reported as usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

INFORMATION PARTED BY

Name :	Mr. V. K. Jain
Designation :	Finance Head
Contact No.:	91-9810701589
Date :	30.04.2008

LOCATIONS

Registered Office/ Factory 1:	5/31,WEA, Karol Bagh, New Delhi – 110005, India
Tel. No.:	91-11-25767960/ 25767970
E-Mail :	inkotech@vsnl.com vk_jain@hotmail.com accounts@inkotechindia.com jain_vijendra@hotmail.com accounts@inkotechindia.com consult@vsnl.com
Website :	http://www.inkotech.com
Area :	4500 sq. ft.
Location :	Rented
Factory 2:	C 2 / 3, Phase-II, Extension Hosiery Complex, Gautam Budh Nagar, Noida – 201305, Uttar Pradesh, India
Tel. No.:	91-120-4352593/ 4352746/ 532094
Mobile :	91-9810701589
Fax No.:	91-120-2461245
Area :	Leased
Location :	Industrial
Corporate Office :	201, Ground Floor, Jor Bagh, New Delhi – 110 003, India
Tel No.:	91-11-2461243/ 4/ 975/490/ 970
Email :	inkotech@vsnl.com
Website :	http://www.inkotech.com
Area :	Leased
Location :	Commercial

DIRECTORS

Name:	Mr. Myung Bo Kim
Designation:	Chairman and Managing Director
Address:	7, Friends Colony, (West ), New Delhi – 110065, India
Date of Birth:	06.06.1959
Qualifications :	International marketing Management
Date of Appointment:	25.09.2001
Name:	Mr. Nam Hoon Kim
Designation:	Director
Address:	7, Friends Colony, (West ), New Delhi – 110065, India
Date of Birth:	18.02.1985
Qualifications :	Engineering
Date of Appointment:	30.07.2003
Name:	Mr. Tae Baeg Bang
Designation:	Director
Address:	D – 206, ATS Green, Noida, Uttar Pradesh, India
Date of Birth:	15.07.1963
Date of Appointment:	30.07.2003
Name:	Mr. Jang Soo Kang
Designation:	Director
Address:	I – 204, Jin Hang Apt, Sansvng Dong Kang Nam – Ku, Seoul, Korea, India
Date of Birth:	15.12.1943
Qualifications :	Post Graduate
Date of Appointment:	01.03.2005

KEY EXECUTIVES

Name	Mr. V. K. Jain
Designation	Finance Head
Name:	Mr. Diviay Chadha
Designation:	Company Secretary
Address:	20/16, West Patel Nagar, New Delhi – 110008, India
Date of Birth:	15.12.1980
Date of Appointment:	09.08.2007

MAJOR SHAREHOLDERS

(As on 30.09.2005)

Names of Shareholders	No. of Shares
Mr. Hyun Bo Kim, Korea	2019670
Mr. Jang Soo Kang	339160
Mr. Jay Young Moon	1
Mr. Suchinto Chatterji	1
Total	2358832

(As on 31.03.2007)

Category	Percentage
Directors or Relatives of Directors	100 %

BUSINESS DETAILS

Line of Business :	Manufacturers and Suppliers of Computer Monitor, Plastic Moulded Cabinets, Plastic Parts of Refrigerator and Washing Machines.
Products :	· Plastic Moulded Components for Castings · Washing Machines · Refrigerators · Computer Monitors.
Terms :
Selling :	Credit (30-60 days)
Imports :
Products :	ABS Plastic Granule
Countries :	· Korea · China · Singapore
Terms :
Selling :	Credit (30/60 days)
Purchasing :	Credit (30/60 days)

GENERAL INFORMATION

Suppliers :

· AVS Limited, Delhi

· Hartech Plastics Private Limited

· Donglim Precision India Private Limited

· Dirco Polymers Private Limited

· Amba Auto Industries Private Limited

· Hora Art Centre Private Limited

· Sai Colour and Chemicals

· N K Polypack Industries

Customers :

Actual users and computer assemblers

· Samsung India

No. of Employees :

120

Bankers :

· UCO Bank

Defence Colony, New Delhi – 110 024, India

· Standard Chartered Bank, New Delhi Branch

· Shinan Bank, New Delhi Branch

Facilities :

Secured Loans	31.03.2007 Rs. In Millions
Term Loan From Banks
(Secured by Exclusive charge by standard Chartered Bank on the company plant and machinery and personal guarantee of one of the directors)	-
Working Capital Loan From Bank
(Secured by Exclusive charge by standard Chartered Bank by hypothecation of entire stocks and book debts and along with charge on the other assets of the company both present and future and guarantee of one of the directors)	33.455
Vehicles Loans
(Secured by hypothecation of the Company vehicles) (Amount due with in one year Rs.0.303 Million, Previous years Rs.0.268 Million)	0.942
Total	34.397
Unsecured Loans
Amount due for capital goods in Foreign Currency	5.046
Total	5.046

Banking Relations :	Satisfactory
Auditors :
Name :	Budhraja Adlakha and Company Chartered Accountants
Address :	5/31, W. E. A. Karol Bagh, New Delhi – 110 005
Tel. No.:	91-11-25767970
Joint Venture :	S. I. Precision Mould Private Limited

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
2750000	Equity Shares	Rs.10/- each	Rs. 27.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2358832	Equity Shares	Rs.10/- each	Rs.23.588 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	23.588	23.588	23.588
2] Share Application Money	9.952	5.289	5.289
3] Reserves & Surplus	5.289	7.809	7.351
4] (Accumulated Losses)	0.000	0.000	0.000
NETWORTH	38.829	36.686	36.228
LOAN FUNDS
1] Secured Loans	34.397	52.262	40.975
2] Unsecured Loans	5.047	8.508	4.321
TOTAL BORROWING	39.444	60.770	45.296
DEFERRED TAX LIABILITIES	0.000	0.000	0.000
TOTAL	78.273	97.456	81.524
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]	27.120	28.376	30.186
Capital work-in-progress	0.000	0.000	0.000
INVESTMENTS	23.125	23.125	28.410
DEFERREX TAX ASSETS	0.993	0.993	0.163
CURRENT ASSETS, LOANS & ADVANCES
Inventories	25.791	28.323	21.927
Sundry Debtors	45.823	44.732	26.561
Cash & Bank Balances	0.230	0.217	0.645
Loans & Advances	0.000	0.000	9.872
Other Current Assets	20.311	25.891	0.000
Total Current Assets	92.155	99.163	59.005
Less: CURRENT LIABILITIES & PROVISIONS
Current Liabilities	65.119	52.151	36.459
Provisions	0.001	2.050	0.000
Total Current Liabilities	65.120	54.201	36.459
Net Current Assets	27.035	44.962	22.546
MISCELLANEOUS EXPENSES	0.000	0.000	0.219
TOTAL	78.273	97.456	81.524

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2007	31.03.2006	31.03.2005
Sales Turnover	382.680	330.037	272.400
Other Income	1.860	0.147	0.000
Total Income	384.540	330.184	272.400
Profit/(Loss) Before Tax	4.213	1.804	2.300
Provision for Taxation	2.070	1.372	1.400
Profit/(Loss) After Tax	2.143	0.432	0.900
Imports :
Raw Materials	47.197	3.364	15.200
Capital Goods	4.291	4.594	0.000
Total Imports	51.488	7.958	15.200
Expenditures:
Manufacturing Expenses	37.140	34.443
Administrative Expenses	18.127	20.055
Raw Materials and Components	295.491	245.294
Personnel Expenses	17.059	15.565	270.100
Financial Charges	3.317	4.224
Depreciation	9.193	8.799
Other Expenditure	0.000	0.000
Total Expenditure	380.327	328.380	270.100

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	0.56	0.13	0.33
Net Profit Margin (PBT/Sales)	(%)	1.10	0.55	0.84
Return on Total Assets (PBT/Total Assets}	(%)	3.53	1.18	1.95
Return on Investment (ROI) (PBT/Networth)		0.11	0.05	0.06
Debt Equity Ratio (Total Liability/Networth)		2.69	4.13	3.25
Current Ratio (Current Asset/Current Liability)		1.41	1.83	1.62

LOCAL AGENCY FURTHER INFORMATION

Form No. 8

Corporate identity number (CIN) Foreign company registration number	U25206DL2001PTC112457
Name of the Company	INKOTECH INDIA PRIVATE LIMITED
Address	7 Friends Colony West, New Delhi – 110065, India
This form is for	Creations of Charge
Type of Charge	Hypothecation
Particulars of the charge holder	Standard Chartered Bank Narain Manzil, 23 Barakhamba Road, New Delhi – 110001, India
Nature or description of the instrument(s) creating or modifying the charge	Agreement of Hypothecation of Machinery
Date of the instrument creating or modifying the charge	21.02.2006
Amount secured by the charge	Rs.44.000 Millions
Brief particulars of the principal terms and conditions and extent and operation of the charge	Rate of Interests as may be determined by the Bank from time to time.
Short particulars of the property charged (including location of the property)	Plant and Machinery Furniture and Fixture Hypothecation by way of first exclusive charge over the whole of the fixed assets of the borrower situated at company godowns, premises, factories or wherever else situated, including its movable plant and machinery. Machinery spares, tools and accessories and other movable, both present and future whether installed or not and whether nor lying loose or in case or which are now lying or stored in or open or shall hereafter from time to time during the continues of the security of these present be brought in to and or upon or to be stored or to be in or about all the borrower factories, godowns, premises or wherever else the same will be or shall be held any part to the order or disposition of the borrower or in the course of transit or on high seas or on order delivery howsoever and whosesoever in the possession of the borrower.
Particular of the present modification	NA

Name of the company	INKOTECH INDIA PRIVATE LIMITED
Presented By	Standard Chartered Bank, New Delhi
1) Date and description of instrument creating the change	Letter of Hypothecation (Stocks) and (Book Debts) dated 26.03.2004
2) Amount secured by the charge/amount owing on the securities of charge	Rs.20.000 Millions
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	All stock in trade both present and future consisting of raw materials finished goods in process of manufacturing and other merchandise whatsoever and all present and future book debts, outstanding moneys, receivable, claims, and bills etc. shall be hypothecates to the first charge on a pari passu basis.
4) Gist of the terms and conditions and extent and operation of the charge.	Interests as may be determined by the bank time to time.
5) Name and Address and description of the person entitled to the charge.	Standard Chartered Bank Sansad Marg, New Delhi, India
6) Date and brief description of instrument modifying the charge	NA
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.	NA

Trade Reference

· Samsung, Korea

· Samsung, Noida, Uttar Pradesh, India

· LG Electronics India Limited

· AVS Limited, Delhi

· Hartech Plastics Private Limited

· Donglim Precision India Private Limited

· Dirco Polymers Private Limited

· Amba Auto Industries Private Limited

· Hora Art Centre Private Limited

· Sai Colour and Chemicals

· N K Polypack Industries

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. 40.65
UK Pound	1	Rs. 80.35
Euro	1	Rs. 62.78

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILITY	1~10	4
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-1~5	-
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		45

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/normal.	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

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