MIRA INFORM REPORT

Report Date :

19.05.2008

IDENTIFICATION DETAILS

Name :	RADHAKRISHNA HOSPITALITY SERVICES PRIVATE LIMITED
Registered Office :	1^st Floor, 23 A, Shah Industrial Estate, Off Veera Desai Road, Andheri [West], Mumbai 400053, Maharashtra
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	31.10.1994
Com. Reg. No.:	082543
CIN No.: [Company Identification No.]	U99999MH1994PTC082543
TAN No.: [Tax Deduction & Collection Account No.]	MUMR14794D
PAN No.: [Permanent Account No.]	AAACR2547Q
Legal Form :	Private Limited Liability Company
Line of Business :	Turnkey Catering and Allied Services.

RATING & COMMENTS

MIRA’s Rating :

A

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 1171000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having fine track. Directors are reported as experienced, respectable and having substantial means of their own. Their trade relations are fair. General financial position is satisfactory. Payments are usually correct and as per commitments. The company can be considered good for normal business dealings.

LOCATIONS

Registered Office :	6-7, Jyoti Wire House, 1^st Floor, 23 A, Shah Industrial Estate, Off Veera Desai Road, Andheri [West], Mumbai 400053, Maharashtra, India
Tel. No.:	91-22-26730229 / 26730230
Fax No.:	91-22-26734894
E-Mail :	contact@rkhs.co.in mkbdcorp@rkhs.co.in
Website :	www.rkhs.co.in
Corporate Office :	31, Shah Industrial Estate, Off Veera Desai Road, Andheri (West), Mumbai 400053, Maharashtra, India.
Tel. No.:	91-22-26730355 / 26730356
Fax No.:	91-22-26730276
Branches :	Mumbai Ocbu, iicbu and faciliities planning Kolsite House, 1^st Floor, 31, Shah Industrial Estate, Off Veera Desai Road, Andheri (West), Mumbai - 400 053 Tel. No. 91-22-6332095 / 63204617 Fax No. 91-22-6324614 regional office - Maharashtra industrial and institutional catering Contact Person : Mr. Dilip Lalwani Kolsite House, 1^st Floor, 31, Shah Industrial Estate, Off. Veera Desai Road, Andheri (West), Mumbai - 400 053, Maharashtra, India Tel. No. 91-22-26730626/26730627 Fax No. 91-22-26730118 bangalore industrial and institutional catering / healthcare / education Contact Person : Mr. Anil Kumar MIG 109, KHB Colony, 17^th 'I' Main, 5^th Block, Koramangala, Bangalore - 560 094 Tel. No. 91-80-5539320 Fax No. 91-80-5504332 kolkata industrial and institutional catering / healthcare / education Contact Person : Mr. A. Sengupta 172-B, Jodhpur Park, Dhakuria, Kolkata - 700 068, West Bengal Tel. No. 91-33-24836316 / 18 Fax No. 91-33-24836316 chennai industrial and institutional catering / healthcare / education Contact Person : Mr. V. Annadurai No. 5A, Senthil Andavar Street, Dhanalakshmi Colony Extension, Vadapalani, Chennai - 600 026, Tamilnadu Tel. No. 91-44-4834412 / 4836634 Fax No. 91-44-4832013 oilfield and maritime catering Door No. 403, 4^th Floor, 'B' Block, Shivalaya Building, Commander-In-Chief Road, Chennai - 600 105, Tamilnadu Tel No. 91-44-8259492 Fax No. 91-44-8283509 goa industrial and institutional catering / healthcare / education Contact Person : Mr. Orlando Dias C/o. International Centre, NIO Post Office, Goa University Road, Dona Paula, Goa - 403 004 Tel. No. 91-832-452805 Fax No. 91-832-452812 vadodara industrial and institutional catering / healthcare / education Contact Person : Mr. R. S. Dev No. 32, Sushil Society, Behind Akota Garden, Akota, Vadodara - 390 020, Gujarat Tel. No. 91-265-333888 Fax No. 91-265-338028 hyderabad industrial and institutional catering / healthcare / education 7-1-64/A/1, First Floor, Dharam Karan Road, Ameerpet (Near Challa Nursing Home), Hyderabad - 500 016, Andhra Pradesh Tel. No. 91-40-3731019 / 23757415 oilfield and maritime catering Contact Person : Mr. Satish Tilak Kumar Plot No. 142, Ajit Colony, Behind Police Line, Ratanada, Jodhpur - 342 001, Rajasthan Tel. No. 91-291-515513 new delhi industrial and institutional catering / healthcare / education Contact Person : B-23, 1^st Floor, Lajpat Nagar - II, New Delhi - 110 024 Telefax : 91-11-6936656 / 6936657 / 6936658 pune industrial and institutional catering / healthcare / education Contact Person : Mr. Dilip Kulkarni 104, Swaroop Complex, 1^st Floor, Karve Road, Pune - 411 004, Maharashtra Tel. No. 91-20-5460662

DIRECTORS

Name :	Mr. Didier Coutte
Designation :	Director
Address :	49, Rue Boulard, Paris
Date of Birth/Age :	02.04.1958
Date of Appointment :	14.11.2006
Name :	Mr. Raju Shete
Designation :	Director
Address :	7-A, Lohtse Ruia Park, Juhu Tara Road, Juhu, Mumbai 400049, Maharashtra, India
Date of Birth/Age :	24.06.1961
Date of Appointment :	31.10.1994
Name :	Smt. Hemal Raju Shete
Designation :	Director
Address :	7-A, Lohtse Ruia Park, Juhu Tara Road, Juhu, Mumbai 400049, Maharashtra, India
Date of Birth/Age :	11.08.1961
Date of Appointment :	31.10.1994
Name :	Mr. Dupuis Alain Francois
Designation :	Director
Address :	23, Boulvero Sandeau, Paris, France
Date of Birth/Age :	09.08.1944
Date of Appointment :	27.04.1995
Name :	Mr. Adam Philippe Michel
Designation :	Director
Address :	7, Rue Touriefort, Paris 73005, France
Date of Birth/Age :	01.05.1967
Date of Appointment :	27.04.1995
Name :	Mr. Miguel Ramis Barrios
Designation :	Director
Address :	Palma De Mallorca Office, Cala Bona 15, Sapnish
Date of Birth/Age :	17.04.1956
Date of Appointment :	16.12.1999
Date of Ceasing :	25.08.2004
Name :	Mr. Michel Cottet
Designation :	Director
Address :	15 Rue Florus, Carthage 2016, French
Date of Birth/Age :	06.10.1943
Date of Appointment :	23.09.2004
Name :	Mr. K. A. Gopalakrishnan
Designation :	Director
Address :	103-104, Link Garden Tower No. 2, Off New Link Road, Andheri [West], Mumbai 400053, Maharashtra, India
Date of Birth/Age :	25.12.1958
Date of Appointment :	26.04.1995
Date of Ceasing:	28.01.2000
Name :	Mr. R. Srikrishnan
Designation :	Director
Address :	13, Amar Dham, 15^th Road, Chembur, Mumbai 400071, Maharashtra, India
Date of Birth/Age :	21.11.1970
Date of Appointment :	28.01.2000
Date of Ceasing:	10.06.2002
Name :	Ms. Shaista Shaikh
Designation :	Director
Address :	1, Gulmohar, Plot No. 234, 28^th Road, Bandra, Mumbai 400050, Maharashtra, India
Date of Birth/Age :	24.11.1977
Date of Appointment :	27.01.2003

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

[As on 30.09.2005]

Names of Shareholders	No. of Shares
Shete Raju R.	404200
Shete Hemal R.	400000
Shete Indira R.	320800
Shete Raju HUF	375000
Master Shete Radhakrishnan Raju	500000
Master Shete Arjun Raju	500000
Compass Group International B. V.	2500000
Total	5000000
Equity Share Break-up [As on 31.03.2007]	Percentage of Holding
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :

Turnkey Catering and Allied Services.

GENERAL INFORMATION

No. of Employees :	Over 4500
Bankers :	Yes Bank Limited 9^th Floor, Nehru Centre, Discovery of India,. Dr. Annie Besant Road, Worli, Mumbai 400018, Maharashtra, India Bank of Maharashtra, Mumbai Hong Kong and Shanghai Bank Limited, Mumbai Indian Overseas Bank, Mumbai

Banking Relations :	Good
Auditors :
Name :	Deloitt Haskins and Sells Chartered Accountants
Address :	12, Dr. Annie Besant Road, Opposite Shivsagar Estate, Worli, Mumbai 400018, Maharashtra, India
Associates/Subsidiaries :	Skyline Caterers Private Limited CIN No.: U55204MH2000PTC126760 Unisol Infraservices Private Limited CIN No.: U74140MH1995PTC092674 RFL- Radhakrishna Foodland Limited Established in the year 1987. Engaged in Retailing, Consultancy for NGRO & Distribution for McDonald’s. Key Personnel- Mr. Vinay Adheye Director (Procurement) Mr. H. Shriram Vice President (Distribution & Logistics) Mr. Sukesh Lal Chief Financial Officer Mr. Sanjay Ghone General Manager (Distribution) Mr. Ramesh Bapat Deputy General Manager (Sales & Marketing) Mr. Narendra Poddar Senior Manager-Operations (Retail) Accor Services Established in the year 1997. Engaged in Ticket Restaurant Meal Coupons and Ticket Premium Service Vouchers. Key Personnel Mr. Loic Duchiron Chief Executive Officer Mr. Arun Nalawadi General Manager (Sales & Marketing) Website www.accorindia.com Unisol Infraservices Private Limited Established in the year 2001 Engaged in Integrated Facilities Management Services

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs. 10/- each	Rs. 50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs. 10/- each	Rs. 50.000 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		50.000	50.000
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		242.808	195.004
4] (Accumulated Losses)		0.000	0.000
NETWORTH		292.808	245.004
LOAN FUNDS
1] Secured Loans		152.523	19.324
2] Unsecured Loans		24.366	28.981
TOTAL BORROWING		176.889	48.305
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		469.697	293.309
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		69.066	64.632
Capital work-in-progress		2.534	1.660
INVESTMENT		20.397	43.713
DEFERREX TAX ASSETS		14.234	9.507
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	78.294	34.396
	Sundry Debtors	654.926	452.918
	Cash & Bank Balances	107.736	75.821
	Other Current Assets	0.000	0.000
	Loans & Advances	155.515	124.163
Total Current Assets		996.471	687.298
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	603.562	471.851
	Provisions	32.994	45.975
Total Current Liabilities		636.556	517.826
Net Current Assets		359.915	169.472
MISCELLANEOUS EXPENSES		3.551	4.325
TOTAL		469.697	293.309

KEY RATIOS

PARTICULARS	31.03.2007	31.03.2006
Debt Equity Ratio (Total Liability/Networth)	2.77	2.31
Current Ratio (Current Asset/Current Liability)	1.56	1.32

LOCAL AGENCY FURTHER INFORMATION

Form 8

Bankers Charges Report as per Registry

This form is for	Medication of charge
Charge identification number of the charge to be modified	10009568
Corporate identity number of the company	U99999MH1994PTC082543
Name of the company	RADHAKRISHNA HOSPITALITY SERVICES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1^st Floor, 23 A, Shah Industrial Estate, Off Veera Desai Road, Andheri [West], Mumbai 400053, Maharashtra
Type of charge	Book Debts Movable Property Floating charge
Particular of charge holder	Yes Bank Limited 9^th Floor, Nehru Centre, Discovery of India,. Dr. Annie Besant Road, Worli, Mumbai 400018, Maharashtra, India
Nature of description of the instrument creating or modifying the charge	Supplemental deed of hypothecation dated 05.02.2007
Date of instrument Creating the charge	05.02.2007
Amount secured by the charge	Rs. 193.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	[a] Rate of interest Prime Lending rate 2.25% i.e. 11.25% [b] Terms of repayment Repayment in 16 equal quarterly installments [c] Margin Cash Margin 50% in the Form of FDS [d] Extent and operation of the charge First pari passu charge on present and future current assets and movable fixed assets
Short particulars of the property charged	Charge on all the movable assets both fixed and current, present and future
Particulars of the present modification	By this modification the charge has been enhanced from Rs. 150.000 Millions to Rs. 193.000 Millions

Subject provides the following services to its clients :

• Catering
• Housekeeping
• Laundry
• Janitorial Services
• Provision Supplies
• On-Site Shopping
• Industrial Cleaning
• Communication Facilities
• Waste Management
• Medical Services
• Landscaping
• Manpower Supply
• Grounds Keeping
• Video Cassette Library and Recreation Services
• Commissary
• Transport
• Maintenance
• Medivac
• Management Services
• Specialised Disaffection Services

The company has 50% joint venture with “COMPASS GROUP PLC”, which is the world’s leading food service organisation.

The company has recently introduced two international brands.

Compass Group Companies includes :

• Eurest Support Services
• Medirest & Batman
• Scholarest & Chartwells
• Flik & Roux Fine Dining
• Canteen Vending Services
• Select Service Partner
• Letheby & Christopher and Restaturant Associates
• Travelodge
• New Famous Foods

It also serves a variety of food like cold and grilled sandwiches, rolls, salads, savories and eggless pastries.

It has recently introduced two international brands - STOPGAP and RITTZZA as a part of its food service offer.

CAFFE RITTZZA's product range includes the complete range espresso coffees (espresso, cappuccino, caffe latte, caffe macchiato) as well as some origin coffees (Colombian, Moca-Java and Kenyan).

The STOPGAP'S product range include :

• Confectionery - Chocolates, Toffees and Hard Boiled Sweets
• Crips / wafers - Uncle Chipps, Frito Lays
• Snacks - Corn based

StopGap Express is a modular format designed specifically to cater to the snacking requirements of customers in a typical 'office' environment.

The company’s fixed assets of important value include Air conditioner, Kitchen Equipments, Electrical Installations, Computers, Office Equipments, Furniture & fixtures, Vehicles and Containers.

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. 42.64
UK Pound	1	Rs. 83.00
Euro	1	Rs. 66.00

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	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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		68

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