MIRA INFORM REPORT

Report Date :

23.05.2008

IDENTIFICATION DETAILS

Name :	INTERNATIONAL SEAPORT DREDGING PRIVATE LIMITED
Formerly Known As :	INTERNATIONAL SEAPORT DREDGING LIMITED
Registered Office :	CICD Tower, Lower Ground Floor, Hauz Khas Institutional Area, New Delhi – 110016
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	24.03.2004
Com. Reg. No.:	55-125380
CIN No.: [Company Identification No.]	U45205DL2004PLC125380
TAN No.: [Tax Deduction & Collection Account No.]	DELI04488B
PAN No.: [Permanent Account No.]	AABCI2286E
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in Dredging and Land Reclamation

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 542692
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having fine track records. Trade relations are fair. Financial Position is good. The Company is doing well. Its payments are usually correct and as per commitments. The Company can be considered good for any normal business dealings at usual trade terms and conditions. It can be regarded as a promising business partner in a medium to long run.

LOCATIONS

Registered Office :	CICD Tower, Lower Ground Floor, Hauz Khas Institutional Area, New Delhi – 110016, India
Tel. No.:	91-11-26510495
Fax No.:	91-11-26512164
E-Mail :	isdpl@isdpl.com
Website :	http://www.dredging.com http://www.deme.be
Administrative Office:	64, Khan Market, second floor, New Delhi – 110 003, India
E-Mail :	gas@isdpl.com
Corporate Office :	V Floor Challan Towers, Old No.62, New No. 113, Dr Radhakrishnan Salai, Chennai – 600 004, Tamil Nadu, India
Tel. No.:	91-44-43129900
Fax No.:	91-44-43129901
E-Mail :	secretary@isdpl.com

DIRECTORS

Name :	Mr. Alok Narain Sinha
Designation :	Director
Address :	5/125 Jeevan Tara Building, New Delhi – 110001
Date of Birth/Age :	12.10.1955
Date of Appointment :	24.03.2004
Name :	Mr. R Balasubramanian
Designation :	Director
Address :	9 Tilak Apartment, 4 Seaward Road, Valmi, Kinagar, Chennai – 600041
Date of Birth/Age :	05.09.1941
Date of Appointment :	24.03.2004
Name :	Mr. Pierre Potvliege
Designation :	Director
Address :	Kerkelei – 54, b – 2610, Wilrijk, Belgium
Date of Birth/Age :	24.06.1955
Date of Appointment :	24.03.2004
Name :	Mr. Bart Vandemeuleberoucke
Designation :	Director
Address :	Albert – I – Laani – 588670, Belgium
Date of Birth/Age :	15.09.1974
Date of Appointment :	24.03.2004
Date of Ceasing:	15.10.2004
Name :	Mr. Hugo Bouvy
Designation :	Director
Address :	Bree Dveldsingel – 333055, Ph Rotterdam, The Netherlands
Date of Birth/Age :	05.04.1970
Date of Appointment :	14.10.2004
Date of Ceasing:	22.03.2005
Name :	Mr. Mark Van Mastwijk
Designation :	Director
Address :	Bree Dveldsingel – 333055, Ph Rotterdam, The Netherlands
Date of Birth/Age :	30.04.1974
Date of Appointment :	22.03.2005
Name :	Ms. Neha Gupta
Designation :	Director
Address :	B – 2, Sector – 26, Noida – 201301, Uttar Pradesh
Date of Birth/Age :	19.06.1980
Date of Appointment :	22.03.2005
Name :	Mr. Pooja Chopra
Designation :	Director
Address :	H-229, DDA Flats Narai Na Vihar, New Delhi – 110028
Date of Birth/Age :	21.03.1981
Date of Appointment :	30.04.2005
Management	Mr. Alain Bernard Director Dredging International Philip Hermans General Manager Dredging International Benelux: Mr. Martin Ockier - Area Director N. Europe: Mr. Eric Tancré - Area Manager Mid-Europe, Australasia, Latin America : Mr. Philip Hermans - Area Director S. America, Spain, Portugal: Mr. Philippe Jacob - Area Manager Russia: Mrs. Sofia Neirynck - Area Manager Africa NW & SE : Mr. Erik Van Wellen - Area Manager Africa Middle: Mr. Lieven Durt - Area Manager Middle East, Indian Subcontinent: Mr. Pierre Potvliege - Area Director Mediterranean Area: Mr. Pierre Catteau - Area Director U.K., Ireland, Mediterranean: Mr. Chris Lehouck - Area Manager S.E. Asia: Mr. Daniel Kong - Area Manager N.E. Asia (P.R. China, Macau, S. Korea, the Philippines): Mr. Ivo Van Dessel - Area Director N.E. Asia (P.R. China, Macau, S. Korea, the Philippines): Mr. Dimitry Dutilleux - Area Manager
Name :	Mr. Johannes Martinus Hedrikus Van Mastwilk
Designation :	Director
Address :	Breed Veldsingel 12, P K Rotterdam – 3055, NA
Name :	Mr. Alain Bernard
Designation :	Director
Address :	Bosstraat 28, SINT Niklaas 9111, Belgium
Date of Birth/Age :	29.12.1955
Date of Appointment :	27.06.2006
Name :	Mr. Marc A P Stordiau
Designation :	Director
Address :	Jef De Pauwtrat 1, Sint Niklaas – 9100 , Belgium
Date of Birth/Age :	09.05.1946
Date of Appointment :	28.09.2006
Name :	Mr. Manivannan Kulasekaran
Designation :	Director
Name :	Mr. J Ganguly
Designation :	Director
Name :	Mr. Kodiyalam Vasudevan Rangaswami
Designation :	Director
Name :	Mr. V. Ravi parthasarathy
Designation :	Director

KEY EXECUTIVES

Name :	Mr. Bert Arien
Designation :	Manager
Address :	CICD Tower, lower Ground Floor, Hauz Khas Institutional Area, Delhi – 110 016
Date of Birth/Age :	26.03.1965
Date of Appointment :	28.09.2006
Name :	Mr. Pooja Chopra
Designation :	Secretary
Address :	H-229, DDA Flats Narai Na Vihar, New Delhi – 110028
Date of Birth/Age :	21.03.1981
Date of Appointment :	30.04.2005

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(As on 31.03.2006)

Names of Shareholders	No. of Shares
Dredging International India Private Limited	1375
Bala Subramaniam R	1100
Tri Marine Private Limited	275
Tideway B V	1320
Ash Holdings private Limited	1430
Total	5500

(As on 31.03.2006)

Category	Percentage
Foreign holdings (Foreign institutional investor(s), Foreign companie(s), foreign financial institutions(s), Non – resident Indians(s) or Overseas corporate bodies or others.	9.00
Bodies Corporate	83.00
Other top fifty (50) shareholders	8.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in Dredging and Land Reclamation

GENERAL INFORMATION

No. of Employees :	250
Bankers :	· ABN AMRO Bank Address: DLF Center, Sansad Marg, New Delhi – 110 001, India

Banking Relations :	Good
Auditors :
Name :	RSM and Company Chartered Accountants
Address :	449 Senapati Bapat Marg, Lower Parel, Mumbai – 400 013, Maharashtra

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
32570000	Equity shares	Rs.10/- each	Rs. 325.700 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5500000	Equity shares	Rs.10/- each	Rs. 55.000 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2006	31.03.2005
SHAREHOLDERS FUNDS
1] Share Capital		55.000	55.000
2] Share Application Money		26.210	0.000
3] Reserves & Surplus		54.463	95.248
4] (Accumulated Losses)		0.000	0.000
NETWORTH		135.673	150.248
LOAN FUNDS
1] Secured Loans		414.750	414.750
2] Unsecured Loans		107.800	225.400
TOTAL BORROWING		522.550	640.150
DEFERRED TAX LIABILITIES		0.000	36.805
TOTAL		658.223	827.203
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		515.598	589.319
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000
	Sundry Debtors	115.974	121.191
	Cash & Bank Balances	30.629	268.117
	Other Current Assets	24.280	0.000
	Loans & Advances	60.791	28.631
Total Current Assets		231.674	417.939
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	66.915	164.055
	Provisions	22.134	16.000
Total Current Liabilities		89.049	180.055
Net Current Assets		142.625	237.884
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		658.223	827.203

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2006	31.03.2005
Sales Turnover		383.977	510.155
Other Income		18.775	4.446
Total Income		402.752	514.601
Profit/(Loss) Before Tax		13.553	148.054
Provision for Taxation		(30.462)	52.805
Profit/(Loss) After Tax		44.015	95.249
Export Value		254.272	NA
Import Value		27.450	639.422
Expenditures :
	Financial Charge	37.110	17.990
	Depreciation	67.839	43.929
	Other Expenditure	284.250	304.628
Total Expenditure		389.199	366.547

KEY RATIOS

PARTICULARS		31.03.2006	31.03.2005
PAT / Total Income	(%)	10.93	18.51
Net Profit Margin (PBT/Sales)	(%)	3.53	29.02
Return on Total Assets (PBT/Total Assets}	(%)	1.81	14.70
Return on Investment (ROI) (PBT/Networth)		0.10	0.98
Debt Equity Ratio (Total Liability/Networth)		4.50	5.45
Current Ratio (Current Asset/Current Liability)		2.60	2.32

LOCAL AGENCY FURTHER INFORMATION

Form 8:

Name of the company	INTERNATIONAL SEAPORT DREDGING PRIVATE LIMITED
Presented By	INTERNATIONAL SEAPORT DREDGING PRIVATE LIMITED
1) Date and description of instrument creating the change	The deed of Convenant for statutory mortgage of ship dated 29.10.2004
2) Amount secured by the charge/amount owing on the securities of charge	EURO 10000000 i.e equivalent to Rs. 580.000 millions approximately.
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	Mortgage of Vessel named Pacifique bearing Official No. 4021, Registered at Port of Mumbai with S No. 25/2004 dated 13.07.2004, registered length being 125.68 mtr, main breadth to outside the plating being 19.20 mtrs. And gross tonnage of 7751, together with all plants and machinery attached to the vessel or anything permanently fastened to the vessel due repayment, redemption by borrower to bank together with interest, additional interest or any other losses, charges and other monies due from time to time.
4) Gist of the terms and conditions and extent and operation of the charge.	Rate of interest as the bank may specify from time to time
5) Name and Address and description of the person entitled to the charge.	ABN AMRO Bank Address: DLF Center, Sansad Marg, New Delhi – 110 001
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

OTHER INFORMATION:

Together with Baggerwerken Decloedt, Subject is one of the primary operating companies of DEME Group, responsible for more than two thirds of total turnover. Subject has a leading position on the global dredging market and has experienced rapid and sustained growth over the last decade. The core activity of DI is dredging and land reclamation.

Subject has its roots in the world port of Antwerp on the river Scheldt. They are proud to have contributed for more than one hundred years to deepening and maintenance programs of the river fairway, and to major reclamation projects that have created new land for a world class industry. In one century, the depth of the river fairway has more than doubled and bulk carriers of up to 274.726 dwt and a length of 335 metres are now able to sail seventy kilometers inland. After the First World War barely 425.000 m3 per year was dredged in the river Scheldt. By contrast, since the end of the Second World War, almost half a billion m3 of spoil has been removed from the Scheldt. At the same time, the port has expanded to 14.000 ha on the left and the right river banks. They are proud to have participated to this impressive achievement.

The knowledge, the experience and the skills they have acquired on their primary home market is made available for clients abroad. For more than a century, constituting companies of DI have worked in all corners of the world. At the turn of the 19^th to the 20^th century, their engineers were building the inland grain harbours in Argentina; in the 1920’s they were constructing quay walls on the Mekong river in Southeast Asia. In the 1970’s they built the modern ports in the Persian Gulf and the Red Sea.

Today, their modern and high-tech trailing suction hopper dredgers and the mighty cutter suction dredgers are deepening fairways and reclaiming new land in South America, in Singapore, in Australia, in Africa and all over Europe. DI is taking the lead in the construction of France’s Port 2000 at Le Havre, they are building ports in India, they are involved in the huge Jurong and Tuas land reclamation project in Singapore, and they are keeping the Martin Garcia channels to depth in Rio de la Plata on the border of Argentina and Uruguay. 

Subject is fully banking on synergies from the broader DEME Group. Pooling resources with sister companies and combining dredging and land reclamation with supporting activities and environmental skills, provides a unique opportunity for offering global solutions to clients all over the world.

Offices Worldwide:

· Argentina

· Australia

· Bahrain

· Belgium

· China

· France

· Germany

· Malaysia

· India

· Italy

· Hong Kong

· India

· Malaysia

· Mexico

· Netherlands

· Nigeria

· Tunisia

· Spain

· Singapore

· Qatar

· Portugal

· Panama

· United Arab Emirates

· United Kingdom

· Venezuela

· Vietnam

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.43.15
UK Pound	1	Rs.85.08
Euro	1	Rs.68.10

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	6
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--CREDIT LINES	1~10	6
--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/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
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