MIRA INFORM REPORT

Report Date :

06.11.2008

IDENTIFICATION DETAILS

Name :	VANDANA GLOBAL LIMITED
Registered Office :	Vandana Bhawan, M G Road, Raipur – 492001, Chattisgarh
Country :	India
Financials (as on) :	31.03.2007
Date of Incorporation :	12.02.1996
Com. Reg. No.:	10-10490
CIN No.: [Company Identification No.]	U51101CT1996PLC010490
TAN No.: [Tax Deduction & Collection Account No.]	MUMV13026G
PAN No.: [Permanent Account No.]	AAACV2018E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and Exporter of Sponge Iron, Billets, Power , Ferro Alloys, Ferro Manganese, Metal Ferro Manganese, Silico Manganese, Metal Silico Manganese, etc.

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 4000000
Status :	Satisfactory
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are fair. Payments are slow but correct. Financial position is satisfactory. The company can be considered normal for business dealings at usual trade terns and conditions.

INFORMATION PARTED BY

Name :	Mr. Rishi
Designation :	Manager Export-Import
Contact No.:	91-9752544124
Date :	03.11.2008

LOCATIONS

Registered Office :	Vandana Bhawan, M G Road, Raipur – 492001, Chattisgarh, India
Tel. No.:	91-7721-407755
Mobile No.:	91-9827102268/ 9752544124
Fax No.:	91-7721-2535804
E-Mail :	vijitagrawal1@redifmail.com condinthree@rediffmail.com
Website :	http://www.vandanagroup.org
Area :	4 Storage Building
Location :	Owned
Factory :	Siltara Industrial Area, Phase – 2, Siltara, Paipur – 493111, Chattisgarh, India
Tel. No.:	91-771-2407250
Mobile No.:	91-9752544124
Fax No.:	91-771-2407253
Area :	10 acres
Location :	Owned

DIRECTORS

Name :	Mr. Gopal Prasad Agrawal
Designation :	Director
Address :	21/54 Opposite Telephone Exchange, Civil Line, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	27.06.1956
Qualification :	M. Com, LLB
Date of Appointment :	12.02.1996
Name :	Mr. Prahlad Agrawal
Designation :	Director
Address :	Vandana Bhawan, M G Road, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	16.03.1963
Qualification :	B. Com
Date of Appointment :	12.02.1996
Name :	Mr. Vinod Agrawal
Designation :	Director
Address :	31/291 Opposite Telephone Exchange, Civil Line, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	01.05.1960
Date of Appointment :	01.11.2002
Date of Ceasing :	26.12.2006
Name :	Mr. Shaligram Nagelia
Designation :	Director
Address :	G-3, Ashoka Park, Shankar Nagar, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	08.01.1964
Date of Appointment :	01.11.2002
Date of Ceasing :	09.12.2006
Name :	Mr. Devendra Agrawal
Designation :	Director
Address :	15-64, Jawahar Nagar, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	13.05.1969
Date of Appointment :	01.01.2004
Date of Ceasing :	26.12.2006
Name :	Mr. Vijit Agrawal
Designation :	Director
Address :	Opposite Telephone Exchange, Civil Line, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	28.08.1980
Date of Appointment :	02.02.2004
Name :	Mr. K. C. Kukaraiti
Designation :	Director
Address :	HIG – 11, 84 Sector – 4, Dindayal Upadhyay Nagar, Raipur – 492001, Chattisgarh, India
Date of Birth/Age :	27.03.1942
Date of Appointment :	26.12.2006

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(As on 17.09.2007)

Names of Shareholders	No. of Shares
Gopal Prasad Agrawal	158700
Ashok Kumar Agrawal (HUF)	60040
Ashok Kumar Agrawal	52460
Gopal Prasad Agrawal (HUF)	167300
Niranjan Agrawal	260
Chandsubhash Agrawal	34320
Subhash Chand	55440
Shakuntlal Agrawal	51900
Vandana Rolling Mills Limited	502400
Vandana Forgings Limited	634870
Anmol Agrawal	22900
Pratham Agrawal	26300
Pratik Agarwal	30860
Vijit Agrawal	21300
Vinod Agrawal	686
Vishesh Agrawal	21400
Prachi Agrawal	20400
Varun Agrawal	350
Akriti Agrawal	33160
Ankita Agrawal	340
Niranjan Agrawal (HUF)	15300

(As on 31.03.2007)

Category	Percentage
Bodies Corporate	91.00
Directors or relatives of director	9.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Sponge Iron, Billets, Power , Ferro Alloys, Ferro Manganese, Metal Ferro Manganese, Silico Manganese, Metal Silico Manganese, etc.
Exports :
Products :	Finished Goods
Countries :	Indonesia UAE
Terms :
Selling :	L/C and Cash
Purchasing :	L/C, Cash

GENERAL INFORMATION

Customers :

• End Users
• OEM’s

No. of Employees :

600 (Office – 50, Factory – 550)

Bankers :

• Oriental Bank of Commerce,

Rajbandha Maidan, Raipur – 492001, Chattisgarh, India

• HDFC Bank, Raipur Branch
• HSBC Bank, Raipur Branch

Facilities :

CC – Rs.190.000 Millions

Secured Loans	31.03.2007 (Rs. In Millions)
Cash Credit – From Oriental Bank of Commerce	64.003
Cash Credit – From Indian Overseas Bank	0.033
Cash Credit – From IDBI Bank	0.000
Term Loan – From OBC I and II	23.459
Term Loan – From Indian Overseas Bank	40.828
Term Loan – From OBC (Exp. Project) (In Consortium)	580.198
Term Loan - From OBC (Exp. Project) (In Consortium)	300.248
Term Loan – From The J and K Bank Limited (Exp. Project) (In Consortium)	271.835
Heavy Vehicles Loan from ICICI Bank Limited	0.661
Total	1281.265
Unsecured Loans	31.03.2007 (Rs. In Millions)
Deposits From Body Corporate	20.484
Defered Sales Tax Liability	1.318
Total	21.802

Banking Relations :	Satisfactory
Auditors :
Name :	Bamb Taori and Company Chartered Accountant
Address :	B-36/5, Shailendra Nagar, Near Vidhayak Niwas, Raipur – 492001, Chattisgarh India
Group Companies/ Associates :	Vandana Global Limited, Siltara, Raipur Vandana Vidhut Limited, Bilaspur Vandana Industries Limited, Urla, Raipur (Plastic Division) Vandana Rolling Mills, Urla, Raipur Vandana Udyog Limited, Raipur Orissa Concrete Limited, Raipur Vandana Ispat Ltd., Urla, Raipur. Shivalik Udyog (I) Limited, Urla, Raipur Vandana Energy Limited, Raigarh Vandana Auto Limited, Raipur Vandana Plantation, Raipur

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
8985653	Equity Shares	Rs.10/- each	Rs.89.857 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		89.857	81.125	66.499
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		671.870	524.674	355.228
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		761.727	605.799	421.727
LOAN FUNDS
1] Secured Loans		1281.265	736.348	351.226
2] Unsecured Loans		21.803	1.408	1.396
TOTAL BORROWING		1303.068	737.756	352.622
DEFERRED TAX LIABILITIES		79.421	71.526	38.868
TOTAL		2144.216	1415.081	813.217
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		443.464	411.287	369.323
Capital work-in-progress		1503.380	837.104	173.224
INVESTMENT		6.338	6.155	0.525
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	116.035	95.570	111.525
	Sundry Debtors	55.955	44.005	46.140
	Cash & Bank Balances	6.024	3.123	2.960
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	189.074	301.257	247.745
Total Current Assets		367.088	443.955	408.370
Less : CURRENT LIABILITIES & PROVISIONS
	Current Liabilities	173.984	283.352	130.699
	Provisions	2.288	0.319	7.810
Total Current Liabilities		176.272	283.671	138.509
Net Current Assets		190.816	160.284	269.861
MISCELLANEOUS EXPENSES		0.218	0.251	0.284
TOTAL		2144.216	1415.081	813.217

PROFIT & LOSS ACCOUNT

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
Sales Turnover		853.155	832.293	922.384
Other Income		25.193	1.282	2.538
Total Income		878.348	833.575	924.922
Profit/(Loss) Before Tax		87.511	77.449	91.330
Provision for Taxation		0.000	29.454	30.696
Profit/(Loss) After Tax		87.511	47.995	60.634
Expenditures :
	Raw Material Consumed	465.965	429.745	455.711
	Consumption of stores and spares parts	0.000	0.000	25.215
	Increase/(Decrease) in Finished Goods	(25.220)	(9.659)	5.757
	Salaries, Wages, Bonus, etc.	21.011	23.573	19.996
	Managerial Remuneration	0.450	0.360	0.000
	Payment to Auditors	0.155	0.155	0.135
	Interest	19.816	11.351	11.329
	Insurance Expenses	1.372	1.105	0.853
	Power & Fuel	176.566	186.888	91.399
	Depreciation & Amortization	64.009	59.341	33.451
	Other Expenditure	66.713	53.267	189.746
Total Expenditure		790.837	756.126	833.592

KEY RATIOS

PARTICULARS		31.03.2007	31.03.2006	31.03.2005
PAT / Total Income	(%)	9.96	5.76	6.56
Net Profit Margin (PBT/Sales)	(%)	10.26	9.31	9.90
Return on Total Assets (PBT/Total Assets}	(%)	10.80	9.06	11.74
Return on Investment (ROI) (PBT/Networth)		0.11	0.13	0.22
Debt Equity Ratio (Total Liability/Networth)		1.94	1.69	1.16
Current Ratio (Current Asset/Current Liability)		2.08	1.57	3.47

LOCAL AGENCY FURTHER INFORMATION

Additional Requirement of Indiamart for Trust-Seal

Service Tax No. : AAACV2018E ST 001

Excise Registration No.: AAACV2018E XM 001

VAT / TIN : 22261201766

IEC Code : 1196000077

PAN / TAN : AAACV2018E

Bank Name : Oriental Bank of Commerce

Bank Address : Raipur Branch

Bank A/c. No.: 01884010000210

Account Since : 1996

Trade Reference:

• Jindal Steels Limited, Raighad
• Bhushan Power Limited
• Steel Authority of India Limited

Fixed Assets:

• Lease Hold Land
• Free Hold Land
• Land Development Expenses
• Building
• Plant and Machinery
• Furniture and Fixture
• Computers
• Vehicles
• Heavy Vehicles

Expansion:

The 3^rd phase expansion project which includes enhancement in capacity of sponge Iron, induction furnace and power Plant and Installment of Ferro Alloys Plant, which was undertaken in earlier years, have been installed. During the financial year 2006-2007, company has successfully completed the installation of concast Plant and One Induction Furnace out of two Induction Furnace. The Concast Plant has started commercial production on 15.05.2006 and the new induction furnace plant has started commercial production on 16.03.2007.

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.47.18
UK Pound	1	Rs.75.05
Euro	1	Rs.60.89

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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