MIRA INFORM REPORT

Report Date :

23.09.2008

IDENTIFICATION DETAILS

Name :	MAXCOOL TECHNOLOGIES (INDIA) PRIVATE LIMITED
Registered Office :	124, Vardhman Industrial Complex, Gokul Nagar, Thane (West), Thane – 400 601, Maharashtra
Country :	India
Date of Incorporation :	21.03.2003
Com. Reg. No.:	139656
CIN No.: [Company Identification No.]	U2919MH2003PTC139656
TAN No.: [Tax Deduction & Collection Account No.]	PNEM07459E
PAN No.: [Permanent Account No.]	AADCM5969Q
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Air conditioning Parts

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/normal.	Small

Maximum Credit Limit :	----
Status :	Small company
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject seems to be an old and established company, but its latest financials are missing from the government registry. We tried to obtain required details from the management, but the management could provide us with latest financials despite several promises. However, we are continuing our efforts and if they provide, we shall send a. Payments are reported as usually correct and as per commitments. In view of the non availability of latest the company can be considered for small to mediocre business dealings at usual trade terms. The company has not filed any financials with the Government departments till date and the Management declined to part the same.

INFORMATION PARTED BY

Name :	Ms. Prathana
Designation :	Accountants
Date :	22.09.2008

LOCATIONS

Registered Office :	124, Vardhman Industrial Complex, Gokul Nagar, Thane (West), Thane – 400 601, Maharashtra, India
Tel. No.:	91-22-21721738 / 21722050/ 25398277 / 27618405
Mobile No.:	91-9930310469 / 9819444994
Fax No.:	91-22-21722050 / 25451738
E-Mail :	maxcooltech_bom@yahoo.co.in gvkr_maxcooltech@yahoo.co.in
Area :	2000 Sq. ft.
Location :	Rented
Administrative office:	Office No. 5 Ground Floor Swastik Plaza Near Voltas, Pokharan Road No.2., Thane – 400 606, Maharashtra
Factory 1 :	Plot No. A-737/1, ITC Industrial Area, Khairne, Navi, Mumbai – 400 710, Maharashtra
Tel. No.:	91-22-27780901
Location :	Rented
Factory 2:	Khasra Plot No.1388, Village, Chharba Langa Road, Pargana Pachhwadun, District Dehradun -248 001
Tel. No.:	91-135-2697870
Location :	Rented

DIRECTORS

Name :	Mr. G V K Rao
Designation :	Director
Date of Birth/Age :	05.11.1964
Qualification :	Engineer
Name :	Mr. V K Kumar
Designation :	Director
Date of Birth/Age :	08.06.1956
Qualification :	Engineer
Name :	Mr. Chetan Bapat
Designation :	Director
Address :	95/96, Building No. 11, Vijay Nagari, Waghabil Naka, Ghodbunder Road, Thane (West) - 400 601, Maharashtra, India
Date of Birth/Age :	23.01.1972
Qualification :	Marine Engineer
Date of Appointment :	02.03.2004
Name :	Mr. Sathakirti Rao
Designation :	Director
Date of Birth/Age :	25.01.1940
Name :	Mr. S Sridhar Babu
Designation :	Director
Address :	Mitta Street, Tirupati (Post), Chittor (Dist) – 517 501, Andhra Pradesh, India
Date of Appointment :	02.03.2004
Name :	Mr. Vijaukumar Ramkishan Gupta
Designation :	Director
Address :	E-318, Dheraj Savera, Opp. Siddharth Nagar, Off Western Express Highway, Borivili (East), Mumbai – 400 066, Maharashtra, India
Date of Birth/Age :	15.02.1977
Qualification :
Date of Appointment :	07.03.2007
Name :	Mr. Venkata Hari Prasad Bethamcherla
Designation :	Director
Address :	12/302, Siddhachal Pokharan Road No. 2, Thane – 400 602, Maharashtra, India

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

List of Allotment

Names of Allottees	No. of Shares
R D Grover	200000
Bhaurao Ghuge	40000
B V H Prasad	50000
C Latha	50000
V V Rao	25000
P Padmavati	25000
K Padmaja	30000
Chetan Bapat	25000
Total	445000

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Air conditioning Parts
Exports :
Products :	All products
Countries :	· Maldives · China · Srilanka
Imports :
Products :	Machinery, Raw Materials
Countries :	· Germany · France · China
Terms :
Selling :	L/C and Credit (30 days / 60 days / 90 days)
Purchasing :	L/C

GENERAL INFORMATION

Customers :	· Manufacturer · Wholesalers · Retailers
No. of Employees :	55 (In Office 25 and In Factory 30)
Bankers :	State Bank of India Wagle Industrial Estate Branch, Thane – 400 604, Maharashtra, India
Facilities :	CC Rs.13.000 millions

Banking Relations :	Satisfactory
Auditors :
Name :	· R G Mule and Company Chartered Accountants · Mandar K Patil and Company Chartered Accountants

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
1750000	Equity shares	Rs.10/- each	Rs. 17.500 millions

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
Sales Turnover	38.800

Expected Sales (2008-09) : Rs.40.000 millions

LOCAL AGENCY FURTHER INFORMATION

Trade Reference:

· Mandanpalli Institute of Science, Andhra Pradesh

· CMS Computers, Andheri

· Quality Cine Labs Private limited, Andheri

Form No. 8

Name of the company

MAXCOOL TECHNOLOGIES (I) PRIVATE LIMITED

Presented By

State Bank of India

Wagle Indl. Estate Branch, Thane – 400 604

1) Date and description of instrument creating the change

· General Agreement for the grant of Small Industrial Advances and Hypothecation of Movables, Bookdebts and other assets (WCF)

· Ancillary Agreement No. 1

· Ancillary Agreement No. 6

All the above agreements are dated 24.01.2004 and executed for the creation of a single charge.

2) Amount secured by the charge/amount owing on the securities of charge

Rs.8.500 millions

DCC (Stocks and Bookdebts)	Rs.2.500 millions
Letters of Credit and Guarantees	Rs.6.000 millions
Total	Rs.8.500 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 present and future goods, bookdebts, movables and other assets of the Borrower, including document of title to goods and other assets such as outstanding moneys, receivables, claims, bills, invoice documents, contracts, engagement securities, investment and rights and all present and future machinery, inventory and other assets and bills discounting.

4) Gist of the terms and conditions and extent and operation of the charge.

ROI : 1.75% over the State Bank of India Advances Rate with a min. of 12% monthly rest.

Margin

Raw Material : 25%

Consumable : 50%

Work in Progress : 40%

Finished Goods : 33%

Bookdebts : 40%

(Retention period 45 days)

Letters of Credit : 25%

Guarantee : 25%

5) Name and Address and description of the person entitled to the charge.

State Bank of India

Wagle Industrial Estate Branch, Thane – 400 604

6) Date and brief description of instrument modifying the charge

Supplemental General agreement for the grant of Small Industrial Advances and Hypothecation of goods, bookdebts and other assets (WCF)

Ancillary Agreement No. 1

Ancillary Agreement No. 6

All the above agreements are dated 23.03.2005 and executed for the creation of a single modification.

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.

The original charge was created on 24.01.2004 for Rs.8.500 millions. 1stly modified on 27.01.2004 by giving an additional collateral security. 2ndly modified on 19.08.2004 for Rs.16.500 millions. Now by the present modification dated 23.03.2005 the limit increased by Rs.17.000 millions making total Rs.33.500 millions. The limits are as follows :

DCC (Stocks and Bookdebts)	Rs.19.000 millions
Bank Guarantee	Rs.2.000 millions
Letters of Credit	Rs.12.500 millions
Total	Rs.33.500 millions

ROI :

1.50% over the State Bank of India Advance Rate with a min. of 11.75% at monthly rest.

Margin:

Raw Material : 25%

Finished goods : 33.33%

Stock in process : 40%

Bookdebts : 40%

Bank Guarantee : 25%

Letter of Credit : 25%

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 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.45.40
UK Pound	1	Rs.83.15
Euro	1	Rs.65.74

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	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	NO
--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