MIRA INFORM REPORT

Report Date :

11.04.2011

IDENTIFICATION DETAILS

Name :	INNOVA SYSTEMS (INDIA) PRIVATE LIMITED
Formerly Known As :	Printer Plus Services PRIVATE LIMITED
Registered Office :	4, Samyak, Gitabaug Society, Opposite Suvidha Shopping Center, Paldi Ahmedabad – 380007, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	10.04.1995
Com. Reg. No.:	04-25432
CIN No.: [Company Identification No.]	U72200gj1995ptc025432
TAN No.: [Tax Deduction & Collection Account No.]	AHMI00618C
Legal Form :	Private Limited Liability Company
Line of Business :	Designer and Distributors of Computer Infrastructure products and services

RATING & COMMENTS

MIRA’s Rating :

B (29)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 12000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small to mediocre business dealings with slight caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION PARTED BY

Name :	Mr. Jatin Desai
Designation :	Business Manager
Contact No.:	91-9825046368
Date :	09.04.2011

LOCATIONS

Registered Office :	4, Samyak, Gitabaug Society, Opposite Suvidha Shopping Center, Paldi Ahmedabad – 380007, Gujarat, India
Tel. No.:	91-79-26650423/ 26650026/ 26561011
Mobile No.:	91-9825068683
Fax No.:	91-79-26650453 / 65458003
E-Mail :	pranav07shah@yahoo.co.in info@innova-india.com roopalcs2001@gmail.com
Website :	www.innova-india.com
Area :	220 Sq. yards
Location :	Owned

DIRECTORS

As on 29.09.2010

Name :	Mrs. Uravashi Jagdish Dave
Designation :	Director
Address :	4, Samyak, Gitabaug Society, Opposite Suvidha Shopping Center, Paldi Ahmedabad – 380007, Gujarat, India
Date of Birth/Age :	31.10.1950
Qualification :	Ba
Date of Appointment :	18.11.1996
E-Mail:	roopalcs2001@gmail.com
Name :	Mr. Jagdish Chimanlal Dave
Designation :	Director
Address :	4, Samyak, Gitabaug Society, Opposite Suvidha Shopping Center, Paldi Ahmedabad – 380007, Gujarat, India
Date of Birth/Age :	21.05.1946
Qualification :	Ba, LLb
Date of Appointment :	21.09.2003
E-Mail:	roopalcs2001@gmail.com

KEY EXECUTIVES

Name :	Mr. Apurva
Designation :	Chief Executive Officer
Name :	Ms. Komal
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2010

Names of Shareholders	No. of Shares
Apurva J Dave	14990
Jenifer K. Bhujwala	10
Urvashi J. Dave and Jagdish Dave	72000
Ashish J. Dave and Jagdish Dave	40
Apurva J. Dave and Urvashi Dave	900
Nital R Trivedi and Apurva J Dave	2000
Jadish A. Dave and Ashish J. Dave	40
Aiki Satish Snah	10
Sharina Satish Snah	10
Jagdish Dave and Urvashi Dave	10000
Total	100000

 As on 29.09.2010

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Distributors of Computer Infrastructure products and services
Agencies Held :	Clasco Microsoft HP Sony Numeric APC
Terms :
Selling :	Cash, Credit (30-60-90 days)
Purchasing :	Cash, Credit (30-60-90 days)

GENERAL INFORMATION

Customers :

Government Bodies and Corporates

No. of Employees :

30 (Approximately)

Bankers :

· Nutan Nagarik Sahakari Bank Limited

Central Office, Near Samartheshwar Mahadev, Near Law Garden, Ellisbridge, Ahmedabad – 380006, Gujarat, India

· Nagarik Sahakari Bank Limited

· Ahmedabad District Co-Operative Bank

· Bank of India

· The Mehsana Urban Co. Op Bank

· Bank of India, Paldi Branch

Facilities :

Secured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
Nutan Nagarik Sahakari Bank Limited (Cash Credit secured against Hypothecation of Books- Debts and against personal Guarantor of Director)	0.005	0.010
Bank of India (Vehicle Loan)	0.713	0.000
Nutan Nagarik Sahakari Bank Limited	1.275	0.000
Nutan Nagarik Sahakari Bank Limited	0.024	0.000
Total	2.018	0.010
Unsecured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Directors	4.868	1.540
Total	4.868	1.540

Banking Relations :

---

Auditors :

Name :

Naimish N Shah and Company

Chartered Accountants

Address :

Shree Ganesh, B/3, Tirupati Apartment, 3^rd Floor, B/H Old Gujarat High Court, Navrangpura, Ahmedabad – 380 009, Gujarat, India

Tel. No.:

91-79-27546336

Fax No.:

91-79-27540736

E-Mail :

pranav_07@dataone.in

pranav07shah@yahoo.co.in

CAPITAL STRUCTURE

As on : 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.10/- Each	Rs.1.000 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
100000	Equity Shares	Rs.10/- Each	Rs.1.000 million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		1.000	1.000	0.200
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		1.904	1.132	0.871
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2.904	2.132	1.071
LOAN FUNDS
1] Secured Loans		2.018	0.010	0.000
2] Unsecured Loans		4.868	1.540	1.241
TOTAL BORROWING		6.886	1.550	1.241
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		9.790	3.682	2.312
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.235	0.491	0.650
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.094	0.052	0.083
DEFERREX TAX ASSETS		0.037	0.028	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	2.293	4.308	0.019
	Sundry Debtors	28.656	20.998	6.729
	Cash & Bank Balances	1.816	2.876	3.367
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1.625	1.273	0.438
Total Current Assets		34.390	29.455	10.553
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	22.836	25.012	8.199
	Current Liabilities	1.824	1.332	0.785
	Provisions	1.306	0.000	0.000
Total Current Liabilities		25.966	26.344	8.984
Net Current Assets		8.424	3.111	1.569
MISCELLANEOUS EXPENSES		0.000	0.000	0.010
TOTAL		9.790	3.682	2.312

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2010	31.03.2009	31.03.2008
	GROSS INCOME	340.449	86.046	40.112
	PROFIT BEFORE TAX	1.041	0.470	0.259
Less	TAX	0.269	0.210	0.127
	PROFIT AFTER TAX	0.772	0.260	0.132
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	1.091	0.831	0.698
	BALANCE CARRIED TO THE B/S	1.864	1.091	0.831
	Earnings Per Share (Rs.)	--	2.60	6.63

Expected Sales (2010-2011) : Rs. 500.000 millions

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Return on Total Assets (PBT/Total Assets}	(%)	2.92	1.57	2.29
Return on Investment (ROI) (PBT/Networth)		0.35	0.22	0.24
Debt Equity Ratio (Total Liability/Networth)		11.31	13.08	9.55
Current Ratio (Current Asset/Current Liability)		1.32	1.12	1.17

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2010	31.03.2008	31.03.2008
	(Rs. In Millions)
Sundry Creditors
- For Goods	22.601	14.280	6.513
- For Expenses	0.145	2.545	0.454
- For Other Advances	0.090	8.187	1.232
Total	22.836	25.012	8.199

ACTIVITY AND OPERATION :

The company has made a significant progress during the year. The turnover of the company has increased to Rs. 340.500 millions during the current year from Rs. 86.000 millions during the previous year. The progress in business is dedicated to the efforts of marketing team.

The company has an exclusive H. P. World Retail Division functioning near S. G. Highway in Ahmedabad during the year. The Profit after Tax (PAT) has also increased to Rs. 0.772 millions during the financial year 2009-10 from Rs. 26.000 millions during the financial year 2008-09.

TRADE REFERENCES :

• Troikaa Pharmaceuticals Limited

· Meghmani Organics Limited

· Ramky Infrastructures Limited

FORM 8

Corporate identity number of the company	U72200GJ1995PTC025432
Name of the company	INNOVA SYSTEMS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	4, Samyak, Gitabaug Society, Opp. Suvidha Shopping Centre, Paldi, Ahmedabad – 380007, Gujarat, India
This form is for	Modification of charge
Type of charge	Others
Particular of charge holder	Nutan Nagarik Sahakari Bank Limited, Central Office, Nr. Samartheshwar Mahadevji,, Nr. Law Garden, Ellisbridge, Ahmedabad – 380006, Gujarat, India
Nature of instrument creating charge	Supplemental Deed Of Hypothecation Of Goods And/Or Book Debts Dated 27/01/2011
Date of instrument Creating the charge	27/01/2011
Amount secured by the charge	Rs. 6.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest : 12.50% Terms of repayment : Limits Are Subject To Review On Yearly Basis. Margin : 30.00% Extent and operation of the charge : First And Exclusive Charge On All The Stock Of Computers, Printers, Peripherals Etc. Of The Company And Book Debts (Present And Future) To Secure The Cash Credit Facilities Along With Interest, Accrued Interest, Commission Costs And Charges Etc. Other : (1) Personal Guarantee Of (1.01) Apurva Jagdishbhai Dave (1.02) Ashish Jagdishbhai Dave (1.03) Nital Apurva Dave (1.04) All Directors Of The Company. (2) Investment In Shares Of The Bank For An Amount Of Rs. 1,00,000/-. (3) Subject To Pledge Of Fdr And Lic Policies With Surrender Value Aggregating To Rs. 8,00,000/- As An Additional Security.
Short particulars of the property charged (Including location of the property)	The Charge Is Seucred Against Stocks Of The Borrower Company Like Computers, Printers, Peripherals Etc. Lying At 4, Samayak, Gitabaug Society, Paldi, Ahmedabad-380 007 Godown/S Or Any Other Place Along With All The Book Debts (Present And Future) Belonging To The Company.
Date of instrument modifying the charge	02/04/2010
Particulars of the present modification	The Cash Credit Limit Of Rs. 40,00,000/- Against Hypothecation Of Goods And/Or Book Debts Dated 02/04/2010 Has Been Modified On 27/01/2011 And Increased For Rs. 40,00,000/- To Rs. 65,00,000/- As A Temporary Basis.

FIXED ASSETS:

· Furniture and Fixture

· Refrigerator

· Water purifier

· Pagers

· EPBAX

· Fax

· Computers

· Tools and Equipment

· Motor Car

· Scooter

· Mobile Phone Purchase

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. 44.04
UK Pound	1	Rs. 72.19
Euro	1	Rs. 63.40

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--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	NO
--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	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
-	NB	New Business	-

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.