MIRA INFORM REPORT

Report Date :

03.12.2011

IDENTIFICATION DETAILS

Name :	GEA WESTFALIA SEPARATOR INDIA PRIVATE LIMITED (w.e.f. 24.06.1985) GEA FARM TECHNOLOGIES (DIVISION OF GEA WESTFALIA SEPARATOR INDIA PRIVATE LIMITED)
Formerly Known As :	WESTFALIA SEPARATOR INDIA PRIVATE LIMITED
Registered Office :	201, Competent Housenagal Ray Business Center, New Delhi – 110046
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	26.09.1989
Com. Reg. No.:	037818
Capital Investment / Paid-up Capital :	Rs.103.365 Millions
CIN No.: [Company Identification No.]	U74899DL1989PTC037818
TIN No.:	07860155781
PAN No.: [Permanent Account No.]	AAACW0197M
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Supplier of GEA Milking and Cooling Equipment, Youngstock Equipment, Dairy Design Services, Manure System and Barn Equipment as well as Spare Parts for these systems.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 1600000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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. Praveen Bharatdwaj
Designation :	Accounts Department
Contact No.:	91-9650157773
Date :	01.12.2011

LOCATIONS

Registered Office :	201, Competent Housenagal Ray Business Center, New Delhi – 110046, India
Tel. No.:	91-11-47549999
Mobile No.:	91-9650157773 (Mr. Praveen Bharatdwaj)
Fax No.:	91-11-28522083
E-Mail :	info.win@geagroup.com sanjay.kumar@geagroup.com cristof.koch@geagroup.com markus.huellmann@geagroup.com
Website :	http://www.geagroup.com http://www.westfalia-india.com
Head Office/ Factory :	B – 33, Phase 1, Mayapuri Indu, New Delhi – 110064, India
Tel. No.:	91-11-45613300
Fax No.:	91-11-45613310

DIRECTORS

(AS ON 31.03.2010)

Name :

Mr. Ashok Kumar Narula

Designation :

Managing Director

Address :

C-5/2, 1^st Floor, Grand Vasant, Vasant Kunj, New Delhi - 110070, Delhi, India

Date of Appointment :

21.03.2002

DIN No.:

00765062

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74899DL1989PTC037818	GEA WESTFALIA SEPARATOR INDIA PRIVATE LIMITED	Managing director	21/03/2002	21/03/2002	Active	NO
2	U51505DL2008FTC177844	WESTFALIASURGE INDIA PRIVATE LIMITED	Director	8/5/2008	8/5/2008	Strike off	NO

Name :

Mr. Ashwin Kumar Julka

Designation :

Director

Address :

145, Vista Villas, Green Wood City, Sector -46, Gurgaon- 122001, Haryana, India

Date of Appointment :

01.04.2008

DIN No.:

00113409

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U33116HR2005FTC035844	RICHARD WOLF INDIA PRIVATE LIMITED	Alternate director	15/09/2005	15/09/2005	Active	NO
2	U74899DL1989PTC037818	GEA WESTFALIA SEPARATOR INDIA PRIVATE LIMITED	Director	1/4/2008	1/4/2008	Active	NO
3	U29219AP1997PTC027696	NIEHOFF OF INDIA PRIVATE LIMITED	Director	31/08/2011	2/3/2011	Active	NO
4	U74899DL1989PTC036596	INTEC HOLDINGS PRIVATE LIMITED	Additional director	17/10/2011	17/10/2011	Active	NO

Name :

Mr. Markus Josef Huellmann

Designation :

Director

Address :

Schoenhofstrasse 7, Rheda- Wiedenbrueck -33378, Germany

Date of Birth/Age :

29.07.1968

Date of Appointment :

15.09.2011

DIN No.:

03620018

Name :

Mr. Christof Koch

Designation :

Director

Address :

Schulstrasse 3, Freilingen 56244, Germany

Date of Birth/Age :

12.12.1965

Date of Appointment :

15.09.2011

DIN No.:

03620391

KEY EXECUTIVES

Name :	Mr. Sanjay Kumar
Designation :	Company Secretary
Address :	O-6 Sri Niwas Puri, New Delhi – 110065, India
Date of Appointment :	17.04.1995
PAN No.:	AAEPK5129N
Name :	Mr. Praveen Bharatdwaj
Designation :	Accounts Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

NOT AVAILABLE

BUSINESS DETAILS

Line of Business :	Manufacturer and Supplier of GEA Milking and Cooling Equipment, Youngstock Equipment, Dairy Design Services, Manure System and Barn Equipment as well as Spare Parts for these systems.
Terms :
Selling :	Cash and Credit (30 days)
Purchasing :	Cash and Credit (30 days)

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Purifying machine (Decanter Centrifuge) if Skid Manufacturing is In House	Nos.	NA	100	94
Purifying machine (Decanter Centrifuge) if Skid Manufacturing is Not In House	Nos.	NA	150	--
Purifying machine (Skid Manufacturing)	Nos.	NA	50	27

GENERAL INFORMATION

Customers :

Retailers and Others

No. of Employees :

Not Available

Bankers :

Royal Bank of Scotland, Delhi

Facilities :

Secured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
From Banks
Vehicles Loans	0.070	0.854
Total	0.070	0.854
Note: Vehicles loan from HDFC Bank is secured by hypothecation of the vehicles that have been acquired. Amount due within one year Rs.0.070 Million.
Unsecured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
Bank Overdraft	22.352	0.000
Total	22.352	0.000
Note: The overdraft of Rs.22.352 Millions from ABN Amro Bank is secured by a corporate guarantee provided by GEA Westfalia Germany, the holding company. Amount due within one year Rs.22.352 Millions

Banking Relations :	--
Auditors :
Name :	Deloitte Haskin and Sells Chartered Accountant
Address :	7^th Floor, Building 10, Tower B, Gurgaon – 122002, Haryana, India
Tel No.:	91-124-6792000
Fax No.:	91-124-6792012
PAN No.:	AABFD2095B
Holding Company :	GEA Westfalia Separator GMBH, Germany
Fellow Subsidiary :	· GEA Westafalia Separator Systems GmbH · GEA Westfalia Separator Process GmbH · GEA Westfalia Separator Production GmbH · GEA WestfaIia Surge Deutscheland GmbH · GEA Farm Technologies GmbH · GEA Westfalia Surge Inc · GEA Westfalia Surge Shanghai Diary Equipments · GEA Westfalia Surge JAPY SAS · GEA Westfstlia Surge do Brasif- Ind. · GEA Westfalia Separator Netherland B.V. · GEA Ecoflex India Private Limited · GEA Westfalist Separator (S.E,A) Pte Limited · GEA Westfalia Separator Mexicana S.A.de.CV · GEA IT Services GmbH · GEA Process Engineering India Private Limited

CAPITAL STRUCTURE

(AS ON 31.03.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
11,000,000	Equity Share	Rs.10/- each	Rs.110.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,336,500	Equity Share	Rs.10/- each	Rs.103.365 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		103.365	103.365
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		309.005	263.443
4] (Accumulated Losses)		0.000	0.000
NETWORTH		412.370	366.808
LOAN FUNDS
1] Secured Loans		0.070	0.854
2] Unsecured Loans		22.352	0.000
TOTAL BORROWING		22.422	0.854
DEFERRED TAX LIABILITIES		4.293	0.000
TOTAL		439.085	367.662
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		225.014	77.558
Capital work-in-progress		9.643	10.038
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	3.085
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	110.928	109.744
	Sundry Debtors	118.816	91.443
	Cash & Bank Balances	24.022	176.025
	Other Current Assets	0.727	1.185
	Loans & Advances	39.101	39.200
Total Current Assets		293.594	417.597
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	71.070	119.415
	Other Current Liabilities	15.189	18.373
	Provisions	2.907	2.828
Total Current Liabilities		89.166	140.616
Net Current Assets		204.428	276.981
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		439.085	367.662

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	GROSS SALES AND OTHER INCOME		376.800	356.800
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		67.200	96.300
Less/ Add	DEPRECIATION/ AMORTISATION		(3.100)	8.400
	PROFIT BEFORE TAX		70.300	87.900
Less	TAX		24.700	32.900
	PROFIT AFTER TAX		45.600	55.000
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		155.100	100.100
	BALANCE CARRIED TO THE B/S		200.700	155.100
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	155.380	120.441
		Commission Earnings	62.834	90.733
		Service Income	13.612	14.551
		Interests Income	1.938	2.356
	TOTAL EARNINGS		233.764	228.081
	IMPORTS
		Raw Materials	61.990	96.399
		Finished Goods	34.294	22.864
		Capital Goods	1.727	2.156
	TOTAL IMPORTS		98.011	121.419
	Earnings Per Share (Rs.)		4.41	27.74

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009
Return on Total Assets (PBT/Total Assets}	(%)	13.56	17.75
Return on Investment (ROI) (PBT/Networth)		0.17	0.24
Debt Equity Ratio (Total Liability/Networth)		0.27	0.39
Current Ratio (Current Asset/Current Liability)		3.29	2.97

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	------
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last three years	Yes
Profitability for last three years	No
Reasons for variation <> 20%	No
Estimation for coming financial year	No
Capital in the business	Yes
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payments Terms	No
Export/ Imports Details (If applicable)	No
Market Information	------
Litigations that the firm/ Promoters Involved in	------
Banking details	Yes
Banking Facility Details	No
Conduct of the Banking Account	------
Buyer visit details	------
Financials, if provided	Yes
Incorporation details is applicable	------
Last Accounts filed at ROC	------
Major Shareholders, if available	------

BUSINESS PERFORMANCE AND OUTLOOK

The performance of the company during the year was satisfactory. Despite very competitive environment, the company registered a 7.5% increase in sales. There has been an increase in sales from Rs.344.800 Millions in previous year to Rs.370.500 Millions in current year through high profitability could not be maintained. The company manufactured over one hundred decanters in various configurations as well as produced over sixty mineral oil modules. In order to develop more and more components in-house, the company acquired a WFL Milturn machine by making a significant investment. The machine now operates on two-shift basis. The company is reviewing its strategy to capture a larger share in the home market of decanters for various applications.

The Company has changed method of depreciation from written down value method to straight line method. This resulted in write back of depreciation of Rs.13.400 Millions

BACKGROUND

Subject was incorporated in India on September 26, 1989 to manufacture, buy, sell and service centrifugal equipment including separators, mixers, clarifiers, decanters, defoaming, pumps, aerators and rotary brush strainers and cyclones used for beverage technology, diary technology, oils and fats processing, industrial biotechnology, chemicals industry, pharmaceuticals industry, biotech industry etc. The company is closely held with 10,336,490 shares held by GEA Westfalia Separator GmbH and the balance 10 shares held by GEA Westfalia Separator MOS, GmbH.

The accompanying financial statements reflect the results of the activities undertaken by the Company during the year ended March 31, 2010.

FIXED ASSETS

· Freehold Land

· Building

· Plant and Machinery

· Furniture and Fixture

· Office Equipment

· Computers

· Vehicles

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.51.65
UK Pound	1	Rs.81.06
Euro	1	Rs.69.51

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	NO
--AFFILIATION	YES/NO	NO
--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	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.