MIRA INFORM REPORT

Report Date :

05.12.2011

IDENTIFICATION DETAILS

Name :	LOTUS SHIELDERS (INDIA) PRIVATE LIMITED (w.e.f.02.07.1997)
Formerly Known As :	SYNERGIC SAFETY TECHNOLOGIES PRIVATE LIMITED
Registered Office :	H. No.1-7-34/1, Road No. 17, Chaitanyapuri, Hyderabad-500060, Andhra Pradesh
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	27.01.1995
Com. Reg. No.:	019294
Capital Investment / Paid-up Capital :	Rs. Millions
CIN No.: [Company Identification No.]	U99999AP1995PTC019294
TAN No.: [Tax Deduction & Collection Account No.]	HYDL00521D
PAN No.: [Permanent Account No.]	AAACL3927A
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Industrial Safety Shoes
No. of Employees :	Not Available

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 41052
Status :	Moderate
Payment Behaviour :	Slow But Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some losses being incurred by the company in the current year. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for business dealings with some 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 – 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

LOCATIONS

Registered Office :	H. No.1-7-34/1, Road No. 17, Chaitanyapuri, Hyderabad-500060, Andhra Pradesh, India
Tel. No.:	91-40-24057902
E-Mail :	mvshyd@yahoo.com jootshields@yahoo.com
Factory/ Warehouse/ Administrative Office :	D-9, Industrial Estate, Patancheru, Medaj, Hyderabad-502319, Andhra Pradesh, India
Tel. No. :	91-8455-246320/243278

/DIRECTORS

AS ON 30.09.2011

Name :	Mr. Suri Ramu
Designation :	Managing Director
Address :	1-7-34/1 First Floor, Chaitanyapuri, Hyderabad-500060, Andhra Pradesh, India
Date of Birth/Age :	20.05.1958
Date of Appointment :	27.01.1995

Directorship in Other Companies :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U99999AP1995PTC019294	LOTUS SHIELDERS (INDIA) PRIVATE LIMITED	Managing director	20/06/2011	27/01/1995	-	Active	NO
2	U72200AP2007PLC053488	METAMAX COMMUNICATIONS LIMITED	Additional director	01/10/2010	01/10/2010	-	Active	NO

Name :	Mr. Suri Anupamaa
Designation :	Director
Address :	1-7-34/1 First Floor, Chaitanyapuri, Hyderabad-500060, Andhra Pradesh, India
Date of Birth/Age :	24.07.1967
Date of Appointment :	01.11.2000

Directorship in Other Companies :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U99999AP1995PTC019294	LOTUS SHIELDERS (INDIA) PRIVATE LIMITED	Director	01/11/2000	01/11/2000	-	Active	NO
2	U72900AP2001PTC036003	OXYGEN NETWORKS PRIVATE LIMITED	Director	23/07/2005	23/07/2005	-	Active	NO
3	U72400AP2005PTC045509	ARTEMIS SYSTEMS PRIVATE LIMITED	Director	10/03/2006	10/03/2006	-	Active	NO
4	U72200AP2007PTC054775	MOJUIX NETWORK SOLUTIONS PRIVATE LIMITED	Director	12/07/2007	12/07/2007	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Suri Ramu	41000
Suri Laxman	4000
Suri Anuoamaa	18900
S.R.K. Murthy	9500
K Krishna Murthy	2500
K S Swarajyalaxmi	1000
Suri Dhiraj Shivaji	9000
Suri Hari Niraj	9000
Kiran B Gandhi	100
Total	95000

AS ON 30.09.2011

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Industrial Safety Shoes
Brand Name :	Treklite

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Industrial Shoes	Qty in Pairs	46851	46851	46170

GENERAL INFORMATION

No. of Employees :

Not Avalable

Bankers :

· State Bank of Mysore, Chaitanyapuri Branch

· Vijaya Bank, Malakpet BRanch

Facilities :

SECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
State Bank of Mysore CC232	4.562	4.459
SBM Term Loan-579	3.450	4.531
SBM Bill Discount-590	0.912	0.975
SBM SME-502	0.000	0.980
SBM Loan-0012	0.067	0.000
SBM Loan-401	1.400	0.000
TOTAL	10.391	10.945
UNSECURED LOAN	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
From Directors/Share Holders	7.710	3.943
TOTAL	7.710	3.943

Banking Relations :	--
Auditors :
Name :	Mahesh Virender And Sriram Chartered Accountant
Address :	6-3-788/36&37/A, Durganagar Colony, Ameerpet, Hyderabad-500016, Andhra Pradesh, India
Associates/Subsidiaries :	NIL

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.10/- each	Rs.1.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
95000	Equity Shares	Rs.10/- each	Rs.0.950 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		0.950	0.950	0.950
2] Share Application Money		7.484	5.984	1.865
3] Reserves & Surplus		1.829	2.905	2.358
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		10.263	9.839	5.173
LOAN FUNDS
1] Secured Loans		10.391	10.946	14.098
2] Unsecured Loans		7.710	3.943	2.531
TOTAL BORROWING		18.101	14.889	16.629
DEFERRED TAX LIABILITIES		0.361	0.361	0.204
TOTAL		28.725	25.089	22.006
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		10.724	12.110	6.924
Capital work-in-progress		0.000	0.000	5.701
INVESTMENT		2.728	2.728	2.728
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	11.121	11.599	9.582
	Sundry Debtors	2.798	4.336	1.183
	Cash & Bank Balances	0.056	0.039	1.558
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	3.264	1.997	0.907
Total Current Assets		17.239	17.971	13.230
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.545	6.384	4.497
	Other Current Liabilities	0.911	0.828	1.697
	Provisions	0.517	0.517	0.392
Total Current Liabilities		1.973	7.729	6.586
Net Current Assets		15.266	10.242	6.644
MISCELLANEOUS EXPENSES		0.007	0.009	0.009
TOTAL		28.725	25.089	22.006

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	18.278	21.926	23.679
		Other Income	0.000	0.275	0.083
		TOTAL (A)	18.278	22.201	23.762
Less	EXPENSES
		Manufacturing Expenses	12.162	16.458	19.117
		Increase/(Decrease) in Stock	0.226	(1.207)	(2.694)
		Administrative Expenses	0.643	0.956	1.565
		Personal Expenses	1.809	1.674	1.580
		Miscellaneous Expenditure W/O	0.001	0.001	0.001
		TOTAL (B)	14.841	17.882	19.569
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) I		3.437	4.319	4.193
Less	FINANCIAL EXPENSES (D)		3.057	2.564	2.437
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		0.380	1.755	1.756
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.456	0.949	1.184
	PROFIT BEFORE TAX (E-F) (G)		(1.076)	0.806	0.572
Less	TAX (I)		0.000	0.259	0.252
	PROFIT AFTER TAX (G-I) (J)		(1.076)	0.547	0.320

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(5.88)	2.46	1.35
Net Profit Margin (PBT/Sales)	(%)	(5.88)	3.67	2.41
Return on Total Assets (PBT/Total Assets}	(%)	(6.10)	2.67	2.83
Return on Investment (ROI) (PBT/Networth)		(0.10)	0.08	0.11
Debt Equity Ratio (Total Liability/Networth)		1.95	2.29	4.48
Current Ratio (Current Asset/Current Liability)		8.73	2.32	2.00

LOCAL AGENCY FURTHER INFORMATION

Note: The register office address has been shifted from 1-7-42/B, 7^th Road, Chaitanyapuri, Hyderabad, Andhra Pradesh, India to present w.e.f.27.06.2011.

Form 8

This form is for	Modification of charge
Charge identification number of the modified	10005329
Corporate identity number of the company	U99999AP1995PTC019294
Name of the company	Lotus Shielders (India) Private Limited
Address of the registered office or of the principal place of business in India of the company	1-7-42/B, 7th Road, Chaitanyapuri , Hyderabad, Andhra Pradesh, India
Type of charge	Book Debts Movable Property Immovable Property Any interest in Immovable Property First Charge on Current Assets of the company
Particular of charge holder	State Bank of Mysore Chaitanyapuri Branch, Near Chaitanyapuri X Roads, Hyderabad-500060, Andhra Pradesh, India
Nature of description of the instrument creating or modifying the charge	Ltr of arrangment, Agreement of loan cum hypothecation, Supplemental agreement, Omnibus counter guarantee, Guarantee agreement.
Date of instrument Creating the charge	31.03.2011
Amount secured by the charge	Rs.15.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Working capital : 5.50% above SBMPLR ie. 8.75% with min. of 14.25% p.a Terms of Repayment Working capital repayable on demand and is available for 12 months. No change in existing limits repayment schedule Margin Stocks & Receivables : 25% Extent and Operation of the charge The charge operates as security till the repayment of loan. Others Details of limits modified : Particulars Amt in Rs. CC : 5.000 Millions Stand by l/c : 1.000 Million IUBD : 1.000 Million WCDL : 1.500 Millions T.L : 6.000 Millions BG : 0.500 Million Totalling to Rs. 15.000 Millions
Short particulars of the property charged	Equitable mortgage over factory land and buildings. First charge on current assets both present and future and charge on fixed assets of the company.

Fixed Assets:

· Leasehold Building

· Plant And Machinery

· Generator

· Office Equipment

· Air Conditioner

· Electrical Equipment

· Computers And Software

· Furniture And Fixtures.

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.51.35
UK Pound	1	Rs.80.50
Euro	1	Rs.69.14

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	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	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.