MIRA INFORM REPORT

Report Date :

19.12.2011

IDENTIFICATION DETAILS

Name :	SAFEPACK INDUSTRIES LIMITED (w.e.f. 1996)
Formerly Known As :	SAFEPACK POONA PRIVATE LIMITED
Registered Office :	Gate No. 1093/1094, At and Post Shiroli, Taluka Rajguru Nagar, Pune – 410 505, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	03.05.1991
Com. Reg. No.:	11-061503
Capital Investment / Paid-up Capital :	Rs.22.500 Millions
CIN No.: [Company Identification No.]	U29195PN1991PLC061503
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Speciality Packing Material.
No. of Employees :	200 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 489000
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 dealing 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 – 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. Ravindra Mali
Designation :	Assistant Manager in Accounts
Contact No.:	91-9860798881

LOCATIONS

Registered Office/Factory :	Gate No. 1093/1094, At and Post Shiroli, Taluka Rajguru Nagar, Pune – 410 505, Maharashtra, India
Tel. No.:	91-2135-222199
Mobile No.:	91-9860798881 (Mr. Ravindra Mali)
Fax No.:	91-2135-223289
E-Mail :	vtipsen@safepack.com finance@safepack.com
Website :	www.safepack.com
Area :	50000 sq. ft.
Location :	Owned
Marketing Office 1:	77, Safepack Complex, MIDC, Bhosari, Pune – 411 026, Maharashtra, India
Tel. No.:	91-20-27111000
Fax No.:	91-20-27111000
E-Mail :	info@safepack.com marketing@safepack.com exports@safepack.com
Marketing Office 2:	A Symphony, 210 Ashok Nagar, Range Hills Road, Pune 411020, Maharashtra, India
Tel No.:	91-20-25560400
Fax No.:	91-20-25560888

DIRECTORS

AS ON 30.09.2011

Name :	Mrs. Anjali Rajendra Tapadia
Designation :	Working Director
Address :	Bunglow No. 1, Mauli Mantri Kishore Park, Bhosale Nagar, Pune – 411 007, Maharashtra, India
Date of Birth/Age :	30.07.1962
Date of Appointment :	26.05.1991
Din No.:	00508907

OTHER DIRECTORSHIP

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	U29195PN1991PLC061503	Safepack Industries Limited	Whole-time director	01/10/2010	26/05/1991	-	Active	NO
2	U29195PN2000PTC015660	Safe Packaging Private Limited	Director	22/12/2000	22/12/2000	-	Active	NO
3	U25202PN2004PLC019493	Safepropack Limited	Director	09/07/2004	09/07/2004	-	Active	NO
4	U15490PN2010PLC136358	Art Blends Limited	Director	20/05/2010	20/05/2010	-	Active	NO

Name :	Mr. Rajendra Bhagirath Tapadia
Designation :	Chairman and Managing Director
Address :	Bunglow No. 1, Mauli Mantri Kishore Park, Bhosale Nagar, Pune – 411 007, Maharashtra, India
Date of Birth/Age :	06.10.1959
Date of Appointment :	16.11.2000
Din No.:	00508894

OTHER DIRECTORSHIP

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	L28939PN1987PLC043953	Bilcare Limited	Director	08/12/1994	08/12/1994	-	Active	NO
2	U29195PN1991PLC061503	Safepack Industries Limited	Managing director	01/10/2010	16/11/2000	-	Active	NO
3	U29195PN2000PTC015660	Safe Packaging Private Limited	Director	22/12/2000	22/12/2000	-	Active	NO
4	U25202PN2004PLC019493	Safepropack Limited	Director	09/07/2004	09/07/2004	-	Active	NO
5	U74900PN2009PTC133531	Touchmagix Media Private Limited	Director	17/02/2009	17/02/2009	-	Active	NO
6	U15490PN2010PLC136358	Art Blends Limited	Director	20/05/2010	20/05/2010	-	Active	NO

Name :	Mr. Mohan Harakchand Bhandari
Designation :	Director
Address :	Siddarth, C/11, Abhimanshri Coop. Society, Pune 411 008, Maharashtra, India
Date of Birth/Age :	14.11.1959
Date of Appointment :	20.10.2001
Din No.:	00052777

OTHER DIRECTORSHIP

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	L28939PN1987PLC043953	Bilcare Limited	Managing director	01/04/2011	01/07/1987	-	Active	NO
2	U29195PN1991PLC061503	Safepack Industries Limited	Director	20/10/2001	20/10/2001	-	Active	NO
3	U45202TN2003PLC051682	Saravana Global Holdings Limited	Director	30/09/2003	30/09/2003	06/10/2009	Active	NO
4	U67190PN2008PTC132137	Tanish Financial Consultants Private Limited	Director	29/05/2008	29/05/2008	-	Active	NO

Name :	Mr. Rajesh Omkarnath Malpani
Designation :	Director
Address :	Malpani House, Indira Gandhi Road, Sangamner, Dist. Ahmednagar
Date of Birth/Age :	23.02.1961
Date of Appointment :	20.11.2001
Din No.:	01596468

OTHER DIRECTORSHIP

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	U16003MH1985PTC036341	Om Tobacco Products Pvt Ltd	Director	29/04/1987	29/04/1987	-	Active	NO
2	U72200PN1998PTC012661	Malpani Academy Private Limited	Director	12/07/1998	12/07/1998	-	Active	NO
3	U15495PN1998PTC013082	Universal Spices Private Limited	Director	30/03/2001	30/03/2001	-	Active	NO
4	U29195PN1991PLC061503	Safepack Industries Limited	Director	20/11/2001	20/11/2001	-	Active	NO
5	U45201PN2005PTC020484	Harshvardhan Properties Private Limited	Director	29/03/2005	29/03/2005	-	Active	NO
6	U45201PN2005PTC020481	Kaustubh Estate And Developers Private Limited	Director	29/03/2005	29/03/2005	-	Active	NO
7	U45209PN2005PTC021539	Landlord Properties Private Limited	Director	14/11/2005	14/11/2005	-	Active	NO
8	U52110PN2007PTC129928	Sargam Retails Private Limited	Director	05/04/2007	05/04/2007	-	Active	NO
9	U55101PN2007PTC129988	Green Park Holidays Private Limited	Director	18/04/2007	18/04/2007	-	Active	NO
10	U70102KA2000PTC027924	Mantri Developers Private Limited	Director	23/06/2008	19/06/2008	-	Active	NO
11	U55101KA2008PTC047021	Suraj Inn Private Limited	Director	02/07/2008	02/07/2008	-	Active	NO
12	U80302KA2005PTC037233	Indus International School (Pune) Private Limited	Director	15/05/2009	30/03/2009	15/03/2010	Active	NO
13	U55101PN2006PTC022230	Ramsukh Hotels Private Limited	Director	25/03/2010	25/03/2010	05/08/2010	Active	NO
14	U93000PN2011PTC140096	Malpani Home Care Private Limited	Director	07/07/2011	07/07/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Ravindra Mali
Designation :	Assistant Manager in Accounts

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Rajendra Bhagirath Tapadia	3105270
Anjali Rajendra Tapadia	938700
Ajit Khushalchand Lunawat	1800
Mohan Harakchand Bhandari	2250
Rajendra Bhagirath Tapadia (HUF)	900
Sushil Pandurang Mantri	180
Rajesh Omkarnath Malpani	450
Safe Packaging Private Limited, Pune, Maharashtra, India	450
Total	4050000

AS ON 30.09.2011

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	0.01
Directors or relatives of directors	99.92
Other top fifty shareholders	0.07
Total	100.00

List of Allottee:

As on 06.06.2011

Names of Shareholders	No. of Shares
Rajendra Bhagirath Tapadia	1380120
Anjali Rajendra Tapadia	417200
Ajit Khushalchand Lunawat	800
Mohan Harakchand Bhandari	1000
Rajendra Bhagirath Tapadia (HUF)	400
Sushil Pandurang Mantri	80
Rajesh Omkarnath Malpani	200
Safe Packaging Private Limited, India	200
Total	1800000

BUSINESS DETAILS

Line of Business :

Manufacturer of Speciality Packing Material.

Product:

ITC Code	Product Description
48119099	Protective Packing Material
48115900	Polycoated Paper
39202090	Flexible Packing Material

Terms :

Selling :

Credit (CAD)

Purchasing :

L/C / Credit

PRODUCTION STATUS

AS ON 31.03.2011

Particulars	Unit	Actual Production
Protective Packing Material	Sq.mtrs Kgs. Liters Nos.	4915797 477009 4847 1709080
Polycoated Paper	Sq.mtrs. Kgs. Nos.	2810808 2864224 52001
Flexible Packaging Material	Kgs. Kgs.	53584 34623

GENERAL INFORMATION

Customers :

Others

No. of Employees :

200 (Approximately)

Bankers :

State Bank of India, 1548 A, Commercial Branch, Sadashiv Peth, Pune – 411 030, Maharashtra, India

Facilities :

Secured Loan	As on 31.03.2011 (Rs. in Millions)	As on 31.03.2010 (Rs. in Millions)
From Bank
Term Loans (Amount repayable within one year Rs.7.529 millions previous year Rs.7.916 millions)	25.318	21.289
Cash Credit	27.548	13.027
Export Packing Credit	0.000	1.539
FCNRB Accounts	60.527	59.799
Total	113.393	95.654
Unsecured Loan
Sales Tax Deferral (Amount repayable within one year Rs.0.749 million previous year Rs.0.413 million)	7.320	7.734
Inter Corporate Deposit	15.349	0.000
From Directors	97.466	83.924
Total	120.135	91.658

Banking Relations :	--
Auditors :
Name :	Patankar and Associates Chartered Accountant
Address :	4 Ameya, Anand Baug Co-Operative Housing Society, 999 Navi Peth, Pune-411300, Maharashtra, India
Associates/Subsidiaries :	Nil

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
2980000	Equity Shares	Rs.10/- each	Rs.29.800 Millions
20000	Preferences Shares	Rs.10/- each	Rs.0.200 Million
	Total		Rs.30.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2250000	Equity Shares	Rs.10/- each	Rs.22.500 Millions

AS ON 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
4230000	Equity Shares	Rs.10/- each	Rs. 42.300 millions
20000	Preferences Shares	Rs.10/- each	Rs. 0.200 million
	Total		Rs.42.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4050000	Equity Shares	Rs.10/- each	Rs.40.500 Millions

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		22.500	22.500	9.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		99.777	103.678	105.679
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		122.277	126.178	114.679
LOAN FUNDS
1] Secured Loans		113.393	95.654	62.119
2] Unsecured Loans		120.135	91.658	74.188
TOTAL BORROWING		233.528	187.312	136.307
DEFERRED TAX LIABILITIES		8.052	6.567	6.037
TOTAL		363.857	320.057	257.023
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		225.755	161.521	155.874
Capital work-in-progress		22.652	54.941	34.118
INVESTMENT		0.001	0.001	0.001
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	85.542	73.136	37.605
	Sundry Debtors	82.138	68.388	42.929
	Cash & Bank Balances	19.359	14.154	3.518
	Other Current Assets	0.000	7.434	9.233
	Loans & Advances	17.833	7.679	1.409
Total Current Assets		204.872	170.791	94.694
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	74.101	55.826	23.084
	Other Current Liabilities	14.835	7.561	3.275
	Provisions	0.487	3.809	1.305
Total Current Liabilities		89.423	67.196	27.664
Net Current Assets		115.449	103.595	67.030
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		363.857	320.057	257.023

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	434.542	346.491	145.002
		Other Income	10.242	9.362	7.176
		TOTAL (A)	444.784	355.853	152.178
Less	EXPENSES
		Material Consumed	332.582	263.390	93.511
		Manufacturing and Other Expenses	86.974	64.896	41.411
		TOTAL (B)	419.556	328.286	134.922
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		25.228	27.567	17.256
Less	FINANCIAL EXPENSES (D)		13.125	10.274	8.444
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		12.103	17.293	8.812
Less/ Add	DEPRECIATION/ AMORTISATION (F)		6.993	4.751	4.629
	PROFIT BEFORE TAX (E-F) (G)		5.110	12.542	4.183
Less	TAX (H)		1.485	4.550	1.707
	PROFIT AFTER TAX (G-H) (I)		3.625	7.992	2.476
Add / Less	PRIOR PERIOD TAXATION		(0.004)	(0.346)	0.134
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		7.304	2.548	1.242
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	0.765	0.252
		Proposed Dividend	0.000	1.822	0.900
		Tax on Dividend	0.000	0.303	0.152
	BALANCE CARRIED TO THE B/S		10.925	7.304	2.548
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	30.052	31.138	27.701
	IMPORTS
		Raw Materials	61.705	30.468	1.044
		Capital Goods	0.000	0.000	3.248
	TOTAL IMPORTS		61.705	30.468	4.292
	Earnings Per Share (Rs.)		1.61	8.39	2.90

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	0.81	2.25	1.63
Net Profit Margin (PBT/Sales)	(%)	1.17	3.62	2.88
Return on Total Assets (PBT/Total Assets}	(%)	1.18	3.77	1.67
Return on Investment (ROI) (PBT/Networth)		0.04	0.10	0.04
Debt Equity Ratio (Total Liability/Networth)		2.70	2.02	1.43
Current Ratio (Current Asset/Current Liability)		2.29	2.54	3.42

LOCAL AGENCY FURTHER INFORMATION

NOTE: The registered office of the company has been shifted from Pride Kumar Senateb-303, Senapati Bapat Road, Pune-411005, Maharashtra, India to the present address w.e.f. 01.12.2008.

BUSINESS OUTLOOK AND FINANCIAL RESULTS:

During the year the performance of the Company was satisfactory. Company achieved the total turnover of Rs.434.542 Millions as against Rs.346.491 Millions of the previous year.

After providing for Depreciation of Rs.6.991 Millions and for Interest of Rs.13.125 Millions, Company earned the Profit before Tax of Rs.5.110 Millions as against Rs.12.542 Millions of the previous year.

BANKERS CHARGES REPORT AS PER REGISTRY

This form is for	Modification of charge
Charge identification number of the modified	10111741
Corporate identity number of the company	U29195PN1991PLC061503
Name of the company	SAFEPACK INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	Gate No. 1093/1094, At and Post Shiroli, Taluka Rajguru Nagar, Pune – 410 505, Maharashtra, India
Type of charge	Book Debts Movable Property (not being pledge) Immovable Property
Particular of charge holder	State Bank of India, 1548 A, Commercial Branch, Sadashiv Peth, Pune-411030, Maharashtra, India
Email	sbi045108@sbi.co.in
Nature of description of the instrument creating or modifying the charge	1)Supplemental Agreement of Loan for Increase in the overall Limit,2)Supplemental Agreement of Hypothecation of Goods and Assets for Increase in the Overall Limit,3)Letter regarding the grant of Individual Limits within the overall Limit,4)Memorandum of Deposit for creation of Further Charge for Term Loan Overall Limit where the Initial Charge is Created by way of Mortgage by Deposit of Title Deeds(All the Agreements executed for a single modification)
Date of instrument Creating the charge	29.04.2011
Amount secured by the charge	Rs.255.600 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per Agreement with the Bank Terms of Repayment As per Agreement with the Bank Margin Raw Material, Stock in Process, Finished Goods, LC and BG 25%, Book Debts/Receivables 40% Extent and Operation of the charge Details of Facilities (Rs. in Millions) Demand Cash Credit: 110.000, Term Loan 1: 25.000, Term Loan 2: 70.000, BG: 5.000, L/C:45.000, Forward Contract 0.600, Total Rs.250.000 Millions 5.600 Millions. Exclusive charge of State Bank of India. The charge on hypothecated and mortgaged assets continues till full repayment of Loan.
Short particulars of the property charged	I) All Present and Future Goods, Book debts and All Other Movable Assets Hypothecated by way of First Charge and Mortgage of Immovable Property of Company at-a) All that Piece and Parcel of Property II) Bearing S. No.1093, N. A. Plot No.3 admeasuring 3850 Sq. Mtrs. situated at Village Shiroli and thereabouts together with construction thereon and to be constructed thereto. III) b) All that Piece and Parcel of N. A. Land bearing Plot No.2 Gat No.1093 admeasuring 3850 Sq. Mtrs. lying at Mouje Shiroli, Tal.Khed, Dist. Pune together with Construction thereon together with the IV) Road to use adjacent access road, open space, easementary rights of other appurtances thereto.
Date of latest modification prior to the present modification	18.04.2010
Particulars of the present modification	Facilities enhanced from Rs.1470 Lacs to Rs.2556 Lacs. Charge on hypo. assets and mortgage on imm. prop. of Co. i.e. Property bearing S. No.1093, N. A. Plot No.3 adm.3850 Sq. Mtrs. at Shiroli and thereabouts together with construction thereon and to be constructed thereto and N.A. Land bearing Plot No.2 Gat No.1093 adm.3850 Sq. Mtrs. at Mouje Shiroli together with Construction thereon and road to use adjacent access road, open space, easementary rights of other app. thereto was extended to secure total facilities

FIXED ASSETS:

· Free hold Land

· Building

· Plant and machinery

· Computers

· Furniture and Vehicles

· 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.52.81
UK Pound	1	Rs.82.00
Euro	1	Rs.68.81

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
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		45

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.