MIRA INFORM REPORT

Report Date :

18.02.2011

IDENTIFICATION DETAILS

Name :	ORIENTAL RUBBER INDUSTRIES LIMITED
Registered Office :	Shravani Gardens 20, Viman Nagar, Pune – 411 014, Maharashtra.
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	20.01.1949
Com. Reg. No.:	11-6875
CIN No.: [Company Identification No.]	U25199PN1949PLC006875
TAN No.: [Tax Deduction & Collection Account No.]	PNEO01206C
PAN No.: [Permanent Account No.]	AAACO1592L
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Manufacturers, Traders, Dealers, Exporters and Importers of Rubber and Rubber Goods of all kinds and articles made of real or synthetic rubber.

RATING & COMMENTS

MIRA’s Rating :

Ba (55)

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

Maximum Credit Limit :	USD 1200000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and reputed company having satisfactory track. Directors are reported as experienced, respectable and resourceful industrialists. Their trade relations are fair. Financial position is good. Payments are usually correct and as per commitments. The company is doing well. In can be considered good for any normal 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 – 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 DECLINED BY

Name :	Mr. Satish
Designation :	Head- Finance
Contact No.:	91-20-66270800
Date :	16.02.2011

LOCATIONS

Registered Office :	Shravani Gardens, 20, Viman Nagar, Nagar Road, Pune - 411014, Maharashtra, India
Tel. No.:	91-20-26681095/ 1692/93/ 26630071 / 66270800
Fax No.:	91-20-26680840 / 26630840/ 66270810
E-Mail :	orientalrubber@sm3.sprintrpg.ems.vsnl.net.in oril@vsnl.com info@orientalrubber.com mukesh@orientalrubber.com marketing@orientalrubber.com
Website :	www.orientalrubber.com
Factory :	Gat Nos. 519/2, 521/2, 523 and 525, Village Koregaon, Taluka Shirur, Bhima Nagar Road, District Pune – 412 207, Maharashtra

DIRECTORS

Name :	Mr. Vijeyanand Sadanand Makar
Designation :	Managing Director
Address :	Flat No.701/702 “LYRA” Satellite Towers, Mundhva, Pune – 411 036, Maharashtra, India.
Date of Birth/Age :	10.10.1930
Date of Appointment :	29.01.1965
Name :	Mr. Vikram Vijayanand Makar
Designation :	Managing Director
Address :	Kumar City, Cluster No.1, Plot No.8, Kalyani Nagar, Pune – 411 014, Maharashtra, India
Date of Birth/Age :	29.01.1963
Date of Appointment :	01.09.2007
Din No :	00020284
E-Mail :	vikram@orientalrubber.com
Name :	Mr. Vishal Vijayanand Makar
Designation :	Managing Director
Address :	Flat No.473, Building No.4, Plot No.69, Clover Water Gardens, Kalyani Nagar, Pune – 411 014, Maharashtra, India.
Date of Birth/Age :	22.08.1965
Date of Appointment :	01.09.2007
Din No :	00020253
E-Mail :	vishal@orientalrubber.com

MAJOR SHAREHOLDERS

AS ON (30.09.2010)

Names of Shareholders	No. of Shares
Vijeyanand S. Makar	408502
Kamlesh Vijeynand Makar	55398
Vishal V. Makar	513345
Vikram V. Makar	513345
Meetashi V. Makar	200
Poonam V. Makar	200
Punvick Investments Private Limited, Maharashtra, India	10
Total	1491000

Equity Share Breakup (Percentage of Total Equity)

AS ON (30.09.2010)

Category	Percentage of Holding
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :

Manufacturers, Traders, Dealers, Exporters and Importers of Rubber and Rubber Goods of all kinds and articles made of real or synthetic rubber.

Products :

Item Code No. (ITC Code)	Product Description
40101200 / 40101290	Conveyor Belts/ Transmission Belts
10101900	Transmission Belts
40082190	Other Rubber Products
40082190	Rubber Sheets
NA	Specialised Rubber Products

Conveyor Belts

· General Purpose Belt

· Heat Resistant Belts

· Fire Resistant Belts

· Oil Resistant Belts

· Chemical Resistant Belts

· Hygienic Belts

· Rough Top Belts

· Profile Belts

· Pipe Conveyor Belts

Rubber Sheets

· Rubber Sheets for Wear Resistant Applications

· Skirt Rubber, Scrapers, Chute Lining, Screens

· Natural, SBR, Nitrile, Neoprene,

· Butyl, EPDM rubber sheeting

· Pulley Lagging

· Pulley Lagging in Diamond, Square,

· Round profile and Ceramic lagging

· Other Products

· Specialized Rubber products

· Impact Bars

· Wheel Wedge

· Buffers

PRODUCTION STATUS (31.03.2008)

Particulars	Licensed Capacity	Installed Capacity	Actual Production
Conveyor and Transmission Belts	9000 MT	9000 MT	538352 Meters
Other Rubber Products	1000 MT	1000 MT	1059824 Kgs

GENERAL INFORMATION

Customers :	Steel · Steel Authority of India Limited Bhilai Steel Plant Bokaro Steel Plant Durgapur Steel Plant Rourkela Steel Plant Raw Material Division Indian Iron and Steel Company Limited · Rashtriya Ispat Nigam Limited Visakhapatnam Steel Plant · JSW Steel Limited · Ispat Industries Limited · Tata Iron and Steel Company Limited Cement · Aditya Birla Group of Companies · Tamil Nadu Cements Corporation Limited · Birla Corporation Limited · Dalmia Cements Limited · Shriram Cements Fertilizers and Chemicals · Gujarat Narmada Valley Fertilizers Company Limited · Gujarat State Fertilizers Company Limited - Baroda and Sikka · National Fertilizers Limited - Bhatinda, Panipat and Vijapur · Paradeep Phosphates Limited · Zuari Industries Limited Original Equipment Manufacturer · Thyssenkrupp Industries India Private Limited · Mahindra Engineering and Chemical Products Limited (Engineering Division) · Sandvik Asia Limited · FFE Minerals India Private Limited · Larsen and Toubro Limited ECC Division Mining · National Mineral Development Corporation Limited · Coal India Limited · The Singareni Collieries Company Limited · Sesa Goa Limited · Neyveli Lignite Corporation Limited Power · Maharashtra State Electricity Power Generation Company Limited · National Thermal Power Corporation Limited · Torrent Power AEC Limited
No. of Employees :	Approximately 600
Bankers :	Ø Union Bank of India, 619, Sachapir Street, Pune Camp, Pune – 411 001, Maharashtra, India. Ø SICOM, Pune, Maharashtra, India Ø Standard Chartered Bank, 90, M.G. Road, Fort, Mumbai – 400 001, Maharashtra, India. Ø First Rand Bank Limited, 5^th Floor, Mistry Bhavan, 122, Dinsha Road, Church Gate, Mumbai-400020, Maharashtra, India

Facilities

Secured Loans	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
Working Capital Loans from Banks	569.222	538.751
Rupee Term Loan from Union Bank of India (Installment due within one year Rs. 35.238 Millions Previous year Nil)	159.236	118.714
Vehicle Loans (Installment due within one year Rs. 1.416 Millions (Previous year Rs. 1.461 Millions)	1.416	1.461
Total	729.874	658.926
Unsecured Loans	31.03.2010 Rs. in Millions	31.03.2009 Rs. in Millions
Sales Tax Defferal	15.233	15.233
Deposit From Public	0.000	6.548
Others	27.099	29.285
Total	42.332	51.066

Banking Relations :

Satisfactory

Auditors :

Name:

Mohan Deshmukh and Company

Chartered Accountants

Address:

B-306, Narayan Chambers, 555, Narayan Peth, Pune – 411 030, Maharashtra, India

Tel. No.:

91-20-24451898 / 24451974 / 24484752 / 24484751

E-Mail :

md_co@pn2.vsnl.net.in

Pan No :

AACFM1053F

Subsidiaries :

• Innovention International
• Oriental Rubber Industries (SA) Pty Limited

CAPITAL STRUCTURE

AS ON (31.03.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs. 10/- each	Rs.20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1491000	Equity Shares	Rs. 10/- each	Rs.14.910 Millions

NOTE:

Of the above 1145000 shares are allotted as fully paid up bonus shares by capitalizing General Reserves and Share Premium

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		14.910	14.910	14.910
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		308.018	264.060	185.218
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		322.928	278.970	200.128
LOAN FUNDS
1] Secured Loans		729.874	658.926	464.726
2] Unsecured Loans		42.332	51.066	156.032
TOTAL BORROWING		772.206	709.992	620.758
DEFERRED TAX LIABILITIES		23.677	23.174	18.745
TOTAL		1118.811	1012.136	839.631
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		331.921	364.218	382.516
Capital work-in-progress		91.293	70.687	52.279
INVESTMENT		0.823	0.823	0.823
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	308.716	288.414	188.642
	Sundry Debtors	576.460	416.405	466.521
	Cash & Bank Balances	54.114	41.151	39.495
	Other Current Assets	232.561	161.027	113.684
	Loans & Advances	3.530	3.942	4.232
Total Current Assets		1175.381	910.939	812.574
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	300.515	193.043	274.726
	Other Current Liabilities	40.670	28.319	30.355
	Provisions	139.422	113.169	103.480
Total Current Liabilities		480.607	334.531	408.561
Net Current Assets		694.774	576.408	404.013
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		1118.811	1012.136	839.631

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income (Sale and Service Charges)	1534.656	1632.123	1274.840
		Other Income	24.337	25.165	23.608
		TOTAL (A)	1558.993	1657.288	1298.448
Less	EXPENSES
		Raw material Consumption and Manufacturing Expenses	1186.265	1214.029	943.365
		Staff Cost	59.427	67.827	49.224
		Excise Duty	35.888	60.143	50.933
		Selling and Distribution Expense	75.534	67.713	66.066
		Establishment Expenses	31.138	30.027	22.148
		TOTAL (B)	1388.252	1439.739	1131.736
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		170.741	217.549	166.712
Less	FINANCIAL EXPENSES (D)		62.257	84.429	45.219
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		108.484	133.120	121.493
Less/ Add	DEPRECIATION/ AMORTISATION (F)		37.446	39.263	15.915
	PROFIT BEFORE TAX (E-F) (G)		71.038	93.857	105.578
Less	TAX (I)		18.063	32.051	40.268
	PROFIT AFTER TAX (G-I) (J)		52.975	61.806	65.310
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		177.312	121.816	80.540
Less	APPROPRIATIONS
		Transfer to General Reserve	5.400	6.300	6.600
		Final Dividend and tax thereon	8.693	0.000	17.444
	BALANCE CARRIED TO THE B/S		216.194	177.312	121.806
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	1021.636	1075.379	832.633
	TOTAL EARNINGS		1021.636	1075.379	832.633
	IMPORTS
		Raw Materials	440.022	549.803	436.727
	TOTAL IMPORTS		440.022	549.803	436.727
	Earnings Per Share (Rs.)		33.53	41.45	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	3.40	3.73	5.03
Net Profit Margin (PBT/Sales)	(%)	4.63	5.75	8.28
Return on Total Assets (PBT/Total Assets}	(%)	4.71	7.36	8.83
Return on Investment (ROI) (PBT/Networth)		0.22	0.34	0.53
Debt Equity Ratio (Total Liability/Networth)		3.88	3.74	5.14
Current Ratio (Current Asset/Current Liability)		2.45	2.72	1.99

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors

(Rs. in Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors
Creditors for Raw materials	259.316	133.036	195.753
Creditors for Capital, Engg and Services	41.199	60.007	78.973
Total	300.515	193.043	274.726

OPERATIONS

In the backdrop of the financial crisis witnessed in the previous financial year and the subsequent fallout, FY 2009-10 was an extremely challenging year for the company. However due to inherent strengths of the company – the strong relationships and the resilience of the team – they were able to weather out the crisis better.

During the year, the Company registered a total income of `1558.993 Millions (P.Y. `1657.289 Millions). Profit before tax stood at `71.038 Millions (P.Y. `938.58Lacs). After providing for taxes and prior period expenses of `18.063 Millions, the company registered a net profit of ` 52.975 Millions.(P.Y. `61.807 Millions). Considering the challenging business environment globally, the company’s performance may be taken as satisfactory. The global economy has shown signs of revival and some of the developing economies, including India, is displaying buoyant all round growth.

OUTLOOK FOR THE CURRENT YEAR:

With the focus firmly on expanding its customer base to be in tune with the growth objectives, the current year should see an appreciable improvement in performance over the previous year. Efforts to strengthen the organization and systems have been undertaken, commensurate with the growth projections.

They are witnessing continuing investments in the infra sector in India and this will translate to increased demand in the Company’s products. With the positioning in the market – domestic and overseas – the products continue to enjoy preference.

The Company has drawn out its plans for debottlenecking the production capacities and also for achieving higher growth rates.

Contingent Liabilities not provided for:

Particulars	31.03.2010 Rs. in Millions
Income Tax demands disputed in Appeals	Nil
Counter Guarantees given to Banks for bank guarantees issued by the banks	35.907
C Forms not received from the clients [Differential Liability]	6.659
Corporate Guarantee issued. Balance as on 31st March 2010	2.360

Form: 8

Corporate identity number of the company	U25199N1949PLC006875
Name of the company	ORIENTAL RUBBER INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	Shravani Gardens 20, Vimannagar, Pune – 411 014, Maharashtra, India.
This form is for	Creation of charge
Type of charge	· Book debts · Movable Property · Floating Charges
Particular of charge holder	First Rand Bank Limited, 5^th Floor, Mistry Bhavan, 122, Dinsha Road, Church Gate, Mumbai-400020, Maharashtra, India
Nature of instrument creating charge	Memorandum of hypothecation dated 28.07.2010
Date of instrument Creating the charge	28.07.2010
Amount secured by the charge	Rs. 100.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest At the rate negotiated with and agreed by the bank, payable monthly in arrears. The rate of interest is subject to change without prior notice at the discretion of the bank Terms of repayment Repayable on demand and subject to annual review. Extent and operations of the charge The charge is to the extent of total credit facilities provided by the bank vide sanction letter no. FRIN/2010/FL001 dated 09.04.2010. Pari passu first charge on the current and future book debts, movable property and current assets of the company
Short particulars of the property or assets charge (Including complete address and location of the property)	All present and future book debts, outstanding money receivables, claims and bills which are now due and owing or which may at any during the continuance of the security become due. All present and future stock in trade consisting of raw materials, finished goods, goods in process of manufacturing and other merchandise whatsoever, being movable properties now or at any time.

Name of the company	ORIENTAL RUBBER INDUSTRIES LIMITED
Presented By	Union Bank of India, Industrial Finance Branch, Camp, Pune – 411001, Maharashtra
1) Date and description of instrument creating the change	S – 3 Hypothecation Agreement dated 10.08.1993
2) Amount secured by the charge/amount owing on the securities of charge	Rs. 10.000 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	Hypothecation of all stock of raw materials semi finished and finished goods lying at factory at Koregaon Bhima Gat No. 525, Shirur, Pune
4) Gist of the terms and conditions and extent and operation of the charge.	Interest Rate : 18 % p.a. Margin Money : 25 % Repayment : on Demand
5) Name and Address and description of the person entitled to the charge.	Union Bank of India, Industrial Finance Branch, Sachapir Street, Camp, Pune – 411001, Maharashtra
6) Date and brief description of instrument modifying the charge	17.09.2004. Deed of Mortgage dated 17.09.2004
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.	By first modification dated 05.05.1997 vide S-3 Agreement borrowing limit increased from Rs. 10.000 to Rs. 12.500 By second modification dated 04.02.1999 vide S-3 Agreement borrowing limit increased from Rs. 12.500 to Rs. 17.500 By third modification dated 07.12.1999 vide S-3 Agreement borrowing limit increased from Rs. 17.500 to Rs. 21.000 By fourth modification dated 19.12.2000 vide S-3 Agreement borrowing limit increased from Rs. 21.000 to Rs. 22.500. the rate of interest was revised to 4.5 % PLR + 0.25 % i.e. 172.500 % p.a. By Fifth modification dated 15.03.2003 vide S-3 Agreement borrowing limit increased from Rs. 22.500 to Rs. 31.000. the rate of interest was revised to 4.0 % PLR + 11.75 % i.e. 15.75 % p.a. By Sixth modification dated 27.03.2003 vide S-3 Agreement borrowing limit increased from Rs. 31.000 to Rs. 35.00. the rate of interest was revised to 12.25 % with monthly rests with a margin of 25 % between the invoice value or market value whichever in less of the hypothecated goods namely hypothecation of inventories in various forms. By seventh modification dated 27.11.2003 vide Hypothecation agreement of goods and debts and packing credit agreement the borrowing limit was increased from 35.000 Millions to 70.000 Millions out of which Rs. 35.000 Millions pertains to packing credit limit and 35.000 millions pertains to cash credit limits. Interest : 11.00 % p.a. with monthly rests or at such rates as determined by the Bank form time to time Margin : 25 % For packing credit security is hypothecation socks for exports. Interest : 7 % By the present modification being the first modification dated 17.09.2004, the charge has been modified as under. Additional continuing security by way of first charge of the company’s immovable property as described below has been provided upto the ultimate sum of Rs. 246.700 Millions including the amount of Rs. 10.000 Millions covered by this charge.: All that piece and parcel of Land or ground being Gat no 519, Hissa No. 2 admeasuring 0-40 Aar Gat no 522, Hissa No. 2 admeasuring 0-47 Aar Gat no 523, Hissa No. 2 admeasuring 0-51 Aar Gat no 524, Hissa No. 2 admeasuring 0-21 Aar Gat no 525, Hissa No. 2 admeasuring 0-14 Aar situate lying and being at Koregaon Bhima, Shirur, Pune together with all the building and structure existing and or constructed in future and all furniture, fixture, infrastructure etc within the Registration Sub – district of Taluka – Shirur, Pune and within the limits of Gram Panchyat – Koregaon Bhima and Bounded as under On or towards east : By Gat No 526 On or towards South : By road On or towards West : By Gat no 534 and 535 On or towards North : By Road

Corporate identity number of the company	U25199N1949PLC006875
Name of the company	ORIENTAL RUBBER INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	Shravani Gardens 20, Vimannagar, Pune – 411 014, Maharashtra, India.
This form is for	Creation of charge
Type of charge	· Book debts · Others
Particular of charge holder	Union Bank of India, 619, Sachapir Street, Pune Camp, Pune – 411 001, Maharashtra, India. E-Mail: ubiifbpun@pn3.vsnl.net.in
Nature of instrument creating charge	Hypothecation Agreement of Goods and Debts
Date of instrument Creating the charge	12.01.2009
Amount secured by the charge	Rs.100.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest CC-BPLR-0.75% FUDBP-As per I.C. No. 8196 dt 22.12.2008 Terms of repayment Repayable on demand Margin CC-25% FUDBP-NIL Extent and operations of the charge The charge is to the extent of the credit facilities extended by Union Bank of India vide sanction letter No.IFB:ABD:SA: 938 dt 10.01.2009
Particulars of the property charged	All the properties [Moveable and Immovable] situated at Gat No.525, Koregaon Bhima and Gat No.735, Village Karandi, Distt: Pune, both present and future.

Fixed Assets

· Freehold Land

· Building

· Plant and Machinery

· Electrical Installation

· Furniture and Fixture

· Computer

· Vehicles

AS PER WEBSITE

Superior Products at Excellent Value for Money!

Established in 1949, Oriental Rubber Industries Limited has, over the years, gained the reputation of being a world class manufacturer of rubber conveyor belts and rubber sheeting in India.

Located at Pune, just 160 kms from Mumbai, Oriental enjoys easy access to the International Airport via the recently built expressway.

Shipping port facilities are also conveniently located at a distance of only 120 kms.

Oriental today is the biggest Indian exporter of fabric reinforced conveyor belts.

Milestones

1949
• Oriental Rubber was established as one of the 1st producers of Rubber Moulded Articles in Independent India.

1954
• Imports cycle tyre manufacturing and belting lines from Japan.
• 1st producer in India to manufacture conveyor belts using indigenous technology.

1973

• First Indian belt manufacturer to install a SIEMPELKAMP Press imported from Germany.
• As a result, Oriental acquires the largest capacity to produce belts in the country.

1978
• Oriental Manufactures the 1st Synthetic Fabric Reinforced Conveyor Belt in India.

1993
• Erects modern manufacturing facility with a land area of 32,000 sq mtrs. and covered area of 5,000 sq mtrs. at Pune, near Mumbai.
• Oriental focuses on the overseas market for synthetic fabric reinforced conveyor belts.

1994
• Begins export operations to customers in W. Europe, USA, South Africa, Australia and the Middle East.
• Oriental quality is well accepted in the international markets.

1996
• Successfully executes the largest single conveyor belt order for a copper project.
• Adds a range of mining related wear resistant rubber products to supplement the belt range.

1999
• Oriental completes Phase I of its expansion operations to enhance conveyor belt capacity and related mining products.

2000-2001
• Phase II of expansion operations results in mixing capacity of 7200 TPA.
• Manufacturing capacity of belting and related products increases to 4600 TPA. Covered area is increased to over 9000 sq mtrs.
• Bags bulk order for India’s largest lignite mine for the supply of 2000 mm wide belts with strength rating of 2000KN/M for extreme heavy duty applications.
• Oriental becomes the largest producer and exporter of fabric reinforced conveyor belts in India.

2002
• Oriental becomes a KAIZEN practicing company.

2004
Oriental becomes – An ISO 9001:2000 Company

2006
Oriental sets up it's second modern plant in Pune.

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.45.38
UK Pound	1	Rs.73.08
Euro	1	Rs.61.60

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	8
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	6
--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		55

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.