MIRA INFORM REPORT

Report Date :

22.02.2011

IDENTIFICATION DETAILS

Name :	TOPWORTH URJA AND METALS LIMITED (w.e.f. June, 2010)
Formerly Known As :	SHREE VIRANGANA STEELS private LIMITED SHREE VIRANGANA STEELS LIMITED (w.e.f. 19.11.2001)
Registered Office :	4, Ground Floor, Raheja Centre, 214, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	05.11.1993
Com. Reg. No.:	11-74950
CIN No.: [Company Identification No.]	U27109Mh1993PLC074950
TAN No.: [Tax Deduction & Collection Account No.]	NGPS01005E
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Sponge Iron, Dolochar and Steel.

RATING & COMMENTS

MIRA’s Rating :

Ba (51)

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

Maximum Credit Limit :	USD 4795000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established company having fine track. General financial position is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular 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 – 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. Rashan
Designation :	General Manager – Finance
Contact No.:	91-22-22841414
Date :	19.02.2011

LOCATIONS

Registered Office :	4, Ground Floor, Raheja Centre, 214, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra
Tel. No.:	91-22-22841414
Fax No.:	91-22-22840211
E-Mail :	mdparakh@gmail.com rashan@topworthgroup.com viranganasteels@yahoo.com
Website :	www.topworthgroup.com
Area :	1500 sq ft (Approximately)
Location :	Rented
Head Office :	2^nd Floor, Golden Palace, W H C Road, Dharampeth, Nagpur – 440 010, Maharashtra, India
Tel. No.:	91-712-2536118
Fax No.:	91-712-2527122
Factory 1 :	Ukkerwadi, Nagpur, Maharashtra, India
Factory 2 :	Mauza UK Karwadi, Village Heti Umred Road, Nagpur – 441204, Maharashtra
Tel. No.:	91-07116 – 247071/2,3,4
Branch Office :	126, 127 and 128, 1^st floor, Shriram Tower, Near Nit Building, Sadar Nagpur – 440001, Maharashtra, India
Tel. No.:	91-712-2527120/122
Fax No.:	91-712-2527120/122
Godown :	Plot No. C-9/2, MIDC, Taloja Industrial Area, Village Pendhar, District Raigad, Maharashtra, India

DIRECTORS

As on 30.09.2010

Name :	Mr. Surendra Champalal Lodha
Designation :	Whole – time director
Address :	Narayandevi Shopping Complex, Pushpalata Bendale Chouk, Jalgaon – 425 001, Maharashtra, India
Date of Birth/Age :	05.05.1965
Date of Appointment :	14.03.2008
DIN No.:	00044782
Name :	Mr. Narendra Champalal Lodha
Designation :	Director
Address :	Flat No. 4, Cozy Mansion, 100/25, Gidney Park, Salisbuiry Park, Pune – 411 037, Maharashtra, India
Date of Birth/Age :	29.12.1947
Date of Appointment :	30.09.2006
DIN No.:	00164574
Name :	Mr. Abhay Narendra Lodha
Designation :	Director
Address :	603, Vaitarna, Sir Pochkhanwala Road, Worli Seaface , Worli, Mumbai – 400 030, Maharashtra, India
Date of Birth/Age :	01.06.1971
Date of Appointment :	26.04.2008
DIN No.:	00052194

KEY EXECUTIVES

Name :	Mr. Roshan
Designation :	GM Finance

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders		No. of Shares
Crest Steel & Power Private Limited, India		1750993
Abhay Lodha		1
Ashwin Lodha		1
Sheela Lodha		1
Moona Lodha		1
Surendra Lodha		1
Rajesh Kumar Jain		1
	Total	1750999

As on 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	99.99
Directors or relatives of directors	0.01
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Sponge Iron, Dolochar and Steel.

Products with ITC Code :

Ø Steel

Ø Dolochar

Ø Iron Ore

Item Code No. (ITC Code)	7203
Product Description	Sponge Iron HR Coil

Terms :

Selling :

Cash and Credit (30/ 60/ 90 days)

Purchasing :

Cash and Credit (30/ 60/ 90 days)

PRODUCTION STATUS (As On 31.03.2010) :-

Installed capacity: 60000 MT

Actual production

Particulars	Unit	Actual Production
Sponge Iron	MT	23802.06*
Dolochar	MT	8630.74
Iron Ore	MT	0

* Including D-3 Stocks

GENERAL INFORMATION

Customers :

· Wholesalers

· Retailers

· End Users

· OEM’s

No. of Employees :

200 (Approximately)

Bankers and Financial Institutions :

• Central Bank of India
• Syndicate Bank
• ICICI Bank Limited
• HDFC Bank Limited
• State Bank of India, Industrial Finance Branch, Bharat Nagar, Amravati Road, Nagpur – 440 010, Maharashtra, India
• Canara Bank, Fort Main Branch, Warden House, Sir P M Road, Mumbai – 400 001, Maharashtra, India
• Lakshmi Vilas Bank, Fort, Mumbai – 400021, Maharashtra, India
• Punjab National Bank, Foreshore Road, Branch, Raheja Chambers, Nariman Point, Mumbai – 400 021, Maharashtra, India
• State Bank of India, Backbay Reclamation Branch, Raheja Chambers, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra, India
• Oriental Bank of Commerce
• Allahabad Bank
• IndusInd Bank
• Union Bank of India
• Bank of Baroda
• Bank of India

Facilities :

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
LOAN FUND
Cash Credit Limit
State Bank of India , IFB, Bharat Nagar, Nagpur (First charge on entire current assets)	0.007	96.017
Canbank Factor Limited (Personal guarantee of Mr. Abhay Lodha and surendra Lodha)	0.000	15.990
Oriental Bank of Commerce (Hypothecation of Raw Material, Finished Goods, Stores and Spares and Receivables)	92.914	0.000
Terms Loans
State Bank of India , IFB, Bharat Nagar, Nagpur (Due within next one year Rs. NIL, Previous year Rs.11.790 millions)	0.000	11.790
Kotak Mahindra Finance Limited (Pay Loader) (Due within next one year Rs.0.435 million, Previous year Rs.1.075 millions)	0.435	1.523
Hdfc Bank Limited (Skoda Car Loan) (Due within Next one year Rs. NIL, Previous year Rs.0.057 million)	0.000	0.057
Punjab National Bank (Due within Next one year Rs. NIL, Previous year Rs. NIL)	286.304	0.000
State Bank of India (T/L A/C) (Due within Next one year Rs. NIL, Previous year Rs. NIL)	391.554	0.000
Bank of Baroda (T/L) (Due within Next one year Rs. NIL, Previous year NIL)	479.849	0.000
Allahabad Bank (Due within Next one year Rs. NIL, Previous year Rs. NIL)	232.604	0.000
Bank of India (T/L), 010665410000099 (Due within Next one year Rs. NIL, Previous year Rs. NIL)	435.370	0.000
Kotak Mahindra (Tipper) (Due within Next one year Rs.1.154 millions, Previous year Rs. NIL)	3.021	0.000
HDFC Bank Limited (Tata Grandy Loan) (Due within Next one year Rs.0.166 million, Previous year Rs. NIL)	0.536	0.000
Kotak Mahindra (Hydra) (Due within Next one year Rs.0.267 million, Previous year Rs. NIL)	0.828	0.000
Total	1923.422	125.377

Notes:

A) Term Loan availed from State Bank of India is secured by First charge over fixed assets of the company to be created out of bank finance including equitable mortgage of Land and Buildings and hypothecation of Plant and Machinery on pari-passu basis with other bank in multiple banking and personal guarantee of directors.

B) Term Loan availed from Bank of India is secured by First pari-passu charge over fixed assets of the company to be created out of bank finance including mortgage of Land and personal guarantee of directors.

C) Term Loan availed from Allahabad Bank is secured by First charge over fixed assets of the company both present and future including equitable mortgage of Land Buildings and hypothecation of Plant and Machinery on pari-passu basis with other banks extending term loans for the Capex programme of the company for forward and backward integration.

D) Term Loan availed from Bank of Baroda is secured by First pari-passu charge over fixed assets of the company to be created out of bank finance and personal guarantee of directors.

E) Term Loan availed from Punjab National Bank is secured by First charge over fixed assets of the company created out of bank finance including equitable mortgage of

Land and Buildings and hypothecation of Plant and Machinery on pari-passu basis with other bank in under consortium arrangement excluding the existing fixed assets.

F) Cash Credit accounts are secured by hypothecation of Raw Materials, Stock in progress, finished goods stock and stores and Spares and receivables.

G) Term Loan from HDFC Bank Limited against Hypothecation of One Tata Grandy.

H) Term Loan from Kotak Mahindra Bank against Hypothecation of one Pay Loader and One Hydra.

Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
From Companies	339.081	11.000
From Others	97.782	0.709
Total	436.863	11.709

Banking Relations :

--

Financial Institutions :

• Associates India Financial Services Limited
• Ashok Leyland Finance Limited
• Kotak Mahindra Finance Limited

Auditors :

Jain and Chhoriya

Chartered Accountants

Address :

59, Gaya Building, 4^th Floor, Yusuf Meher Ali Road, Masjid Bunder, Mumbai – 400 003, Maharashtra, India

Holding Company :

Crest Steel and Power Private Limited

CIN No.: U27109CT2004PTC016643

Address: 4, Ground Floor, Raheja Centre, 214, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra, India

Associates :

• Akshata Mercantile Private Limited
• Akshata Realtor Private Limited
• Champalal Motilal Steels Company Private Limited
• Pheonix Impex Private Limited
• Pheonix Realtors Private Limited
• Poscho steels Private Limited
• Riya Real estates Private Limited
• Satyarth Steels and Power Private Limited
• Topworth Aluminium Private Limited
• Topworth Energy Private Limited
• Topworth Pipes and Tubes Private Limited
• Topworth Steels and Power Private Limited
• Topworth Edu. and Rural Dev. Foundation

CAPITAL STRUCTURE

As on 31.03.2010

Authorized Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares	Rs.100/- each	Rs.200.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1750999	Equity Shares	Rs.100/- each	Rs.175.100 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.02.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		175.100	64.683	64.683
2] Share Application Money		257.800	466.272	0.000
3] Reserves & Surplus		765.768	109.246	77.815
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		1198.668	640.201	142.497
LOAN FUNDS
1] Secured Loans		1923.422	125.377	141.710
2] Unsecured Loans		436.863	11.709	431.790
3] Sales Tax Deferral		103.986	90.681	57.850
TOTAL BORROWING		2464.271	227.767	631.350
DEFERRED TAX LIABILITIES		34.046	38.007	38.353
TOTAL		3696.985	905.975	812.201
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		395.518	218.850	213.200
Capital work-in-progress		2509.970	301.685	5.619
Pre-operative Expenses		46.079	4.878	0.000
INVESTMENT		0.205	0.200	29.397
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	367.962	375.662	362.638
	Sundry Debtors	2224.229	1310.343	483.434
	Cash & Bank Balances	354.999	138.730	1.141
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1034.219	143.283	319.027
Total Current Assets		3981.409	1968.018	1166.240
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	2917.942	1455.985	294.515
	Other Current Liabilities	266.236	126.704	304.361
	Provisions	52.018	5.013	3.463
Total Current Liabilities		3236.196	1587.702	602.339
Net Current Assets		745.213	380.316	563.900
MISCELLANEOUS EXPENSES		0.000	0.046	0.085
TOTAL		3696.985	905.975	812.201

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	4581.937	3410.340	1270.987
		Other Income	81.694	11.504	6.778
		TOTAL (A)	4663.631	3421.844	1277.765
Less	EXPENSES
		Cost of Goods Sold	4297.956	3228.992	1152.960
		Stores and Spares Consumed	14.314	19.376	23.882
		Power and Fuel Consumed	13.872	20.673	15.019
		Manufacturing Expenses	4.785	7.206	6.447
		Payment and Benefits to Employees	6.855	8.319	7.142
		Administrative & Selling Expenses	23.297	28.886	11.510
		Preliminary Expenses	0.046	0.039	0.039
		Increase/ Decrease in Stock	28.868	(27.948)	(14.745)
		TOTAL (B)	4389.993	3285.543	1202.254
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		273.638	136.301	75.511
Less	FINANCIAL EXPENSES (D)		107.503	87.933	52.243
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		166.135	48.368	23.268
Less/ Add	DEPRECIATION/ AMORTISATION (F)		13.621	13.090	12.466
	PROFIT BEFORE TAX (E-F) (G)		152.514	35.278	10.802
Less	TAX (H)		48.077	3.847	4.726
	PROFIT AFTER TAX (G-H) (I)		104.437	31.431	6.076
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		77.197	45.766	39.690
	BALANCE CARRIED TO THE B/S		181.634	77.197	45.766
	IMPORTS
		Raw Materials	267.098	0.000	--
		Capital Goods	2.051	131.906	--
	TOTAL IMPORTS		269.149	131.906	--
	Earnings Per Share (Rs.)		59.64	48.59	9.39

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	2.24	0.92	0.48
Net Profit Margin (PBT/Sales)	(%)	3.33	1.03	0.85
Return on Total Assets (PBT/Total Assets}	(%)	3.48	1.61	0.78
Return on Investment (ROI) (PBT/Networth)		0.13	0.06	0.08
Debt Equity Ratio (Total Liability/Networth)		4.76	2.84	8.66
Current Ratio (Current Asset/Current Liability)		1.23	1.24	1.94

LOCAL AGENCY FURTHER INFORMATION

Details of Sundry Creditors:

Particulars	31.03.2010 (Rs. in millions)	31.03.2009 (Rs. in millions)	31.03.2008 (Rs. in millions)
Sundry Creditors for Goods	93.569	1418.472	238.904
Sundry Creditors for Expenses	45.199	37.513	55.611
Sundry Creditors for Capital Goods	594.029	0.000	0.000
Sundry Creditors Covered by LC	2185.145	0.000	0.000
	2917.942	1455.985	294.515

form 8:-

Corporate identity number of the company	U27109Mh1993PLC074950
Name of the company	TOPWORTH URJA AND METALS LIMITED
Address of the registered office or of the principal place of business in India of the company	4, Ground Floor, Raheja Centre, 214, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra, India E-Mail: virangnasteels@yahoo.com
This form is for	Creation of charge
Type of charge	Book Debts Movable Property
Particular of charge holder	State Bank of India, Backbay Reclamation Branch, Raheja Chambers, Free Press Journal Marg, Nariman Point, Mumbai – 400 021, Maharashtra, India E-Mail: kamalax_saraf@hotmail.com
Nature of description of the instrument creating or modifying the charge	A) Agreement of Hypothecation of Goods And Assets. Form c.2 B) Letter regarding the grant of individual limits within the overall limit Form c.5 Both the above agreements constitute a single charge.
Date of instrument Creating the charge	15/11/2010
Amount secured by the charge	Rs.250.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: DCC 100.000 millions 5% above base rate. Terms of Repayment: As per sanction terms Margin: Raw Materials 25% Stock In Process 33% Finished Goods 40% Book Debts/Receivables (Cover 90 Days) 40% Extent and Operation of the charge: Demand Cash Credit - Rs.100.000 millions (Sublimit For Book Debts) - Rs. (50.000) millions Letter of Credit – Rs.112.500 millions Bank Guarantee - Rs.37.500 millions Total – Rs.250.000 millions
Short particulars of the property charged	A first charge by way of hypothecation of the borrowers entire goods, movables and other assets present and future including documents of title to goods and other assets, such as book-debts outstanding moneys, receivables, including receivables by way of cash assistance and/or cash incentives under the cash incentive scheme or any other scheme, claims, including claims by way of refund of custom excise duties under the duty drawback credit scheme, or any other scheme. etc claims including claims by way of refund of customs/excise duties under the duty draw back credit scheme or any other scheme , bills invoices, documents, contracts, insurance policies, guarantees, engagements, securities, investments, and rights and uncalled capital and all machinery p and f of such form satisfactory to the bank.

Corporate identity number of the company

U27109Mh1993PLC074950

Name of the company

SHREE VIRANGANA STEELS LIMITED

Address of the registered office or of the principal place of business in India of the company

4, Ground Floor, Raheja Centre, 214, Free Press Journal Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

This form is for

Creation of charge

Type of charge

Movable property (not being pledge)

Particular of charge holder

Category	Nationalised
Name :	Punjab National Bank
Address :	Foreshore Road, Branch, Raheja Chambers, Nariman Point, Mumbai – 400 021, Maharashtra
E-Mail :	sborase@gmail.com

Nature of instrument creating charge

Short Term Loan Agreement Dated:- 07.12.2009

Hypothecation of Assets To Secure Term Loans Dated:- 07.12.2009

Date of instrument Creating the charge

07.12.2009

Amount secured by the charge

Rs. 500.000 millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of Interest:

11% p.a.

Terms of Repayment:

The Borrowers shall repay the said term loan in one bullet after 9 months from the date of first disbursement.

Margin:

As per documents executed

Extent and Operation of the charge

Borrower has hypothecated all plant and machinery located at Borrower's premises and which are purchased / acquired out of proceeds of Short Term Loan of Rs.500 millions granted by Punjab National Bank.

Short particulars of the property charged (Including location of the property)

Hypothecation of all plant and machinery including all accessories, attachments, implements, equipments, tools and all other movables relating to such plant and machinery

CONTINGENT LIABILITIES NOT ACKNOWLEGED AS LIABILITY: (As son 31.03.2010)

· Contingent Liabilities in respect of Excise matter Rs.1.456 millions.

Fixed Assets

n Land

n Factory Buildings

n Office Buildings

n Plant and Machinery

n Electric Installations

n Furniture and Fixtures

n Computers

n Vehicles

n Office Equipments

n Fax Machine

n Air Conditioner

n TVS Bike

n Crusher Buildings

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.45.11
UK Pound	1	Rs.73.25
Euro	1	Rs.61.70

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		51

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.