MIRA INFORM REPORT

Report Date :

27.01.2011

IDENTIFICATION DETAILS

Name :	AKVALO INSTRUMENTS PRIVATE LIMITED
Formerly Known As :	LAPTOP INSTRUMENTS PRIVATE LIMITED
Registered Office :	B – 130 and 131, G.I.D.C. Electronic Estate, Sector – 25, Gandhinagar – 382 044, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	03.08.2001
Com. Reg. No.:	04-39849
CIN No.: [Company Identification No.]	U29196GJ2001PTC039849
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Pressure and Temperature Measuring Instruments and Testing Equipments.

RATING & COMMENTS

MIRA’s Rating :

B (26)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 9800
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears to be some accumulated losses recorded by the company. However trade relations are reported as fair. Business is active. Payments are reported to be slow. 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 – 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. Lohidhakshan Vijayan Chulliparambil
Designation :	Managing Director
Contact No.:	91-9998746228
Date :	24.01.2011

LOCATIONS

Registered Office/ Factory :	B – 130 and 131, G.I.D.C. Electronic Estate, Sector – 25, Gandhinagar – 382 044, Gujarat, India
Tel. No.:	91-79-23287234
Mobile No.:	91-9998746228 (Mr. Lohidhakshan Vijayan Chulliparambil)
Fax No.:	91-79-23287233
E-Mail :	lipl@akvalo.com cvlohi@yahoo.com cvlohi@gmail.com
Website :	www.akvalo.com
Area :	3000 sq. ft.
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Lohidhakshan Vijayan Chulliparambil
Designation :	Managing Director
Address :	02.03.1954
Date of Birth/Age :	Plot No.152/ 1, Sector – 2 – B, Gandhinagar – 382 002, Gujarat, India
Date of Appointment :	03.08.2001
Name :	Mr. Vasumathy Lohidhakshan Chulliparambil
Designation :	Director
Address :	Plot No.152/ 1, Sector – 2 – B, Gandhinagar – 382 002, Gujarat, India
Date of Birth/Age :	10.10.1960
Date of Appointment :	03.08.2001

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
C.V. Lohidakshan	128650
Vasumathi Lohidakshan	5000
Akshita	100
Geethakumari G.	111250
Total	245000

As on 30.09.2010

Equity Share Breakup	Percentage of Holding
Category
Directors or relatives of directors	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Pressure and Temperature Measuring Instruments and Testing Equipments.
Products :	Bourdon Pressure Gauges Diaphragm Sealed Gauges Capsule Pressure Gauges Differential Pressure Gauges Special Pressure Gauges Temperature Gauges Testing Equipments Comparison Testers Dead Weight Testers Test Gauges Mud Gauges Triclover Gauges Fire Fighting Gauges   Homogenizer Gauges Thermo Pressure Gauges Accessories: Gauge Savers (AGS), Pulsation Dampeners (APD), Needle Valves (ANV), Gauge Cocks (AGC), Syphons (ASY), Manifolds (AMF) and Thermowells
Brand Names :	'AKVALO'
Terms :
Selling :	Cash and Credit ( 30 to 60 to 90 Days)
Purchasing :	Cash and Credit ( 30 to 60 to 90 Days)

PRODUCTION STATUS As on 31.03.201

Particulars	Installed Capacity	Actual Production
NOG	100000	51178

GENERAL INFORMATION

Customers :

· End Users

· OEM’s

No. of Employees :

50 (Approximately)

Bankers :

Dena Bank, Sector – 22, Gandhinagar – 382 022, Gujarat, India

Facilities :

Secured Loans :	As on 31.03.2010 Rs. in Millions	As on 31.03.2009 Rs. in Millions
Term Loan From Dena Bank Against Hypothecation of Plant and Machinery, Building and Other Fixed Assets	0.133	0.369
Cash Credit From Dena Bank Against Hypothecation of Stock, Debtors etc.	2.269	2.212
Dena Bank (Term Loan 3757)	0.485	0.000
Total	2.887	2.581

Banking Relations :	-
Auditors :
Name :	Rangani and Patel Chartered Accountants
Address :	22, Swastik Chambers, Navjivan Press Lane, Off Ashram Road, Ahmedabad, Gujarat, India
Tel. No.:	91-79-27543583/ 27542491

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs.2.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
245000	Equity Shares	Rs.10/- each	Rs.2.450 millions

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		2.450	2.450	2.450
2] Share Application Money		0.000	0.000	0.077
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(0.196)	(0.435)	(0.687)
NETWORTH		2.254	2.015	1.840
LOAN FUNDS
1] Secured Loans		2.887	2.581	1.996
2] Unsecured Loans		3.625	3.830	3.679
TOTAL BORROWING		6.512	6.411	5.675
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		8.766	8.426	7.515
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4.788	4.399	4.134
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.076	0.101	0.074
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6.928	4.857	4.013
	Sundry Debtors	1.976	2.494	1.069
	Cash & Bank Balances	0.040	0.560	0.892
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	0.701	0.327	0.651
Total Current Assets		9.645	8.238	6.625
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	4.178	1.979	1.963
	Other Current Liabilities	1.502	2.285	1.328
	Provisions	0.066	0.053	0.034
Total Current Liabilities		5.746	4.317	3.325
Net Current Assets		3.899	3.921	3.300
MISCELLANEOUS EXPENSES		0.003	0.005	0.007
TOTAL		8.766	8.426	7.515

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	13.327
		Other Income	0.347
		TOTAL	13.674	10.534	9.769
Less	EXPENSES
		TOTAL	11.675	8.741	8.848
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		1.999	1.793	0.921
Less/ Add	DEPRECIATION/ AMORTISATION AND FINANCIAL EXPENSES		1.671	1.516	0.788
	PROFIT BEFORE TAX		0.328	0.277	0.133
Less	TAX		0.089	0.024	0.012
	PROFIT AFTER TAX		0.239	0.253	0.121
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(0.434)	(0.687)
	BALANCE CARRIED TO THE B/S		(19.600)	(0.434)	(0.687)
	Earnings Per Share (Rs.)		0.97	1.03	-

Expected Sales (2010-2011) : Rs.20.000 millions

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.75	2.40	1.24
Net Profit Margin (PBT/Sales)	(%)	2.46	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	2.13	2.19	1.24
Return on Investment (ROI) (PBT/Networth)		0.15	0.14	0.07
Debt Equity Ratio (Total Liability/Networth)		5.44	5.32	4.89
Current Ratio (Current Asset/Current Liability)		1.68	1.91	1.99

LOCAL AGENCY FURTHER INFORMATION

OPERATION:

During the year 2009-10, the company has total income of Rs.13.674 Millions as compared to Rs.10.534 Millions for the previous year 2008-09. The total expenditure was Rs. 11.675 Millions as compared to Rs. 8.741 millions in the previous year 2008-09. Company has made a net profit of Rs.0.239 millions for the year ended on 31.3.2010 as compared to the previous year of Rs.0.253 million in year 2008-09. Your Directors expects improved results in the years to come.

Bankers Charges Report as per Registry

This form is for	Modification of charge
Charge identification number of the modified	10117212
Corporate identity number of the company	U29196GJ2001PTC039849
Name of the company	AKVALO INSTRUMENTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	B – 130 and 131, G.I.D.C. Electronic Estate, Sector – 25, Gandhinagar – 382 044, Gujarat, India
Type of charge	Book Debts Movable Property Others (all types of Stocks)
Particular of charge holder	Dena Bank, Sector – 22, Gandhinagar – 382 022, Gujarat, India E-Mail: gannag@denabank.co.in
Nature of description of the instrument creating or modifying the charge	Agreement of Hypothecation dated 02.04.2009 executed.
Date of instrument Creating the charge	02/04/2009
Amount secured by the charge	Rs.3.445 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: 13.50% per annum with monthly rest along with Interest. Terms of Repayment: Repayment shall be made by March, 2010 Margin: Cash Credit 25%, Term Loan-I- 25% and Term Loan (Machine) 25% Extent and Operation of the charge: Hypothecation to the bank by way of first charge all the borrowers goods, book debts, moveable and other assets.
Short particulars of the property charged	All stock of raw materials, goods in process and finished goods such as Industrial gauge, Control Equipment, consumable stores and spares, packing materials, etc both present and future, now being or hereafter during the continuance of this agreement at B/130, GIDC, Sector-25,Gandhinagar, all the present and future book-debts, receivables, claims, bills, rights, to or in movable properties and movable assets.
Particulars of the present modification	The credit facilities is now enhanced to Rs.3.445 millions as per the following details (i). Cash Credit facility Rs.2.500 millions, (ii). Term Loan-I Rs.0.370 million and (iii). Term Loan (Machine)-II Rs.0.575 million

Trade Reference:

· Paarth Valves Private Limited

· Gajjar Compressor Private Limited

· Satyam Steel Corporation

FIXED ASSETS:

• Fire Extinguisher
• Land
• Building
• Computer
• Electric Installation
• Fax Machine
• Furniture
• Instruments
• Plant and Machinery
• Weighing Scale
• Air Conditioner
• Office Equipments
• Fan A/c
• EPBX Systems
• Television
• Telephone Instruments
• Auto Rickshaw
• Car – Maruti Swift

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.45.53
UK Pound	1	Rs.72.78
Euro	1	Rs.62.14

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.