MIRA INFORM REPORT

Report Date :

25.07.2011

IDENTIFICATION DETAILS

Name :	A2Z INFRASERVICES LIMITED (03.08.2010)
Formerly Known As :	A2Z FACILITIES MANAGEMENT SERVICES PRIVATE LIMITED
Registered Office :	O-116, First Floor, DLF Shopping Mall, Arjun Marg, Gurgaon – 122 002, Haryana
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	15.04.2008
Com. Reg. No.:	37820
Capital Investment / Paid-up Capital :	Rs. 20.000 millions
CIN No.: [Company Identification No.]	U74140HR2008PLC037820
Legal Form :	Private Limited Liability Company
Line of Business :	Subject Provider Mechanized Housekeeping, Security Services, Other Engineering Services
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (44)

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

Maximum Credit Limit :	USD 669604
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relation 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 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

LOCATIONS

Registered Office :	O-116, First Floor, DLF Shopping Mall, Arjun Marg, Gurgaon – 122 002, Haryana, India
Tel. No.:	91-124-4257609/ 4517600 / 4380015
Fax No.:	91-124-4617608 / 4581706
E-Mail :	enquiry@a2zemail.com atulagarwal@a2zemail.com
Website :	http://www.a2zfacilities.com http://www.a2zgroup.co.in
Area :	2000 sq ft
Location :	Owned
Corporate Office :	5^th Floor, Enkay Square, 448-A, Udyog Vihar, Phase – V, Gurgaon – 122 016, Haryana, India
Area :	15000 sq ft
Location :	Rented

DIRECTORS

AS ON 07.12.2010

Name :	Mr. Amit Kumar Mittal
Designation :	Director
Address :	TG-2B/ 4, Garden Estate, Mehrauli Gurgaon Road, Gurgaon – 122 002, Haryana, India
Date of Birth/Age :	07.01.1968
Qualification :	M. Tech.
Date of Appointment :	15.04.2008
Name :	Mrs. Dipali Mittal
Designation :	Director
Address :	TG-2B/ 4, Garden Estate, Mehrauli Gurgaon Road, Gurgaon – 122 002, Haryana, India
Date of Birth/Age :	05.03.1973
Qualification :	Graduate
Date of Appointment :	15.04.2008
Name :	Mr. Sanjeev Sharma
Designation :	Director
Date of Birth/Age :	29.07.1973
Date of Appointment :	01.04.2010
Name :	Mr. Rakesh Gupta
Designation :	Director
Date of Birth/Age :	13.06.1962
Date of Appointment :	01.08.2009
Name :	Mr. Anil Soni
Designation :	Director
Date of Birth/Age :	26.12.1967
Date of Appointment :	01.08.2009
Name :	Mr. Alok Kumar Gupta
Designation :	Director
Date of Birth/Age :	07.09.1960
Date of Appointment :	01.08.2009
Name :	Mr. Rahul Chawla
Designation :	Director
Date of Birth/Age :	15.06.1945
Date of Appointment :	09.08.2010
Name :	Mrs. Archana N Hingorani
Designation :	Director
Date of Birth/Age :	09.09.1965
Date of Appointment :	21.10.2010

KEY EXECUTIVES

Name :	Mr. Bhasker Joshi
Designation :	Secretary
Date of Birth/Age :	28.04.1982
Date of Appointment :	22.03.2010

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 07.12.2010

Names of Shareholders	No. of Shares
A2Z Maintenance and Engineering Services Limited, Haryana	2000000
M/s. Infrastructure Leasing & Financial Services Limited, Mumbai	539810
Mr. Anil Soni	63150
Mr. Sanjeev Sharma	3500
Mr. Rakesh Gupta	16200
Mr. Alok Kumar Gupta	42100
Mr. Ashok Kumar Saini	3500
Mr. Amnoj Gupat	3500
Mr. Manish Puri	2800
Mr. Tarunesh K Bhalla	2800
Mr. Lalit Tyagi	1400
Mr. Manoj Kumar Chauhan	2800
Mr. Vijay P Pandey	1400
Mr. Abhishek Gupta	1400
Mr. Rajesh Chopar	1400
Mr. Shyamal K Bhattacharjee	1400
Mr. Kshitij Kaundal	1400
Mr. Satyapal Gupat	1400
Mr. Omkar Mishra	1400
Mr. Madan Gopal Sharma	1400
Ms. Amrita	700
Mohmad Haider Ali	700
Mr. Suresh Sharma	700
Mr. Kewal K Sethi	700
Mr. Shrawan Singh Shekhwat	700
Mr. VArun Gupta	700
Mr. Bhaskar Joshi	700
Mr. Banwari Lal	700
Mr. Amitabh Bhatiya	700
Total	2699060

AS ON 07.12.2010

Equity Share Breakup		Percentage of Holding
Category
Bodies corporate		94.10
Directors or relatives of directors		4.63
Other top fifty shareholders		1.27
	Total	100.00

BUSINESS DETAILS

Line of Business :

Subject Provider Mechanized Housekeeping, Security Services, Other Engineering Services

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• HDFC Bank, DLF Phase I, Gurgaon
• ICICI Bank, DLF Phase I, Gurgaon
• Union Bank of India, Railway Road, Gurgaon
• State Bank of Patiala, Commercial Branch, Chandralok Building, 36 Janpath, New Delhi 110001, India

Facilities :

Rs. In Millions

SECURED LOAN	31.03.2010	31.03.2009
From Banks
Working Capital Loans	134.604	0.000
Vehicle Loan	11.365	17.736
Total	145.969	17.736
Notes 1 .Working capital facility of Rs 134.604 millions is secured by first charge on Ihe current assets of company Including book' debts and other receivable and fixed, assets of the company and also by corporate Guarantee of A2Z Maintenance and Engineering Services Limited (formerly known as A2Z Maintenance; and Engineering Services Private Limited) and personal guarantee of two directors. 2. Vehicle loans amounting to Rs 11.364 millions is secured by the hypothication of vehicles.
UNSECURED LOAN
Loan from Banks	0.000	0.162
Total	0.000	0.162

Banking Relations :	--
Auditors :
Name :	Manish Agarwal and Associates Chartered Accountants
Address :	602, Rohit House, 3 Tolstoy Marg, Connaught Place, New Delhi 110001, India
Fax No.:	91-11-43588778
Fellow Subsidiary :	· A2Z Infrastructure Private Limited · A2Z Powertech Private Limited · A2Z Powereom Private Limited · Selligence Technologies Services Private Limited · Imatek Solutions Private Limited (w.e.f. August 13,2009) · CNCS Facility Solutions Private Limited (w.e.f. October 21, 2009) · A2Z Waste Management (Merrut) Private Limited (w.e.f December 4,2009) · A2Z Waste Management (Moradabad) Private Limited (w.e.f December 4,2009) · A2Z Waste Management (Varanasi) Private Limited (w.e.f December 4,2009) · A2Z Waste Management (Aligarh) Private Limited (w.e.f December 4, 2009)
Holding Company:	A2Z Maintenance and Engineering Services Limited, Haryana (formerly known as A2Z Maintenance and Engineering Services Private Limited). CIN No.: U74999HR2002PLC034805

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs. 10 each	Rs.100.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2000000	Equity Shares * (All the equity shares are held by A2Z Maintenance and Engineering Services Limited (formerly known as A22 Maintenance and Engineering Services Private Limited), the Holding Company either By itself or through its nominee)	Rs. 10 each	Rs. 20.000 millions

Of the above

1.900,000 fully paid up equity shares of Rs 10/- each allotted to A2Z Maintenance and Engineering Services Limited (formerly known as A22 Maintenance and Engineering Services Private Limited) on Jury 25.2009 as a consideration for transfer of FMS business having book value of Rs 118.540 millions.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		20.000	1.000
2] Share Application Money		0.000	118.540
3] Reserves & Surplus		147.401	18.838
4] (Accumulated Losses)		0.000	0.000
NETWORTH		167.401	138.378
LOAN FUNDS
1] Secured Loans		145.969	17.736
2] Unsecured Loans		0.000	0.162
TOTAL BORROWING		145.969	17.898
DEFERRED TAX LIABILITIES		0.018	1.322
TOTAL		313.388	157.598
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		69.786	65.715
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.708	1.454
	Sundry Debtors	275.811	160.242
	Cash & Bank Balances	5.845	8.003
	Other Current Assets	0.532	0.521
	Loans & Advances	74.533	39.784
Total Current Assets		357.429	210.004
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	60.147	42.056
	Other Current Liabilities	36.824	62.481
	Provisions	16.856	13.749
Total Current Liabilities		113.827	118.286
Net Current Assets		243.602	91.718
MISCELLANEOUS EXPENSES		0.000	0.165
TOTAL		313.388	157.598

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Revenue from Facility Management Services	758.963	493.395
		Other Income	1.275	1.377
		TOTAL (A)	760.238	494.772
Less	EXPENSES
		Cost of Materials	96.034	46.687
		Personal Expenses	535.917	360.665
		Administrative Expenses	63.659	47.938
		TOTAL (B)	695.610	455.290
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		64628	39.482
Less	FINANCIAL EXPENSES (D)		10.247	1.827
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		54.381	37.655
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.912	7.565
	PROFIT BEFORE TAX (E-F) (G)		46.469	30.090
Less	TAX (H)		17.447	11.252
	PROFIT AFTER TAX (G-H) (I)		29.022	18.838
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		18.838	0.000
	BALANCE CARRIED TO THE B/S		47.860	18.838
	Earnings Per Share (Rs.)		20.79	188.39

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009
PAT / Total Income	(%)	3.81	3.80
Net Profit Margin (PBT/Sales)	(%)	6.12	6.09
Return on Total Assets (PBT/Total Assets}	(%)	10.87	10.91
Return on Investment (ROI) (PBT/Networth)		0.27	0.21
Debt Equity Ratio (Total Liability/Networth)		1.55	0.99
Current Ratio (Current Asset/Current Liability)		3.14	1.77

LOCAL AGENCY FURTHER INFORMATION

NATURE OF OPERATION

The Company is the wholly owned subsidiary of A2Z Maintenance and Engineering Services Limited (formerly knowrf as A2Z Maintenance and Engineering Services Private Limited). It was incorporated at National Capital Territory of Delhi & Haryana on April 15, 2008 to take over the existing business of facility management service of M/s A2Z Maintenance Sc. Engineering Services Limited. In facility management services, company provides mechanized housekeeping, security services, other engineering services, Cleaning of Railway platform and coaches, pest control services and other comprehensive services for facilities/administration management. The Company has discontinued its Radio Taxi service from April 1, 2009.

OPERATIONS:

The Company is a subsidiary of A2Z Maintenance and Engineering Services Limited. In the facility management services, the Company provides back-end management services for efficient functioning of shopping malls, airport, multiplexes, corporate and business establishments like housekeeping services, security services, other engineering services etc., upkeep of railway trains, stations platforms and coaches, pest control services and other comprehensive services for facilities/administration management.

FINANCIAL REVIEW:

During the year under review, the Company has performed exceedingly well. The Company has achieved total operating income of Rs. 760.200 millions as against Rs. 494.500 millions in the previous year showing an increase of 53.73 %. The Company has earned cash profit of Rs. 54.400 millions as against Rs. 37.600 millions in the previous year showing an increase of 44.68 %. Profit before taxation is increased from Rs. 30.900 millions to Rs. 46.500 millions showing an increase of 50.49 %. The Company has achieved net profit after tax of Rs. 29.000 millions as against Rs. 18.800 millions in the previous year showing an increase of 54.26 %. The growth in profit is mainly because of better planning, execution in Facilities Management Services, better working capital management.

Fixed Assets:

· Furniture and Fixture

· Office Equipments

· Plant and Machinery

· Computer

· Vehicle

· Tools and Equipments

· Computer Software

FORM 8

Corporate identity number of the company	U74140HR2008PLC037820
Name of the company	A2Z INFRASERVICES LIMITED (03.08.2010)
Address of the registered office or of the principal place of business in India of the company	O-116, First Floor, DLF Shopping Mall, Arjun Marg, Gurgaon – 122 002, Haryana, India
This form is for	Modification of charge
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	State Bank of Patiala, Commercial Branch, Chandralok Building, 36 Janpath, New Delhi 110001, India Email: sbpcbnd@yahoo.co.in
Nature of instrument creating charge	Supplementary Agreement Of Hypothecation Of Goods And Assets For Increase In The Overall Limit.
Date of instrument Creating the charge	29.09.2010
Amount secured by the charge	Rs. 340.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest CC/TL @ 4.50% above bank's base rate with present effective rate being 12.25% (floating) at monthly rests. Terms of repayment Working capital - payable on demand. Term loan - door to door tenure of 4 years including one year moratorium period. Repayment is to be made in 12 equal quarterly installments, each of Rs.1.667 millions, commencing from one year from the date of first disbursement (payable on last day of that month) subject to the conditions that total door-to-door period does not exceed 4 years. interest to be services as and when applied. Margin CC (Hyp) - 25% Term Loan - 33% BG/LC/FLC - 10% Extent and operation of the charge First Charge on current and fixed assets
Short particulars of the property charged (Including location of the property)	The fixed assets (other than the vehicle financed by the other Banks) as well as current assets including books debts and other receivables.
Particulars of the present modification	Bank's first and exclusive charge over current assets of the company including book debts and other receivables and extension of charge on the fixed assets of the company (other than vehicles financed by other banks) already regd. For Rs. 230.000 millions shall stand enhanced to Rs. 340.000 millions.

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.44.37
UK Pound	1	Rs.72.34
Euro	1	Rs.63.87

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--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	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		44

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.