MIRA INFORM REPORT

Report Date :

29.07.2011

IDENTIFICATION DETAILS

Name :	SPECTRUM CUTTING TOOLS PRIVATE LIMITED
Registered Office :	Yashodhan Plot No.111/1, Hanuman Nagar, Old NH4, Ujalaiwadi - 416004, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	20.07.2006
Com. Reg. No.:	25-128794
Capital Investment / Paid-up Capital :	Rs.0.440 Million
CIN No.: [Company Identification No.]	U29299PN2006PTC128794
TAN No.: [Tax Deduction & Collection Account No.]	KLPS06792C
PAN No.: [Permanent Account No.]	AAKCS0500J
Legal Form :	Private Limited Liability Company
Line of Business :	Trader of Cutting Tools
No. of Employees :	17 (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 29000
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 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.

INFORMATION PARTED BY

Name :	Mr. Bhagwal
Designation :	Accounts Department
Contact No.:	91-9326799911
Date :	28.07.2011

LOCATIONS

Registered Office :	Yashodhan Plot No.111/1, Hanuman Nagar, Old NH4, Ujalaiwadi - 416004, Maharashtra, India
Mobile No.:	91-9326799911 (Mr. Bhagwal)
E-Mail :	Spectrumtgte@yahoo.co.in
Location :	Owned
Branch Office :	S N 9, Near Praveen Mehendikodhwa – Pisoli, Pune – 411028, Maharashtra, India
Tel. No.:	91-231-2605876 / 3290543 / 2606428
Fax No.:	91-231-2607110

DIRECTORS

AS ON 28.09.2010

Name :	Mr. Rahul Sambhajirao Pawar .
Designation :	Director
Address :	Yashodhan, Plot No 111/1, Hanumannagar , Old NH. 4, Ujalaiwadi Kolhapur-416004, Maharashtra, India
Date of Birth/Age :	01.06.1975
Date of Appointment :	20.07.2006
Name :	Mr. Deepali Rahul Pawar
Designation :	Director
Address :	Yashodhan, Plot No 111/1, Hanumannagar , Old NH. 4, Ujalaiwadi Kolhapur-416004, Maharashtra, India
Date of Birth/Age :	31.08.1982
Date of Appointment :	20.07.2006
Name :	Mr. Sambhajirao Bhagwanrao Pawar.
Designation :	Director
Address :	Yashodhan, Plot No 111/1, Hanumannagar , Old NH. 4, Ujalaiwadi Kolhapur-416004, Maharashtra, India
Date of Birth/Age :	01.06.1942
Date of Appointment :	20.07.2006

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 28.09.2010

Names of Shareholders	No. of Shares
Rahul Sambhajirao Pawar	400
Deepali Rahul Pawar	200
Sambhajirao Bhagwanrao Pawar	3800
Total	4400

LIST OF ALLOTTEES

Names of Shareholders	No. of Shares
Rahul Sambhajirao Pawar	600
Deepali Rahul Pawar	14800
Sambhajirao Bhagwanrao Pawar	15200
Total	30600

AS ON 28.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader of Cutting Tolls.
Terms :
Selling :	Cash, Credit (30 days)
Purchasing :	Cash, Credit (30 days)

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

17 (Approximately)

Bankers :

· The Shamrao Vithal Co-Operative Bank Limited, Shop No. 36-41 and 41A, B WARD, Eagle's Pride, Mirajkar Tikti, KOLHAPUR, Maharashtra – 416012, India

· Palus Sahakari Bank Limited

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Palus Sahakri Bank Limited Overdraft A/c	2.489	2.472
Palus Sahakri Bank Limited Hypothecation A/c	0.552	0.547
Total	3.041	3.020
Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Manisha Mohan Shinde	0.243	0.243
Nirmala S. Pawar	0.327	0.327
Mahalxmi Exterior	0.382	0.320
Loan From Directors	3.716	4.013
Total	4.668	4.903

Banking Relations :	----
Auditors :
Name :	Pawar Asanare And Associates Chartered Accountant
Address :	G ½, Shivdatta Sankul, Behind ICICI Bank, Miraj Road, Sangali, Mumbai – 416416, Maharashtra, India
Associates/Subsidiaries :	Rasika Enterprises

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000	Equity Shares	Rs.100/- each	Rs.0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4400	Equity Shares	Rs.100/- each	Rs.0.440 Million

AS ON 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000	Equity Shares	Rs.100/- each	Rs.0.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
35000	Equity Shares	Rs.100/- each	Rs.3.500 Million

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		0.440	0.440	0.440
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		6.735	3.822	1.895
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		7.175	4.262	2.335
LOAN FUNDS
1] Secured Loans		3.041	3.020	3.637
2] Unsecured Loans		4.668	4.903	4.334
TOTAL BORROWING		7.709	7.923	7.971
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		14.884	12.185	10.306
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.323	0.413	0.315
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.145	0.120	0.132
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.452	4.279	2.947
	Sundry Debtors	21.973	12.321	14.935
	Cash & Bank Balances	1.285	0.592	0.562
	Other Current Assets	0.000	0.000	2.325
	Loans & Advances	1.770	1.069	0.525
Total Current Assets		29.480	18.261	21.294
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	11.600	4.611	9.862
	Provisions	3.468	2.006	1.573
Total Current Liabilities		15.068	6.617	11.435
Net Current Assets		14.412	11.644	9.859
MISCELLANEOUS EXPENSES		0.004	0.008	0.000
TOTAL		14.884	12.185	10.306

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	57.498	46.900
		Other Income	0.186	0.201
		TOTAL (A)	57.684	47.101
Less	EXPENSES
		Consumption of raw material	47.351	37.714
		Direct Expenses	0.006	0.009
		Administrative and Selling Expenses	6.600	6.357
		TOTAL (B)	53.957	44.080
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		3.727	3.021
Less	FINANCIAL EXPENSES (D)		0.388	0.427
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.339	2.594
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.147	0.143
	PROFIT BEFORE TAX (E-F) (G)		3.192	2.451
Less	TAX (I)		0.265	0.000
	PROFIT AFTER TAX (G-I) (J)		2.927	2.451
	BALANCE CARRIED TO THE B/S		2.927	2.451
	Earnings Per Share (Rs.)		665.22	557.04

Particulars	31.03.2011
Sales Turnover (Approximately)	80.000

Expected Sales (2011-2012) : Rs.120.000 millions

The above information has been parted by Mr. Bhagwal.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	5.09	5.20	--
Net Profit Margin (PBT/Sales)	(%)	5.55	5.22	--
Return on Total Assets (PBT/Total Assets}	(%)	10.71	13.12	--
Return on Investment (ROI) (PBT/Networth)		0.44	0.57	--
Debt Equity Ratio (Total Liability/Networth)		5.18	3.41	8.31
Current Ratio (Current Asset/Current Liability)		1.95	2.75	1.86

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS :

(Rs. In Millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Sunday Creditors	11.600	4.611	9.062
Other Creditors	0.000	0.000
Total	11.600	4.611	9.062

PERFORMANCE :

The Company’s performance has been satisfactory during the financial year 2009-10. The Total turnover achieved by the company is Rs. 57.685 millions. The company earned net profit of Rs. 2.927 millions during the year which are carried forward to Balance Sheet.

FORM : 8

Corporate identity number of the company	U29299PN2006PTC128794
Name of the company	SPECTRUM CUTTING TOOLS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Yashodhan Plot No.111/1, Hanuman Nagar, Old NH4, Ujalaiwadi - 416004, Maharashtra
This form is for	Modification of charge
Type of charge	Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	The Shamrao Vithal Co-Operative Bank Limited, Shop No. 36-41 and 41A, B WARD, Eagle's Pride, Mirajkar Tikti, KOLHAPUR, Maharashtra – 416012, India
Nature of instrument creating charge	Composite Hypothecation Agreement Dated 02-05-2011.
Date of instrument Creating the charge	02/05/2011
Amount secured by the charge	Rs. 10.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest At PLR-3% Per Annum i. e. presently @ 13% per annum. Renewal in march 2012.other details as per agreement and sanction letter attached. Terms of repayment On demand. Annual review. Margin 25% Extent and operation of the charge As per agreement and sanction. Other Other details as per agreement and sanction
Short particulars of the property charged (Including location of the property)	Hypothecation of stocks such as cutters, drills, inserts, spares, taps, tool holders, oil, grease etc. Other details as per agreement and sanction letter attached. Hypothecation of present and future book debts, outstanding monies, receivables, claims, bills, rights to or in moveable properties and moveable assets which are now due. Other particulars as per agreement and sanction letter attached

FIXED ASSETS :

· Vacuum Cleaner

· Maruti Car

· Computer

· Refrigerator

· Telephone and Mobile

· Voltas mini magic Super TT

· UPS Systems

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. 44.12
UK Pound	1	Rs. 72.05
Euro	1	Rs. 63.33

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	NO
--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.