MIRA INFORM REPORT

 

 

Report Date :

02.06.2011

 

 

Note : The correct Name of The company is THERMAL SYSTEMS (HYDERABAD) PRIVATE LIMITED.

 

IDENTIFICATION DETAILS

 

Name :

THERMAL SYSTEMS (HYDERABAD) PRIVATE LIMITED

 

 

Registered Office :

Plot No.1, Apuroopa Township, IDA Jeedimelta, Hyderabad-500055, Andhra Pradesh

 

 

Country :

India

 

 

Financials (as on) :

31.03.2010

 

 

Date of Incorporation :

04.11.1991

 

 

Com. Reg. No.:

01-13404

 

 

Capital Investment / Paid-up Capital :

Rs. 59.750 millions

 

 

CIN No.:

[Company Identification No.]

U31909AP1991PTC013404

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

HYDT01115C

 

 

PAN No.:

[Permanent Account No.]

AAACT9825H

 

 

Legal Form :

Private Limited Liability Company 

 

 

Line of Business :

Manufacturer of Waste Heat Recovery Boilers

 

 

No. of Employees :

200 (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 1600000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established company having satisfactory track. Trade relations are reported as fair.  Payments are usually correct and as per commitments.

 

It can be considered normal any business dealing 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. Raj Sekhar

Designation :

VP – Finance

Contact No.:

91-40-23091801

Date :

01.06.2011

 

 

LOCATIONS

 

Registered Office :

Plot No.1, Apuroopa Township, IDA Jeedimelta, Hyderabad-500055, Andhra Pradesh, India

Tel. No.:

91-40-23091801 - 06

Fax No.:

91-40-23097433

E-Mail :

info@thermalindia.com

rajshekhar@thermalindia.com

Website :

www.thermalindia.com

Area:

10000 sq.ft

Location :

Owned

 

 

Factory 1 :

Apuroop Township, I. D. A., Jeedimetla, Hyderabad – 500 055, Andhra Pradesh, India.

Tel. No.:- 91-40-23091801

Fax No.:- 91-40-23097431

Location :- Owned

Area: - 40000 sq.ft.

 

 

Factory 2 :

Plot No. D27, Phase V IDA, Jeedimetla, Hyderabad – 500055, Andhra Pradesh, India

 

 

Factory 3 :

Plot No. D30 and 31, Phase V IDA, Jeedimetla, Hyderabad – 500055, Andhra Pradesh, India

 

 

Factory 4 :

Plot No. 158, IDA, Bollaram, Miyapur, Hyredabad, Andhra Pradesh

Fax No.:- 66644552

Location :- Owned

 Area: - 100000 sq.ft.

 

 

DIRECTORS

 

AS ON 25.09.2010

 

Name :

Mr. Polina Veer Raju

Designation :

Managing Director

Address :

Plot No.303-B, Road No.25, Jubilee Hills, Hyderabad-500033, Andhra Pradesh

Date of Birth/Age :

01.06.1949

Qualification :

B.E (Mech)

Experience :

37 years

Date of Appointment :

04.11.1991

 

 

Name :

Mr. P. Varadaraj

Designation :

Joint Managing Director

 

 

Name :

Mr. Polina Satyanarayana

Designation :

Whole time Director

Address :

Flat No.201, Plot No.19, Lakshmi Apartments, Salivahana Nagar, Hyderabad-500073, Andhra Pradesh

Date of Birth/Age :

11.11.1959

Qualification :

L.E.E

Experience :

28 years

Date of Appointment :

16.08.1993

 

 

Name :

Mr. K. Venu

Designation :

Director

 

 

Name :

Mr. Mullapudi Ananda Rao

Designation :

Director

Address :

H.No.2-30/6, Nizampet Road, Hyder Nagar, Hyderabad, Andhra Pradesh

Date of Birth/Age :

20.10.1960

Qualification :

B.com

Experience :

27 years

Date of Appointment :

16.08.1993

 

 

Name :

Mr. Polina Sesharathnam

Designation :

Director

Address :

Plot no.303-B, Road No.25, Jubilee Hills, Hyderabad-500033, Andhra Pradesh

Date of Birth :

03.02.1958

Qualification :

Under Graduate

Date of Appointment :

04.11.1991

 

 

KEY EXECUTIVES

 

Name :

Mr. Vedula Gopinath

Designation :

Company Secretary

Address :

8-2-317/A, Flat No.201, D Block, Amrutha Enclave, Road No.14, Banjara Hills, Hyderabad-500034, Andhra Pradesh, India

Date of Birth/Age :

01.07.1947

Date of Appointment :

25.08.2006

E-Mail:

vgopinath2@yahoo.com

 

 

Name :

Mr. Raj Sekhar

Designation :

VP – Finance

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 25.09.2010

 

Names of Shareholders

No. of Shares

Mr. Polina Veerraju

3794125

Mr. Polina Satyanarayana

1195000

Mr. Mullapudi Anand Rao

597500

Mr. Polina Sesha Ratnam

388375

 

 

Total

5975000

 

AS ON 25.09.2010

 

Equity Share Breakup

 

Percentage of Holding

Category

 

 

Directors or relatives of directors

 

100.00

 

Total

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Waste Heat Recovery Boilers

 

 

Products :

 

Item Code No.    
       Product Description

84021000

Boilers and parts

84041000

Economisers and parts

84041000

Superheaters and part

 

 

           

Exports :

 

Products:

Boilers, Super heaters

Countries :

USA, UK, South Africa, Spain, Australia, Bulgaria, Bangladesh, Italy, Iran, Canada, Egypt, France, Germany, Korea

 

 

Terms :

 

Selling :

L/C, Cash, Credit (30 – 60 days )

 

 

Purchasing :

L/C, Cash, Credit (30-60 days)

 

PRODUCTION STATUS (As on 31.03.2010):-

 

Particulars

Actual Production

 

Quantity in Nos.

Value

(Rs. in Millions )

Economizers

10

46.432

Super Heaters

11

62.246

Boilers

16

588.841

Others

31

99.980

 

 

GENERAL INFORMATION

 

Customers :
  • End Users
  • OEM’s
  • Oswal Chemicals and Fertilizers Limited
  • Paradeep, Madhya Pradesh

 

 

No. of Employees :

200 (Approximately)

 

 

Bankers :
  • State Bank of India, Saifabad (SIB) Branch, HACA Bhavan, Hyderabad – 500 004, Andhra Pradesh, India
  • State Bank of India, MIDC Loan Advance Unit, 3-6-281/A/1, 1st Floor, Near Old MLA Quarters, Hyderabad 500029, Andhra Pradesh, India

 

 

Financial Institutions :

Andhra Pradesh State Financial Corporation, Chirag Ali Lane, Hyderabad, Andhra Pradesh, India 

 

 

Facilities:

(Rs. In millions)

Secured loans

31.03.2010

31.03.2009

 

Working capital loan from State Bank of India 

(Against hypothecation of stocks, WIP, Book Debts on 1st Charge on land and Building at plot No. S.30 and 31, land at Survey No. 279 and Land at Sy. No. 172 IDA, Bollaram. Miyapur, HYd and 2nd charge on Land and Building, plant and Machinery at plot No. 1, Plot No. D – 27, Plot No. 157A, 157B, 157C and Plot No.158 at Sy. No. 172, Ida, Miyapur, Bollaram, Hyderabad and Directors personal Guarantee)

185.788

184.294

 

 

 

Term loan from APSFC  

(Secured by equitable of land and Building covered by plot # 1 Apouroopa Town Ship, plot # D .27, plot # 157A, B and C, 158, IDA Bollaram and Hypothecation of plant and Machinery at Plot # 1, D.27 and D -30,3 1, 2nd Charge on Land and Buildings at Plot No. D -30 and 31, Phase V, IDA Jeedimetla, and plot No. 158 at Sy.No. 172, Ida, Miyapur, Bollaram, Hyderabad and Directors personal Guarantee.

37.026

60.017

 

 

 

Vehicle Loans

(Against hypothecation of vehicles to HDFc Bank Limited, Standard Chartered Bank, ICICI Bank)

3.579

2.030

Total

226.393

246.341

 

UNSECURED LOANS

31.03.2010

31.03.2009

 

Interest Free Sales Tax loan

16.283

20.682

From Others

 

 

Total

16.283

20.682

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

G Seshadri Naidu

Chartered Accountants

Address :

Plot No.D11, Road No.9, Film Nagar, Jubilee Hills, Hyderabad-500033, Andhra Pradesh, India

 

 

Subsidiaries :

Fortuna Boiler Engineers GMBH

 

 

CAPITAL STRUCTURE

 

AS ON 25.09.2010

 

Authorised Capital :

 

No. of Shares

 

Type

Value

Amount

 

 

 

 

7000000

Equity shares

Rs. 10/- each

Rs. 70.000 millions

 

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

 

No. of Shares

 

Type

Value

Amount

 

 

 

 

5975000

Equity shares

Rs. 10/- each

Rs. 59.750 millions

 

 

 

 

 

Notes:

 

Out of the above 4105000 Equity Shares of Rs. 10/- each issued as bonus shares


 

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

59.750

59.750

59.750

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

361.608

299.825

248.513

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

421.358

359.575

308.263

LOAN FUNDS

 

 

 

1] Secured Loans

226.394

246.343

91.309

2] Unsecured Loans

16.283

20.682

20.682

TOTAL BORROWING

242.677

267.025

111.991

DEFERRED TAX LIABILITIES

23.935

23.812

22.118

 

 

 

 

TOTAL

687.970

650.412

442.372

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

209.803

215.990

206.995

Capital work-in-progress

0.000

0.450

1.207

 

 

 

 

INVESTMENT

8.114

3.114

3.115

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
142.262
218.620
224.406

 

Sundry Debtors
394.112
470.631
369.972

 

Cash & Bank Balances
281.149
102.983
283.473

 

Other Current Assets
0.000
0.000
0.000

 

Loans & Advances
161.913
168.577
128.405

Total Current Assets
979.436

960.811
1006.256

Less : CURRENT LIABILITIES & PROVISIONS
 

 
 

 

Sundry Creditors

169.746
173.289

378.487

 

Current Liabilities
217.564
259.193
329.706

 

Provisions
122.073
97.471
67.008

Total Current Liabilities
509.383

529.953
775.201

Net Current Assets
470.053

430.858
231.055

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

687.970

650.412

442.372

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2010

31.03.2009

31.03.2008

 

SALES

 

 

 

 

 

Sales

1134.242

1145.307

1412.136

 

 

Other Income

10.409

23.134

14.323

 

 

TOTAL                                     (A)

1144.651

1168.441

1426.459

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Manufacturing Expenses

121.982

162.415

161.097

 

 

Administrative Expenses

202.947

192.988

161.336

 

 

Raw Material Consumed

569.017

495.651

871.418

 

 

Increase/(Decrease) in Finished Goods

(7.291)

63.951

(49.947)

 

 

Salaries, Wages, Bonus, etc.

106.138

109.802

104.481

 

 

TOTAL                                     (B)

992.793

1024.807

1248.385

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)      (C)

151.858

143.634

178.074

 

 

 

 

 

Less

FINANCIAL EXPENSES                         (D)

20.966

30.487

26.982

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

130.892

113.147

151.092

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

21.788

20.468

17.699

 

 

 

 

 

 

PRIOR PERIOD ITEMS (EXPENSES) / INCOME

1.224

(0.465)

0.226

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                               (G)

110.328

92.214

133.619

 

 

 

 

 

Less

TAX                                                                  (H)

41.578

33.912

56.039

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

68.750

58.302

77.580

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

88.825

43.513

172.923

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

50.000

6.000

200.000

 

 

Dividend

5.975

5.975

5.975

 

 

Tax on Dividend

0.992

1.015

1.015

 

BALANCE CARRIED TO THE B/S

100.608

88.825

43.513

 

 

 

 

 

 

Earnings Per Share (Rs.)

11.50

--

--

 

 

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2010

31.03.2009

31.03.2008

PAT / Total Income

(%)
6.00

4.98
5.44

 

 
 

 
 

Net Profit Margin

(PBT/Sales)

(%)
9.72

8.05
9.46

 

 
 

 
 

Return on Total Assets

(PBT/Total Assets}

(%)
9.27

7.83
10.97

 

 
 

 
 

Return on Investment (ROI)

(PBT/Networth)

 
0.26

0.25
0.43

 

 
 

 
 

Debt Equity Ratio

(Total Liability/Networth)

 

1.84

2.28

2.89

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.92

1.81

1.30

 

 

LOCAL AGENCY FURTHER INFORMATION

 

REVIEW OF OPERATIONS :

 

The company suffered due to economic slowdown situations during the financial year under report. However, the company achieved a turnover of Rs. 1134.200 millions as against the previous year of Rs. 1145.300 millions. The position is improved considerably during the financial year 2010-11. The Company achieved profit before tax of Rs. 110.300 millions as against Rs.92.200 millions in the previous year by reducing the cost of production.

 

SALES TREND :

 

The company has achieved turnover of Rs.1134.200 millions during the year against previous year sales turnover of Rs. 1145.300 millions. The decrease of sales turnover is due to economic slow down and recessionary trends in the economy. However as on the date of the report there have been positive trends for the company’s products in the domestic and Export markets. The current order book position is satisfactory and valued at Rs. 2230.000 millions.

 

trade reference:

 

  • Alexantria Carbon Black Company, Egypt, Alstom, Germany
  • Hays Process Chem Limited, St. Helens, UK
  • Ispat Godawari Limited, Raipur
  • Rashmi Cement Limited, Jhargan West Bengal, India

 

FIXED ASSETS:

 

·         Land and Buildings

·         Plant and Machinery

·         Electrical Installations,

·         Office Equipment,

·         Vehicles,

·         Furniture and Fittings,

·         Computers, etc.

 

CONTINGENT LIABILITIES:

(Rs. In Millions)

Particulars

31.03.2010
31.03.2009

 
 
 

a) Estimated amount of Contracts remaining to be executed on capital amount
Nil
2.736

b) Guarantees, Letter of Credits executed by Banks, against the counter guarantees of the company’s Managing Director
313.365
285.247

 

Form 8:-

 

This form is for

Modification of charge

Charge identification number of the modified 

90137573

Corporate identity number of the company

U31909ap1991ptc013404

Name of the company

THERMAL SYSTEMS (HYDERABAD) PRIVATE LIMITED

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

Plot No.1, Apuroopa Towns JIP, IDA Jeedimelta, Hyderabad-500055, Andhra Pradesh, India

Type of charge

·         Immovable Property

·         Book Debts

·         Movable Property

Particular of charge holder

State Bank of India , MID Corporation Loan Advance Unit 3-6-281/A/1, 1st Floor, near Old MLA Quarters, Hyderabad – 500 029, Andhra Pradesh, India 

 

E-Mail: madhu.arni@sbi.com

Nature of description of the instrument creating or modifying the charge

·         Letter regarding the grant of individual limits within the overall limit

·         Sanction letter. 

Date of instrument Creating the charge

28.04.2008

Amount secured by the charge

Rs. 1050.000 millions

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

Rate of interest:

Cash credit (Hypothecation) – SBAR presently 12.25% per annum with monthly rests.

 

Standby Line of credit – 1% above interest applicable to CC i.e. 13.25% per an annum with monthly interest rests.

 

EPC (under Exporters Gold Card Scheme) – upto 180 days: 3% below SBAR i.e. 9.25% per annum with monthly interest rests. Beyond 180 days and up to 270 days: 1.75% below SBAR i.e., 10.50% per annum with monthly rests.

 

Terms of repayment:

Repayable on demand

 

Margin:

Raw Materials : Domestic -25%

Imported – 10%

Stock in process -25%

Finished goods – 25%

Receivables (cover 90 days)- 40 %

EPC – 10%

Letter of Credit – 10%

BG – 1%

 

Extent and Operation of the charge:

The charge will be extended on immovable properties of the company as described in the agreements.

Short particulars of the property charged

·         Primary security : hypothecation of stocks, book debts and other chargeable current assets

 

Collateral security:

·         EM of factory land adm. 2443.16 Sq.yards in S. No. 289 with factory shed.

·         EM of industrial Land at S. No. 279 adm. 7486 Sq yards. (both at Ida, Jeedimetla)

·         EM of Ind. Land at S. No. 172/A, IDA Bollaram Valued Rs. 5.100 millions (sale deed no. 1070/03)

·         Ext. of EM on residential property No. 8-2-293/82/A/303/B, Road 26 Jubileehills. Others as per the agreements.

Particulars of the present modification 

The overall limits have been decreased to Rs. 1050 millions from the existing Rs. 1175 millions

 

The details are as below:-

·         CC (Hyp) limits decreased from the existing Rs. 300 millions to Rs. 200 millions

·         LCS limits decreased from the existing Rs. 325 millions to Rs. 300 millions

·         BG limit remain same as Rs. 500 millions

·         SLC limits remain same as Rs. 50 millions

 

 

Name of the company

THERMAL SYSTEMS (HYDERABAD) PRIVATE LIMITED

Presented By

Mr. C. Rajasekhar

1) Date and description of instrument creating the change

09.02.1994

General agreement for the grant of small industrial advances and hypothecation of movables, book debts and other assets.

 

Hypothecation of goods, book debts, movable and other assets

 

Advances against receivables and bills

2) Amount secured by the charge/amount owing on the securities of charge

Rs.13.000 millions

 

Sub limit:

CC - Rs.2.000 millions

Bills – Rs.1.000 millions

LC – Rs.5.600 millions

BG – Rs.4.400 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 stocks, book debts and other chargeable current assets

 

Collateral Security :

Mortgage of factory shed at Plot No.D-30 and 31, Phase V, IDA, Jeedimetta, Hyderabad admeasuring 1800 Sq. ft. of each shed and admeasuring 2443.16 Sq. yards. 2nd charge on land and building and plant and machinery at Plot No.1, Apuroopa Township, Jeedimetta, Hyderabad. 2nd charge on land and building and plant and machinery at Plot No.1, Apuroopa Township, Jeedimetta, Hyderabad

 

EM of Industrial Land at Sy. No.279, Jeedimetla Qutbullapur Municipalty in the name of the company admeasuring 1856 Sq. yards

 

2nd charge on land and building at Sy. No.158, IDA Boltaram, Miyapur, Hyderabad.

 

EM of Industriual land at Sy. No.158, IDA, Boltaram, Miyapur, Hyderabad.

 

Extension of EM of house on Plot No.303-B, H. No.8-2-293/82/A Road No.26, Jublee Hills, Hyderabad -33 belongs to Mr. P.V. Raju, MD.

4) Gist of the terms and conditions and extent and operation of the charge.

Stock – Margin 25%

Bills – Margin 40%

 

That the interest charged by the bank at rate of 0.25% below SBAR advance rate with a minimum of 10% per annum.

5) Name and Address and description of the person entitled to the charge.

State Bank of India, Saifabad (SIB) Branch, Hyderabad

6) Date  and brief description of instrument modifying the charge

27.12.2005

 

Agreement of loan for overall limit

Agreement of hypothecation of goods and assets

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.

Total charge now extended to Rs.1175.000 millions

 

(Rs. In millions)

Limits

Existing

Revised

CC

185.000

300.000

Stand by line of credit

15.000

50.000

Sub limit EPC

(25.000)

(120.000)

Sub limit BD

(100.000)

(160.000)

Sub limit DDP

(3.000)

(20.000)

Sub limit FBD

(30.000)

(56.500)

B.Gs

340.000

500.000

L.Cs

230.000

325.000

 

Interest for CC

Is 0.25% below State Bank Advance rate equivalent to 10% per annum

 

Interest for EPC

Up to 180 days – 3.50% below SBAR i.e. 6.75% p.a. with monthly rests and beyond 180 days – 2.10% below SBAR i. e .8.15% p.a.

 

Repayable on demand.

 

 

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. 44.89

UK Pound

1

Rs. 73.84

Euro

1

Rs. 64.76

 

 

 

 

 

 

 

 

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

NO

--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

 

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.