MIRA INFORM REPORT

Report Date :

15.06.2011

IDENTIFICATION DETAILS

Name :	indian steel corporation limited
Registered Office :	611, Tulsiani Chambers ,Nariman Point, Mumbai – 400021, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	16.02.2004
Com. Reg. No.:	144559
Capital Investment/ Paid-up Capital:	Rs.572.500 Millions
CIN No.: [Company Identification No.]	U27100MH2004PLC144559
TAN No.: [Tax Deduction & Collection Account No.]	MUMI04849F
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer of Cold Rolled Coils / Strips / Sheets and Galvanized Plain / Corrugated Sheets / Coils.
No. of Employees:	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (34)

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

Maximum Credit Limit :	USD 11000000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a Joint Venture between Ruchi Group of Industries, India and Mitsui and Company, Japan. It is an established company having moderate track. There appears some accumulated losses recorded by the company in the current year. However, trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. In view of strong holding, 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 DECLINED BY

Management Non Co Operative [Name not disclosed]

LOCATIONS

Registered Office :	611, Tulsiani Chambers, Nariman Point, Mumbai – 400021, Maharashtra, India
Tel. No.:	91-22-22851303
Fax No.:	91-22-22823177
E-Mail :	rsalbom@ruchigroup.com ashutosh_mishra@indiansteels.com
Website :	www.indiansteels.com
Corporate Office :	503, Mahakosh House, 7/5, South Tukoganj, Indore – 452001, Madhya Pradesh, India
Tel. No.:	91-731-2518124 / 25 / 26
Fax No.:	91-731-2518127
E-Mail :	isc@indiansteels.com
Branches :	NEW DELHI 43, Lakhram Road, 2nd Floor, Daryaganj, New Delhi – 100 002, India Tel : 91-11-2324 1140/41/42, Fax : 91-11-23264143 Email : sudhir_maheshwari@ruchigroup.com BANGALORE No.15, 11th Cross Ashok Nagar, BSK 1st Stage, Kathriguppa Main Road, Bangalore – 560 050, Karnataka, India Tel : 91-80-2689 1838, Fax : 91-80-2689 1838 Email : rsal_banglore@ruchigroup.com AHMEDABAD 207, Iscon Avenue , Opp Choice Restaurant, C.G. Road, Navrangpura. Ahmedabad - 380 009, Gujarat, India Tel : 91-79-30074312/314 Email : ankit_pandya@indiansteels.com JAIPUR F-8, First Floor Govindam Complex, Sansar Chandra Road, Jaipur - 302 001, Rajasthan, India Tel : 91-141-2372973/4002954 Email : neeraj_sharma@indiansteels.com CHENNAI No.40 & 41 , East Madha Church Road, Royapuram, Chennai - 600 013, Tamilnadu, India Tel : 91-44-25952953 Fax : 91-44-25976337 Email : d_gopinath@indiansteels.com VADODARA G-12, Race Course Towers, Opposite to Citi Bank, Race Course Circle, Vadodara - 390 007, Gujarat, India

DIRECTORS

As on 21.08.2010

Name :	Mr. Kohei Suzuki
Designation :	Additional Director
Address :	A – 4/3, 1/F, Vasant Vihar, New Delhi – 11005, India
Date of Birth/Age :	13.09.1965
Date of Appointment :	16.02.2010
Name :	Mr. Umesh Shahra
Designation :	Managing Director
Address :	28 Old Palasia, Indore, Madhya Pradesh, India
Date of Birth/Age :	17.06.1963
Date of Appointment :	16.02.2004
Name :	Mr. Shambunath Sadawarti
Designation :	Director
Address :	Park Regency 201, A – 71, MIG Colony, Indore, Madhya Pradesh, India
Date of Birth/Age :	18.03.1947
Date of Appointment :	16.02.2004
Name :	Mr. Arjun Zalani
Designation :	Director
Address :	27/B, Sector – A, Slice – 6, Scheme No. 78, Indore, Madhya Pradesh, India
Date of Birth/Age :	26.11.1971
Date of Appointment :	27.09.2006
Name :	Mr. Navin Khandelwal
Designation :	Director
Address :	5/1, Saket Nagar, Indore, Madhya Pradesh, India
Date of Birth/Age :	22.04.1973
Date of Appointment :	01.07.2004
Name :	Mr. Kailash Chandra Sharma
Designation :	Director
Address :	29 Old Palasia, Indore, Madhya Pradesh, India
Date of Birth/Age :	31.01.1938
Date of Appointment :	01.02.2005

KEY EXECUTIVES

Name :	Mr. Ashutosh Mishra
Designation :	Secretary
Address :	21 A, Krishi Vihar Colony Near Bakhtawar Ram Nagar, Indore, Madhya Pradesh, India
Date of Birth/Age :	21.01.1964
Date of Appointment :	28.03.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 21.08.2010

Names of Shareholders	No. of Shares
Mr. Umesh Shahra	80800
Mr. Arjun Zalani	6100
Mr. Manish Parikh	1000
Mr. Shambhu Nath Sadawani	1000
Mr. Saket Barodia	1000
Mr. Vijay Kumar Mahajan	5000
Trans Siberian Industries Limited, UAE	4709807
Sino Asian Resources Industries Limited, Hong Kong	5866397
Kyanite Economic and Development Limited, Singapore	3004786
Global Connects Instrument Limited, UAE	728638
Rohini Forex Private Limited, Mumbai	3200000
Ruchi Acroni Industries Limited, Indore	663000
Ruchi Global Limited, Mumbai	1240000
Ruchi Infrastructure Limited, Mumbai	2995100
Ruchi Corporation Limited, Mumbai	1135800
NPL Finance Limited, Indore	54100
Swastika Worldwide Private Limited, Indore	20000
Ruchi Stock and Securities Private Limited, Indore	2347000
Mitsui and Company India Private Limited, New Delhi	2151608
Mitsui and Company Limited, Japan	5715720
Lucas Meyer Industries Private Limited, Indore	2761500
Ruchi Real Estate Developers Private Limited, Mumbai	3000000
Ruchi Growth Fund Private Limited, Indore	3000000
Rohini Commodities Private Limited, Kolkata	10978983
Mitsui and Company (Asia Pacific) Pte. Limited, Singapore	3582675
Total	57250014

As on 21.08.2010

Equity Share Breakup	Percentage of Holding
Category
Foreign Holdings (FIIs / Fcs / FFIs / NRIs / OCBs)	45.83
Bodies corporate	53.95
Directors or relatives of directors	0.20
Other top fifty shareholders	0.02
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Cold Rolled Coils / Strips / Sheets and Galvanized Plain / Corrugated Sheets / Coils.

Products :

Generic Names of principal Products of Company

Item Code No. (ITC Code)	Product Description
7209	Cold Rolled Coils / Strips / Sheets
7210	Galvanized Plain / Corrugated Sheets / Coils

PRODUCTION STATUS AS ON 31.03.2010

Particulars	Unit	Installed Capacity	Actual Production
Cold Rolling Mill (CRM)	MT	20000	200000
Continuous Galvanising Line (CGL)	MT	120000	120000

GENERAL INFORMATION

Bankers :

• State Bank of Patiala, MID Corporate Branch, Orbit Mall, Indore – 452001, Madhya Pradesh, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Term Loans
From Banks	2674.141	1718.837
Interest Accrued and Due	24.371	17.231
Working Capital Loan from banks	0.389	155.988
Overdraft from Banks	35.000	37.500
Total	2733.881	1927.535

Note:

• Term Loan from Banks are secured by 1^st charge by way of equitable mortgaged over land situated at Village Bhimasar Taluka Anjar District Kutch Gujarat together with factory buildings, plant and machinery, furniture and fixture, other structure constructed there on and hypothecation of all movable assets of the company both present and future ranking pari passu in favour of all term lenders and 2^nd charge on all current assets of the company and personal guaranteed by one director.

• Installments on Term Loans due within next 12 months Rs. 223.200 Millions.

• Working Capital loan facilities from Banks are secured by way of hypothecation of entire stocks of raw material stock on process, etc and 2^nd charge pari passu charge by way of mortgage on all immovable properties together with building and other structures thereon and all plant and machineries attached to the earth and personal guaranteed by one director.

• Overdraft from Banks is secured by lien / pledged of fixed deposit receipts of Rs. 50.000 Millions.

Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Short Term Loans	403.401	0.000
Buyer’s credit line	1847.261	834.535
Total	2250.662	834.535

Banking Relations :

---

Auditors :

Name :

Ashok Khasgiwala and Company

Chartered Accountant

Address :

317, Chetak Centre, Annexze, RNT Marg, Indore – 452001, Madhya Pradesh, India

Tel. No.:

91-731-25717341 / 3046909

E-Mail :

ashokkhasgiwala@yahoo.com

Associates/Subsidiaries :

• Indian Steel SEZ Limited (CIN No. U74900MH2007PLC173930) (Wholly owned subsidiary)
• Ruchi Strips and Alloys Limited
• Ruchi Global Limited
• Ruchi Arconi Industries Limited

CAPITAL STRUCTURE

As on 21.08.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
80000000	Equity Shares	Rs. 10 /- each	Rs.800.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
61000014	Equity Shares	Rs. 10 /- each	Rs. 610.000 Millions

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
60000000	Equity Shares	Rs. 10 /- each	Rs.600.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
57250014	Equity Shares	Rs. 10 /- each	Rs.572.500 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		572.500	442.500	245.114
2] Share Application Money		18.950	1.319	15.975
3] Reserves & Surplus		2286.996	1766.997	1083.993
4] (Accumulated Losses)		(14.724)	(177.258)	0.000
NETWORTH		2863.722	2033.558	1345.082
LOAN FUNDS
1] Secured Loans		2733.881	1927.535	1504.247
2] Unsecured Loans		2250.662	834.535	828.067
TOTAL BORROWING		4984.543	2762.070	2332.314
DEFERRED TAX LIABILITIES		25.363	0.000	67.817
TOTAL		7873.628	4795.628	3745.213
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		3194.662	1652.658	1673.260
Capital work-in-progress		1941.257	2104.049	1151.552
INVESTMENT		56.002	0.503	0.503
DEFERREX TAX ASSETS		0.000	64.224	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1893.836	1130.952	1353.573
	Sundry Debtors	1253.826	1126.497	888.254
	Cash & Bank Balances	722.120	517.695	774.135
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	698.602	262.970	319.609
Total Current Assets		4568.384	3038.114	3335.571
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	1718.603	2002.636	0.000
	Current Liabilities	97.369	29.890	2387.137
	Provisions	71.071	32.126	29.633
Total Current Liabilities		1887.043	2064.652	2416.770
Net Current Assets		2681.341	973.462	918.801
MISCELLANEOUS EXPENSES		0.366	0.732	1.097
TOTAL		7873.628	4795.628	3745.213

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales Turnover and other Income	11291.612	9071.377	7184.741
		TOTAL (A)	11291.612	9071.377	7184.741
Less	EXPENSES
		Materials	9906.640	7860.648	6038.510
		Other Expenses	988.742	1047.045	652.351
		Increased / Decreased in stock	(384.202)	163.277	(36.206)
		TOTAL (B)	10511.180	9070.970	6654.655
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		780.432	0.407	530.086
Less	FINANCIAL EXPENSES (D)		332.535	327.875	269.834
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		447.897	(327.468)	260.252
Less/ Add	DEPRECIATION/ AMORTISATION (F)		158.274	86.508	85.349
	PROFIT BEFORE TAX (E-F) (G)		289.623	(413.976)	174.903
Less	TAX (H)		127.089	(130.177)	79.084
	PROFIT AFTER TAX (G-H) (I)		162.534	(283.799)	95.819
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	613.222	1693.133	732.887
	IMPORTS
		Raw Materials	4384.752	2160.621	2348.565
		Stores & Spares	2.111	26.357	7.993
		Capital Goods	424.031	4.631	5.327
		Others	0.000	68.134	50.864
	TOTAL IMPORTS		4810.894	2259.743	2412.749
	Earnings Per Share (Rs.)		3.61	(11.39)	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.44	(3.13)	1.33
Return on Total Assets (PBT/Total Assets)	(%)	3.73	(8.74)	3.49
Return on Investment (ROI) (PBT/Networth)		0.10	(0.20)	0.13
Debt Equity Ratio (Total Liability/Networth)		2.40	2.37	3.53
Current Ratio (Current Asset/Current Liability)		2.42	1.47	1.38

LOCAL AGENCY FURTHER INFORMATION

PERFORMANCE AND PROGRESS OF THE PROJECT

During the year, the Company has achieved a turnover of Rs.11291.61 Million registering a growth of sales turnover of 24.49% as compared to last financial year. Profit before tax during the year has also shown the noticeable growth and stood at Rs.289.620 Millions. In the domestic market, the Company has a nation wide dealer network comprising 63 dealers and 470 plus sub dealers. The Company has continuously building up a strong distribution network having 15 depots spread across the country from Jammu to Cochin. In the Galvanized market, the Company has a leadership status in Gujarat and Rajasthan and continuously building up a very high repute for its products and services. The Company’s product brands in the name of Indian Ultra Tuf and Indian Tadka have become household names among the consumers. The Company has also received source approval from Videocon and LG India for supply of GP skin passed sheets for Airconditioners, from Rola Star India (a unit of Tomkin, U.K) for supply of G.P coils and from Jay Bharat Maruti (JBM) for supply of GP sheets. The Company has started the production of CRCA in May, 2009 and already added HPCL, Videocon, Anup Industries Limited. , Inox India Ltd., to its new customer list, thereby having a footprint in OEM segment alongwith general construction segment. Besides this, several new proposals are also in the pipeline for obtaining source approval from certain key market players and various PSU's. The company had organized the dealers meet in October, 2009 in order to strengthen the bonding and to create strong relationship with its dealers.

The Company continues to enjoy full trust and confidence of Mitsui Group, Japan, and the strategic partner of the Company. Mitsui Group has rendered its valuable support in the growth of the Company and has plans to open up service centers to cater customers with more value added products. During the year, the Company has established its CRCA product not only with Indian OEM market but also in International market. The response of market has been quite encouraging and the Company is in the process of establishing various grades for the OEM market. To cater the market in a better manner the Company has planned to double the capacity of CRCA product and has placed orders for the equipments with M/s. Ebner of Austria, a leader in the field.

The Company has inked a contract for wider width continuous galvanizing line with CMI-FPE, a Company with international repute in steel sector. The Company has set a target to start the production of this product in the current financial year. The civil and structural work is in progress. The company has also entered into a contract of producing colour coated products of wider width with CMI-FPE and this product is also likely to be launched in the current financial year.

The 6 HI reversing mill from Seimens VAI is being installed, now with the commissioning of second phase the Company will be catering Indian and International market with a wide width of cold rolled products.

Fixed Assets:

• Land
• Buildings
• Plant and Machinery
• Furniture and Fixture
• Office Equipments
• Vehicles

Form 8:

Corporate identity number of the company	U27100MH2004PLC144559
Name of the company	indian steel corporation limited
Address of the registered office or of the principal place of business in India of the company	611, Tulsiani Chambers ,Nariman Point, Mumbai – 400021, Maharashtra
This form is for	Creation of charge
Type of charge	Book Debts Movable Property
Particular of charge holder	State Bank of Patiala, MID Corporate Branch, Orbit Mall, Indore – 452001, Madhya Pradesh, India
Nature of instrument creating charge	Agreement of Hypothecation Goods and Assets dated 26.03.2010 Agreement of Loan fro Overall Working Capital Limit dated 26.03.2010
Date of instrument Creating the charge	26.03.2010
Amount secured by the charge	Rs. 1250.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest At BPLR present effective rate 12.25% p.a. at monthly rests in line with lead bank. Terms of Repayment As per Loan Agreement dated 26.03.2010 Margin Raw Material – 25% Stock in progress – 30% Finished goods – 25% Stores and spares and consumables – 30% Receivables – 30% EPC – 10% Extent and Operation of the charge Hypothecation of the company’s entire stocks of raw materials, stock in process, finished goods, consumable stores and spares, packing materials and other current assets including book debts ranking pari – passu with other member banks in the consortium.
Short particulars of the property charged	Hypothecation of the company’s entire stocks of raw materials, stock in process, finished goods, consumable stores and spares, packing materials and other current assets including book debts ranking pari – passu with other member banks in the consortium.

Corporate identity number of the company	U27100MH2004PLC144559
Name of the company	indian steel corporation limited
Address of the registered office or of the principal place of business in India of the company	611, Tulsiani Chambers ,Nariman Point, Mumbai – 400021, Maharashtra
This form is for	Modification of charge
Type of charge	Book Debts Movable Property Immovable Property
Particular of charge holder	STATE BANK OF INDORE
Nature of instrument creating charge	Memorandum Of Mortgage By Deposit Of Title Deeds Dated 20th August, 2010.
Date of instrument Creating the charge	20/08/2010
Amount secured by the charge	Rs.18210.000 Millions
Date of instrument modifying the charge	20/05/2009
Particulars of the present modification	No Instrument Was Executed, Vide Memorandum of Mortgage By Deposit of Title Deeds Dated 20-08-2010, Title Deeds Related To Land Admeasuring 110 Acres 29 Guntas (More Particularly Described In Schedule To The Said Memo) Were Allowed To Be Held By State Bank Of Indore Acting For Itself And As Agent of Other Participating Banks Extending The Mortgage For The Liability To The Extent Of Rs. 18210.000 millions. Now The IDBI Bank Limited. Has Also Been Inducted As A Charge Holder.

PRESS RELEASE:

Ruchi Group inks pact with Mitsui to set up a JV

Business Standard - New Delhi, 07 April, 2010

India's Ruchi Group has signed a pact with Japanese conglomerate Mitsui to form a joint venture company for setting up steel service centres across the country to cater to automotive, white goods and construction sector.

"Ruchi Group of India and Mitsui and Co, Japan a conglomerate with turnover of over $30 billion, have signed a 50:50 Joint Venture and Shareholders' Agreement in Tokyo recently to form a JV Company in India which will engage in the business of establishing, setting up and operating Steel Service Centres in India," Ruchi Group said in a statement.

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.44.77
UK Pound	1	Rs.73.45
Euro	1	Rs.64.55

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	yes
--AFFILIATION	YES/NO	yes
--LISTED	YES/NO	no
--OTHER MERIT FACTORS	YES/NO	yes
TOTAL		34

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.