MIRA INFORM REPORT

Report Date :

22.06.2011

IDENTIFICATION DETAILS

Name :	GOLD SEAL AVON POLYMERS PRIVATE LIMITED
Registered Office :	Gold Seal Compound, Village Road, Bhandup, Mumbai – 400 078, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	14.03.1996
Com. Reg. No.:	098147
Capital Investment / Paid-up Capital :	Rs.57.035 millions
CIN No.: [Company Identification No.]	U25110MH1996PTC098147
TAN No.: [Tax Deduction & Collection Account No.]	MUMG04541F
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Auto Ancillary Products.
No. of Employees :	100 Approximately

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 27056
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be under pressure. There appears huge 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.

INFORMATION PARTED BY

Name :	Mr. Raghunath
Designation :	Finance Executive
Date :	22.06.2011

LOCATIONS

Registered Office :	Gold Seal Compound, Village Road, Bhandup, Mumbai – 400 078, Maharashtra, India
Tel. No.:	91-22-25663498 / 67370303 / 25661114 / 25664618
Fax No.:	91-22-67370304 / 25662171
E-Mail :	sales@goldseal.in goldseal@vsnl.com
Website :	http://www.goldseal.in
Location:	Owned
Daman Plant :	Daulet Abad, Daman Patalia Road, Bhimpore, Daman - 396 210, India
Tel. No.:	91-260-2220043 / 2221043 / 44 / 3951428 / 2220403
Fax No.:	91-260-2221410

DIRECTORS

AS ON 29.09.2010

Name :	Mr. Mark Lawrence Kammert
Designation :	Additional Director
Address :	34, Compo PKWY, Westport CT 06880
Date of Birth/Age :	03.07.1961
Date of Appointment :	01.12.2006
Name :	Mr. Khursheed Cyrus Aga
Designation :	Alternate Director
Address :	51, Sommerset House, Off Warden Road, Mumbai – 400 026, Maharashtra, India
Date of Birth/Age :	21.03.1982
Date of Appointment :	01.12.2006
Name :	Mr. Cyrus Hoshang Aga
Designation :	Director
Address :	51, Sommerset House, Off Warden Road, Mumbai – 400 026, Maharashtra, India
Date of Birth/Age :	24.11.1955
Date of Appointment :	14.03.1996
Name :	Mr. Pilloo Cyrus Aga
Designation :	Director
Address :	51, Sommerset House, Off Warden Road, Mumbai – 400 026, Maharashtra, India
Date of Birth/Age :	16.09.1955
Date of Appointment :	14.03.1996
Name :	Mr. Urvaksh Cyrus Aga
Designation :	Director
Address :	51, Sommerset House, Off Warden Road, Mumbai – 400 026, Maharashtra, India
Date of Birth/Age :	21.03.1980
Date of Appointment :	24.02.2004
Name :	Mr. Jonathan Arthur Hockin
Designation :	Director
Address :	7, Thomas Mead, Chippenham, United Kingdom, SN153YS
Date of Birth/Age :	10.06.1957
Date of Appointment :	01.01.2007
Name :	Mr. Michael R Franklin
Designation :	Director
Address :	3, Swallow Drive, Trowbridge, Wiltshire BA 149TW
Date of Birth/Age :	17.11.1955
Date of Appointment :	04.09.1997
Name :	Mr. Bahram Navroz Vakil
Designation :	Director
Address :	CZB and Associates, Express Towers, 23^rd,Nariman Point, Mumbai – 400 021, Maharashtra, India
Date of Birth/Age :	12.09.1958
Date of Appointment :	13.03.2001
Name :	Mr. Leland Lester Richards
Designation :	Director
Address :	1901, Eastlakemitchell Drive, Cadillac, MI, USA 496019737
Date of Birth/Age :	09.07.1964
Date of Appointment :	30.08.2005

KEY EXECUTIVES

Name :	Mr. Raghunath
Designation :	Finance Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 29.09.2010

Names of Shareholders (Equity Shares)	No. of Shares
Cyrus Hoshang Aga	10
Pilloo Cyrus Aga	10
Cyrus Hoshang Aga Pilloo Cyrus Aga	420188
Cyrus Hoshang Aga Pilloo Cyrus Aga Urvaksh Cyrus Aga	140000
Cyrus Hoshang Aga Pilloo Cyrus Aga Darius Cyrus Aga	140000
Cyrus Hoshang Aga Pilloo Cyrus Aga Khursheed Cyrus Aga	140000
Hallmark Auto Trimmings Private Limited, Mumbai, Maharashtra, India	200000
Pilloo Cyrus Aga Cyrus Hoshang Aga	119990
Avon Rubber Mauritius	2851798
Aga Holdings and Agencies Private Limited, Mumbai, Maharashtra, India	50000
Permaseal Auto Products Private Limited, Mumbai, Maharashtra, India	340000
Gold Seal Engineering Products Private Limited, Mumbai, Maharashtra, India	650000
Daulet Hoshang Aga Cyrus Hoshang Aga	191600
Daulet Hoshang Aga Cyrus Hoshang Aga Pilloo Cyrus Aga	60000
Urvaksh Cyrus Aga Cyrus Hoshang Aga Pilloo Cyrus Aga	60000
Khursheed Cyrus Aga Cyrus Hoshang Aga Pilloo Cyrus Aga	50000
Pilloo Cyrus Aga Cyrus Hoshang Aga Urvaksh Cyrus Aga	100000
Pilloo Cyrus Aga Cyrus Hoshang Aga Darius Cyrus Aga	100000
Pilloo Cyrus Aga Cyrus Hoshang Aga Khursheed Cyrus Aga	90000
Total	5703596

Names of Shareholders (Preference Shares)	No. of Shares
Avon Rubber Mauritius	350000
Permaseal Auto Products Private Limited, Mumbai, Maharashtra, India	350000
Total	700000

AS ON 29.09.2010

Equity Share Breakup		Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]		50.00
Bodies corporate		21.74
Directors or relatives of directors		28.26
	Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Auto Ancillary Products.

Products :

Products Description	Item Code No.
Parts and Accessories of Motor Vehicles (Reinforced Coolant Conveying Systems)	87080000

· EGR Cooler Hose

· Engine Oil Coolant

· Radiator Hose

· Bleed/ Degass Hose

· Heater Hose

· Windscreen Washer Hose

· Secondary Air Induction Hose

Exports :

Products :

Auto Ancillary Product

Countries :

UK

Terms :

Selling :

Depend

Purchasing :

Depend

GENERAL INFORMATION

Customers :

OEM’s

No. of Employees :

100 Approximately

Bankers :

Bank of India, Ghatkopar Brach, Mumbai 400077, Maharashtra, India

Facilities :

Rs. In Millions

SECURED LOAN	31.03.2010	31.03.2009
From Others
Ford India Limited (secured by hypothecation of tools procured against loan)	7.836	8.212
Total	7.836	8.212
UNSECURED LOAN
Overdraft from Bank	0.000	0.055
Loans from Directors	10.252	10.452
Loans from Others	35.382	20.363
Total	45.634	30.870
Includes Loan taken from companies in which directors are interested Rs. 35.382 millions. Maximum loan outstanding during the year RS. 37.082 millions. Loan taken from directors Rs. 10.251 millions. Maximum loan outstanding during the year Rs. 10.451 millions.

Banking Relations :	--
Auditors :
Name :	Deloitee Haskins and Sells Chartered Accountant
Address :	Heritage, 3^rd Floor, Near Gujarat Vidyapith, Off Ashram Road, Ahmedabad 380014, Gujarat, India
Associates/Subsidiaries :	Nil

CAPITAL STRUCTURE

AS ON 29.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
7703600	Equity Shares	Rs. 10 each	Rs.77.036 millions
700000	0% Redeemable Preference Shares	Rs. 10 each	Rs. 7.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
5703596	Equity Shares	Rs. 10 each	Rs.57.035 millions
700000	0% Redeemable Preference Shares	Rs. 10 each	Rs. 7.000 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		51.035	51.035	51.035
2] Share Application Money		0.055	0.055	0.055
3] Reserves & Surplus		6.056	6.056	6.058
4] (Accumulated Losses)		(50.382)	(34.600)	(29.148)
NETWORTH		6.764	22.546	28.000
LOAN FUNDS
1] Secured Loans		7.836	8.212	8.422
2] Unsecured Loans		45.634	30.870	28.289
TOTAL BORROWING		53.470	39.082	36.711
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		60.234	61.628	64.711
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		45.412	46.376	45.971
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	11.604	4.504	9.833
	Sundry Debtors	23.952	15.153	7.717
	Cash & Bank Balances	1.047	0.283	0.746
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	11.528	8.956	8.092
Total Current Assets		48.131	28.896	26.388
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	31.903	12.593	6.590
	Other Current Liabilities	0.587	0.467	0.263
	Provisions	0.819	0.584	0.795
Total Current Liabilities		33.309	13.644	7.648
Net Current Assets		14.822	15.252	18.740
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		60.234	61.628	64.711

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales	68.358	45.976	60.744
		Other Income	1.272	5.266	0.073
		TOTAL (A)	69.630	51.242	60.817
Less	EXPENSES
		Raw and Packing Material Consumed	53.260	26.408	32.676
		Increase/(Decrease) in stocks	(4.975)	2.976	(1.665)
		Manufacturing expenses	12.255	9.800	8.163
		Administrative Expenses	2.445	1.754	2.166
		Selling Expenses	2.687	0.898	1.421
		Employees Remuneration	9.087	5.422	4.608
		TOTAL (B)	74.759	47.258	47.369
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(5.129)	3.984	13.448
Less	FINANCIAL EXPENSES (D)		5.129	3.705	3.723
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(10.258)	0.279	9.725
Less/ Add	DEPRECIATION/ AMORTISATION (F)		5.588	5.651	5.453
	PROFIT BEFORE TAX (E-F) (G)		(15.846)	(5.372)	4.272
Less	TAX (H)		(0.064)	0.080	0.582
	PROFIT AFTER TAX (G-H) (I)		(15.782)	(5.452)	3.690
	IMPORTS
		Raw Materials	21.803	5.906	12.241
		Stores & Spares	0.293	0.000	0.400
	Earnings Per Share (Rs.)		(3.58)	(1.24)	0.84

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(22.66)	(10.63)	6.06
Net Profit Margin (PBT/Sales)	(%)	(23.18)	(11.68)	7.03
Return on Total Assets (PBT/Total Assets}	(%)	(16.93)	(7.13)	5.90
Return on Investment (ROI) (PBT/Networth)		(2.34)	(0.23)	0.15
Debt Equity Ratio (Total Liability/Networth)		12.82	2.33	72.35
Current Ratio (Current Asset/Current Liability)		1.44	2.11	3.45

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS

Rs. In Millions

Particulars	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors	31.903	12.593	6.590

PROGRESS OF THE COMPANY

The Company reported Sales of Rs 68.358 millions in comparison Rs. 45.976 millions of previous year The Company has suffered the loss of Rs. 15.848 millions during the year as compared to the loss of Rs. 5.372 millions before tax in previous year. The increasing cost of the raw material inputs and the production trial losses for the new development business foe Nissan. / Ford has resulted in higher material cost as compared lo that of last year This has adversely effected the profitability of the Company. The Board is making all efforts to increase sales and profitability by lowering down the cost of raw material input in the current year.

FIXED ASSETS:

· Building

· Plant and Machinery

· Dies and Moulds

· Electrical Installation

· Tools and Equipments

· Office Equipments

· Furniture and Fixtures

· Computers

Form No. 8

Corporate identity number of the company	U25110MH1996PTC098147
Name of the company	GOLD SEAL AVON POLYMERS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Gold Seal Compound, Village Road, Bhandup, Mumbai – 400 078, Maharashtra, India
This form is for	Creation of charge
Type of charge	Hypothecation
Particular of charge holder	Ford India (Private) Limited S P Koil Post, Chengalpattu, Kancheepuram – 603 204, Tamilnadu, India
Nature of instrument creating charge	Deed of Hypothecation at 07.04.2006
Date of instrument Creating the charge	07.04.2006
Amount secured by the charge	Rs.1.983 millions
Brief of the principal terms an conditions and extent and operation of the charge	The suppliers aggress to repay the advance to the buyer strictly as per the conditions and schedules set out in the Deed of hypothecation.
Description of the property charged indicating whether it is a charged on	· Others o Tools including tools, dies, fixtures, moulds etc.

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.44.91
UK Pound	1	Rs.72.89
Euro	1	Rs.64.48

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.