MIRA INFORM REPORT

Report Date :

25.06.2011

IDENTIFICATION DETAILS

Name :	NUTURO FOODS AND FRUIT PRODUCTS PRIVATE LIMITED
Registered Office :	No.34, Ekarajapura Villege, Salibela Hobli, Hasigala Post, Hoskote, Bangalore Rural, Karnataka
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	27.10.1986
Com. Reg. No.:	11-037058
Capital Investment / Paid-up Capital :	Rs.74.714 Millions
CIN No.: [Company Identification No.]	U15411KA1986PTC037058
TAN No.: [Tax Deduction & Collection Account No.]	BLRN03976A
PAN No.: [Permanent Account No.]	AABCN2334E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacture innovative fruit based product range.

RATING & COMMENTS

MIRA’s Rating :

Ca (14)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears a huge accumulated losses being 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 on a secured 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 :	No.34, Ekarajapura Villege, Salibela Hobli, Hasigala Post, Hoskote, Bangalore - 562114, Karnataka, India
Tel. No.:	91-80-27971911
E-Mail :	fruitsnax@neturo.biz
Website :	http://www.naturo.co.in

DIRECTORS

AS ON : 30.09.2010

Name :	Mrs. Varsnasi Vikram Reddy
Designation :	Chairman
Address :	Chittoor-517001, Andhra Pradesh, India
Date of Birth/Age :	24.06.1953
Date of Appointment :	26.12.1997
Name :	Mr. V. Madhusudhan Reddy
Designation :	Director
Address :	2-788, Sathya Narayana Puram, Chittoor - 517001, Andhra Pradesh, India
Date of Birth/Age :	29.05.1948
Date of Appointment :	06.12.2004
Name :	Mr. K. Sivamohan Reddy
Designation :	Whole Time Director
Address :	Kamalathmika, Gurunagar Colony, Chittoor – 517001, Andhra Pradesh, India
Date of Birth/Age :	15.04.1947
Date of Appointment :	01.10.2007

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON : 30.09.2010

Names of Shareholders (Equity Shares)	No. of Shares
V Dwarkanath Reddy	12275
V. Vikram Reddy	14871
V. Madhusudhan Reddy	5220
V. Sandhya Reddy	3091
V. Soumini Reddy	2945
V. Nithya Reddy	2965
T.N. Shobha Reddy	728
V. Indira	1335
V. Dinesh Reddy HUF	11216
V. Vikram Reddy-HUF	4266
V. Madhusudhan Reddy	6048
V. Binduvasini	810
V. Dinesh Reddy	1000
S. Vasudevan	34
K. Sivamohan Reddy	12
M/s. Hamsa Mineral (India) Private Limited, Bangalore	380000
Anita Reddy	328
Total	447144

AS ON : 30.09.2010

Names of Shareholders (Preference Shares)	No. of Shares
V Dwarkanath Reddy	150000
V. Vikram Reddy	150000
Total	300000

AS ON : 30.09.2010

Category	Percentage
Bodies corporate	84.98
Directors or relatives of Directors	15.00
Other top fifty shareholders	0.002
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacture innovative fruit based product range.

Products :

Item Code No.	Product Description
2001-10	Fruit Bar

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Fruit Bars	Kgs.	NA	NA	380523

GENERAL INFORMATION

Bankers :

· Corporation Bank, White Field Branch, No.77, Ground Floor, Hope Farm Circle, Whitefield Road, Bangalore – 560066, Karnataka, India

· ICICI Bank Limited, Bangalore

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Working Capital Loan
Corporation Bank Bangalore (Secured against exclusive first charge by way of hypothecation of inventories and receivables present and future and current assets) limit Rs. 20.000 millions	18.691	18.096
Collateral secured by 6 acres of land at Hoskote, House at Gurunager Colony Chittoor of Shri V. VIkram Reddy and Fixed Deposits of Rs. 29.000 millions in the name of M/s B.V. Reddy Enterprises, Personal Guarantees of Sri V. Vikram Reddy, Managing Director and Sri V. Madhusudhan Reddy Director
Vehicle Hypothecation loan
ICICI Bank Limited, Bangalore	0.667	0.917
Loan Against Hypothecation of Vehicles
Total	19.358	19.013
Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From Directors/Members	75.685	65.307
Loan from Private Limited Companies	72.119	55.972
Total	147.884	121.280

Banking Relations :	--
Auditors :
Name :	KGM Gupta And Company Chartered Accountant
Address :	10-67, Gandhi Road, Chittoor – 517001, Andhra Pradesh, India
Associates/Subsidiaries :	Hamsa Minerals (India) Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
300000	9% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs.30.000 Millions
500000	Equity Shares	Rs.100/- each	Rs. 50.000 Millions
	Total		Rs. 80.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
55893	Equity Shares	Rs.100/- each	Rs. 5.589 Millions
391251	Equity Shares	Rs.100/- each	Rs.39.125 Millions
300000	9% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs.30.000 Millions
	Total		Rs.74.714 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		74.714	74.714	44.714
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		60.981	60.981	60.981
4] (Accumulated Losses)		(173.053)	(115.559)	(65.808)
NETWORTH		(37.358)	20.136	39.887
LOAN FUNDS
1] Secured Loans		19.358	19.013	7.081
2] Unsecured Loans		147.884	121.280	102.352
TOTAL BORROWING		167.242	140.293	109.433
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		129.884	160.429	149.320
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		79.309	82.917	73.166
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.083	0.083	0.083
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	34.302	51.380	44.472
	Sundry Debtors	9.878	22.911	14.330
	Cash & Bank Balances	6.432	4.115	5.336
	Other Current Assets	0.148	0.131	0.259
	Loans & Advances	24.013	28.415	32.504
Total Current Assets		74.773	106.952	96.901
Less : CURRENT LIABILITIES & PROVISIONS
	Other Current Liabilities	26.118	31.268	23.291
	Provisions	0.000	1.137	0.712
Total Current Liabilities		26.118	32.405	24.003
Net Current Assets		48.655	74.547	72.898
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
DEFEERED REVENUE EXPENDITURE		1.837	2.882	3.173
TOTAL		129.884	160.429	149.320

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	TURNOVER		85.973	124.140	72.682
Less	EXPENSES
		Office Expenses
		Administrative Expenses	143.284	168.768	35.092
		Advertising Expenses
		Interest
		Depreciation
		TOTAL	143.284	168.768	35.092
	PROFIT BEFORE TAX		(57.311)	(44.628)	37.590
Less	TAX		0.000	0.425	NA
	PROFIT AFTER TAX		(57.311)	(45.053)	NA
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	16.088	3.509	20.186
	TOTAL EARNINGS		16.088	3.509	20.186
	IMPORTS
		Raw Materials	5.220	8.284	6.923
		Stores & Spares	0.000	9.144	0.000
	TOTAL IMPORTS		5.220	17.428	6.923
	Earnings Per Share (Rs.)		NIL	NIL	NIL

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(66.66)	(36.29)	--
Return on Total Assets (PBT/Total Assets}	(%)	(37.19)	(23.50)	22.10
Return on Investment (ROI) (PBT/Networth)		(1.53)	(2.21)	0.94
Debt Equity Ratio (Total Liability/Networth)		(5.17)	5.87	3.34
Current Ratio (Current Asset/Current Liability)		2.86	3.30	4.03

LOCAL AGENCY FURTHER INFORMATION

FORM 8

Corporate identity number of the company	U15411KA1986PTC037058
Name of the company	NATURO FOOD AND FRUIT PRODUCTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	No.34, Ekarajapura Village, Sulibela Hobli, Hasigala Post, Hoskote, Bangalore Rural, Karnataka, India
This form is for	Modification of charge
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Corporation Bank, White Field Branch, NO.77, Ground Floor, Hope Farm Circle, Whitefield Road, Bangalore – 560066, Karnataka, India
Nature of instrument creating charge	Letter regarding transfer of account
Date of instrument Creating the charge	11/03/2011
Amount secured by the charge	Rs. 30.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest As may be prescribed by the bank from time to time Terms of repayment As applicable to respective credit limits Margin As per bank norms Extent and operation of the charge The charge shall operate to the extent of the loan amount plus interest commission costs expenses and other charges thereon Other The said amount comprises of CC - Rs 20.000 millions (with a sublimit for PCL cum FDBN/P/D Rs -5.000 millions), Bank Guarantee Rs5.000 millions and ,Inland/Import Letter of Credit Rs 5.000 millions
Short particulars of the property charged (Including location of the property)	First Charge On The Inventory Consisting Of Rawmaterials, Stock In Process, Finished Goods And Other Stock In Trade Of The Company And Also Goods Meant For Export Bookdebts, other fixed assets including plant and machinery, furniture and fixtures, officeequipments and computers, etc. (excluding vehicles) stored/installed at No.34/1, Ekarajapura village, Sulibele Hobli, Hasigala Post, Hoskote Taluk, Bangalore Rural Dist. or at any other place and equitable mortgage of land with building and other structures (existing and to be constructed) at Sy.NO.34/1, VP Khata No.51 situate at Ekarajapura villge, Soolibele Hobli, Hoskote Tq. Bangalore Rural dist. in all measuring 6 acres
Date of instrument modifying the charge	28/01/2009
Particulars of the present modification	No change in the charge amount of Rs.30.000 millions. Name of charge holder changed from Corporation Bank, IFB, Bangalore to Whitefield branch, Hope Farm Circle, Whitefield, Bangalore. (all other terms and conditions remain unchanged)

FIXED ASSETS :

· Land

· Building

· Plant and Machinery

· Electrical Equipments

· Furniture Fittings and Office Equipments

· Vehicles

· Laboratory Equipments

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. 44.94
UK Pound	1	Rs. 71.89
Euro	1	Rs. 64.09

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	2
OPERATING SCALE	1~10	1
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	--
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	2
--CREDIT LINES	1~10	--
--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		14

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.