MIRA INFORM REPORT

Report Date :

10.03.2011

Note: The correct name of the company is EQUIPMENTS AND SPARES ENGINEERING (INDIA) PRIVATE LIMITED.

IDENTIFICATION DETAILS

Name :	EQUIPMENTS AND SPARES ENGINEERING (INDIA) PRIVATE LIMITED (w.e.f.15.12.2008)
Formerly Known As :	MONA ENGINEERING PRIVATE LIMITED
Registered Office :	No.63A, Imperial Court Apartments, Cunningham Road, Bangalore-560052, Karnataka
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	17.08.1990
Com. Reg. No.:	11-011149
CIN No.: [Company Identification No.]	U29199KA1990PTC011149
TAN No.: [Tax Deduction & Collection Account No.]	BLRM01106A
PAN No.: [Permanent Account No.]	AABCM5172F
Legal Form :	Private Limited Liability Company.
Line of Business :	Air Compressor Dealer.

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 160000
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. 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 DENIDED BY

Name :	Mr. Prabhakar
Designation :	Accounts Department
Date :	09.03.2010

LOCATIONS

Registered Office :	No.63A, Imperial Court Apartments, Cunningham Road, Bangalore-560052, Karnataka, India
Tel. No.:	91-80-2286230
E-Mail :	trskumar2@dataone.in

DIRECTORS

As On : 13.09.2010

Name :	Mr. G. R. Vasanth Kumar
Designation :	Director
Address :	No.783, 100 Feet Ring Road, II Phase, 7^th Block, BSK, III Stage, Banashankari, Bangalore-560085, Karnataka, India
Date of Birth/Age :	01.05.1954
Date of Appointment :	17.08.1990
DIN No :	01672796
Name :	Mr. Kunal B Patel
Designation :	Managing Director
Address :	No.64, A Imperal Court Apartment, 33/1, Cunningham Road, Bangalore-560052, Karnataka, India
Date of Birth/Age :	27.12.1966
Date of Appointment :	10.05.2002
DIN No :	01672844
Name :	Ms. Shilpi K. Patel
Designation :	Director
Address :	No.64, A Imperal Court Apartment, 33/1, Cunningham Road, Bangalore-560052, Karnataka, India
Date of Birth/Age :	27.12.1966
Date of Appointment :	10.05.2002
DIN No :	00239613
Name :	Mr. Ashwin Nagarwadia
Designation :	Director
Address :	No.4, Bharathi Society, Near Eye Hospital, Ellis Brigade, Ahmadabad-380006, Gujarat, India
Date of Birth/Age :	20.09.1937
Date of Appointment :	01.07.2002
DIN No :	00466681

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 13.09.2010

Names of Shareholders	No. of Shares
M/s Infantry Compressors and Machineries Private Limited, India	30
Kunal B. Patel Jointly Shilpi Patel	51742
Shilpi K. Patel Jointly Kunal B. Patel	18975
Trupti N. Desai Jointly A. R. Nagarwadia	18975
Shilpi K. Patel Jointly Kunal B. Patel	268
G. R. Vasanth Kumar Jointly Jayanthi V. Kumar	12000
A. R. Nagarwadia	30008
Kushi Madappa	02
Vishal B. Patel	50000
Kunal B. Patel	16000
Total	198000

AS ON 13.09.2010

Equity Share Breakup		Percentage of Holding
Category
Bodies corporate		0.01
Directors or relatives of directors		99.99
	Total	100.00

BUSINESS DETAILS

Line of Business :

Air Compressor Dealer.

Products :

ITC CODE	PRODUCT
841490.09	Air Compressors
NA	Spares

GENERAL INFORMATION

No. of Employees :

Not divulged by the management.

Bankers :

Ø State Bank of Mysore, Dr. Ambedkar Veedhi Branch, Bangalore-560001, Karnataka, India

Ø HDFC Bank

Ø ICICI Bank

Facilities :

SECURED LOAN	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Car Loan - ICICI Bank (Secured by hypothecation of Car)	1.975	2.739
Car Loan - HDFC Bank (Secured by hypothecation of Car)	3.294	0.000
Car Loan - SBM (Secured by hypothecation of Car)	2.214	0.000
SBM - Bangalore CC A/c. No.2136 ( Secured by hypothecation of office, A-4, Jyothi Complex, Infantry Road, Bangalore; C-401, Temple Meadows, BSK 2nd Stage; #54, Rohan Ashima Apartments, Kudalahalli Village, K R Puram, Bangalore, Standing in the name of the Company and Receivables, Fixed Deposits & Personal Guarantee of	19.201	18.545
Total	26.684	21.284
UNSECURED LOAN	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
FROM DIRECTORS
A R Nagarwadia	0.522	0.335
G R Vasanth Kumar	2.216	2.012
Kunal B Patel	1.558	0.494
Shilpi K Patel	0.576	0.440
FROM SHAREHOLDERS
Kushi Madappa	0.201	0.177
FROM RELATIVES
Bipin R Patel	3.448	1.424
Bipin R Patel (HUF)	1.425	1.425
Dhruv Patel	0.528	0.461
Dipti Sathe	0.317	0.281
Jayanthi V. kumar	0.081	0.070
Jayashree Bipin Patel	1.048	1.048
Kumud Nagarwadia	0.067	0.084
Nikitha V. Kumar	0.022	0.020
Savitaben. R. Patel	0.000	2.060
Vijetha V. Kumar	0.300	0.156
Total	12.309	10.487

Banking Relations :	--
Auditors :
Name :	Nagarajan and Company Chartered Accountant
Address :	No.10, Trust Complex, 3^rd Floor, D.V.G. Road, Basavanagudi, Bangalore-560004, Karnataka, India

CAPITAL STRUCTURE

As On : 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs. 100/- each	Rs. 20.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
198000	Equity Shares	Rs. 100/- each	Rs. 19.800 millions

Note : out of above 34000 Equity Shares were issued as bonus shares and 96000 shares were issued for consideration other than cash

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		19.800	19.800	19.800
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		22.663	16.722	12.703
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		42.463	36.522	32.503
LOAN FUNDS
1] Secured Loans		26.684	21.284	19.057
2] Unsecured Loans		12.309	10.487	10.645
TOTAL BORROWING		38.993	31.771	29.702
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		81.456	68.293	62.205
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		32.918	27.289	25.651
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.008	0.008	0.008
DEFERREX TAX ASSETS		0.985	1.376	1.086
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	17.119	14.129	13.810
	Sundry Debtors	65.375	54.467	49.927
	Cash & Bank Balances	9.796	7.653	7.427
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	34.697	27.193	21.039
Total Current Assets		126.987	103.442	92.203
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	69.024	60.375	53.022
	Other Current Liabilities	10.418	3.447	3.721
	Provisions	0.000	0.000	0.000
Total Current Liabilities		79.442	63.822	56.743
Net Current Assets		47.545	39.620	35.460
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		81.456	68.293	62.205

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	GROSS RECEIPTS		411.170	412.782	348.980
Less	EXPENSES
		Office Expenses
		Administrative Expenses	387.384	391.443	328.927
		Advertising Expenses
		TOTAL	387.384	391.443	328.927
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		23.786	21.339	20.053
Less	FINANCIAL EXPENSES		5.362	4.650	4.158
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		18.424	16.689	15.895
Less/ Add	DEPRECIATION/ AMORTISATION		3.439	3.571	2.873
	PROFIT BEFORE TAX		14.986	13.118	13.022
Less	TAX		4.873	4.930	4.947
	PROFIT AFTER TAX (G-H) (I)		10.112	8.188	8.075
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		11.871	9.353	NA
Less	APPROPRIATIONS
		Transfer to General Reserve	1.500	1.500	NA
		Dividend	3.564	3.564	NA
		Tax on Dividend	0.605	0.605	NA
	BALANCE CARRIED TO THE B/S		16.314	11.871	9.353
	Earnings Per Share (Rs.)		51.07	41.35	40.78

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Return on Total Assets (PBT/Total Assets}	(%)	9.31	9.93	10.95
Return on Investment (ROI) (PBT/Networth)		0.35	0.36	0.40
Debt Equity Ratio (Total Liability/Networth)		2.79	2.62	2.66
Current Ratio (Current Asset/Current Liability)		1.60	1.62	1.62

LOCAL AGENCY FURTHER INFORMATION

Note : Registered Office of the company has been shifted from No.64A, Imperial Court Apartments, Cunningham Road, Bangalore-560052, Karnataka, India to the present address w.e.f. 07.11.2008

SUNDRY CREDITORS DETAILS

(Rs. In millions)

PARTICULARS	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors
For Goods	52.126	41.920	35.198
For Expenses	1.147	1.053	0.684
For Others	15.751	17.402	17.140
Total	69.024	60.375	53.022

SUNDRY CREDITORS IN (PARTIAL DETAILS)	31.03.2010	31.03.2009	31.03.2008
For Goods
BANGALORE
Air Services Group	0.500	0.000	0.000
Ancient Electric Corporation	0.000	0.002	0.079
Enerpac Hydraulics (India) Private Limited.	2.435	3.100	2.594
Ingersoll-Rand-Ahemedabad	38.888	34.378	25.783
Maini Material Movement Private Limited	2.527	2.377	0.477
SECUNDERABAD
Ingersoll Rand India Limited	0.635	0.353	0.329
For Expenses
Bangalore	0.832	0.775	0.495
Madras	0.138	0.109	0.071
Secunderabad	0.077	0.078	0.073
Coimbatore	0.033	0.037	0.014
Madurai	0.021	0.016	0.011
Tirupur	0.016	0.014	0.010
Vijayawada	0.020	0.007	0.003
Vizag	0.009	0.014	0.007
For Others
BANGALORE
Dividend payable	3.564	3.564	3.564
Provision for Taxation 2008-2009	4.754	4.754	5.205
Provision for Taxation 2009-2010	4.501	0.000	0.000
MADURAI
TDS- OTHER	0.001	0.000	0.000
MADRAS
VAT Payable (4% & 12.5%)	0.258	0.264	0.164
SECUNDERABAD
TDS – Salaries	0.016	0.000	0.000
COIMBATORE
Professional Tax Payable	0.026	0.019	0.011

FORM 8

Corporate identity number of the company	U29199KA1990PTC011149
Name of the company	EQUIPMENTS AND SPARES ENGINEERING (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	No.63A, Imperial Court Apartments, Cunningham Road, Bangalore-560052, Karnataka, India
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	State Bank of Mysore, Dr. Ambedkar Veedhi Branch, Bangalore-560001, Karnataka, India
Nature of instrument creating charge	Agreement For Medium Term Loan Hypothecation Of Vehicles / Vessels
Date of instrument Creating the charge	25.11.2009
Amount secured by the charge	Rs.2.400 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest 8 % p.a. for first 12 months, 10 % p.a. for next 24 months, 0.75 % below PLR with a minimum of 11.5 % for the remaining tenure Terms of repayment Repayable in 35 monthly installments of Rs. 0.067 million and the last 36th installment of Rs. 0.055 million Commencing from January, 2010 Margin For Honda City - 20 %, Hyundai Santro - 10 % Extent and operation of the charge Vehicle is secured for the said loan and also for payment of any other charge, costs and expenses payable to or incurred by the bank in relation to there to the Borrower.
Short particulars of the property charged (Including location of the property)	Two New Honda City Cars And Two Hyundai GLS M Cars

FIXED ASSETS

ü Air Work-painting

ü Flat #1-Shree Kun Ahmadabad

ü Flat – A4 Jyothi Comples

ü Flat – 63A Imperial Court

ü Flat – C401 BSK Pramuk

ü Property unit 4

ü Furniture and Fixtures

ü Electrical Fittings

ü Typewriter

ü E P A B X

ü Computer

ü Air Compressor (I R 253)

ü Franking Machine

ü Machinery

ü Crane

ü Car

ü Vehicle

ü Office Equipment

ü Fax Machine

ü Autrorikshaw

ü Matador

ü Generator

ü Xerox

ü Refrigerator

ü Manual Electric Stacker

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.45.02
UK Pound	1	Rs.72.70
Euro	1	Rs.62.54

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.