MIRA INFORM REPORT

Report Date :

11.03.2011

IDENTIFICATION DETAILS

Name :	KOG-KTV FOOD PRODUCTS (INDIA) PRIVATE LIMITED
Registered Office :	No.48 (Old No.310), Thambu Chetty Street, Chennai – 600001, Tamilnadu
Country :	India
Financials (as on) :	31.03.2009
Date of Incorporation :	06.10.2004
Com. Reg. No.:	18-068598
CIN No.: [Company Identification No.]	U15142TN2004PTC068598
Legal Form :	Private Limited Liability Company
Line of Business :	Refining edible oil manufacturing of vanaspati oil fats.

RATING & COMMENTS

MIRA’s Rating :

B (30)

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

Maximum Credit Limit :	USD 552000
Status :	Moderate
Payment Behaviour :	Slow but Correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. The company is progressing well. Financial position of the company is improving. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered fro small to mediocre 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 PARTED BY

Name :	Mr. Durai babu
Designation :	Director
Date :	10.03.2011

LOCATIONS

Registered Office :	No.48 (Old No.310), Thambu Chetty Street, Chennai – 600001, Tamilnadu, India
Tel. No.:	91-44-25248833
Fax No.:	91-44-25241805
E-Mail :	ktvkannan@kogktv.com
Area :	2000 sq. ft.
Location :	Owned
Factory :	# 85, Sipcot , Madathur, Titicorin - 628008
Area :	9 acres
Location :	Owned
Sales Office :	46/4, Cm Mohan Building, Ground Floor, Tumkur Road, Yeshwanthpur, Bangalore – 560022, Karnataka, India

DIRECTORS

AS ON 30.09.2010

Name :	Mr. K.T.V. Narayanan
Designation :	Managing Director
Address :	No.48 (Old No.310), Thambu chetty Street, Chennai – 600001, Tamilnadu, India
Date of Birth/Age :	09.02.1961
Date of Appointment :	13.04.2005
Name :	Mr. K.T.V. Kannan
Designation :	Director
Address :	No.48 (Old No.310), Thambu chetty Street, Chennai – 600001, Tamilnadu, India
Date of Birth/Age :	06.12.1969
Date of Appointment :	13.04.2005
Name :	Mr. Francis Hang Song Heng
Designation :	Director
Address :	63, Thompson Greens, Singapore – 574939
Date of Birth/Age :	02.01.1960
Date of Appointment :	01.07.2009
Name :	Mr. Martua Sitorus
Designation :	Chairman Cum Director
Address :	14, Ford Avenue, Singapore – 268693
Date of Birth/Age :	18.02.1960
Date of Appointment :	30.09.2008
Date of Ceasing :	13.09.2010
Name :	Mr. S. Durai Babu
Designation :	Alternate Director
Address :	No. 25/12, New Street, 3^rd Floor, Mannady, Chennai – 600001, Tamilandu, India
Date of Birth/Age :	20.04.1960
Date of Appointment :	30.09.2008
Name :	Mr. Hock Kuan Lee
Designation :	Director
Address :	8, Jalan Senandoong, Singapore – 288760
Date of Birth/Age :	13.05.1953
Date of Appointment :	13.09.2010

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2010

Names of Shareholders	No. of Shares
M/s Risicare Pte Limited, Singapore	41999999
M/s Kog Investments Pte Limited, Singapore	1
K.T.V. Narayanan	21500000
K.T.V. Kannan	21500000
Acalmar Oils and Fats Limited, Hyderabad	1000000
Total	86000000

AS ON 30.09.2010

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	48.84
Bodies corporate	1.16
Directors or relatives of Directors	50.00
Other top fifty shareholders	0.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Refining edible oil manufacturing of vanaspati oil fats.

Products :

Item Code No.	Product Description
151190	Vanaspati And Edible Oil

Imports :

Products :

Crude Edible Oil

Countries :

· Malaysia

· Indonesia

Terms :

Selling :

Cash, Credit

Purchasing :

L/C, Cash, Credit

PRODUCTION STATUS AS ON AS ON : 31.03.2009

Particulars	Installed Capacity in Metric Tonnes *
Edible Oil	240900 Mt.

Note : * As Certified by the management and relied upon by the auditors being technical matter.

GENERAL INFORMATION

Customers :

· Wholesalers

· Retailers

No. of Employees :

200 (Approximately) (In Office - 30 and In Factory 170)

Bankers :

• Uco Bank, Branch Tambu Shetty Street, Chennai, Tamilnadu, India
• Axis Bank, Branch Annasalai , Chennai – 600002, Tamilnadu, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2009	Rs. In Millions 31.03.2008
From Banks
Other Loans and Advances – Cash Credit from Banks (secured by hypothecation of inventory, debts and chargeable current assets )	37.708	--
Total	37.708	--
Unsecured Loan	Rs. In Millions 31.03.2009	Rs. In Millions 31.03.2008
Buyers Credit (Pledge by way of fixed deposits receipts)	1026.079	172.926
Loans against fixed deposits – Tamilnadu mercantile Banks	1162.543	--
From Directors	185.700	--
From Share Holder Members	82.000
Total	2456.322	172.926

Banking Relations :	--
Auditors :
Name :	M/s. Deloitte Haskins and Sells Chartered Accountant
Address :	No.52, ASV N Ramnas Tower, Venkatnarayana Road, T. Nagar, Chennai – 600017, Tamilnadu, India
Related Parties :	· K.T.V. Health Food Private Limited · Tamil Trading Corporation · K.T.V. Varadaraja Chetty · KTV Oil Mills

CAPITAL STRUCTURE

AS ON 31.03.2009

Authorised Capital :

No. of Shares	Type	Value	Amount
90000000	Equity Shares	Rs.1/- each	Rs.90.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
86000000	Equity Shares	Rs.1/- each	Rs.86.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2009	31.03.2008	31.03.2007
SHAREHOLDERS FUNDS
1] Share Capital		86.000	70.000	70.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		52.006	28.008	0.000
4] (Accumulated Losses)		0.000	0.000	(1.157)
NETWORTH		138.006	98.008	68.843
LOAN FUNDS
1] Secured Loans		37.708	0.000	0.058
2] Unsecured Loans		2456.322	172.926	0.000
TOTAL BORROWING		2494.030	172.926	0.058
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		2632.036	270.934	68.901
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		290.265	217.545	36.777
Capital work-in-progress		0.000	0.684	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		2.171	1.835	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	283.684	610.861	0.000
	Sundry Debtors	121.860	168.129	30.466
	Cash & Bank Balances	2159.506	163.320	1.636
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1188.370	383.477	2.107
Total Current Assets		3753.420	1325.787	34.209
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	604.087	920.228	0.486
	Other Current Liabilities	808.510	354.390	1.354
	Provisions	1.223	0.299	0.245
Total Current Liabilities		1413.820	1274.917	2.085
Net Current Assets		2339.600	50.870	32.124
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2632.036	270.934	68.901

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2009	31.03.2008	31.03.2007
	SALES
		Income	4250.784	1079.213	1561.321
		Other Income	251.494	6.709	11.702
		TOTAL	4502.278	1085.922	1573.023
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses	4414.918	1020.093	1565.035
		Interest
		TOTAL	4414.918	1020.093	1565.035
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		87.360	65.829	7.988
Less/ Add	DEPRECIATION/ AMORTISATION		50.418	21.398	9.552
	PROFIT BEFORE TAX		36.942	44.431	(1.564)
Less	TAX		12.944	15.265	0.036
	PROFIT AFTER TAX		23.998	29.166	(1.600)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		28.009	(1.156)	0.444
	BALANCE CARRIED TO THE B/S		52.007	28.009	(1.156)
	IMPORTS
		Purchase of Oils	33.822	11.931	14.109
	TOTAL IMPORTS		33.822	11.931	14.109
	Earnings Per Share (Rs.)		0.329	0.417	--

Particulars	31.03.2010
Sales Turnover (Approximately)	4000.000

Expected Sales (2010-2011) : Rs. 4900.000 millions

KEY RATIOS

PARTICULARS		31.03.2009	31.03.2008	31.03.2007
PAT / Total Income	(%)	0.53	2.68	(0.10)
Net Profit Margin (PBT/Sales)	(%)	0.86	4.11	(0.10)
Return on Total Assets (PBT/Total Assets}	(%)	0.91	3.16	(2.20)
Return on Investment (ROI) (PBT/Networth)		0.26	0.45	(0.02)
Debt Equity Ratio (Total Liability/Networth)		28.31	14.77	0.03
Current Ratio (Current Asset/Current Liability)		2.65	1.03	16.40

LOCAL AGENCY FURTHER INFORMATION

Sundry Creditors Details :

(Rs. In Millions)

Particulars	31.03.2009	31.03.2008	31.03.2007
Dues to Micro and Small Enterprises	--	--	--
Dues other than to Micro and Small Enterprises	604.087	920.228	0.486
Total	604.087	920.228	0.486

Operations :

During the year ended 3^st March, 2009, the Company had achieved a net turnover of Rs.4250.784 millions as against Rs.1079.213 millions in the preceding year. The net profit before tax of the Company for the year was Rs.36.942 millions as compared to net profit of Rs.44.431 millions in the preceding financial year. Your directors are expecting increased turnover and profitability in the ensuing financial year.

Form : 8

Corporate identity number of the company	U15142TN2004PTC068598
Name of the company	KOG-KTV FOOD PRODUCTS (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	No.48 (Old No.310), Thambu Chetty Street, Chennai Tamil Nadu INDIA 600001
This form is for	Modification of charge
Type of charge	Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Axis Bank Limited, CMC Centre, Karumuttu Nilayam, No.192, Anna Salai, Chennai – 600002, Tamil Nadu, India
Nature of instrument creating charge	Composite Hypothecation Deed (Current Assets, Movables, Plant & Machinery)
Date of instrument Creating the charge	18/12/2010
Amount secured by the charge	Rs. 850.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest : As per sanction letter and as determined by the banker from time to time. Terms of repayment : As per sanction letter and as determined by the banker from time to time. Margin : As per sanction letter and as determined by the banker from time to time. Extent and operation of the charge : As per the instruments executed and mentioned in the Column No. 15 of this Form 8. Other : Nil
Short particulars of the property charged (Including location of the property)	Hypothecation by way of Pari Passu First Charge on all stocks, Book Debts, receivables and other Current Asset of the Company, both present and future. Hypothecation by way of Pari Passu Second Charge on all movable fixed assets, consisting of Plant and Machinery, furniture, fixtures etc and other fixed assets of the Company, both present and future
Particulars of the present modification	The amount secured by the charge has been modified from Rs.500.000 millions to Rs.850.000 millions as detailed below FACILITY Limit (In Millions) LC (Inland/Import) 750.000 Buyer's Credit (Sub-Limit of LC) (750.000) BG (Inland/Foreign) (Sub-limit of LC) (100.000) LER 100.000 All other terms and conditions as per the Sanction letter and Instruments executed.

Fixed Assets :

· Leasehold Land

· Buildings

· Plant and Machinery

· Computers

· Furniture and Fittings

· Vehicles

· Capital Work In Progress

TRADE REFERENCES :

Bretania

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. 45.11
UK Pound	1	Rs. 72.90
Euro	1	Rs. 62.56

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	4
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		30

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.