MIRA INFORM REPORT

Report Date :

28.03.2011

IDENTIFICATION DETAILS

Name :	HUECO ELECTRONIC (INDIA) PRIVATE LIMITED
Registered Office :	Survey No. 19, Yewlewadi, Kondhwa Road, Pune – 411048, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	13.08.2004
Com. Reg. No.:	019635
CIN No.: [Company Identification No.]	U41901PN2004PTC019635
TAN No.: [Tax Deduction & Collection Account No.]	PNEH04779F
PAN No.: [Permanent Account No.]	AABCH4660H
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Electronic Parts.

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

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

Maximum Credit Limit :	USD 180000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a subsidiary of Hueco Electronics GMBH, Germany. Having satisfactory track, Trade relations are fair. Business is active. Payments are reported to be usually correct and as per commitments. 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 PARTED BY

Name :	Mr. Rajesh
Designation :	Team Leader
Contact No.:	91-9881728763
Date :	22.03.2011

LOCATIONS

Registered Office/Factory :	Survey No. 19, Yewlewadi, Kondhwa Road, Pune – 411048, Maharashtra, India
Tel. No.:	91-20-30455161
Mobile No.:	91-9881728763 (Mr. Rajesh)
Fax No.:	91-20-30455137
E-Mail :	r.matta@hueco.com
Location :	Owned

DIRECTORS

AS ON 23.09.2010

Name :	Mr. Berhard Karl Nolte
Designation :	Director
Address :	Muehlenweg, 37, Rehden – 32369
Date of Birth/Age :	21.04.1957
Date of Appointment :	13.08.2004
Name :	Mr. Ravi Magatram Matta
Designation :	Director
Address :	Flat No. O-3, Sacreed Heart Town Wonowarie , Pune, Maharashtra, India
Date of Birth/Age :	13.09.1960
Date of Appointment :	01.06.2007
Name :	Mr. Christain Otto Gustav Friendrich Westerkamp
Designation :	Managing Director
Address :	Lutherstresse 7 Bad Essen, Germany – 49152
Date of Appointment :	24.10.2007

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 23.09.2010

Names of Shareholders	No. of Shares
Christain Otto Gustav Friendrich Westerkamp	500
Berhard Karl Nolte	500
HUCO Electronic GMBH, Germany	9000
Total	10000

AS ON 23.09.2010

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

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Electronic Parts.
Exports :
Products :	Electronic Parts
Countries :	Germany and other European Country
Terms :
Selling :	L/C, Cash, Credit (30 days, 60 days, 90 days)
Purchasing :	Depends

GENERAL INFORMATION

Customers :

• Wholesalers
• Retailers
• OEM’s

No. of Employees :

100 (in office)

Bankers :

HDFC Bank, Lower Parel, Branch Count to Disclose, Mumbai, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From Banks
Vehicle Loan (Secured by way of exclusive first charge created by hypothecation of vehicles purchased )	0.146	0.930
Total	0.146	0.930
Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Loan from Holding Company	18.465	33.914
Interest accrued and due thereon	0.776	2.174
Total	19.241	36.088

Banking Relations :	--
Auditors :
Name :	BSR and Associates Chartered Accountant
Address :	703, 7^th Floor Godrej Castlemaine, Next to Ruby Hall Clinic, Bund Garden Road, Pune – 411001, Maharashtra, India
Holding Company :	Huco Electronic GMBH, Germany

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
20000	Equity Shares	Rs.1000/- each	Rs. 20.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.1000/- each	Rs.10.000 Millions

Note :

Out of the above 9000 (previous year 9000) equity shares of Rs. 1000 each fully paid are held by Hueco Electronic GMBH, the holding Company. Balance 1000 (previous year 1000) equity shares of Rs. 1000 each fully paid held by its nominee

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		10.000	10.000	10.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		36.159	27.691	18.544
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		46.159	37.691	28.544
LOAN FUNDS
1] Secured Loans		0.146	0.930	1.624
2] Unsecured Loans		19.241	36.088	97.077
TOTAL BORROWING		19.387	37.018	98.701
DEFERRED TAX LIABILITIES		0.000	0.000	0.586
TOTAL		65.546	74.709	127.831
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		27.986	29.580	42.032
Capital work-in-progress		0.500	0.291	0.740
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	1.638	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	16.664	9.459	5.379
	Sundry Debtors	10.745	11.631	9.611
	Cash & Bank Balances	3.022	8.062	38.572
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	21.653	20.512	44.015
Total Current Assets		52.084	49.664	97.577
Less : CURRENT LIABILITIES & PROVISIONS
	Other Current Liabilities	11.677	3.703	9.057
	Provisions	3.347	2.761	3.461
Total Current Liabilities		15.024	6.464	12.518
Net Current Assets		37.060	43.200	85.059
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		65.546	74.709	127.831

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	78.802	229.736	189.733
		Other Income
		TOTAL (A)	78.802	229.736	189.733
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses	69.604	221.410	173.075
		Interest
		Depreciation
		TOTAL	69.604	221.410	173.075
	PROFIT BEFORE TAX		9.198	8.326	16.658
Less	TAX		(26.955)	(19.359)	1.400
	PROFIT AFTER TAX		36.153	27.685	15.258
	BALANCE CARRIED TO THE B/S		36.153	27.685	15.258
	EARNINGS IN FOREIGN CURRENCY
		Manufacturing Income	NA	57.541	42.938
		Research and Development Fees	NA	5.387	18.537
	TOTAL EARNINGS			62.928	61.475
	Earnings Per Share (Rs.)		--	914.67	1849.60

Expected Sales (2010-2011) : Rs. 100.000 millions

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	45.87	12.05	8.04
Net Profit Margin (PBT/Sales)	(%)	11.67	3.62	8.77
Return on Total Assets (PBT/Total Assets}	(%)	11.48	10.50	11.93
Return on Investment (ROI) (PBT/Networth)		0.19	0.22	0.58
Debt Equity Ratio (Total Liability/Networth)		0.74	1.15	3.89
Current Ratio (Current Asset/Current Liability)		3.46	7.68	7.79

LOCAL AGENCY FURTHER INFORMATION

Operational Review :

The company is a subsidiary of Hueco Electronic GMBH, Germany

The company continued the business of manufacturing processing and supplying automotive electronic components like regulators, rectifiers, ignition modules, voltage converter, fuel pumps and relays to the holding company.

The company carried on R and D Activities.

The company recently developed a new product named “AIR FLOW METER”. The product so developed is supplied to the holding company has developed regulators for the “TATA NANO CAR”. To be supplied to OES “Bosch”. The domestic turnover of the company participated in Automotive Exhibition held at Delhi in January 2010 with the support of holding company. Good response was received to the products of the company.

There is an increase in the turnover of the company as compared to the previous financial year. As a result the profits of the company have also increased.

Note :

The registered office address of the company has been shifted from S. No. 19, Yewlewadi, Kondhwa Road, Pune, Maharashtra, India to present address w.e.f. 13.09.2007

Charge identity number (CIN) or foreign company	U41901PN2004PTC019635
Name of the company	HUECO ELECTRONIC (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	S. No. 19, Yewlewadi, Kondhwa Road, Pune – 411048, Maharashtra, India
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	HDFC Bank Limited, HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai (West), Maharashtra, India
Nature of instrument creating charge	Agreement For Auto Loan – Ref Agmt No. 12025534 – Model Toyota Innova
Date of instrument Creating the charge	24.09.2007
Amount secured by the charge	Rs. 0.930 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest : 11% per annum Terms of repayment : Term 36 Months. Repayment of 35 Monthly Installments of Rupees 0.030 millions per month on 7^th day of Each month starting from October 2007. Last EMI Due Date 07.08.2010 Margin : Rs. 0.103 millions Extent and operation of the charge : To the Extent of Rs. 0.930 millions Other : Nil
Short particulars of the property charged (Including location of the property)	Vehicles name Toyota Innova Manufactured in Year 2007 Bearing Engine Number 9948827 and Chasis Number 7100187

Fixed Assets :

• Leasehold Improvements
• Plant and Machinery
• Research and Developments Equipments
• Office Equipments
• Furniture and Fixtures
• Computers
• Vehicles
• Moulds and Dies

Trade References :

Jiten Stationery

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. 44.65
UK Pound	1	Rs. 71.91
Euro	1	Rs. 62.28

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		48

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.