MIRA INFORM REPORT

Report Date :

13.05.2011

IDENTIFICATION DETAILS

Name :	KINECO PRIVATE LIMITED
Registered Office :	Plot No. 41, Pilerne Industrial Estate, Pilerne Bardez - 403511, Goa
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	11.10.1994
Com. Reg. No.:	24-1672
Capital Investment / Paid-up Capital :	Rs.40.000 Millions
CIN No.: [Company Identification No.]	U24134GA1994PTC001672
TAN No.: [Tax Deduction & Collection Account No.]	BLRK05538B
PAN No.: [Permanent Account No.]	AABCM8681P
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturing of children furniture made out of Fibre Reinforced Plastic.
No. of Employees :	100 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (26)

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

Maximum Credit Limit :	USD 293000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some 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 dealings 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 DECLINED BY

Name :	Mr. Prashant Naik
Designation :	Director
Date :	11.05.2011

LOCATIONS

Registered Office/Factory 1 :	Plot No. 41, Pilerne Industrial Estate, Pilerne Bardez – 403511, Goa, India
Tel. No.:	91-832-6648888 / 2407341 / 43 / 2407941
Fax No.:	91-832-6648889
E-Mail :	shekhar@kinecogroup.com ho@kinegroup.com
Website :	http://www.kinecogroup.com
Head Office/Factory 2:	60, Pilerne Industrial Estate, Pilerene, Bardez – 403511, Goa , India
Tel. No.:	91-832 – 6648888
Fax No.:	91-832 – 6648889
E-Mail :	ho@kinecogroup.com

DIRECTORS

 AS ON 12.08.2009

Name :	Mr. Shekar R. Sardesai
Designation :	Chairman cum Managing Director
Address :	G – 1, Excel Residency, Tonca Caranzalem - 403002, North Goa, Goa
Date of Birth/Age :	07.07.1967
Date of Appointment :	11.10.1994
Name :	Mr. Roabin Harish Mazumdar
Designation :	Director
Address :	3, Sangrajka House, 558 Adenwala Road, Matunga, Mumbai – 400029, Maharashtra
Date of Birth/Age :	23.04.1959
Date of Appointment :	03.04.2005
Name :	Mr. Pranay Vinubhai Shah
Designation :	Director
Address :	142, Clover Water Garden 69, Kalyani Nagar Road No. 7, Pune – 411006, Maharashtra
Date of Birth/Age :	26.07.1954
Date of Appointment :	03.04.2005
Name :	Mr. Prashant Baburao Naik
Designation :	Director
Address :	44-E, Pwd Old Water Tank, Bhatlem – 403 001, North Goa, Goa.
Date of Birth/Age :	01.09.1970
Date of Appointment :	26.09.2007
Din No :	01866113
E-Mail :	prashant@kinecogroup.com

KEY EXECUTIVES

Name :	Mr. Avanish Deivedi
Designation :	Secretary
Address :	S1, Models Legacy Building No.8B, St. Inez Panaji – 403001, Goa, India.
Date of Birth/Age :	23.04.1976
Date of Appointment :	11.05.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 12.08.2009 

Names of Shareholders	No. of Shares
Shekhar Ravindra Sardessai	76875
Shashikant Rajaram Priolker	6386
Rui Alfonso	29167
Tom Quinn	5984
Diana D’ Souza	6302
Martinez Michela Dehoz	16621
Sanjay Guha	8338
Maria Veronics Johana Zaat	5548
Roabin Harish Mzumdar	15660
Pranay Vinubhai Shah	12
Shivanand Salgaonkar	29105
Shivnand Salgaonkar	200000
Sriram Natarajan	1
Vijay Sinai Suriagi Hede	1
TOTAL	400000

AS ON 29.09.2007

Equity Share Breakup	Percentage of Holding
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	33.00
Directors or relatives of directors	67.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturing of children furniture made out of Fibre Reinforced Plastic.
Products :	v Pipes v Industrial Process Equipments v Sky Bus v Boats v Railway Products v RTM/VARTM Products v Underground Petroleum Storage Tank v Shelters/Kiosks/Cabins

PRODUCTION STATUS (31.03.2010)

Particulars	Unit	Actual Production
Chemical Process Equipments	Nos.	67
Railway Products	Nos.	3231
Advance Composite Products	Nos.	3693
Moulded Products	Nos.	20060

GENERAL INFORMATION

Customers :

v Indian Railways

v Hindustan Aeronautics Limited

v Goodrich Corporation, USA

v Automobile Corporation Goa Limited

v TVS Iritzar

No. of Employees :

100 (Approximately)

Bankers :

v EDC Limited, EDC House DR. A B Road, Panaji – 403 001, Goa, India.

v State Bank of India, Commercial Branch Patto, Panaji – 403001, Goa, India.

v Small Industrial Development Corporation Limited

v Oriental Bank of Commerce

v ICICI Bank Limited, Panaji, Goa

Facilities :

Secured Loans	31.03.2010 (Rs. In millions)	31.03.2009 (Rs. In millions)
a) Term Loan from EDC (Economic Development Corporation) of Goa, Daman and Diu Limited for new product unit – (secured by Equitable Mortgage of Fixed Assets at plot No.34, 35 and 41, Pilerne Industrial Estate and by way of personal guarantee of Managing Director)	5.197	6.862
b) Working Capital Credit Facilities from State Bank of India (Secured by first hypothecation of Raw Materials, Stock in Process, Finished Goods, Consumption, Stores and Spares, Book debts and other current assets. Also by way of equitable mortgage of Land and Building situated at Plot No.42, 43 and 60, Pilerne Industrial Estate. Hypothecation of present and future plant and machinery at unit II and III located at Pilerne Industrial Estate and further secured by second charge of entire immovable assets financed by EDC Limited, Goa and by way of personal guarantee of Managing Director)	44.485	37.855
c) Term Loan From State Bank of India	42.164	46.347
d) Short Term Loan from State Bank of India (Both (e) and (f) are secured by way of Equitable mortgage of land and Building situated at Plot No.42, 43, and 60, Pilerne Industrial Estate. Hypothecation of present and future plant and machinery at Unit II and III located at Pilerne Industrial Estate and further secured by second charge of property and assets situated at Plot No.41, Pilerne Industrial Estate financed by EDC Limited, Goa and by way of personal guarantee of Managing Director)	0.000	0.557
e) Technology Development Assistance from Technology Information, Forecasting and Assessment Council, New Delhi (TIFAC) (Secured by hypothecation of 5 Axis CNC Filament winding machine complete with CAWIND/equivalent software and Accessories)	0.196	2.472
f) Technology Development Assistance from Technology Information, Forecasting and Assessment Council, New Delhi (TIFAC) (Secured by hypothecation of moveable properties including moveable plant and machinery, moulds and dies, prototype of Composite Skybus Coaches and stocks of raw materials purchased with TIFAC assistance)	7.919	7.919
g) Future Installments payable under Hire Purchase Agreement - ICICI Bank	0.061	0.210
- Kotak Mahindra (All the above three secured against passenger vehicle respectively financed there from)	0.000	0.000
TOTAL	100.022	102.222

Banking Relations :

--

Auditors :

Name : 

JKP and Associates

Chartered Accountants

Address :

410-4^th Floor, Gera Imperium, Patto Plaza, Panaji – 402001, Goa, India

Tel. No.:

91-832-2437288

E-Mail :

jitenpaty@gmail.com

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
500000	Cumulative Redeemable Preference Shares	Rs.100/- Each	Rs.50.000 Millions
	Total		Rs.70.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	Rs.100/- Each	Rs.20.000 Millions
200000	Cumulative Redeemable Preference Shares	Rs.100/- Each	Rs.20.000 Millions
	Total		Rs.40.000 Millions

NOTE:

**10% cumulative redeemable preference share are redeemable In FY 2011-12 and balance in FY 2012-13 together with premium of Rs.8/- per share.

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		40.000	40.000	40.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		44.150	44.150	44.150
4] (Accumulated Losses)		(10.794)	(61.222)	(87.105)
NETWORTH		73.356	22.928	(2.955)
LOAN FUNDS
1] Secured Loans		100.022	102.222	119.342
2] Unsecured Loans		27.910	12.263	14.405
3] Future lease obligation and hire purchase		1.489	2.719	4.690
TOTAL BORROWING		129.421	117.204	138.437
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		202.777	140.132	135.482
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		112.941	113.421	119.726
Capital work-in-progress		5.980	0.000	0.000
INVESTMENT		10.306	0.107	0.106
DEFERREX TAX ASSETS		10.265	1.704	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	34.245	24.053	33.536
	Sundry Debtors	200.862	106.770	31.399
	Cash & Bank Balances	11.983	10.531	9.646
	Other Current Assets	0.985	1.875	1.523
	Loans & Advances	26.106	21.541	19.739
Total Current Assets		274.181	164.770	95.843
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	131.562	99.917	55.579
	Other Liabilities	68.128	34.514	21.167
	Provisions	11.206	5.439	3.447
Total Current Liabilities		210.896	139.870	80.193
Net Current Assets		63.285	24.900	15.650
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		202.777	140.132	135.482

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	344.384	234.335	93.145
		Other Income	5.085	2.518	3.904
		TOTAL (A)	349.469	236.853	97.049
Less	EXPENSES
		Raw Materials Consumed	147.223	111.143	46.512
		Manufacturing Expenses	47.387	35.283	7.459
		Administrative Expenses	39.695	21.556	8.948
		Personnel Expenses	20.496	14.797	10.739
		Other Expenses	26.017	(18.408)	28.395
		TOTAL (B)	280.818	164.371	102.053
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		68.651	72.482	(5.004)
Less	FINANCIAL EXPENSES (D)		20.989	18.410	20.133
	PROFIT BEFORE TAX (C-D) (E)		47.662	54.072	(25.137)
Less	TAX (F)		(2.786)	28.518	0.000
	PROFIT AFTER TAX (E-F) (G)		50.448	25.554	(25.137)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	89.588	59.243	25.145
	TOTAL EARNINGS		89.588	59.243	25.145
	Earnings Per Share (Rs.)		252.14	129.42	(62.84)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	14.43	10.78	(25.90)
Net Profit Margin (PBT/Sales)	(%)	13.83	23.07	(25.90)
Return on Total Assets (PBT/Total Assets}	(%)	12.31	19.43	(11.66)
Return on Investment (ROI) (PBT/Networth)		0.64	2.35	8.50
Debt Equity Ratio (Total Liability/Networth)		4.63	11.21	(73.99)
Current Ratio (Current Asset/Current Liability)		1.30	1.17	1.20

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS

(Rs. In millions)

PARTICULARS	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors for Goods	131.562	99.917	55.579

Performance highlights:

a) Gross sales during the year increased to Rs.349.400 millions from 255.200 millions in the preceding year representing an increase of 35 %. Net sales during the year were at Rs.33.000 millions as compared to Rs. 236.800 millions of the preceding year.

b) EBITDA (Earnings before Interest, Tax, Depreciation and Amortisation) during the year was Rs. 80.400 millions (24 % of net sales) as compared to Rs. 54.100 millions in the preceding year (22 % of net sales) representing a substantial improvement in operating margins. This was possible since the Company sold more value-added products during the year, improved productivity, reduced wastages and kept a strict control over indirect costs.

c) The EBTDA (Earnings before Tax, Depreciation and Amortisation) during the year was at Rs. 59.400 millions as compared to EBTDA of Rs. 35.700 millions during the preceding year. Profit after tax and prior period adjustments, during the year was Rs. 50.500 millions as compared to loss of Rs. 25.900 millions during the previous year.

d) Exports during the year were at Rs89.500 millions as compared to Rs. 59.200 millions during the preceding year. The Company acquired new export accounts during the year apart maintaining its previous customers.

Based on the above performance the Company has been able to wipe out a substantial part of its accumulated losses and recoup its net worth. The Company has a strong order book for FY 10-11 and is targeting sales of over Rs.450.000 millions during the year. The directors are therefore confident that the Company will wipe out all its accumulated losses within the first quarter of FY 2010 -2011.

Salient aspects of business during the year.

The most important aspect of the business during the year was that the Company not only continued its significant growth in the railway sector but also successful in converting its developmental activities into commercial orders, for its new investments in Advanced Composites and Filament Winding. Consequently, the Company has been able to reduce it’s over dependence on Railway business. This de-risking will improve the consistency in sales in the near future.

a) Railway sector

 The Company continued to maintain its position as a major supplier to Indian Railways and achieved sales of Rs.174.100 millions during the year.

The Company successfully executed contract for design, development and supply of 12 Front End Nose Cone to Indian railways. The Company also executed an Export order for supply of Interior Panels to RITES for Srilankan Railways.

b) Filament winding

On filament winding front the Company continued its foray in large diameter high pressure vessels and completed execution of commercial orders for domestic as well as export customers. The Company has built relationships and alliances with various global EPC contractors to use this product in their projects which will ensure continuous business for this product.

C) Advanced Composites — This is a business sector where the Company has achieved very significant and strategic breakthroughs during the year.

• The Company executed a major global contract worth Rs. 540.000 millions for supply of formula racing car bodies to a major European customer. This is for the first time such contract was awarded to a non-European manufacturing entity. This breakthrough has provided the Company its due recognition in the European Market. This business has the potential of providing Company steady revenues of Rs.70.000 millions a year, for the next 5 years.

• Successfully designed, developed and supplied India’s first air-borne surveillance radar Development Contract to the Ministry of Defense worth Rs.25.000 millions. On successful completion of development the Company is expecting to supply over 10 similar radar structures over the next 5-7 years.

• Successfully developed and supplied carbon composite structure for naval radar system for Bharat Electronics Ltd. — one of the first of its kind to be developed in the country.

• The Company was able to successfully execute order for manufacture and supply of carbon fiber composite tooling for Advanced Light Helicopter (ALH) manufactured by Hindustan Aeronautics Ltd. (HAL). With the successful execution of this order, the Company is confident of achieving further orders from HAL as well as other global aerospace customers.

• The Company has signed a contract for development and supply of carbon composite bicycle frames from a leading Indian Bicycle manufacturing company. This further validates the confidence of industry in the engineering capabilities of the Company.

• The Company is planning to increase its manufacturing Clean Room facilities.

d) Moulded Products Division

• The Company successfully designed, developed and supplied FRP Filter Covers to its regular export customer. The Company is expecting further business from this segment.

• The Company signed a contract for supply of hull, deck and other FRP components, of Leisure Boats for a leading Indian Customer. The Company has supplied 2 such boats and has open orders for supply of 27 boats in the year 2010-11

• The Company signed a contract for tooling and supply of FRP Bus Body Components to the Indian subsidiary of Europe’s Automobile Company. The Company is expecting good business from this segment.

• The Company signed a contract for tooling and supply of FRP Arena Pools with a Malaysian Company. The Directors are hopeful that the product will receive a good response from the Indian customers and will ensure continuous business.

Form 8

Name of the company	KINECO PRIVATE LIMITED
Presented By	Mr. Shekar R. Sardesai
1) Date and description of instrument creating the change	Agreement for the grant of small Industrial Advances (Working Capital Finance) dated 12.07.2001.
2) Amount secured by the charge/amount owing on the securities of charge	Rs.4.000 Millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	All current assets with margin as under (i) Raw Material: 25% (ii)Work in Process: 35% (iii) Finished Goods: 25% (iv) Book Debts: 33.33%
4) Gist of the terms and conditions and extent and operation of the charge.	Working Capital Credit facilities of Rs.4.000 Millions. Interest @2.25% above SBAR (i.e. 11.50%), effective rate 13.75% pa.a
5) Name and Address and description of the person entitled to the charge.	State Bank of India, Commercial Branch, Patto, Panaji – Goa.
6) Date and brief description of instrument modifying the charge	Agreement for the grant off small industrial advances – Letters of credit Guarantees and Indemnities Agreement for the grant off small industrial advances – hypothecation of Goods, Book debts, Moveables and other assets. Supplemental General Agreement for the grant of small industrial advances and hypothecation of goods, book debts and other assets.
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	Enhancement of working capital credit facilities upto Rs.37.500 Millions.

This form is for	Modification of charge
Charge identification number of the modified	90076342
Corporate identity number of the company	U24134GA1994PTC001672
Name of the company	KINECO PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.41, Pilerne Industrial Estate, Pilerne Bardez, Goa – 403 511, India.
Type of charge	Immovable property Book Debts Movable property
Particular of charge holder	State Bank of India, EDC Complex Patto, Commercial Branch Patto, Panaji – 403001, Goa, India.
Nature of Description	As per agreement of loan cum hypothecation dated 29.07.2010 Recital for extension of Equitable Mortgage dated 29.07.2010 for Plot No. 60 Recital for extension of Equitable Mortgage dated 29.07.2010 for Plot No. 42 and 43.
Date of the instrument	29.07.2010
Amount secured by the charge	Rs.231.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest CC = 12.75% TERM LOAN = 13.50% Terms of Repayment As per agreement of loan cum hypothecation dated 29.07.2010 Margin 25% Extent and Operation of the charge 1. First charge on Land and Building at Plot No.60 42 and 43 and at Pilerne Industrial Estate, Pilerne, Bardez, Goa 2. Second charge on Land,Building and movable assets at Plot No. 34, 35 and 41 situated at Pilerne Industrial Estate. First charge being in favour of EDC Ltd 3. Hypothecation on present and future stock of raw materials, stock in process, finished goods, book debts, receivables and all other current assets of the Company. Others
Short particulars of the property charged	First charge on Land and Building at Plot No.60,42 and 43 at Pilerne Industrial Estate, Pilerne, Bardez, Goa Second Charge on Land and Building at Plot No. 34,35 and 41 situated at Pilerne Industrial Estate 3. Hypothecation on present and future stock of raw materials, stock in process, finished goods, book debts, receivables and all other current assets of the company
Date of Instrument modifying the charge	09.06.2006
Particulars of the present modification	Land and Building at plot no.60,42 and 43 and Plot No.34,35 and 41 at Pilerne Industrial Estate, [Pilerne, Bardez Goa and hypothecation of the entire goods, movables and other assets, present and future, including documents of title to goods and other assets such as book debts, outstanding moneys, receivables, offered as swcurity for charge created in favour of State Bank of India against credit facilities of Rs.231.000 millions

FIXED ASSETS

Ø Factory Building

Ø Plant, Machinery, Equipments and Tools

Ø Electrical Fittings

Ø Furniture and Fixtures

Ø Office Equipments

Ø Vehicle

Ø Computers

Ø Laboratory Equipment

Ø Assets taken under Hire Purchase

- Vehicle

Ø Assets acquired under Lease

- Plant and Machinery

- Mandrels

- Equipments

- Computer Systems

- Office Equipments

Ø Leasehold Land

Ø Development of Composite Technology, Products and Process Know-how composite Filament Winding Project

Ø Development of Composite Technology, Products and Process Know-how Composite Skybus Caoches project

Contingent Liabilities not provide for :

• Bank Guarantees issued by the Bank on behalf of the company : Rs.21.682 millions (Previous yrear : Rs.20.414 millions)
• Letter of Credit issued by the Bank on behalf of the company : Rs.23.302 millions ( Previous year : Rs.18.105 millions)
• Claims against the company not acknowledged as debts Rs. 1.057 millions (Previous year : Rs.1.057 millions)

AS PER WEBSITE

COMPANY PROFILE:

Subject is a multi faceted composites manufacturer and an industry leader in India in performance and technology.

Driven by entrepreneurial zeal and passion for composites, the Company which made a very modest beginning in 1995 has made substantial progress with innovation & technology being its prime movers

ORGANIZATIONAL HIGHLIGHTS:

• Headquartered in Goa – India
• First generation enterprise, with 15 years of performance history in composite product design and manufacturing.
• Driven by a pool of talented and multinational professionals with immense domain expertise in composites.
• A very diverse product portfolio covering a wide band of the composite industry from “Landspace to Aerospace”.
• Process expertise includes filament winding, RTM, resin infusion, prepreg autoclave moulding, spray-up and hand lay up.
• More than half the production output is exported globally, to highly competitive & quality sensitive markets in Europe, U.S, Middle East & Latin America.
• All manufacturing facilities are ISO 9001 / 2000 accredited.
• Employs 250 people in three manufacturing divisions with a combined space of over 16,000 sq. meters.
• Has expertise in handling glass, carbon and aramid reinforcement in combination with polyester, epoxy and phenolic resin systems including prepregs.
• Provides total service in new application development covering concept design (including structural & aesthetic design), tooling, prototyping, serial manufacturing & post sales installation / maintenance.

Kineco is grouped into 3 divisions which operate as Strategic Business Units (SBU's):

Custom Moulded Products Division :-

1. Predominantly manufactures composite parts and complete assemblies for Mass Transit (Train Coach Interiors & Exteriors), Bus & Truck and other custom applications.
2. Equipped with RTM, VARTM, spray up, hand layup and resin infusion facilities.

Filament Winding Division

• Manufactures pipe, tubes, chemical process equipment and pressure vessels primarily for water treatment. Also manufactures products for high end applications in electrical and aerospace industry (glass & carbon fiber based).
• Equipped with:
• 5-axis CNC filament winder (4.0m dia, 10.0m length)
• 2-axis CNC filament winder (1.3m dia x 12m length)
• Curing Oven (2.5m width x 12m length, Maximum temperature 180 deg C @ 1bar vaccum, equipped with electronic temperature controls & thermocouples for process control)
• Downstream facilities like extractor, pressure testing facilities, etc.

Advanced Composite Division :-

• Catering to carbon and aramid fiber prepreg based production for motor sport, medical equipment, telecommunication equipment, aerospace & defence markets.
• Equipped with :
• Clean rooms: 300sq. m of humidity controlled environment ideally suited for processing prepreg based products for defence & aviation market.
• Autoclave (2.5m dia, 5.0m length, Maximum pressure 10 bar, Chartless recorder for monitoring/recording cure cycle)
• Ovens (upto 2.5m width x 12m length, Maximum temperature 200 deg C @ 1 bar vaccum, Electronic temperature controls & thermocouples for process control)
• 5-axis CNC router (3.5m width x 10.0 length x 1.2m vertical stroke).
• Cold Storage (-18 deg C storage area for storing prepregs, size 3mts x 2.5mts ,2 freezers)

HISTORY

Kineco was born out of the ambition of first generation entrepreneur, Shekhar Sardessai to do something unconventional. With finance collected from friends, Shekhar set up a modest factory in 1995 to manufacture FRP chemical process equipment. Starting with a workforce of ten, Kineco began its journey seeking business from neighboring factories, by showing them the advantages of using FRP over conventional materials. These factories bought tanks, Pressure Vessels, Pipes, and many other products from Kineco in the early years.

The company believes that a key driver of growth is innovation – innovation which delights the user with new and differentiated benefits became Kineco’s USP.

A brief History of Time

• 1995 : A star is born – Kineco begins commercial operations with a workforce of Just six people
• 1999 : Serving the Nation – Kineco builds Fiber Reinforced Plastic shelters for Indian Troops fighting in the harsh environment of the Northern Himalayas
• 2002 : Supporting the water needs – Kineco becomes a global supplier of tripod bases for a 2 billion dollar US water treatment equipment company
• 2003 : On - Time Everytime – Kineco wins "Supplier of the Year" award for delivery of tripod bases for water treatment equipment
• 2004 : Reliability is their middle name – Kineco wins "Supplier of the Year" award for second consecutive year for delivery of tripod water treatment bases
• 2004 : Composites their Passion – Kineco in association with IIT Bombay and TIFAC construct the world’s first Sky Bus made entirely from composites.
• 2005 : Technology their focus – Kineco acquires an autoclave incorporating the latest technology into its processes
• 2005 : World Class Products their Commitment – Kineco Selected to manufacture body panels for A1 Grand Prix formula racing cars in its brand new Advanced Composites Division
• 2008 : Innovation their Mission – Kineco wins the prestigious "JEC Innovation Award" for the development of Underslung water tanks for A/c coaches of the Indian Railways.

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.44.79
UK Pound	1	Rs.73.19
Euro	1	Rs.63.59

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	3
--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		26

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.