MIRA INFORM REPORT

Report Date :

26.05.2011

IDENTIFICATION DETAILS

Name :	EQUINOX SOLUTIONS LIMITED [w.e.f 24.06.1985]
Formerly Known As :	Kelvin Metal Krafts Private Limited
Registered Office :	41, Nobles A Building, Ashram Road, Ahmedabad – 380006, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	08.10.1984
Com. Reg. No.:	04-007317
Capital Investment / Paid-up Capital :	Rs.10.945 millions
CIN No.: [Company Identification No.]	U29190GJ1984PLC007317
TAN No.: [Tax Deduction & Collection Account No.]	AHME00545G AHME00491B
PAN No.: [Permanent Account No.]	AAACK6136C
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trader and Importer of Food and Beverages Equipments and Spare Parts
No. of Employees :	100 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ba [46]

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

Maximum Credit Limit :	USD 150000
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 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.

INFORMATION PARTED BY

Name :	Mr. Nishadh Parikh
Designation :	Director
Contact No.:	91-79-26400474
Date :	24.05.2011

LOCATIONS

Registered Office :	41, Nobles A Building, Ashram Road, Ahmedabad – 380006, Gujarat, India
Tel. No.:	91-79-26400472 / 26561772 / 26430199 / 26400473
Fax No.:	91-79-26561770
E-Mail :	naishadh.parikh@equinoxbrands.com
Website :	http://www.equinoxbrands.com
Area :	2000 Sq.ft.
Location :	Owned
Head Office :	303, Swagat, Near Lal Bungalow, C G Road, Ahmedabad – 380006, India
Tel. No.:	91-79-26431214

DIRECTORS

As on 30.09.2010

Name :	Mr. Naishadh Indrakant Parikh
Designation :	Managing Director
Address :	Krishna Kunj, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	02.10.1954
Date of Appointment :	08.10.1984
DIN :	00009314
Name :	Mr. Indrakant Trikamlal Parikh
Designation :	Director
Address :	Krishna Kunj, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	15.05.1925
Date of Appointment :	08.10.1984
DIN :	00027247
Name :	Mrs. Neena Naishadh Parikh
Designation :	Managing Director
Address :	Krishna Kunj, Shahibaug, Ahmedabad – 380004, Gujarat, India
Date of Birth/Age :	24.01.1954
Date of Appointment :	05.01.2003
DIN :	00180972

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Naishadh Indrakant Parikh	45650
Neena Naishadh Parikh	4950
Indrakant Trikamlal Parikh	1650
Avikal Investments Private Limited, India	385000
Equinox Brands Private Limited, India	539000
Krupa Holdings Private Limited, India	116600
Anokhee N Parikh	1650
Total	1094500

As on 30.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Trader and Importer of Food and Beverages Equipments and Spare Parts
Imports :
Products :	Food and Beverages Equipments and Spare Parts
Countries :	Singapore Italy
Terms :
Selling :	Cash / Credit [30 / 60 / 90 Days]
Purchasing :	Cash / Credit [30 / 60 / 90 Days]

GENERAL INFORMATION

Customers :

• End users
• OEM’s

No. of Employees :

100 [Approximately]

Bankers :

• State Bank of India, Mid Corporate Branch, Zodiac Avenue, Opp. Commissioner’s Bungalows, Law Garden, Ahmedabad - 380006, Gujarat India
• ICICI Bank Limited
• Kotak Mahindra Bank
• HDFC Bank Limited

Facilities :

Secured Loan [Rs. in million]	31.03.2010	31.03.2009
Term Loan From ICICI BANK Limited (Secured By Hypothecation Of Assets Financed By The Said Bank)	0.106	1.282
Term Loan From Kotak Mahindra Bank L (Secured By Hypothication Of Assets Financed By The Said Bank)	0.319	0.941
Buyer's Credit Facility From State Bank Of India	0.000	21.883
Cash Credit Facility From State Bank Of India	29.649	0.000
Term Loan From State Bank Of India (Buyer's Credit,Cash Credit Facility And Term Loan From SBI Are Secured By Hypothecation Of Stock and Receivable Of The Company, Machinery And Equipment Purchased From Finance Provided By The Bank And Further Secured By Commercial Property Situated At 305 And 306, 3rd Floor Abhijit V, Ellisbridge, Ahmedabad And Coffee Machines Installed From Company's Own Fund And Personal Guarantee Of All Three Director's Of The Company)	1.227	0.000
Total	31.301	24.106
Unsecured Loan [Rs. in million]	31.03.2010	31.03.2009
From Directors	0.000	0.252
Inter Corporate Deposits	2.401	4.670
Dealers Deposit	0.235	0.235
Total	2.636	5.157

Banking Relations :	--
Auditors :
Name :	N.C. Shah Thakkar and Company Chartered Accountant
Address :	106, Sears Tower, off C.G. Road, Near White House, Gulbai Tekra, Ahmedabad - 38006, Gujarat India

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1,099,500	Equity Shares	Rs.10/-each	Rs.10.995 millions
5,000	Preference Shares	Rs. 1/-each	Rs.0.005 million
	Total		Rs.11.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,094,500	Equity Shares	Rs.10/-each	Rs.10.945 millions

Note : out of the above shares 99,500 equity shares of Rs.100 each have been allotted as fully paid up shares by capitalizing Rs.9.950 million form profit and loss account

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

Particulars		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		10.945	10.945	10.945
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		28.225	25.957	19.629
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		39.170	36.902	30.574
LOAN FUNDS
1] Secured Loans		31.301	24.106	2.678
2] Unsecured Loans		2.636	5.157	1.802
TOTAL BORROWING		33.937	29.263	4.480
DEFERRED TAX LIABILITIES		0.037	0.059	0.000
TOTAL		73.144	66.224	35.054
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		8.001	9.878	6.177
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.311	0.389	0.322
DEFERREX TAX ASSETS		0.000	0.000	0.096
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	22.397	27.638	24.294
	Sundry Debtors	15.356	20.084	22.441
	Cash & Bank Balances	4.409	10.622	9.578
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	51.378	44.754	22.402
Total Current Assets		93.540	103.098	78.715
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	16.626	36.446	38.469
	Other Current Liabilities	2.286	1.934	2.715
	Provisions	9.796	8.761	9.072
Total Current Liabilities		28.708	47.141	50.256
Net Current Assets		64.832	55.957	28.459
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		73.144	66.224	35.054

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	142.094	204.386	113.101
		Other Income	1.946	0.543	3.944
		TOTAL (A)	144.040	204.929	117.045
Less	EXPENSES
		Cost of Goods Sold	107.204	159.178	74.728
		Employee Cost	14.161	10.795	8.007
		Administrative selling and other Expenses	13.389	20.683	16.392
		TOTAL (B)	134.754	190.656	99.127
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		9.286	14.273	17.918
Less	FINANCIAL EXPENSES (D)		3.967	2.397	1.464
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5.319	11.876	16.454
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.037	1.813	1.346
	PROFIT BEFORE TAX (E-F) (G)		3.282	10.063	15.108
Less	TAX (I)		1.014	3.735	5.569
	PROFIT AFTER TAX (G-I) (J)		2.268	6.328	9.539
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		24.300	17.972	--
	BALANCE CARRIED TO THE B/S		26.568	24.300	--
	EARNINGS IN FOREIGN CURRENCY
		FOB Value of Export	0.000	0.000	0.000
		Commission Earnings	0.237	0.239	1.162
	TOTAL EARNINGS		0.237	0.239	1.162
	IMPORTS
		Goods Traded	82.389	109.233	76.535
	TOTAL IMPORTS		82.389	109.233	76.535
	Earnings Per Share (Rs.)		2.07	5.78	8.71

Particulars	31.03.2011
Sales Turnover [Approximately]	200.000

Expected Sales ( 2011-2012) : Rs.250.000 millions

The above information has been parted by Mr. Naishadh Parikh [Director]

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.57	3.09	8.15
Net Profit Margin (PBT/Sales)	(%)	2.31	4.92	13.36
Return on Total Assets (PBT/Total Assets}	(%)	3.23	8.91	17.80
Return on Investment (ROI) (PBT/Networth)		0.08	0.27	0.49
Debt Equity Ratio (Total Liability/Networth)		1.60	2.07	1.79
Current Ratio (Current Asset/Current Liability)		3.26	2.19	1.57

LOCAL AGENCY FURTHER INFORMATION

TRADE REFERENCES:

• Hindustan Coca Cola Beverages Private Limited
• Coca Cola India Private Limited, Pune
• SAB Miller India Limited

Details of Sundry Creditors:

Particulars	31.03.2010 (Rs. in millions)	31.03.2009 (Rs. in millions)	31.03.2008 (Rs. in millions)
Sundry Creditors for Goods	11.461	30.347	32.247
Sundry Creditors for Expenses	5.165	6.002	6.222
Sundry Creditors for Fixed Assets	0.000	0.097	0.000
Total	16.626	36.446	38.469

Business Operations:

The year under consideration witnessed a fall in sales and other income to the tune of Rs.60.900 millions as compared to previous accounting year. Similarly, the profit after taxation in 2009-10 was substantially reduced as compared to 2008-09 i.e. by Rs.4.393 million

The margins were impacted due to rise in employee cost and administrative charges which were inevitable

However, the directors are confident that the working of the company would continue to improve in the years to come.

Bankers Charges Report as per Registry

Corporate identity number of the company	U29190GJ1984PLC007317
Name of the company	EQUINOX SOLUTIONS LIMITED
Address of the registered office or of the principal place of business in India of the company	41,Nobles A Building, Ashram Road, Ahmedabad – 380006, Gujarat, India
This form is for	Modification of Charge
Charge identification (ID) number of the charge to be modified	10063442
Type of charge	Book Debts Movable Property
Particular of charge holder	State Bank of India, Mid Corporate Branch, Zodiac Avenue, Opp. Commissioner’s Bungalows, Law Garden, Ahmedabad - 380006, Gujarat India
Nature of instrument creating charge	SUPPLEMENTAL AGREEMENT OF LOAN-CUM-HYPOTHECATION
Date of instrument Creating the charge	29.04.2010
Amount secured by the charge	Rs.72.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest - 2% above sbar [ sbar 11.75% w.e.f. 29.6.09] present effective rate : 13.75% Terms of repayment - working catpial repayable on demand Open term loan Rs.15.200 millions - to be repaid in 60 monthly installments of Rs.0.253 millions each. Term loan of Rs.0.073 millions repayable in 60 monthly installments of Rs. 0.121 millions with last installment of Rs.0.161 millions. Margin – A.fund based limits Raw material indigenous 25% Semi finished goods 25% Finished goods 25% Domestic receivables 50% ( covering period 90 days) B. Non fund based limits Letter of credit 20% Bank guarantees 20% Back to back l/c[one time] 10% Extent and operation of the charge - first charge in favor of bank
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of all present and future stocks, goods, raw materials, book debts, movable plant and machineries and other movables hypothecation of office and other machineries equipments hypothecation of gelato ice cream manufacturing machines
Date of instrument modifying the charge	24.07.2009
Particulars of the present modification	The original charge created by way of hypothecation of current assets of the company is now further extended to secure enhanced credit limit aggregating to Rs.72.500 millions.

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.25.38
UK Pound	1	Rs.73.31
Euro	1	Rs.63.70

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
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		46

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.