MIRA INFORM REPORT

Report Date :

02.11.2011

IDENTIFICATION DETAILS

Name :	ACME AIR EQUIPMENTS COMPANY PRIVATE LIMITED
Registered Office :	Plot No.57/3, 4, 5, Phase-1, G.I.D.C, Ahmedabad- 382445, Gujarat, India
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	07.05.2009
Com. Reg. No.:	04-56856
Capital Investment / Paid-up Capital :	Rs.2.500 Millions
CIN No.: [Company Identification No.]	U29100GJ2009PTC056856
TAN No.: [Tax Deduction & Collection Account No.]	AHMA09000F
PAN No.: [Permanent Account No.]	AAHCA7079D
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Blower.
No. of Employees :	50 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (36)

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

Maximum Credit Limit :	USD 12000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a successor of Air Equipments which was started as a partnership concern in 1990 and later converted itself to a private limited company in August 2009. It is an established company having moderate track. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. Company can be considered for 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 – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
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. Somnath Ranade
Designation :	Director
Contact No.:	91-9824060792
Date :	25.10.2011

LOCATIONS

Registered Office/ Factory :	Plot No.57/3, 4, 5, Phase-1, G.I.D.C, Ahmedabad- 382445, Gujarat, India
Tel. No.:	91-79-40265999/ 25835995 / 25831985 / 40083991-99 / 25832336
Mobile No.:	91-9824060792 (Mr. Somnath Ranade)
Fax No.:	91-79-25832336 / 25835995
E-Mail :	info@airequipments.com
Website :	www.airequipments.com www.airequipments.co.in www.airequipments.in
Area :	2000 Sq. Mtrs.
Location :	Owned

DIRECTORS

(AS ON 30.09.2010)

Name :

Mr. Somnath S Ranade

Designation :

Managing Director

Address :

C/3, Nilampark Flat, Near Premchand Nagar, Satelite, Ahmedabad- 3800054, Gujarat, India

Date of Birth/Age :

27.11.1953

Qualification :

B. E. Mechanical

Date of Appointment :

07.05.2009

DIN No.:

02156323

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74200GJ2008PTC053813	ARMOUR ENGINEERS PRIVATE LIMITED	Director	06-05-08	06-05-08	Active	NO
2	U29100GJ2009PTC056856	ACME AIR EQUIPMENTS COMPANY PRIVATE LIMITED	Managing director	07-05-09	07-05-09	Active	NO

Name :

Mr. Ajaysinh Pratapsinh Pardesi

Designation :

Managing Director

Address :

9 Shantakaram Shivranjani Society, Satelite, Ahmedabad- 380015, Gujarat, India

Date of Birth/Age :

29.10.1948

Qualification :

B. Com.

Date of Appointment :

07.05.2009

DIN No.:

02136816

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Company Status	Defaulting status
1	U74200GJ2008PTC053813	ARMOUR ENGINEERS PRIVATE LIMITED	Director	06-05-08	06-05-08	Active	NO
2	U29100GJ2009PTC056856	ACME AIR EQUIPMENTS COMPANY PRIVATE LIMITED	Managing director	07-05-09	07-05-09	Active	NO

Name :

Mr. Shaileja S. Ranade

Designation :

Director

Address :

C/3, Nilampark Flat, Near Premchand Nagar, Satelite, Ahmedabad- 3800054, Gujarat, India

Date of Birth/Age :

07.08.1957

Qualification :

B. Com.

Date of Appointment :

07.05.2009

DIN No.:

02294416

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 31.03.2010)

Names of Shareholders	No. of Shares
Ajaysinh P Pardeshi	100000
Somnath A Ranade	100000
Ritaben A Pardeshi	12500
Pradyumna A Pardeshi	12500
Shaileja Ranade	12500
Induben S Ranade	5000
Mukund Chorghade	7500
Total	250000

(AS ON 30.09.2010)

Names of Allotee	No. of Shares Allotted
Ajaysinh P Pardeshi	140000
Somnath A Ranade	140000
Ritaben A Pardeshi	17500
Pradyumna A Pardeshi	17500
Shaileja Ranade	17500
Induben S Ranade	7000
Mukund Chorghade	10500
Total	350000

(AS ON 30.09.2010)

Equity Shares Break – Up

Category	Percentage
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Blower.

Products :

Products Description	Item Code No.
Industrial Blowers	29100

· Twin Lobe Roots Blowers and Exhausters

· Tri-Lobe Rotary Compressors / Exhausters

· Mechanical Vacuum Boosters and Complete Systems

· Cement/Fly Ash Feeding System

· Catalyst Loading / Unloading Systems

· Pneumatic Conveying Systems

· Dewatering System

· Centralized Vacuum Cleaning System

· Gas Boosters

· Oil Sealed Rotary High Vacuum Pumps

· Water Ring Vacuum Pump

· Two Stage Vacuum Pump

· Liquid Ring Vacuum Pump

· Twin Lobe Roots Blowers / Exhausters

o Air Cooled Series and Water Cooled Series

· Tri Lobe Roots Blower/ Exhausters

o Air Cooled Series

· Vacuum Booster Systems

· Pneumatic Conveying Systems.

· Centralized Vacuum Cleaning System

· Catalyst Unloading System.

Exports :

Products :

Blower

Countries :

· Srilanka

· Nepal

· Bhutan

· Bangalore

· Egypt

Terms :

Selling :

Credit (30-60 days)

Purchasing :

L/C, Credit (30-60 days)

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Blowers	Nos.	NA	NA	231

GENERAL INFORMATION

Customers :

End Users

No. of Employees :

50 (Approximately)

Bankers :

· Small Industries Development Bank of India

1^st Floor, Navjivan Amrit Jayanti Bhavan, Navjivan P. O. Ahmedabad – 380014, Gujarat, India

· Bank of India

Small Industries, Ahmedabad, Gujarat, India

· State Bank of India

· Axis Bank, Gujarat, Ahmedabad

Facilities :

Secured Loans	31.03.2010 (Rs. In Millions)
Term Loan from SIDBI (Secured against hypothecation of movables save and except book debts and mortgage of the immovable properties of the company)	9.348
Cash Credit against hypothecation of stocks and receivables from Axis Bank	2.000
Total	11.348
Unsecured Loans	31.03.2010 (Rs. In Millions)
Loan From Directors	6.175
Loan From Members	1.844
Loan From Banks	1.361
Loan From Relatives of Directors	1.584
Total	10.964

Banking Relations :	--
Auditors :
Name :	D Shah and Associates Chartered Accountant
Address :	311, Panorama Complex, Near Navjivan Press, Ashram Road, Ahmedabad – 380014, Gujarat, India
PAN No.:	ACAPS5276J
Associates :	· Eleganz Technics

CAPITAL STRUCTURE

(AS ON 30.09.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
600000	Equity Share	Rs.10/- each	Rs.6.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
600000	Equity Share	Rs.10/- each	Rs.6.000 millions

(AS ON 31.03.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Share	Rs.10/- each	Rs.2.500 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
250000	Equity Share	Rs.10/- each	Rs.2.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010
SHAREHOLDERS FUNDS
1] Share Capital		2.500
2] Share Application Money		0.000
3] Reserves & Surplus		0.413
4] (Accumulated Losses)		0.000
NETWORTH		2.913
LOAN FUNDS
1] Secured Loans		11.348
2] Unsecured Loans		10.964
TOTAL BORROWING		22.312
DEFERRED TAX LIABILITIES		0.031
TOTAL		25.256
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		20.917
Capital work-in-progress		0.000
INVESTMENT		0.503
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	5.426
	Sundry Debtors	16.667
	Cash & Bank Balances	0.926
	Other Current Assets	0.000
	Loans & Advances	2.017
Total Current Assets		25.036
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	20.222
	Other Current Liabilities	0.000
	Provisions	1.042
Total Current Liabilities		21.264
Net Current Assets		3.772
MISCELLANEOUS EXPENSES		0.064
TOTAL		25.256

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010
	SALES
		Income	57.019
		Other Income	1.005
		TOTAL (A)	58.024
Less	EXPENSES
		Raw Materials Consumed	40.079
		Manufacturing Expenses	1.893
		Personnel Cost	5.284
		Excise Paid	0.247
		Vat Paid	0.000
		Selling, Distribution, Administrative and Other Expenses	3.269
		Audit Fees	0.025
		Directors Remuneration	0.720
		Services Charge	0.131
		Preliminary Expenses Written off	0.007
		TOTAL (B)	51.655
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		6.369
Less	FINANCIAL EXPENSES (D)		2.782
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		3.587
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.983
	PROFIT BEFORE TAX (E-F) (G)		0.604
Less	TAX (H)		0.191
	PROFIT AFTER TAX (G-H) (I)		0.413
	EARNINGS IN FOREIGN CURRENCY		3.531
	Earnings Per Share (Rs.)		1.65

Particulars	31.03.2011
Sales Turnover (Approximately)	60.000

Expected Sales (2011-12): Rs.70.000 Millions.

The above information has been parted by Mr. Somnath.

KEY RATIOS

PARTICULARS		31.03.2010
PAT / Total Income	(%)	0.71
Net Profit Margin (PBT/Sales)	(%)	1.06
Return on Total Assets (PBT/Total Assets}	(%)	1.31
Return on Investment (ROI) (PBT/Networth)		0.21
Debt Equity Ratio (Total Liability/Networth)		14.96
Current Ratio (Current Asset/Current Liability)		1.18

LOCAL AGENCY FURTHER INFORMATION

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	---------
No. of Employees	Yes
Name of Person Contacted	Yes
Designation of Contact person	Yes
Turnover of Firm for last two years	Yes
Profitability for last three years	---------
Reasons for variation <> 20%	---------
Estimation for coming financial year	Yes
Capital in the business	Yes
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	---------
Litigations that the firm/ Promoters Involved in	---------
Banking details	Yes
Banking Facility Details	---------
Conduct of the Banking Account	---------
Buyer visit details	---------
Financials, if provided	No
Incorporation details is applicable	---------
Last Accounts filed at ROC	---------
Major Shareholders, if available	---------

NOTE:

The registered office of the company has been shifted from 38, Satnam Industrial Estate, Nagarvel Hanuman Road, Ambrawadi- 380026, Ahmedabad, India to the present address w. e. f. 15.05.2009

FORM 8:

Corporate identity number of the company	U29100GJ2009PTC056856
Name of the company	ACME AIR EQUIPMENTS COMPANY PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No. 57/3, 4, 5, Phase I, GIDC, Vatva, Ahmedabad – 382445, Gujarat, India info@airequipments.com
This form is for	Creation of charge
Type of charge	Immovable property
Particular of charge holder	Small Industries Development Bank of India 1^st Floor, Navjivan Amrit Jayanti Bahvan, Navjivan P.O., Ahmedabad- 380014, Gujarat, India sgupta@sidbi.in
Nature of instrument creating charge	Memorandum of Deposit of Title Deeds
Date of instrument Creating the charge	29.09.2011
Amount secured by the charge	Rs.4.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interests: 10% Terms of Repayment: Loan shall be repaid by the borrower to SIDBI in 54 monthly installments commencing after a moratorium of 6 months from the disbursement of the loan. The date(s) of such installments shall be 10th day of each month in each year. Margin: As specified by SIDBI. Extent and Operation of the charge: First charge by way of extension over the whole of the immovable properties of the company situated at Plot No. 57/3, 4 and 5 Phase I, GIDC, Vatva, Ahmedabad including, plant and machinery to secure the term loan of Rs.4.000 Millions sanctioned by SIDBI to the Company. Others: The Company has created charge on its' immovable properties situated at Plot No.57/3,4 and 5 of Phase I, GIDC , Vatva, Ahmedabad for securing the financial assistance availed from SIDBI aggregating to 13.400 Millions. The Company has now created additional charge on the above immovable properties to secure the term loan of Rs.4.000 Millions sanctioned by SIDBI to the Company. (The said is secured by Deed of Hypothecation dated 25/03/2011 for which Form 8 was filed.)
Particulars of the property charged	Extension of first charge by way of equitable mortgage over all immovable properties of the company situated at Plot No.57/3, 4 and 5, Phase I, GIDC Vatva, Ahmedabad.

FIXED ASSETS

· Building

· Plant and Machinery

· Furniture and Fixture

· Vehicles

· Computer

· Patten

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.48.87
UK Pound	1	Rs.78.11
Euro	1	Rs.68.36

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	4
--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		36

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.