MIRA INFORM REPORT

Report Date :

01.11.2011

IDENTIFICATION DETAILS

Name :	LEITZ TOOLING SYSTEMS INDIA PRIVATE LIMITED
Registered Office :	No.486C, 14^th Cross, IV Phase, Peenya Industrial Area, Bengalore – 560058, Karnataka
Country :	India
Financials (as on) :	31.30.2010
Date of Incorporation :	24.03.1999
Com. Reg. No.:	08-024955
Capital Investment / Paid-up Capital :	Rs. 117.769 Millions
CIN No.: [Company Identification No.]	U25209KA1999PTC024955
TAN No.: [Tax Deduction & Collection Account No.]	BLRL00468G
PAN No.: [Permanent Account No.]	AAACL4953E
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Drilling Boring Equipments and Cutting tools.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 471000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appear 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 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 – 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

LOCATIONS

Registered Office/Sales Office/ Factory and Servicing Centre :	No.486C, 14^th Cross, IV Phase, Peenya Industrial Area, Bengalore – 560058, Karnataka, India
Tel. No.:	91-80-28364834/28364898/28364928
Fax No.:	91-80-28364870
E-Mail :	info@leitzindia.com
Website :	http://www.leitzindia.com
Western Regional Office and Servicing Centre:	Plot No. R-324, 1st Floor, T.T.C Industrial Area, Behind IPCL, MIDC, Rabale, Thane-Belapur Road, Navi Mumbai -400701 Maharashtra ,India
Tel. No.:	91-22-27642251/27642138
Fax No.:	91-22-27691949
E-Mail :	mumbai@leitzindia.com
Eastern Regional Office and Servicing Centre:	20/1, Shalimar Road, Howrah – 711103, West Bengal, India
Tel. No.:	91-33-26686042/26686205
Fax No.:	91-33-26686043
E-Mail :	kolkata@leitzindia.com
Northern Regional Office and Servicing Centre:	B-139, Sector-6, Gautam Budh Nagar, Noida-201301, Uttar Pradesh, India
Tel. No.:	91-120-2423759/4575133/4575144
Fax No.:	91-120-4575122
E-Mail :	noida@leitzindia.com
Central Regional Office and Servicing Centre:	K-32, MIDC, Hingna, Nagpur 440016, Maharashtra, India
Tel. No.:	91-7104 -232203/232204
E-Mail :	nagpur@leitzindia.com

DIRECTORS

As on 29.09.2010

Name :

Mr. Visvanathan Ramakrishnan

Designation :

Chairman cum Whole Time Director

Address :

No.587, 37^th Cross, Ideal Homes Colony, Rajeshwari Nagar, Bangalore – 560093, Karnataka, India

Date of Birth/Age :

20.10.1949

Date of Appointment :

24.03.1999

Qualification :

M.Tech

Experience :

35 Years

DIN No.:

00030784

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U22122KA1990PTC011068	Ganesh Publications Private Limited	Director	16-07-90	16-07-90	-	Active	NO
2	U29199KA1995PTC017361	IJ Machines Private Limited	Managing director	10-03-95	10-03-95	-	Active	NO
3	U25209KA1999PTC024955	Leitz Tooling Systems India Private Limited	Whole-time director	01-10-07	24-03-99	-	Active	NO
4	U05260KA2004PTC033338	Witox Tooling India Private Limited	Director	10-02-04	10-02-04	-	Active	NO
5	U29299KA2004PTC035110	Homag India Private Limited	Director	29-11-04	29-11-04	02-12-10	Active	NO
6	U17214KA1962PLC001443	Kurlon Limited	Director	16-03-06	16-03-06	10-03-10	Active	NO
7	U74140KA2007PTC041494	Pietro Verardo India Consulting Private Limited	Director	16-01-07	16-01-07	28-03-08	Strike off	NO
8	U20229KA2007PTC043554	Kurlon-Cesare Furniture Private Limited	Director	18-01-08	18-01-08	10-03-10	Active	NO
9	U51900KA2008FTC045527	Cefla Finishing India Private Limited	Director	15-09-08	15-09-08	25-11-10	Active	NO
10	U51504KA2005PTC037517	Ramu Machinery Private Limited	Director	01-12-09	01-12-09	-	Active	NO
11	U29225KA2007PTC043825	Lazzari Machines India Private Limited	Director	30-09-10	09-04-10	-	Active	NO

Name :

Mrs. Gowri Ramkrishnan

Designation :

Director

Address :

No.587, 37^th Cross, Ideal Homes Colony, Rajeshwari Nagar, Banaglre – 560093, Karnataka, India

Date of Birth/Age :

10.06.1951

Date of Appointment :

24.03.1999

DIN No.:

00547957

Other Directorship:

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U22122KA1990PTC011068	Ganesh Publications Private Limited	Managing director	16-07-90	16-07-90	-	Active	NO
2	U25209KA1999PTC024955	Leitz Tooling Systems India Private Limited	Director	24-03-99	24-03-99	-	Active	NO
3	U05260KA2004PTC033338	Witox Tooling India Private Limited	Director	10-02-04	10-02-04	-	Active	NO
4	U29225KA2007PTC043825	Lazzari Machines India Private Limited	Director	30-10-08	18-12-07	09-04-10	Active	NO
5	U74140KA2007PTC041494	Pietro Verardo India Consulting Private Limited	Additional director	28-03-08	28-03-08	-	Strike off	NO
6	U29199KA1995PTC017361	IJ Machines Private Limited	Whole-time director	10-05-11	10-05-11	-	Active	NO

Name :

Dieter Ottmar Dr Brucklacher

Designation :

Director

Address :

Leitzstr, 11, Oberkochen, 73447, Germany

Date of Birth/Age :

10.01.1953

Date of Appointment :

23.04.1999

DIN No.:

02306304

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2010

Names of Shareholders	No. of Shares
Visvanathan Ramakrishnan	10
Gowri Ramkrishnan	10
Leitz Beteilingungs GMBH, Germany	1177665
TOTAL	1177685

Equity Share Break up (Percentage of Total Equity)

As on 29.09.2010

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	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Drilling Boring Equipments and Cutting tools.

PRODUCTION STATUS

Particulars	Unit	Actual Production
Profile Cutter	Nos	1366
Knives and Blades	Nos	1659

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• Corporation Bank
• HDFC Bank

Facilities :

Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
Unsecured Loan From Shareholder	139.975	152.042
Total	139.975	152.042

Banking Relations :	--
Auditors :
Name :	Aru and Dev Chartered Accountant
Address :	13, A, Shrunagar Shopping Centre, 80 M.G. Road, Bangalore – 560001, Karnataka, India
PAN.:	AAFFA1651A
Holding Company :	Leitz Beteligungs GMBH
Fellow Subsidiary :	Leitz GMBH and Company KG Leitz Toolings Systems, Singapore Leitz Toolings Systems, China

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
1300000	Equity Shares	Rs.100/- each	Rs. 130.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1177685	Equity Shares	Rs.100/- each	Rs. 117.769 Millions

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		117.769	117.769	64.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		117.769	117.769	64.000
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		139.975	152.042	135.709
TOTAL BORROWING		139.975	152.042	135.709
DEFERRED TAX LIABILITIES		11.531	10.925	10.632
TOTAL		269.275	280.736	210.341
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		121.122	128.987	136.960
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	54.158	47.875	39.251
	Sundry Debtors	45.953	40.676	51.985
	Cash & Bank Balances	5.103	11.086	11.475
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	6.186	7.096	11.721
Total Current Assets		111.400	106.733	114.432
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	32.038	34.604	86.942
	Other Current Liabilities	0.558	0.353	0.933
	Provisions	0.600	0.609	0.320
Total Current Liabilities		33.196	35.566	88.195
Net Current Assets		78.204	71.167	26.237
MISCELLANEOUS EXPENSES		69.949	80.582	47.144
TOTAL		269.275	280.736	210.341

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
		Turnover	108.582	107.523	126.214
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		19.809	(24.339)	(9.919)
Less/ Add	DEPRECIATION/ AMORTISATION		8.571	8.515	8.548
	Net Loss After Depreciation		11.238	(32.854)	(18.467)
	EARNINGS IN FOREIGN CURRENCY		0.110	0.243	0.125
	IMPORTS
		Raw Materials	1.854	2.721	3.957
		Consumables	1.245	3.429	3.769
		Machinery Spares	0.240	0.507	0.548
		Trading Goods	59.286	69.039	69.312
		Others	0.113	0.067	0.060
	TOTAL IMPORTS		62.738	75.763	77.646

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Return on Total Assets (PBT/Total Assets}	(%)	4.83	(5.91)	(7.35)
Return on Investment (ROI) (PBT/Networth)		0.10	(0.28)	(0.29)
Debt Equity Ratio (Total Liability/Networth)		1.47	1.59	3.50
Current Ratio (Current Asset/Current Liability)		3.36	3.00	1.30

LOCAL AGENCY FURTHER INFORMATION

FINANCIAL HIGHLIGHTS

Despite the economic downturn experienced globally, the company achieved a Turnover of Rs.108.582 millions registering a minor Increase of 0.97% over the Previous Year.

FIXED ASSETS:

• Land
• Building
• Motor Vehicle
• Plant and Machinery
• Office Equipment
• Computer and Software
• Furniture and Fixture
• Electrical Installation

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	4
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		27

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.