MIRA INFORM REPORT

Report Date :

04.11.2011

IDENTIFICATION DETAILS

Name :	ASHLEY ALTEAMS INDIA LIMITED (w.e.f. 16.02.2010)
Formerly Known As :	ASHLEY ALTEAMS INDIA PRIVATE LIMITED
Registered Office :	AD-61, New No.3, First Floor, 3rd Street, Anna Nagar, Chennai – 600040, Tamilnadu
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	09.10.2006
Com. Reg. No.:	18-065084
Capital Investment / Paid-up Capital :	Rs.500.000 Millions
CIN No.: [Company Identification No.]	U27310TN2006PLC065084
TAN No.: [Tax Deduction & Collection Account No.]	CHEA13737D
PAN No.: [Permanent Account No.]	AAGCA1304G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and exporter of Aluminium Products.
No. of Employees :	300 (Approximately) (In Office + In Factory)

RATING & COMMENTS

MIRA’s Rating :

Ca (13)

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is a joint venture between Ashok Leyland India and Alteams OY, Finland. It is an established company having moderate track. There appears huge accumulated losses recorded by the company. Profitability of the company is under pressure. However, trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings on a secured 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. Sathoiamuthy
Designation :	Secretary of Chief Executive Officer
Contact No.:	91-44-42615323
Date :	03.11.2011

LOCATIONS

Registered Office :	AD-61, New No.3, First Floor, 3rd Street, Anna Nagar, Chennai – 600040, Tamilnadu, India
Tel. No.:	91-44-4261 5323
Fax No.:	91-44-2620 0224
E-Mail :	marketing@ashleyalteams.com sidhar.j@ashleyalteams.com
Website :	http://www.ashleyalteams.com
Location :	Owned
Factory :	No.8, SIPCOT Industrial Park, Chellaperumpulimedu Village, Sozhavaram Post, Akkur (Via), Cheyyar Taluk, District Thiruvannamalai - 631 701, Tamilnadu –, India
Tel. No.:	91-44-42615323
Fax No.:	91-44-26200224

DIRECTORS

As on 30.09.2010

Name :	Mr. Seshasayee Ramaswami
Designation :	Director
Address :	No.6, Boat Club Road, I1 Avenue, Chennai - 600 028, Tamilnadu, India
Date of Birth/Age :	01.06.1948
Date of Appointment :	25.10.2007
DIN No.:	00047985

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	L34101TN1948PLC000105	Ashok Leyland Limited	Managing director	01-04-11	31-03-93	-	Active	NO
2	L27104TN1959PLC003849	Hinduja Foundries Limited	Director	21-10-10	30-03-98	-	Active	NO
3	U35202TN1998PLC041466	Irizar Tvs Limited	Director	05-02-01	05-02-01	-	Active	NO
4	U74999MH1993PLC072925	Hinduja Group India Limited	Director	25-09-06	25-09-06	-	Active	NO
5	U62200MH2007PLC167111	Ashley Airways Limited	Director	18-01-07	18-01-07	-	Under liquidation	NO
6	L65191PN1994PLC076333	Indusind Bank Limited	Director	18-09-07	07-06-07	-	Active	NO
7	U27310TN2006PLC065084	Ashley Alteams India Limited	Director	12-09-08	25-10-07	-	Active	NO
8	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	22-05-08	-	Active	NO
9	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	22-05-08	-	Active	NO
10	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	22-05-08	-	Active	NO
11	U65993TN2008PLC069837	Hinduja Leyland Finance Limited	Director	18-07-11	12-11-08	-	Active	NO
12	U40109AP1994PLC017199	Hinduja National Power Corporation Limited	Director	18-12-09	11-12-09	-	Active	NO
13	L85110KA1981PLC013115	Infosys Limited	Director	11-06-11	13-01-11	-	Active	NO
14	U34200TN2008PLC080987	Ashok Leyland Defence Systems Limited	Director	13-05-11	07-02-11	-	Active	NO
15	U40105MH2008PLC189213	Hinduja Energy (India) Limited	Director	15-09-11	13-05-11	-	Active	NO

Name :	Mr. Chandrasekharan Aduthuraiperumalkoil Ramachandran
Designation :	Director
Address :	C-2 Krishna Chit, Apartments, No 10, Third Main Road, Gandhi Nagar, Adyar, Chennai- 600 020, Tamilnadu, India
Date of Birth/Age :	19.09.1952
Date of Appointment :	25.10.2007
DIN No.:	01794721

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	U27310TN2006PLC065084	Ashley Alteams India Limited	Director	12-09-08	25-10-07	-	Active	NO
2	U40107TN2007PLC064245	Ashley Bio-Fuels Limited	Director	30-09-08	17-03-08	-	Active	NO
3	U62200MH2007PLC167111	Ashley Airways Limited	Director	24-09-08	30-06-08	-	Under liquidation	NO
4	U45201TN1950PTC000038	Adyar Property Holding Company Private Limited	Director	24-09-08	14-08-08	-	Active	NO
5	U35914TN2009PTC073654	Albonair (India) Private Limited	Director	25-09-10	23-11-09	-	Active	NO
6	U40105TN2010PLC077414	Ashok Leyland Wind Energy Limited	Director	19-09-11	21-09-10	-	Active	NO
7	U29130TN2007PLC064471	Automotive Infotronics Limited	Director appointed in casual vacancy	24-03-11	24-03-11	-	Active	NO
8	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	26-09-11	17-06-11	-	Active	NO
9	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	26-09-11	17-06-11	-	Active	NO
10	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	26-09-11	17-06-11	-	Active	NO

Name :	Mr. Balasubramanian Sethuraman
Designation :	Director
Address :	Flat-B2, Sri Sharadha Nivas, 3/2, Srinivasa Avenue Road, R.A Puram, Chennai-600 028, Tamilnadu, India
Date of Birth/Age :	03.08.1947
Date of Appointment :	25.10.2007
DIN No.:	01799072

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	U27310TN2006PLC065084	Ashley Alteams India Limited	Director	12-09-08	25-10-07	-	Active	NO
2	U35914TN2009PTC073654	Albonair (India) Private Limited	Director	25-09-10	08-12-09	-	Active	NO

Name :	Mr. Kimmo Olavi Pesonen
Designation :	Director
Address :	Riihipellontie, 5c7, Saarijarvi. 43 100, Finland
Date of Birth/Age :	27.03.1972
Date of Appointment :	09.10.2006
DIN No.:	01356521
Name :	Mr. Matti Juhani Tirkkonen
Designation :	Director
Address :	Masonmukta 26, J Yvaskyla, 40520. Finland
Date of Birth/Age :	07.01.1965
Date of Appointment :	09.10.2006
DIN No.:	01786306
Name :	Mr. Asko Juhani Jaakko Nevala
Designation :	Director appointed in casual vacancy
Address :	Ukkokarintie 51, Casual 65280,Vaasa 65280, Finland
Date of Birth/Age :	24.12.1958
Date of Appointment :	20.04.2010
DIN No.:	03030977

KEY EXECUTIVES

Name :	Mr. Rajagopalan Sourirajan
Designation :	Manager
Address :	Flat H, Cee Days Enclave, New No.27 Kumara Nagar, 3 rd Street, Vadapalani, Chennai-600 026, Tamilnadu, India
Date of Birth/Age :	27.09.1953
Date of Appointment :	20.04.2010
PAN No.:	AAHPR3388K
Name :	Mr. J Sridhar
Designation :	Secretary
Address :	Subiksha Ashoka Apartments, 9-Pinjala Subramaniam Street, T.Nagar, Chennai- 600 017, Tamilnadu, India
Date of Birth/Age :	29.10.1954
Date of Appointment :	07.09.2010
PAN No. :	ABXPS3253P
Name :	Mr. Sathoiamuthy
Designation :	Secretary of Chief Executive Officer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Alteams OY, Finland	25000000
Ashok Leyland Limited, India	24999995
K. Ramkumar and Ashok Leyland Limited, India	1
S. Venkataraman and Ashok Leyland Limited, India	1
P.K.Ranganathan and Ashok Leyland Limited, India	1
Srikant Srinivasan and Ashok Leyland Limited, India	1
S. Venkatasubramanian and Ashok Leyland Limited, India	1
	0
Total	50000000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2010

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	50.00
Bodies corporate	50.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and exporter of Aluminium Products.

Products :

Product Description	Item Code No.
Electrical Equipments	85299090

Exports :

Products :

Aluminium Components

Countries :

China

Imports :

Products :

Raw Material

Countries :

Thailand

Terms :

Selling :

Credit

Purchasing :

L/C

PRODUCTION STATUS

As on 31.03.2010

Particulars	Unit	31.03.2010
Installed Capacity	Tons*	2000
Actual Production	Tons	692

Note : * As Certified by management

GENERAL INFORMATION

Customers :

Telecom and Automobile Companies

No. of Employees :

300 (Approximately) (In Office + In Factory)

Bankers :

Vijaya Bank, 46, Moore Street, Chennai – 600 001, Tamilnadu, India

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
Term Loan from Bank	577.900	125.000
Interest accrued and due on term loan	5.009	0.000
Cash Credit	188.117	0.000
Total	771.026	125.000
Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
Foreign Currency Loan – Others	60.646	0.000
Total	60.646	0.000

Note :

1 (a) Term Loan is secured by mortgage on immovable property of leasehold industrial land at SIPCOT industrial Complex, Cheyyar and by a hypothecation of brand new machinery such as Melting Furnace and HPDC cell etc and all current assets and fixed assets of the company.

1 (b) Cash Credit Facility is secured by first charge of entire chargeable current assets consisting of stock of raw material, semi finished goods and finished goods and book debts and receivable not older than 90 days.

2. Term Loan repayable within 12 months is Rs.5.500 Millions

3. Foreign currency loan is secured by separate corporate guarantee given by Ashok lay land Limited and Alteams OY

4. Foreign Currency loan repayable within 12 months is Rs.NIL

Banking Relations :	--
Auditors :
Name :	SNB Associates Chartered Accountants
Address :	12, 3^rd Floor, Gemini Parsn Complex, 121, Mount Road, Chennai – 600 006, Tamilnadu, India
PAN.:	ABFPL7013G
Joint Venture :	Ashok Leyland Limited Alteams Oy
Associates ;	Ashley Transport Services Limited Alteams STS China Alteams Stilexo AB Ooo Alteams Vyborg

CAPITAL STRUCTURE

After 30.09.2010

Authorised Capital :

Rs.1100.000 Millions

Issued, Subscribed & Paid-up Capital :

Rs.700.000 Millions

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
50000000	Equity Shares	Rs.10/- each	Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
50000000	Equity Shares	Rs.10/- each	Rs.500.000 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		500.000	500.000	0.100
2] Share Application Money		0.000	0.000	123.026
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(214.420)	(85.740)	(28.435)
NETWORTH		285.580	414.260	94.691
LOAN FUNDS
1] Secured Loans		771.026	125.000	0.000
2] Unsecured Loans		60.646	0.000	0.000
TOTAL BORROWING		831.672	125.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		1117.252	539.260	94.691
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		915.277	145.648	68.934
Capital work-in-progress		129.667	350.084	20.296
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	101.637	35.478	14.340
	Sundry Debtors	148.799	3.859	6.187
	Cash & Bank Balances	19.379	28.342	6.408
	Other Current Assets	111.222	49.646	0.000
	Loans & Advances	0.000	0.000	22.998
Total Current Assets		381.037	117.325	49.933
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	311.864	70.141	44.840
	Other Current Liabilities	2.777	4.833	0.827
	Provisions	0.770	0.260	45.667
Total Current Liabilities		315.411	75.234	45.737
Net Current Assets		65.626	42.091	4.196
MISCELLANEOUS EXPENSES		6.682	1.437	1.265
TOTAL		1117.252	539.260	94.691

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	241.850	31.306	9.454
		Other Income	5.611	2.589
		TOTAL	247.461	33.895	9.454
Less	EXPENSES
		Manufacturing and Administrative and other Expenses	329.208	85.265	31.079
		TOTAL	329.208	85.265	31.079
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		(81.747)	(51.370)	(21.625)
Less/ Add	DEPRECIATION/ AMORTISATION		46.933	5.519	6.639
	PROFIT (LOSS) BEFORE TAX		(128.680)	(56.889)	(28.264)
Less	TAX		0.000	0.415	0.171
	PROFIT (LOSS) AFTER TAX		(128.680)	(57.304)	(28.435)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(85.740)	(28.435)	0.000
	BALANCE CARRIED TO THE B/S		(214.420)	(85.740)	(28.435)
	EARNINGS IN FOREIGN CURRENCY
		Direct Export	0.144	3.314	0.000
		Deemed Exports	189.626	0.000	0.000
	TOTAL EARNINGS		189.770	3.314	0.000
	IMPORTS
		Raw Materials	74.856	43.543	20.266
		Stores & Spares	3.187	0.000	0.469
		Capital Goods	334.727	170.804	60.322
	TOTAL IMPORTS		412.770	214.347	81.057
	Earnings / (loss) Per Share (Rs.)		(2.57)	(4.02)	(2843.55)

Particulars	31.03.2011
Sales Turnover (Approximately )	940.000

Expected Sales (2011-2012 ) : Above Rs.960.000 Millions

The above information has been parted by Mr. Sathoiamuthy.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(52.00)	(169.06)	(300.77)
Net Profit Margin (PBT/Sales)	(%)	(53.21)	(181.72)	NA
Return on Total Assets (PBT/Total Assets}	(%)	(9.93)	(21.63)	(23.78)
Return on Investment (ROI) (PBT/Networth)		(0.45)	(0.14)	(0.30)
Debt Equity Ratio (Total Liability/Networth)		4.02	0.48	`0.48
Current Ratio (Current Asset/Current Liability)		1.21	1.56	1.09

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	YES
2) Locality of the firm	YES
3) Constitutions of the firm	YES
4) Premises details	YES
5) Type of Business	YES
6) Line of Business•	YES
7) Promoter’s background	--
8) No. of employees	YES
9) Name of person contacted	YES
10) Designation of contact person	YES
11) Turnover of firm for last three years	YES
12) Profitability for last three years	NO
13) Reasons for variation <> 20%	NO
14) Estimation for coming financial year	YES
15) Capital in the business	YES
16) Details of sister concerns	YES
17) Major suppliers	NO
18) Major customers	YES
19) Payments terms	YES
20) Export / Import details (if applicable)	YES
21) Market information	--
22) Litigations that the firm / promoter	--
23) Banking Details	YES
24) Banking facility details	--
25) Conduct of the banking account	--
26) Buyer visit details	--
27) Financials, if provided	NO
28) Incorporation details, if applicable	--
29) Last accounts filed at ROC	--
30) Major Shareholders, if available	--

NOTE:

The company changed its registered office from “A-10 Green Park, New Delhi – 110016, India” to “5th Floor, Khivraj Complex – II, 477 - 482, Anna Salai, Chennai - 600 035, Tamilnadu, India” w.e.f. 20.09.2007. The registered office has again shifted from “5th Floor, Khivraj Complex – II, 477 - 482, Anna Salai, Chennai - 600 035, Tamilnadu, India” to “AD-61, New No.3,First Floor, 3rd Street, Anna Nagar, Chennai – 600 040, Tamilnadu, India” w.e.f. 22.06.2009

FINANCIAL RESULTS:

As at March 31, 2010, the Company total accumulated loss was Rs.214.420 Millions and accumulated cash loss Rs.155.297 Millions. In the year , the company incurred one-time expenditure of Rs.13.736 Millions for assets written off and towards sifting of the plant from Kottayur and provision has been made for absolute stocks worth Rs.16.647 Millions. The company also capitalized interest to the tune of Rs.38.358 Millions.

The company incurred a loss of Rs.128.680 Millions because 2009-2010 was a truncated year of operation at the permanent facility at Cheyyar and also due to sub-optional utilization of capacities. Further, Continues business development initiative warranted more trial production. One-time expenditure, as stated above, were incurred as the company sifted from temporary location to a permanent facility. All processes have since been established and the company has started making cash profits.

FORM 8:

Corporate identity number of the company	U27310TN2006PLC065084
Name of the company	ASHLEY ALTEAMS INDIA LIMITED
Address of the registered office or of the principal place of business in India of the company	AD-61, New No.3,First Floor, 3rd Street, Anna Nagar, Chennai – 600 040, Tamilnadu, India E-Mail : sridhar.j@ashleyalteams.com
This form is for	Creation of charge
Charge identification (ID) number of the charge to be modified
Type of charge	Movable property (not being pledge)
Particular of charge holder	Vijaya Bank, 46, Moore Street, Chennai – 600 001, Tamilnadu, India E-mail : che.moorestreet3002@vijayabank.co.in
Nature of instrument creating charge	Hypothecation Agreement dated 14th March 2011
Date of instrument Creating the charge	14.03.2011
Amount secured by the charge	Rs.200.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Non Fund Based Credit Limit- Nil Interest. Only Commission and other bank Charges applicable as per prevailing guidelines. Rate of Penal Interest at 2%. Terms of repayment Facility for a period of one year subject to periodical review/ renewal. Margin LOC: Nil Cash Margin. LC docs (Documents) drawn on DP/DA- not exceeding 180 days tenor evidencing import/purchase of raw materials & such other items relevant to the activity accompanied by docs evidencing dispatch of goods/bill of lading and shipment docs etc, relative invoices, hypothecation of relative stock procured there under, receivables arising out of the sale of same and continuing charge on other current assets. BG: Nil Cash Margin. Counter indemnity of the Company and continuing charge on Current assets Extent and operation of the charge 1. Borrower shall make and furnish to bank periodical statements and returns of stock and other movables constituting the securities and all other details, as may be required by bank. 2. Borrower shall hold the securities as agent of and interest for the bank and maintain them in perfect condition. 3. Borrower shall not encumber or charge the securities or create any lien thereon or otherwise deal with same during the period borrower is indebted to the bank, etc.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Machineries installed in the factory, Land in Sipcot village, Stock Procured under LC etc.

FIXED ASSETS

• Land
• Building
• Plant and Machinery
• Vehicles
• Computers

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.49.37
UK Pound	1	Rs.78.50
Euro	1	Rs.67.59

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	2
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	2
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	-
--LIQUIDITY	1~10	2
--LEVERAGE	1~10	2
--RESERVES	1~10	-
--CREDIT LINES	1~10	-
--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		13

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.