MIRA INFORM REPORT

Report Date :

07.11.2011

IDENTIFICATION DETAILS

Name :	ASHOK LEYLAND NISSAN VEHICLES LIMITED (w.e.f. 23.07.2009)
Formerly Known As :	ASHOK LEYLAND NISSAN VEHICLES PRIVATE LIMITED
Registered Office :	Khivraj Complex II, 4^th Floor, 477-482, Anna Salai, Nandanam, Chennai – 600 035, Tamilnadu
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	22.05.2008
Com. Reg. No.:	18-67839
Capital Investment / Paid-up Capital :	Rs.730.500 millions
CIN No.: [Company Identification No.]	U34102TN2008PLC067839
TAN No.: [Tax Deduction & Collection Account No.]	CHEA13672B
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	The Company is in the development stage and is in the process of setting up its projects including scouting for land and other facilities. The Company will produce / manufacture / assemble LCVs or the applicable vehicle kits, components and parts required by AL and / or NML.
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 1900000
Status :	Yet to commence business
Payment Behaviour :	Unknown
Litigation :	Clear
Comments :	Subject is a joint venture between Ashok Leyland Limited, India and Nissan Motor Company Limited, Japan. The company is yet to commence its commercial business activities. Trade relations are reported as fair. Payments are unknown. In view of strong holding, 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 :	Khivraj Complex II, 4^th Floor, 477-482, Anna Salai, Nandanam, Chennai – 600 035, Tamilnadu, India
Tel. No.:	91-44-24304600
Fax No.:	Not Available
E-Mail :	venkatasubramanian.s2@ashokleyland.com

DIRECTORS

As on 05.08.2010

Name :	Mr. Seshasayee Ramaswami
Designation :	Director
Address :	Ashley House, 6 Boat Club, II Avenue, Chennai – 600 028, Tamilnadu, India
Date of Birth/Age :	01.06.1948
Date of Appointment :	22.05.2008
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	U65993TN1997PLC037661	Ashley Holdings Limited	Director	17-03-97	17-03-97	15-02-10	Active	NO
3	U65993TN1997PLC037662	Ashley Investments Limited	Director	17-03-97	17-03-97	15-02-10	Active	NO
4	L27104TN1959PLC003849	Hinduja Foundries Limited	Director	21-10-10	30-03-98	-	Active	NO
5	U35202TN1998PLC041466	IRIZAR TVS Limited	Director	05-02-01	05-02-01	-	Active	NO
6	U63090TN2004PLC052661	Ashley Transport Services Limited	Director	16-11-04	16-11-04	15-02-10	Active	NO
7	U74999MH1993PLC072925	Hinduja Group India Limited	Director	25-09-06	25-09-06	-	Active	NO
8	U62200MH2007PLC167111	Ashley Airways Limited	Director	18-01-07	18-01-07	-	Under liquidation	NO
9	L65191PN1994PLC076333	Indusind Bank Limited	Director	18-09-07	07-06-07	-	Active	NO
10	U27310TN2006PLC065084	Ashley Alteams India Limited	Director	12-09-08	25-10-07	-	Active	NO
11	U29130TN2007PLC064471	Automotive Infotronics Limited	Director	30-09-08	16-11-07	04-02-11	Active	NO
12	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	22-05-08	-	Active	NO
13	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	22-05-08	-	Active	NO
14	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	22-05-08	-	Active	NO
15	U65993TN2008PLC069837	Hinduja Leyland Finance Limited	Director	18-07-11	12-11-08	-	Active	NO
16	U72400TN2009PLC072067	Defiance Technologies Limited	Director	06-09-10	24-06-09	31-12-10	Active	NO
17	U29253TN2009PTC072136	Ashok Leyland John Deere Construction Equipment Company Private Limited	Director	03-08-10	11-07-09	18-01-11	Active	NO
18	U40109AP1994PLC017199	Hinduja National Power Corporation Limited	Director	18-12-09	11-12-09	-	Active	NO
19	L85110KA1981PLC013115	Infosys Limited	Director	11-06-11	13-01-11	-	Active	NO
20	U34200TN2008PLC080987	Ashok Leyland Defence Systems Limited	Director	13-05-11	07-02-11	-	Active	NO
21	U40105MH2008PLC189213	Hinduja Energy (India) Limited	Director	15-09-11	13-05-11	-	Active	NO

Name :	Mr. Sridharan Kesavan
Designation :	Director
Address :	Old No. 8, New No. 17, Solaiyappa Street, Mylapore, Chennai – 600 004, Tamilnadu, India
Date of Birth/Age :	16.08.1953
Date of Appointment :	22.05.2008
DIN No.:	00051976

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	U40109AP1994PLC017199	Hinduja National Power Corporation Limited	Director	31-10-01	31-10-01	-	Active	NO
2	U34102TN2004PLC052489	Gulf Ashley Motor Limited	Director	10-02-04	10-02-04	-	Active	NO
3	U65993TN1997PLC037661	Ashley Holdings Limited	Director	06-09-04	06-09-04	-	Active	NO
4	U65993TN1997PLC037662	Ashley Investments Limited	Director	06-09-04	06-09-04	-	Active	NO
5	U74130TN2004PTC054568	ATSL Solutions Private Limited	Director	03-02-06	03-02-06	-	Strike off	NO
6	U63090TN2004PLC052661	Ashley Transport Services Limited	Director	24-08-06	03-02-06	-	Active	NO
7	U93090TN1989PLC033174	Ashok Leyland Project Services Limited	Director	28-04-06	28-04-06	-	Active	NO
8	U62200MH2007PLC167111	Ashley Airways Limited	Director	18-01-07	18-01-07	-	Under liquidation	NO
9	U51909TN2006PLC059710	Mangalam Retail Services Limited	Director	20-12-07	28-03-07	-	Active	NO
10	U40107TN2007PLC064245	Ashley Bio-Fuels Limited	Director	30-09-08	16-07-07	-	Active	NO
11	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	22-05-08	-	Active	NO
12	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	22-05-08	-	Active	NO
13	U35914TN2009PTC073654	Albonair (India) Private Limited	Director	23-11-09	23-11-09	24-11-09	Active	NO
14	U40105TN2010PLC077414	Ashok Leyland Wind Energy Limited	Director	19-09-11	21-09-10	-	Active	NO

Other Directorship

Name :	Mr. Venkataramani Sumantran
Designation :	Director
Address :	7/1 Valli Ammai Aachi Road, Kotturpuram, Chennai – 600 085, Tamilnadu, India
Date of Birth/Age :	27.09.1958
Date of Appointment :	22.05.2008
DIN No.:	02153989

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	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	22-05-08	Active	NO
2	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	22-05-08	Active	NO
3	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	22-05-08	Active	NO
4	U29130TN2007PLC064471	Automotive Infotronics Limited	Director	30-09-08	21-06-08	Active	NO
5	L34101TN1948PLC000105	Ashok Leyland Limited	Director	28-07-09	21-10-08	Active	NO
6	U72400TN2009PLC072067	Defiance Technologies Limited	Director	06-09-10	24-06-09	Active	NO
7	L31900TN1985PLC012343	UCAL Fuel Systems Limited	Director	29-09-09	29-07-09	Active	NO
8	U73100TN2006NPL059651	IIT Madras Research Park	Additional director	15-12-09	15-12-09	Active	NO
9	U29253TN2009PTC072136	Ashok Leyland John Deere Construction Equipment Company Private Limited	Director	07-09-11	03-08-10	Active	NO
10	U66030MH2008PLC180206	Ashley Aviation Limited	Director	03-08-11	24-09-10	Active	NO
11	U34200TN2008PLC080987	Ashok Leyland Defence Systems Limited	Director	13-05-11	07-02-11	Active	NO

Name :	Mr. Andrew Charles Palmer
Designation :	Director
Address :	4 Church View, Brackley, Northamptonshire, NN137BB, United Kingdom
Date of Birth/Age :	30.06.1963
Date of Appointment :	22.05.2008
DIN No.:	02155231

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	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	22-05-08	Active	NO
2	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	22-05-08	Active	NO
3	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	22-05-08	Active	NO

Name :	Mr. Gilles Jose Louis Normand
Designation :	Director
Address :	24 Tokugawa Village, 3-8-24 Mejiro, Toshimaku, Tokyo – 1710031, Japan
Date of Birth/Age :	01.09.1962
Date of Appointment :	02.04.2009
DIN No.:	02609830

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	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	02-04-09	Active	NO
2	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Director	24-07-09	02-04-09	Active	NO
3	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Director	24-07-09	02-04-09	Active	NO

Name :	Mr. Takashi Terada
Designation :	Alternate Director
Address :	11-3-506, Kizuki Ohimachi Nakahara Ku, Kanagawa Ken, 113506, Japan
Date of Birth/Age :	07.07.1952
Date of Appointment :	02.04.2009
DIN No.:	02155448

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	U34102TN2008PLC067838	Nissan Ashok Leyland Powertrain Limited	Director	24-07-09	22-05-08	Active	NO
2	U34102TN2008PLC067839	Ashok Leyland Nissan Vehicles Limited	Alternate director	02-04-09	22-05-08	Active	NO
3	U34300TN2008PLC067840	Nissan Ashok Leyland Technologies Limited	Whole-time director	01-06-09	22-05-08	Active	NO

KEY EXECUTIVES

Name :	Mr. Seshasayee Ramaswami
Designation :	Manager
Address :	6 Boat Club, II Avenue, Chennai – 600 028, Tamilnadu, India
Date of Birth/Age :	01.06.1948
Date of Appointment :	16.03.2010
PAN No.:	AABPS1498R

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 05.08.2010

Names of Shareholders	No. of Shares
Nissan Motor Company Limited , Japan	35794500
Ashok Leyland Limited, India	36004500
Ashley Holdings Limited, India	625500
Ashley Investments Limited, India	625497
R Seshasayee and Ashley Investments Limited, India	1
K Sridharan and Ashley Investments Limited, India	1
V Sumantran and Ashley Investments Limited, India	1
Total	73050000

List of Allottees (As on 30.08.2011)

Names of Shareholders	No. of Shares
Nissan Motor Company Limited , Japan	3920000
Ashok Leyland Limited, India	3920000
Ashley Holdings Limited, India	80000
Ashley Investments Limited, India	80000
Total	8000000

As on 05.08.2010

Equity Share Breakup	Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	49.00
Bodies corporate	51.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is in the development stage and is in the process of setting up its projects including scouting for land and other facilities. The Company will produce / manufacture / assemble LCVs or the applicable vehicle kits, components and parts required by AL and / or NML.

GENERAL INFORMATION

No. of Employees :	Not Available
Bankers :	The Bank of Tokyo-Mitsubishi UFJ Limited Seshachalam Centre, 6^th and 7^th Floor, Door No. 636/1, Anna Salai, Nandanam, Chennai – 600 035, Tamilnadu, India

Banking Relations :	--
Auditors :
Name :	S. R. Batliboi and Associates Chartered Accountants
Address :	TPL House, Second Floor, 3, Cenotaph Road, Teynampet, Chennai – 600 018, Tamilnadu, India
PAN No.:	AABFS3421N
Joint Venturers :	· Nissan Motor Company Limited, Japan · Ashok Leyland Limited
Entities under common control :	· Nissan Ashok Leyland Technologies Private Limited · Nissan Trading Company Limited · Renault Nissan Technology and Business Centre India Private Limited · Defiance Tech Limited

CAPITAL STRUCTURE

After 05.08.2010

Authorised Capital : Rs.6300.000 millions

Paid-up Capital : Rs.3701.459 millions

As on 05.08.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
352100000	Equity Shares	Rs.10/- each	Rs.3521.000 millions

Issued Capital :

No. of Shares	Type	Value	Amount
352100000	Equity Shares	Rs.10/- each	Rs.3521.000 millions

Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
73050000	Equity Shares	Rs.10/- each	Rs.730.500 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		730.500	50.500
2] Share Application Money		0.000	162.500
3] Reserves & Surplus		0.000	0.000
4] (Accumulated Losses)		(246.037)	(200.655)
NETWORTH		484.463	12.345
LOAN FUNDS
1] Secured Loans		0.000	0.000
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		484.463	12.345
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.251	3.516
Capital work-in-progress		261.779	53.099
Intangible Assets, Net		0.246	0.000
INVESTMENT		182.172	33.705
DEFERREX TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000
	Sundry Debtors	0.000	0.000
	Cash & Bank Balances	11.685	2.107
	Other Current Assets	0.000	0.000
	Loans & Advances	133.884	8.189
Total Current Assets		145.569	10.296
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	83.362	71.767
	Other Current Liabilities	26.561	15.552
	Provisions	1.631	0.952
Total Current Liabilities		111.554	88.271
Net Current Assets		34.015	(77.975)
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		484.463	12.345

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	0.000	0.000
		Other Income	8.215	0.851
		TOTAL (A)	8.215	0.851
Less	EXPENSES
		Personnel Expenses	23.257	12.902
		Operating and Other Expenses	27.508	187.980
		TOTAL (B)	50.765	200.882
Less	PROFIT/LOSS BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(42.550)	(200.031)
Less	FINANCIAL EXPENSES (D)		0.104	0.057
	PROFIT/LOSS BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(42.654)	(200.088)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		2.728	0.427
	PROFIT/LOSS BEFORE TAX (E-F) (G)		(45.382)	(200.515)
Less	TAX (H)		0.000	(0.140)
	PROFIT/LOSS AFTER TAX (G-H) (I)		(45.382)	(200.655)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(200.655)	0.000
	BALANCE CARRIED TO THE B/S		(246.037)	(200.655)
	IMPORTS
		Capital Goods	103.564	0.000
		Vehicle trial parts	1.953	0.000
	TOTAL IMPORTS		105.517	0.000
	Earnings / (Loss) Per Share (Rs.)		(2.51)	(107.57)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009
PAT / Total Income	(%)	(552.43)	(23578.73)
Net Profit Margin (PBT/Sales)	(%)	0.00	0.00
Return on Total Assets (PBT/Total Assets}	(%)	(29.89)	(1451.74)
Return on Investment (ROI) (PBT/Networth)		(0.09)	(16.24)
Debt Equity Ratio (Total Liability/Networth)		0.23	7.15
Current Ratio (Current Asset/Current Liability)		1.30	0.12

LOCAL AGENCY FURTHER INFORMATION

NATURE OF OPERATIONS

Subject (formerly Ashok Leyland Nissan Vehicles Private Limited) (“the Company”) was incorporated on May 22, 2008 as a private limited company under the Companies Act, 1956. The Company is a part of joint venture between Ashok Leyland Limited (“AL”), a leading heavy commercial vehicle manufacturer in India and Nissan Motor Company, Limited, Japan (“NML”), a leading car and light commercial manufacturer with global presence, in which AL along with its affiliates hold 51% of the share capital and NML holds 49% of the share capital. The Company derives its strength from synergies between Ashok Leyland’s in-depth local market knowledge and Nissan Motor’s design/quality processes, apart from experience in global markets.

During the current year, considering the benefits of public limited company, the Management of the Company at its meeting of the Board of Directors held on April 2, 2009, decided to convert the Company from a private limited company to a public limited company under the Companies Act, 1956. The members of the Company, at extraordinary general meeting held on April 27, 2009 approved the conversion to public limited company.

As at March 31, 2010, the Company is in the development stage and is in the process of setting up its projects including scouting for land and other facilities. The Company will produce / manufacture / assemble LCVs or the applicable vehicle kits, components and parts required by AL and / or NML.

STATUS OF PROJECT

During this year, the company has decided to manufacture 307T vehicle at subject’s Hasur Plant and X11 M vehicle at Nissan’s Oragadam Plant to optimize the investment by making use of the existing facilities of parent companies.

Overall Master Schedule for 307T vehicle manufacturing including the activities of consignee (AL — HOSUR 2) established. Similarly, X11M vehicle manufacturing at Nissan’s Oragadam Plant is under discussion. The detailed Lay-out plan layout for all the shops viz. Body, Paint and Assembly Shop with testing Line prepared with footprints of equipments for 307T vehicle has been finalized.

The common specification standard for equipments has been prepared along with the Powertrain Jv and the same has been mutually agreed upon with subject persons.

The PFMEA (Process Failure Modes and Effects Analysis) activity has been carried out for all the sheps and as a result, the same major risk areas are identified. Simultaneous Engineering study for complete vehicle completed for addressing the manufacturing concerns.

Engineers from all the departments from subject and the company got trained in Tang Chang Motor Assemblies (TCMA) Malasyia for a period of two weeks (270 man- days) for C22 process finalization.

RFQ and purchase order released for the items viz., End of line, filing equipments, Nut runners, Hemming press, Front panel jig etc.

Proto shop for building vehicles in a sequential method similar to assembly process in plant is established and the proto fitment trials completed for chasis line. Proto assembly with new front panel design was carried out at SKE, Korea.

The tools from TCMA, Malasyia and Nissan Motors Japan has reached India

The company has made significant improvement in the manufacturing operations and the following operations are panned during the ensuing year:

· Die modifications, completion of Design Approval Process(DAP), Inspection and buy off of all Line Equipments

· Proto build for ensuring manufacturing process

· Installation and commissioning of Equipments

· Production trial (PT1) support for 307T vehicle.

FORM 8

Corporate identity number of the company	U34102TN2008PLC067839
Name of the company	ASHOK LEYLAND NISSAN VEHICLES LIMITED
Address of the registered office or of the principal place of business in India of the company	Khivraj Complex II, 4^th Floor, 477-482, Anna Salai, Nandanam, Chennai – 600 035, Tamilnadu, India
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	The Bank of Tokyo-Mitsubishi UFJ Limited Seshachalam Centre, 6^th and 7^th Floor, Door No. 636/1, Anna Salai, Nandanam, Chennai – 600 035, Tamilnadu, India
Nature of instrument creating charge	Hypothecation agreement dated 12.09.2011
Date of instrument Creating the charge	12.09.2011
Amount secured by the charge	Rs.2000.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest 6 months BTMU LIBOR + 135 bps Terms of Repayment 8 equal semi annual installment after the expiry of 3 years from the date of each drawn Margin A minimum fixed asset cover of 1.10 times on loan outstanding till the loan is repaid in full. Extent and Operation of the charge Repayment of loan/interest in full will be secured by way of first pari passu charge on movable fixed assets of the company.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	· First pari passu charge on movable fixed assets of the company situate at Oragadam, Hosur in Tamil Nadu and other places · Moveable plant and machinery and other moveables both present and future, (save and except book debts and assets exclusively charged to the institutions/banks for working capital/other facilities) whether installed or not.

FIXED ASSETS

· Plant and Machinery

· Computers

· Furniture and Fittings

Intangible Assets

· Software

PRESS RELEASE

2010 06 01 : ASHOK LEYLAND AND NISSAN ANNOUNCE THAT JV IS ON SCHEDULE FIRST WAVE OF PRODUCTS TO ROLL OUT FROM MID 2011

CHENNAI: 1st June, 2010: The Hinduja Group flagship, Ashok Leyland and Nissan Motor Company announced today that their joint venture to manufacture and market a whole range of Light Commercial Vehicles (LCVs) was proceeding very much on schedule. The partners also disclosed that the first wave of three new products will start rolling out starting mid 2011 of which two will be manufactured at Ashok Leyland’s facilities in Hosur, while the third will roll out of the production lines of Nissan’s plant at Oragadam.

Addressing the media at a press conference, Dr. Andy Palmer, Senior Vice-President, Nissan Motor Company and Chairman, Ashok Leyland Nissan Vehicles Limited, said, “The JV is moving forward at full throttle now although we had been forced to slow down a bit during the recessionary phase last year. The Indian LCV segment has witnessed very robust growth over the past decade and by joining our complementary forces, we have created synergies to launch our products for this market on schedule – just 3 years after the formation of the JV.”

Also speaking at the occasion, Dr. V Sumantran, Executive Vice Chairman, Hinduja Automotive Limited and Chairman, Nissan Ashok Leyland Powertrain Limited, said, “Within this JV, we have endeavoured to utilize our learnings relative to customer and market needs and taking forward the best Indian traditions of Indian frugal enterprise. The JV benefits from blending these factors together with Nissan’s long heritage of top-class engineering and quality orientation. We have closely observed changes in market dynamics, the greater role for intra-city and last mile goods distribution and rapidly evolving customer expectations. We feel our products, born out of the JV’s cost conscious quality orientation coupled with the substantial advancement of product technologies, will help us deliver very competitive value to our customers,” he added.

The flagship offering from this stable will be the contemporary, feature-rich F24 platform that will feature trucks and buses in the 5–7.5 tonne GVW (Gross Vehicle Weight) range. These vehicles will be powered by an efficient, proven 3-litre, 4-cylinder Common Rail Diesel engine which would be BS III and BS IV compliant.

The partners emphasized that they were on course with their plans, which in Phase I would see production emerge from Hosur and Oragadam. They also reiterated their expectation to execute Phase II. The overall scale of the enterprise has seen no change and, in fact, both parent companies have been in discussion with potential future product extensions.

The partners also clarified that they will continue with their original plan of bringing their range of vehicles to the market leveraging the Ashok Leyland and Nissan brands, through their respective dealer networks. Likewise, the JV continues to examine certain specific export markets in addition to the Indian market.

About the Hinduja Group 

Hinduja Group is an investment and banking group with a diversified global portfolio of holdings across the manufacturing services and banking sectors. The Group, founded by Shri P.D. Hinduja in 1914 has activities across three core areas: Investment Banking, International Trading and Global Investments. It also supports charitable and philanthropic activities across the world through the Hinduja Foundation. As part of its Global investments, the Group owns businesses in Automotive, Information Technology, Media, Entertainment and Communications, Banking and Finance, Infrastructure Project Development, Chemicals and Agri business, Energy, Real Estate, Trading and Healthcare. www.hindujagroup.com.

About Ashok Leyland

Ashok Leyland is the flagship of the Hinduja Group and a leading manufacturer of commercial vehicles in India with 09-10 turnover of US $ 1.61 billion. With seven manufacturing locations at Chennai, Hosur (three plants), Alwar, Bhandara and Pantnagar (Uttarakhand), the Company has a production capacity of 150,000 vehicles. Ashok Leyland has associate companies in the Czech Republic and the UAE and a joint venture in Sri Lanka, besides exports to over 20 countries worldwide. www.ashokleyland.com

About Nissan Motor India Private Limited

Nissan Motor India Private Limited. (NMIPL), a 100% subsidiary of Nissan Motor Limited Japan, was incorporated in 2005 with a vision of ‘Enriching People’s Lives’ through latest Nissan Technology and products. Chennai is a strategic hub for production, R and D and exports for Nissan. In February 2008, Nissan together with its global alliance partner Renault signed a MoU with Government of Tamil Nadu to set up a manufacturing plant at Oragadam, near Chennai with an investment of Rs.450 million over a period of 7 years. On March 17, 2010, the Renault-Nissan alliance plant was inaugurated in a record time of 21 months since its groundbreaking ceremony in June 2008. The Plant has an initial capacity of 2,00,000 units per year and will reach 4,00,000 units per year in full capacity in the future.

NMIPL existing range of products include the X-Trail (SUV model), the Teana (luxury Sedan) and 370Z (iconic sports car) – all three imported from Japan as CBU (completely built units). In July 2010, Nissan will commence sales of its first locally made global compact hatchback (Nissan Micra). NMIPL will also commence exports in second half of the fiscal year 2010 to more than 100 countries including Europe, Middle East and Africa.

In line with its global philosophy of corporate sustainability, NMIPL has already begun its commitment to make a meaningful contribution to the community. The plant has already completed constructing 21 residential homes for relocated families from construction site, apart from constructing local Police Station and fire service station in the Oragadam village. At the corporate level, NMIPL has also partnered with ‘Habitat for Humanity’ for providing shelter to 75 families by constructing homes for the socially and economically less fortunate section of the society.

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 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.49.08
UK Pound	1	Rs.78.65
Euro	1	Rs.67.79

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	--
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	4
--RESERVES	1~10	--
--CREDIT LINES	1~10	4
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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.