MIRA INFORM REPORT

Report Date :

09.11.2011

IDENTIFICATION DETAILS

Name :	DIMENSION DATA INDIA LIMITED (w.e.f. 26.03.2011)
Formerly Known As :	DATACRAFT ICIM PRIVATE LIMITED (w.e.f. 23.12.1994) DATACRAFT INDIA LIMITED
Registered Office :	Trade View, 2^nd Floor, Pandurang Budhkar Marg, Kamala Mills Compound, Mumbai – 400013, Maharashtra
Country :	India
Financials (as on) :	30.09.2010
Date of Incorporation :	13.12.1994
Com. Reg. No.:	11-083713
Capital Investment / Paid-up Capital :	Rs.63.810 Millions
CIN No.: [Company Identification No.]	U72200MH1994PLC083713
TAN No.: [Tax Deduction & Collection Account No.]	MUMD04432B
PAN No.: [Permanent Account No.]	AAACD2145G
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Trader and Services Provider of Networking.
No. of Employees :	1000 (Approximately) (400 are fixed workers and 600 on Contract Workers)

RATING & COMMENTS

MIRA’s Rating :

A (62)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 8700000
Status :	Good
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having fine track. Financial position of the company appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

INFORMATION PARTED BY

Name :	Mr. Satish
Designation :	Company Secretary
Date :	08.11.2011

LOCATIONS

Registered Office :	Trade View, 2^nd Floor, Pandurang Budhkar Marg, Kamala Mills Compound, Mumbai – 400013, Maharashtra, India
Tel. No.:	91-22-24981212
Fax No.:	91-22-24971818
E-Mail :	satish.menon@datacraft-asia.com
Location :	Owned
Branch Office :	3^rd Floor, Wing B, E2 Block, Silver Oak, Manyata Embassy Business Park, Outer Ring Road, Nagavara, Bangalore – 560045, Karnataka, India
Tel. No.:	91-80-22387060
Fax No.:	91-80-22355319

DIRECTORS

(AS ON 30.12.2010)

Name :

Mr. William Bruce Grahame Padfield

Designation :

Director

Address :

22-A, Tudor Close, Singapore 297979

Date of Birth/Age :

26.05.1958

Date of Appointment :

02.12.2002

DIN No.:

00225462

Name :

Mr. Dilip Kumar Chathanath

Designation :

Director

Address :

57, Myer Road # 02-07, Seafront on Myer, The Singapore – 43787

Date of Birth/Age :

02.05.1963

Date of Appointment :

09.09.2003

DIN No.:

00195604

Name :

Mr. IP Sik Ming

Designation :

Director

Address :

24 A Namly Crescent, Singapore- 267539

Date of Birth/Age :

03.08.1956

Date of Appointment :

23.09.2008

DIN No.:

01405977

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	U72200KA1998PTC023546	SUN MICROSYSTEMS INDIA PRIVATE LIMITED	Director	1/3/2005	1/3/2005	25/02/2008	Active	NO
2	U72200AP2004PTC043014	SUN MICROSYSTEMS HYDERABAD PRIVATE LIMITED	Director	30/11/2006	26/04/2006	25/02/2008	Active	YES
3	U72200MH1994PLC083713	Dimension Data India Limited	Director	23/09/2008	23/09/2008	-	Active	NO

Name :

Mr. Sunil Manglore

Designation :

Director

Address :

A-33, Heritage Dadbhai Road, Near Bhavan Col, Andheri (West), Mumbai – 400058, Maharashtra, India

Date of Birth/Age :

22.10.1965

Date of Appointment :

27.02.2006

DIN No.:

00192011

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	U72200MH1994PLC083713	Dimension Data India Limited	Whole-time director	1/10/2008	27/02/2006	30/04/2011	Active	NO

KEY EXECUTIVES

Name :	Mr. Satish Vijayagopal Menon
Designation :	Company Secretary
Address :	401, Shivalaya Towers, Thakur complex, Kandivili East, Mumbai – 400101, Maharashtra, India
Date of Birth/Age :	12.10.1958
Date of Appointment :	09.12.2003
PAN No.:	AAHPM2708G

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.12.2010)

Names of Shareholders	No. of Shares
Shailendra Badoni	1
Ramaswamy R	1
Datacraft Asia Pte Limited, Singapore	4019998
Datacraft Asia Pte Limited, Singapore	2361000
Dilip Kumar C	1
Sunil Mangalore	1
Ananth Padmanabha	1
Satish Menon	1
Total	6381004

(AS ON 30.12.2010)

Equity Shares Break – up

Category	Percentage
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Trader and Services Provider of Networking.

Products :

Products Description	Item Code No.
Router	401,339,710.00
Switches	441,560,245.00

Imports :

Products :

Networking Products

Countries :

USA

Terms :

Selling :

Cash and Credit

Purchasing :

Cash and Credit

GENERAL INFORMATION

Customers :	End Users and OEM’s
No. of Employees :	1000 (Approximately) (400 are fixed workers and 600 on Contract Workers)
Bankers :	· HDFC Bank Limited HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai - 400013, Maharashtra, India · HSBC Mumbai, Maharashtra, India

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	12, Dr. Annie Besant Road, Shivasagar Estate, Worli, Mumbai – 400018, Maharashtra, India
Tel No.:	91-22-66679000
Fax No.:	91-22-66679100
PAN No.:	AACFD4815A
Holding Company :	· Datacraft Asia Pte Limited, Singapore
Ultimate Holding company:	· Dimension Data Holdings Pte
Fellow Subsidiary Companies :	· Daracraft (Singapore) Pte Limited · Daracraft (Thailand) Limited · Daracraft (New Zealand) Limited · Datacraft Americas Holding limited · Dimension Data S A (Switzerland) · Dimension Data North America Inc · Dimension Data (Pty) Limited · Dimension Data Middle East LLC · Dimension Data Canada Inc

CAPITAL STRUCTURE

(AS ON 30.12.2010)

Authorised Capital :

No. of Shares	Type	Value	Amount
10000000	Equity Shares	Rs.10/- each	Rs.100.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
6381004	Equity Shares	Rs.10/- each	Rs.63.810 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		30.09.2010	30.09.2009	30.09.2008
SHAREHOLDERS FUNDS
1] Share Capital		63.810	63.810	68.610
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2107.414	1769.717	1525.987
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		2171.224	1833.527	1594.597
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		2171.224	1833.527	1594.597
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		57.751	62.440	81.575
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.031	433.246
DEFERREX TAX ASSETS		19.613	10.264	0.672
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	21.008	71.774	4.505
	Sundry Debtors	951.164	602.430	552.255
	Cash & Bank Balances	1628.739	1472.689	1078.946
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	489.356	326.928	261.067
Total Current Assets		3090.267	2473.821	1896.773
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	705.171	435.044	552.344
	Other Current Liabilities	271.615	254.265	249.253
	Provisions	19.621	23.720	16.072
Total Current Liabilities		996.407	713.029	817.669
Net Current Assets		2093.860	1760.792	1079.104
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		2171.224	1833.527	1594.597

PROFIT & LOSS ACCOUNT

	PARTICULARS		30.09.2010	30.09.2009	30.09.2008
	SALES
		Sales and Services	3776.280	3141.903	3426.293
		Other Income	64.643	106.346	94.642
		TOTAL (A)	3840.923	3248.249	3520.935
Less	EXPENSES
		Purchases and Service Costs	2108.550	1558.686	1892.354
		Decrease/ (Increase) in stock in trade	50.766	(67.269)	7.860
		Operating Expenses	1126.508	899.322	875.254
		TOTAL (B)	3285.824	2390.739	2775.468
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		555.099	857.510	745.467
Less	FINANCIAL EXPENSES (D)		0.000	0.000	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		555.099	857.510	745.467
Less/ Add	DEPRECIATION/ AMORTISATION (F)		45.446	59.314	63.945
	PROFIT BEFORE TAX (E-F) (G)		509.653	798.196	681.522
Less	TAX (H)		171.961	278.461	227.909
	PROFIT AFTER TAX (G-H) (I)		337.692	519.735	453.613
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		1651.093	1429.831	989.508
Less	APPROPRIATIONS
		Transfer to Contribution Reserve	17.629	17.673	13.290
		Premium buy Back of Shares	--	276.000	--
		Transfer to Capital Redemption Reserve	--	4.800	--
	BALANCE CARRIED TO THE B/S		1971.156	1651.093	1429.831
	EARNINGS IN FOREIGN CURRENCY
		Advisory Service Fees	26.489	44.236	92.604
		Sales – Services and others	254.206	249.943	339.488
		Miscellaneous Income	0.743	2.400	1.403
	TOTAL EARNINGS		281.438	296.579	433.495
	IMPORTS
		Capital Goods	23.656	27.246	4.496
		Products	797.737	624.933	914.500
	TOTAL IMPORTS		821.393	652.179	918.996
	Earnings Per Share (Rs.)		52.92	80.93	66.11

KEY RATIOS

PARTICULARS		30.09.2010	30.09.2009	30.09.2008
PAT / Total Income	(%)	8.79	16.00	12.88
Net Profit Margin (PBT/Sales)	(%)	13.50	25.40	19.89
Return on Total Assets (PBT/Total Assets}	(%)	16.19	31.47	34.45
Return on Investment (ROI) (PBT/Networth)		0.23	0.44	0.43
Debt Equity Ratio (Total Liability/Networth)		0.46	0.39	0.51
Current Ratio (Current Asset/Current Liability)		3.10	3.47	2.32

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	30.09.2010	30.09.2009	30.09.2008
	(Rs. In Millions)
Total outstanding Dues to Micro and Small Enterprises	--	0.651	--
Total Outstanding Dues to Creditors other than Micro and small enterprises	705.171	434.393	552.344
Total	705.171	435.044	552.344

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	No
Reasons for variation <> 20%	No
Estimation for coming financial year	No
Capital in the business	Yes
Details of sister concerns	------
Major Suppliers	No
Major Customers	Yes
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	------
Litigations that the firm/ Promoters Involved in	------
Banking details	Yes
Banking Facility Details	No
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 Unit 204-206, Welspun House, Kamala Mills Compound, Lower Parel, Mumbai – 400013, Maharashtra, India, to the present address w.e.f. 30.04.2011.

OPERATIONS AND OUTLOOK

The Company's revenues increased over the previous year by around 18 % with increase in both the product and service revenues.

On the profitability front, while product margins were much higher than in the previous year, services margins declined considerably. The reduction in service margins was attributed to:

a) Mandatory purchase of product support costs from the vendors under a global agreement signed between the company’s parent and the principal vendor Cisco

b) New service offering - Infrastructure as services as per the market requirements resulted in services revenues from this line of offering not giving the traditional margins.

Profits before tax were therefore lower at Rs 510 millions as against Rs.798 millions in the previous years.

Company at the end of the financial year and of the profit of the Company for that period;

· The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities to the best of their knowledge and ability;

· The Directors have prepared the annual accounts on a going concern basis.

Contingent Liabilities, in respect of:

Particulars	30.09.2010	30.09.2009
	(Rs. In Millions)
a. Sales-tax matters disputed in appeal These related to the classification of goods and consequent disputes on applicable rates of tax.	0.323	0.219
b. Income tax matters disputed in appeal These related to he disallowances of various expenses claimed by the company and interests / penalty.	6.771	30.991
Note: In the matters referred to in a and b above, the company is hopeful of succeeding and as such does not expect any significant liability to crystallize.

FORM 8:

This form is for	Modification of charge
Charge identification number of the modified	80049417
Corporate identity number of the company	U72200MH1994PLC083713
Name of the company	DATACRAFT INDIA LIMITED
Address of the registered office or of the principal place of business in India of the company	Unit 204-206, Trade Centre Building, Kamala Mills, Compound, Lower Parel, Mumbai – 400013, Maharashtra, India
Type of charge	Book Debts Movable Property (not being pledge) Floating Charge
Particular of charge holder	HDFC Bank Limited HDFC Bank House, Senapati Bapat Marg, Lower Parel, Mumbai – 400013, Maharashtra, India bhupesh.morye@hdfcbank.com
Nature of description of the instrument creating or modifying the charge	Supplemental Letter of Hypothecation of stocks, book debts and Machinery.
Date of instrument Creating the charge	14.11.2008
Amount secured by the charge	Rs.210.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit at bank PLR -3% and any other rates as may be specified by the bank from time to time. Terms of Repayment CC – On Demand Margin Inventory - 30 % on Inventory (absolute inventory to be excluded) Book Debts - Margin 30 % on debtors upto 90 days 40 % on debtors from 91 days to 180 days Debtors greater than 181 days to be excluded for the purpose of drawing power calculation or any such other margin as bank may asked from time to time Extent and Operation of the charge First Charge by way of Hypothecation on company’s current assets and movable assets both present and future.
Short particulars of the property charged	First Charge by way of Hypothecation on company’s current assets and movable assets both present and future.
Particulars of the present modification	By this modification the present charge is been extended to cover enhanced limits upto Rs 210.000 millions from existing Rs 90.000 millions

TRADE REFERENCE:

· State Bank of India

· HSBC

· Citi Bank

· VSNL

FIXED ASSETS:

· Computer

· Office Equipment

· Furniture and Fittings

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.49.38
UK Pound	1	Rs.79.20
Euro	1	Rs.67.84

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	7
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	7
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	7
--LEVERAGE	1~10	7
--RESERVES	1~10	7
--CREDIT LINES	1~10	7
--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		62

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.