MIRA INFORM REPORT

Report Date :

09.11.2011

IDENTIFICATION DETAILS

Name :	G. K. WINDING WIRES LIMITED
Formerly Known As :	G. K. WINDING WIRES PRIVATE LIMITED
Registered Office :	23 Radhe Purikrishna Nagar, Delhi – 110051
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	28.10.1985
Capital Investment / Paid-up Capital :	Rs. 47.500 Millions
Com. Reg. No.:	55-022363
CIN No.: [Company Identification No.]	U74899DL1985PLC022363
Legal Form :	A closely Held Public Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Copper Winding Wire, Enamelled Copper Wire, Aluminum Winding Wire and Enamelled Aluminum Wire
No. of Employees :	200 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (47)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 480000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are reported as fair. Business is active. Company is doing well. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealing at usual trade terms and conditions.

NOTES :

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

ECGC Country Risk Classification List – September 30, 2011

Country Name	Previous Rating (30.06.2011)	Current Rating (30.09.2011)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION PARTED BY

Name :	Mr. Sudhir Agarwal
Designation :	CMD
Contact No.:	91-120-2560214
Date :	08.09.2011

LOCATIONS

Registered Office :	23 Radhe Purikrishna Nagar, Delhi – 110051, India
Tel. No.:	91-120-2560214
Fax No.:	91-120-2560223
E-Mail :	finance@gkwinding.com sudhire@gkwinding.com
Website :	www.gkwinding.com
Location :	Owned
Factory :	B-20, Site ‘C’, UPSIDC Industrial Area, Surajpur, Greater Noida – 201306, Uttar Pradesh, India
Tel. No.:	91-120-2560214/468/2560201
Fax No.:	91-120-2560223
E-Mail :	marketing@gkwinding.com

DIRECTORS

As On 31.07.2010

Name :

Ms. Neelam Agarwal

Designation :

Director

Address :

E-86, Sector 41, Noida, Gautam Budh Nagar, Uttar Pradesh, India

Date of Birth/Age :

12.01.1952

Date of Appointment :

23.11.2002

DIN No. :

00116987

Name :

Mr. Sudhir Kumar Agarwal

Designation :

Whole Time Director

Address :

E-86, Sector 41, Noida, Gautam Budh Nagar, Uttar Pradesh, India

Date of Birth/Age :

01.12.1947

Date of Appointment :

28.10.1985

DIN No. :

00117005

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	U74899DL1985PLC022363	G.K. WINDING WIRES LIMITED	Whole-time director	01-04-11	28-10-85	-	Active	NO
2	U19201DL1997PTC090331	UNISOL INDIA PRIVATE LIMITED	Director	21-10-97	21-10-97	-	Active	NO
3	U31300MH1973GAP016998	WINDING WIRES MANUFACTURERS ASSOCIATION OF INDIA	Director	29-09-04	29-09-04	-	Active	NO
4	U27104WB1988PTC045426	VERSATILE METAL CONCEPTS PVT LTD	Director	01-11-04	01-11-04	22-03-10	Active	NO
5	U74899DL1986PTC023900	SHREE ADINATH ENGINEERING WORKS PRIVATE LTD	Director	25-08-05	25-08-05	20-06-09	Active	NO
6	U74899DL1991PTC045971	GK ENTERPRISES PRIVATE LIMITED	Director	01-04-07	01-04-07	22-10-09	Active	NO
7	L31300WB1993PLC060690	VERSATILE WIRES LTD	Director	02-04-07	02-04-07	08-05-07	Active	NO
8	U45400DL2009PTC188928	CLASSIC CONSTRUCTION MATERIAL AND EQUIPMENTS PRIVATE LIMITED	Director	27-03-09	27-03-09	-	Active	NO
9	U45400DL2009PTC188925	SYSTEMATIC INFRADEVELOPERS PRIVATE LIMITED	Director	27-03-09	27-03-09	-	Active	NO
10	U74899DL1990PTC042309	MAHARANI PRODUCTS PRIVATE LIMITED	Director	16-04-10	16-04-10	-	Active	NO

Name :

Mr. Sameer Agarwal

Designation :

Director

Address :

E-86, Sector 41, Noida, Gautam Budh Nagar, Uttar Pradesh, India

Date of Birth/Age :

22.08.1979

Date of Appointment :

24.08.2006

DIN No. :

00117027

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	U74899DL1985PLC022363	G.K. WINDING WIRES LIMITED	Managing director	01-04-11	24-08-06	-	Active	NO
2	U74899DL1990PTC042309	MAHARANI PRODUCTS PRIVATE LIMITED	Director	16-04-10	16-04-10	-	Active	NO

Name :

Mr. Sant Kumar Agarwal

Designation :

Director

Address :

D 141, Sector 55, Nodia, Gautam Budh, Uttar Pradesh, India

Date of Birth/Age :

15.07.1955

Date of Appointment :

01.04.1994

DIN No. :

00117043

KEY EXECUTIVES

Name :	Mr. Praveen Agarwal
Designation :	Company Secretary
Address :	1236/84, Tri Nagar, Delhi – 110035, India
Date of Birth/Age :	10.10.1974
Date of Appointment :	27.03.2006
Pan No.:	ADFPA4070N

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As On 31.07.2010

Names of Shareholders	No. of Shares
Sudhir Kumar Agarwal	4010300
Neelam Agarwal	80130
Sameer Agarwal	356070
Nidhi Agarwal	7000
Sudhir Kumar Agarwal HUF	46500
H P Agarwal	249000
Priti Agarwal	1000
Total	4750000

As On 31.07.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Exporter and Importer of Copper Winding Wire, Enamelled Copper Wire, Aluminum Winding Wire and Enamelled Aluminum Wire
Exports Of :
Product :	Copper Winding Wire
Country :	Not Divulged
Imports Of :
Products :	· Raw Material · Finished Goods
Country :	Not Divulged
Terms :
Purchasing :	Cash, Credit
Selling :	Cash, Credit

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Installed Capacity	Actual Production
Copper winding wire	MT	4500	2981841
Aluminium winding wire	MT	150	15905
Bare copper wire	MT	NA	123494

GENERAL INFORMATION

Customers :

· Wholesalers

· Retailers

No. of Employees :

200 (Approximately)

Bankers :

• Chinatrust Commercial Bank – A1/16, Wenger House, Rajiv Chowk, New Delhi – 110001, Delhi, India

Facilities :

Secured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Others
Term Loans
- Rupee Loan	0.350	0.526
- Foreign Currency Loan	50.563	0.000
Working Capital Loans	0.000	11.695
Total	50.913	12.221

Unsecured Loans	31.03.2010 (Rs. In Millions)	31.03.2009 (Rs. In Millions)
From Foreign Citizen	3.650	3.650
From Promoter, relatives	12.693	3.500
From Companies	11.383	0.580
Total	27.726	7.730

Banking Relations :	--
Auditors :
Name :	Ravi and Associates Chartered Accountant
Address :	L-42, Lajpat Nagar – II, New Delhi – 110024, Delhi, India
Pan No.:	AAAFR9032R

CAPITAL STRUCTURE

As On 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
6000000	Equity Shares	Rs. 10/- each	Rs. 60.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4750000	Equity Shares	Rs. 10/- each	Rs. 47.500 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		47.500	47.500	47.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		73.988	24.855	5.482
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		121.488	72.355	52.982
LOAN FUNDS
1] Secured Loans		50.913	12.221	27.975
2] Unsecured Loans		27.726	7.730	8.232
TOTAL BORROWING		78.639	19.951	36.207
DEFERRED TAX LIABILITIES		3.866	0.119	0.000
TOTAL		203.993	92.425	89.189
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		60.724	31.553	32.176
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.026	0.026	0.026
DEFERREX TAX ASSETS		0.000	0.000	4.580
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	40.276	17.262	28.747
	Sundry Debtors	87.038	55.612	47.759
	Cash & Bank Balances	65.056	0.851	1.817
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	26.149	18.502	17.776
Total Current Assets		218.519	92.227	96.099
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	32.478	9.965	23.842
	Other Current Liabilities	27.009	10.960	12.714
	Provisions	15.789	10.456	7.136
Total Current Liabilities		75.276	31.381	43.692
Net Current Assets		143.243	60.846	52.407
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		203.993	92.425	89.189

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	1038.508	685.567	649.840
		Other Income	1.953	0.202	0.242
		TOTAL (A)	1040.461	685.769	650.082
Less	EXPENSES
		Materials	908.405	589.597	567.352
		Manufacturing and other expenses	70.404	54.515	50.244
		Variation in stocks	(11.736)	9.777	(3.257)
		Extra Ordinary Item	0.000	0.000	(28.465)
		TOTAL (B)	967.073	653.889	585.874
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		73.388	31.880	64.208
Less	FINANCIAL EXPENSES (D)		4.556	2.761	3.039
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		68.832	29.119	61.169
Less/ Add	DEPRECIATION/ AMORTISATION (F)		3.263	1.704	2.567
	PROFIT BEFORE TAX (E-F) (G)		65.569	27.415	58.602
Less	TAX (I)		16.436	8.042	14.052
	PROFIT AFTER TAX (G-I) (J)		49.133	19.373	44.550
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		19.637	0.264	(44.286)
	BALANCE CARRIED TO THE B/S		68.770	19.637	0.264
	IMPORTS
		Raw Materials	191.006	0.504	3.672
		Consumable Stores Spares Parts	2.476	1.758	0.427
		Capital Goods	10.078	0.000	0.000
	TOTAL IMPORTS		203.560	2.262	4.099
	Earnings Per Share (Rs.)		10.34	4.08	9.38

Particulars	31.03.2011
Sales Turnover (Approximately)	1760.000

The above information has been parted by Mr. Sudhir Agarwal.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.72	2.83	6.85
Net Profit Margin (PBT/Sales)	(%)	6.31	4.00	9.02
Return on Total Assets (PBT/Total Assets}	(%)	23.48	22.15	45.68
Return on Investment (ROI) (PBT/Networth)		0.54	0.38	1.11
Debt Equity Ratio (Total Liability/Networth)		1.27	0.71	1.51
Current Ratio (Current Asset/Current Liability)		2.90	2.94	2.20

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. Constructions 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	--
17. Major suppliers	No
18. Major customers	No
19. Payments terms	Yes
20. Export / Import details	Yes
21. Market information	-------
22. Litigations that the firm / promoter involved	------
23. Banking Details	Yes
24. Banking facility details	No
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	------

PERFORMANCE REVIEW:

During the year the production was 2998 MT compared to previous year production of 2207 MT.. The Gross profit before interest, Depreciation and Tax stood as Rs 73.387 millions compared to previous year Rs 31.879 millions.

FUTURE OUTLOOK:

The enameled wire industry is growing @ 10% plus per annum since last 3 years. Looking to the past growth trend and lower per capita consumption ( 0.3 Kg against international norms of 3 Kg) in there country and on going expansion in power sector, directors estimate similar growth during the next financial year ending on March 2011.

Form 8:

Corporate identity number of the company	U74899DL1985PLC022363
Name of the company	G.K. WINDING WIRES LIMITED
Address of the registered office or of the principal place of business in India of the company	23 Radhe Purikrishna Nagar, Delhi – 110051, India
This form is for	Modification of charge
Type of charge	Immovable property Book debts Movable property (not being pledge) Floating charge
Particular of charge holder	Chinatrust Commercial Bank, Rajiv Chowk, A1-16, Wenger House, New Delhi – 110001, Delhi, India
Nature of instrument creating charge	Deed of hypothecation of Fixed Assets dated 12.07.2011, Deed of Hypothecation of Current Assets dated 12.07.2011, and Memorandum of Entry dated 12.07.2011 and Letter of Sanction dated 12.07.2011.
Date of instrument Creating the charge	12/07/2011
Amount secured by the charge	Rs. 140.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest As per CTCB/RBI guidelines in force. Terms of repayment Payable on demand. Margin Sight/Usance LC Issuance Limit - 10%, Sales Bill Discounting limits - 5%, Bank Guarantee limit - 10% and Overdraft limit - 25%. Extent and operation of the charge 100% Other To secure all amounts payable under enhanced LC (Sight/Usance) Issuance limit of Rs. 100.000 millions, Sales Bill Discounting limit of Rs. 20.000 millions and Bank Guarantee limit of Rs. 20.000 millions as sub-limits and Overdraft limit of Rs. 30.000 millions, Domestic Bill Purchase limit of Rs. 10.000 millions aggregating to Rs. 140.000 millions granted to/enjoyed by the Company together with all interests, costs, charges, expenses, commission etc.
Short particulars of the property charged (Including location of the property)	Primary i)Exclusive charge on the entire present and future Current Assets of the Company. ii)Exclusive charge on the entire present and future Fixed Assets of the Company. Collateral: Exclusive charge by way of equitable mortgage of immovable properties of the Company situated at B-20, Surajpur Indl. Area, Site-C Pargana/Tehsil Dadri, Distt. Ghaziabad (Now Gautam Budh Nagar), UP together with all the buildings and structures constructed or to be constructed thereon, fixtures and fittings erected/installed or to be erected/installed thereon and every part thereof.
Date of instrument modifying the charge	14/08/2010
Particulars of the present modification	The exclusive charge on entire current and fixed assets of the Company - both present and future and equitable mortgage of immovable properties of the Company situated at B-20, Surajpur Indl. Area, Site-C Pargana/Tehsil Dadri, Distt. Ghaziabad (Now Gautam Budh Nagar), UP stands enhanced from Rs. 119.000 millions to Rs. 140.000 millions

FIXED ASSETS :

• Land and site development
• Good will
• Factory building
• Plant and machinery
• Office equipment
• Computers
• Furniture and fixtures
• Vehicles
• CWIP-DG Set

AS PER WEBSITE DETAILS

PROFILE:

Established in 1975 by highly qualified technocrats, Geekay is a leading manufacturer of ‘magnet wires’ in Northern India and is servicing the Indian Industries for over past 30 years with a reputation for quality, reliability and competitiveness. The company has installed capacity of 3000 MT of ‘Copper Winding Wires’ per annum. The company has a state of art technology with equipments imported from world’s leader MAG of AUSTRIA and other European countries. This project is located in NCR of Delhi i.e. Greater Noida, the hub of industrial activities and is about 35 KM from Delhi International Airport.

TECHNOLOGY

They have the latest technology for manufacture of enamelled copper winding wires from MAG, Austria and European countries. The plants are in two versions – Horizontal & Vertical.

The Horizontal/Vertical enamelling machine, a state of art manufacturing facility, is the latest progressive standard of a perfect solution for the production of base and overcoat wires with single line oven system. The machine works upto three different enamels; this technology gives reliability, which speaks for efficiency, flexibility and perfect quality. The machines are controlled through a touch screen PC which offers high accuracy and control over the process. The product range is from 0.1mm to 2.5mm on these machines and the finished wire can be offered in spool sizes from 2kg to 180kg cylindrical and tapered plastic spools.

As an additional quality assurance, every meter of finished wire is subjected to high voltage continuity test through high frequency voltage before being wound on the spools. After finished wire is on spools, wire sample is taken out for other types of tests in our fully equipped inspection laboratory.

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. 79.19
Euro	1	Rs. 67.84

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		47

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.