1. Summary Information

		Country	India
Company Name	Lok Prakashan Limited	Principal Name 1	Mr. Bahubali Shantilal Shah
Status	Good	Principal Name 2	Mrs. Smrutiben Shreyans Shah
		Registration #	04-151
Street Address	Gujarat Samachar Bhavan, Khanpur, Ahmedabad – 380001, Gujarat, India
Established Date	21.09.1940	SIC Code	--
Telephone#	91-79-22304040/ 10/ 25508001/ 2/ 3	Business Style 1	Printing
Fax #	91-79-25502000/ 1216642	Business Style 2	Publishing
Homepage	www.gujaratsamachar.com	Product Name 1	Newspaper Daily
# of employees	600 (Approximately)	Product Name 2	Journal Periodical
Paid up capital	Rs.1,594,000/-	Product Name 3	Leasing
Shareholders	Bodies Corporate -15.00%, Directors or relatives of directors 73.00%, Other top fifty Shareholders 5.00%, Other 7.00%	Banking	Bank of Baroda
Public Limited Corp.	No	Business Period	71 Years
IPO	No	International Ins.	--
Public Enterprise	No	Rating	A (66)
Related Company
Relation	Country	Company Name	CEO
Subsidiary Company	India	Gujarat Samachar INC	--
Note	--

2. Summary Financial Statement

Balance Sheet as of	31.03.2010		(Unit: Indian Rs.)
Assets		Liabilities
Current Assets	3,497,062,000	Current Liabilities	891,702,000
Inventories	471,433,000	Long-term Liabilities	0,000
Fixed Assets	282,466,000	Other Liabilities	1,580,594,000
Deferred Assets	25,807,000	Total Liabilities	2,472,296,000
Invest& other Assets	4,223,452,000	Retained Earnings	6,026,330
		Net Worth	6,027,924,000
Total Assets	8,500,220,000	Total Liab. & Equity	8,500,220,000
Total Assets (Previous Year)	7,204,794,000
P/L Statement as of	31.03.2010		(Unit: Indian Rs.)
Sales	860,570,000	Net Profit	829,559,000
Sales(Previous yr)	903,752,000	Net Profit(Prev.yr)	185,915,000

MIRA INFORM REPORT

Report Date :

12.11.2011

IDENTIFICATION DETAILS

Name :	LOK PRAKASHAN LIMITED
Registered Office :	Gujarat Samachar Bhavan, Khanpur, Ahmedabad – 380001, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	21.09.1940
Com. Reg. No.:	04-151
Capital Investment / Paid-up Capital :	Rs.1.594 Millions
CIN No.: [Company Identification No.]	U22190GJ1940PLC000151
TAN No.: [Tax Deduction & Collection Account No.]	AHML00258G
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Engaged in Printing and Publication of Newspaper "Gujarat Samachar", a Gujarati Daily, "Chitralok", "Stree" and "Zagmag" Gujarati Magazines.
No. of Employees :	600 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

A (66)

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 24000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well established and a reputed company having fine track. Financial position of the company appears to be sound. Fundamentals are strong and healthy. Trade relations are reported as fair. Business is active. Payments are reported to be regular 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.

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. Rajesh
Designation :	HR Department
Contact No.:	91-79-30410000
Date :	11.11.2011

LOCATIONS

Registered Office / Factory :	Gujarat Samachar Bhavan, Khanpur, Ahmedabad – 380001, Gujarat, India
Tel. No.:	91-79-22304040/ 10/ 25508001/ 2/ 3
Fax No.:	91-79-25502000/ 1216642
E-Mail :	editor@gujaratsamchart.com pinakincs@yahoo.com
Website :	http://www.gujaratsamachar.com
Area :	80,000 sq. ft.
Location :	Owned
Printing Press :	The Printing Presses are Located At Khanpur – Ahmedabad Ring Road – Surat Karol Baug – New Delhi Lower Parel – Mumbai, Maharashtra, India
Area :	15,000 sq. ft
Branch Office :	Located at – · Surat · Rajkot · Baroda · Mumbai

DIRECTORS

(AS ON 30.09.2009)

Name :

Mr. Bahubali Shantilal Shah

Designation :

Managing Director

Address :

Gujarat Samachar Bhavan, Khanpur, Ahmedabad-380001, Gujarat, India

Date of Birth/Age :

09.09.1951

Qualification :

B. Com

Date of Appointment :

01.08.1980

DIN No.:

00347465

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	U22190GJ1940PLC000151	LOK PRAKASHAN LIMITED	Managing director	01-08-10	01-08-80	Active	NO
2	L51909GJ1985PLC007815	ZORA TRADERS LIMITED	Director	15-07-86	15-07-86	Active	NO
3	L65910GJ1993PLC020564	GUJRAT CREDIT CORPORATION LIMITED	Director	01-11-93	01-11-93	Active	NO
4	U99999DL1951PLC002023	THE INDIAN NEWSPAPER SOCIETY.	Director	14-09-94	14-09-94	Active	NO
5	L45201GJ1994PLC023414	GCCL CONSTRUCTION AND REALITIES LIMITED	Director	01-11-94	01-11-94	Active	NO
6	U51100GJ1995PTC024894	GANPATI IN-TRADEX PRIVATE LIMITED	Director	27-01-03	27-01-03	Active	NO
7	U22210GJ1986PLC044913	INDIAN CHRONICLE LIMITED (TR. CO.)	Director	01-04-03	01-04-03	Active	NO
8	U65922GJ1994PLC023415	GCCL HOUSING FINANCE LIMITED	Director	17-03-06	17-03-06	Active	NO
9	U65910GJ1983PLC006343	PARIJAT INFRASTRUCTURE LIMITED	Director	01-06-06	01-06-06	Active	NO
10	U65910GJ1983PTC006344	AJAB GAJAB INVESTMENT PRIVATE LIMITED	Director	01-06-06	01-06-06	Active	NO

Name :

Mrs. Smrutiben Shreyans Shah

Designation :

Managing Director

Address :

31 Anand Nagar Society Sarkhej Road, Paldi Ahmedabad - 380007, Gujarat, India

Date of Birth/Age :

10.06.1943

Qualification :

B.A.

Experience :

42 years

Date of Appointment :

31.03.1972

DIN No.:

01320759

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	U22190GJ1940PLC000151	LOK PRAKASHAN LIMITED	Managing director	01-08-10	31-03-72	Active	NO
2	U65910GJ1980PLC004039	AASPAS MULTIMEDIA LIMITED	Director	12-10-07	27-10-86	Active	NO
3	U65910GJ1980PTC004040	AMAN INVESTMENTS PRIVATE LIMITED	Director	22-05-96	22-05-96	Active	NO

Name :

Mr. Rajiv Chinubhai Lalbhai

Designation :

Director

Address :

Chinubhai Chimanlala Sheth Bunglow, Near Adeshwar Flat, Opposite Shahibaug Police Chowky, Shahibaug, Ahmedabad – 380004, Gujarat, India

Date of Birth/Age :

01.11.1952

Date of Appointment :

27.10.2007

DIN No.:

00309545

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	U45201GJ1994PTC022456	LALBHAI INDUSTRIES PRIVATE LIMITED	Director	01-10-03	01-10-03	Active	NO
2	U22190GJ1940PLC000151	LOK PRAKASHAN LIMITED	Director	27-10-07	27-10-07	Active	NO
3	U17110GJ1976PTC002920	SERENDIPITY APPARELS PRIVATE LIMITED	Director	29-09-09	17-01-09	Active	NO

Name :

Mr. Mahesh Jayantilal Shah

Designation :

Director

Address :

1002, Parth 7 Parnakunj, Near Ambawadi Circle, Ellisbridge, Ahmedabad – 380006, Gujarat, India

Date of Birth/Age :

15.08.1950

Date of Appointment :

27.10.2007

DIN No.:

00191844

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	U65910GJ1937PTC000130	UNI FINA INVESTMENTS PRIVATE LIMITED	Whole-time director	10-08-72	10-08-72	Active	NO
2	U70200GJ2003PTC042179	ALMAMINI PROPERTIES AND TRADING PRIVATE LIMITED	Whole-time director	28-03-03	28-03-03	Active	NO
3	U45201GJ2004PTC044539	VIVA REALTY PRIVATE LIMITED	Whole-time director	30-07-04	30-07-04	Active	NO
4	U45201GJ2005PTC045456	VIVA RESIDENCY PRIVATE LIMITED	Director	09-02-05	09-02-05	Active	NO
5	U70120MH2003PTC139686	BRIGHTFUTURE BUILDERS PRIVATE LIMITED	Whole-time director	10-11-05	10-11-05	Active	NO
6	U45201GJ2006PTC048185	ACORN REALTY PRIVATE LIMITED	Director	25-04-06	25-04-06	Active	NO
7	U65910GJ1972PTC002140	MONA INVESTMENTS PRIVATE LIMITED	Whole-time director	04-11-06	04-11-06	Active	NO
8	U45202GJ2007PTC049895	LARCH PROPERTIES PRIVATE LIMITED	Whole-time director	31-01-07	31-01-07	Active	NO
9	U22190GJ1940PLC000151	LOK PRAKASHAN LIMITED	Director	27-10-07	27-10-07	Active	NO

KEY EXECUTIVES

Name :	Mr. Rajesh
Designation :	HR Department

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2009)

Names of Shareholders	No. of Shares
Bahubali S Shah	2734
Smruti Shreyans Shah	386

(AS ON 30.09.2009)

Category	Percentage
Bodies corporate	15.00
Directors or relatives of directors	73.00
Other top fifty shareholders	5.00
Other	7.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Engaged in Printing and Publication of Newspaper "Gujarat Samachar", a Gujarati Daily, "Chitralok", "Stree" and "Zagmag" Gujarati Magazines

Products :

Products Descriptions	Item Code No.
Newspaper Daily	49021001
Journal Periodical	49021002

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Actual Production
Printed Dailies	No. of Copies	49,93,82,088
Weeklies etc.	No. of Copies	1,36,125
Purchases of Trading Item Namely	Quantity Kgs	2,97,000
Commodity Jeera	Rs.	4,39,50,450

GENERAL INFORMATION

No. of Employees :

600 (Approximately)

Bankers :

· Bank of Baroda, Bhadra Branch, Ahmedabad, India

· State Bank of India

Facilities :

Secured Loans	31.03.2010	31.03.2009
	Rs. In Millions
From Banks
Cash Credit Accounts (The above facility is secured against hypothecation of Raw Materials, Stores, Book- Debts and further secured by second charge by way of equitable mortgage by deposit of title deeds of Gujarat Samachar Bhavan building and personal guarantee of Managing Director and Managing Editor	0.000	35.636
Total	0.000	35.636

Banking Relations :	--
Auditors :
Name :	Sorab S. Engineer and Company Chartered Accountants
Address :	909, ATMA House, Opposite Reserve Bank of India, Ashram Road, Ahmedabad-380009, Gujarat, India
Tel. No.:	91-79-26589710/25684304
Fax No.:	91-79-26589710
E mail:	sseahm@hotmail.com contact@sorabsengineer.com
Website:	http://www.sorabsengineer.com
Subsidiary Company :	§ Gujarat Samachar INC
Associates :	Ø Indian Chronicle Limited Ø Amrut Investment Ø G.C.C.L Housing Finance Limited

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital:

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.200/- each	Rs.2.000 Millions

Issued Capital:

No. of Shares	Type	Value	Amount
10000	Equity Shares	Rs.200/- each	Rs.2.000 Millions

Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
7969	Equity Shares	Rs.200/- each	Rs.1.594 Millions

NOTE:

Of the above shares, 800 shares are allotted as fully paid up pursuant to a contract for purchases of assets, without payment being received in cash.

The face value of the above 7969 shares which was Rs.100/- has been made of Rs.200/- each by capitalization Rs.0.797 Millions during 1981-82 vide resolution passed at the extra ordinary General Meeting of 30-08-80 which has been approved by the controller of capital issue, vide letter Ref. No.R/36/CCI/181/620 dated 18/2/81.

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		1.594	1.594	1.594
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		6026.330	5230.223	5075.075
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		6027.924	5231.817	5076.669
LOAN FUNDS
1] Secured Loans		0.000	35.636	37.565
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	35.636	37.565
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		6027.924	5267.453	5114.234
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		282.466	202.681	252.336
Capital work-in-progress		0.000	0.911	0.000
INVESTMENT		4223.452	2789.260	2112.890
DEFERREX TAX ASSETS		25.807	25.804	22.788
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	471.433	407.707	241.918
	Sundry Debtors	511.192	423.900	516.890
	Cash & Bank Balances	1020.819	1704.346	2224.969
	Other Current Assets	34.077	91.869	120.209
	Loans & Advances	1930.974	1558.316	1409.431
Total Current Assets		3968.495	4186.138	4513.417
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	806.081	658.834	556.141
	Other Current Liabilities	85.621	64.074	91.533
	Provisions	1580.594	1214.433	1139.523
Total Current Liabilities		2472.296	1937.341	1787.197
Net Current Assets		1496.199	2248.797	2726.220
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		6027.924	5267.453	5114.234

PROFIT & LOSS ACCOUNT7

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales and Subscription of Publication	860.570	903.752	874.437
		Income from Advertisement	2597.508	2366.734	2621.386
		Trading Products sales	22.904	0.000	0.000
		Other Income	364.648	339.787	529.204
		TOTAL (A)	3845.630	3610.273	4025.027
Less	EXPENSES
		Newsprint Consumption	1533.884	2193.849	1592.062
		Employee’s Emoluments	138.410	91.137	106.486
		Trading Products Purchases	29.340	0.000	0.000
		Other Expenses	913.116	1015.970	1112.349
		TOTAL (B)	2614.750	3300.956	2810.897
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		1230.880	309.317	1214.130
Less	FINANCIAL EXPENSES (D)		0.488	1.970	2.608
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1230.392	307.347	1211.522
Less/ Add	DEPRECIATION/ AMORTISATION (F)		37.333	49.508	66.290
	PROFIT BEFORE TAX (E-F) (G)		1193.059	257.839	1145.232
Less	TAX (H)		363.500	71.924	345.332
	PROFIT AFTER TAX (G-H) (I)		829.559	185.915	799.900
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		37.058	36.910	38.454
Less	APPROPRIATIONS
		Transfer to General Reserve	800.000	155.000	770.000
		Proposed Dividend	28.688	26.298	26.298
		Tax on Dividend	4.764	4.469	4.469
		Tax on Dividend short provision last year	0.000	0.000	0.677
	BALANCE CARRIED TO THE B/S		33.165	37.058	36.910
	IMPORTS
		Newsprint	986.920	1215.665	1174.244
		Stores & Spares	0.000	2.646	0.131
	TOTAL IMPORTS		986.920	1218.311	1174.375
	Earnings Per Share (Rs.)		104098.00	23330.00	100376.00

Particulars	31.03.2011
Sales Turnover (Approximately)	4520.000

The above information has been parted by Mr. Rajesh .

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	21.57	5.15	19.87
Net Profit Margin (PBT/Sales)	(%)	138.64	28.53	130.97
Return on Total Assets (PBT/Total Assets}	(%)	28.07	5.87	24.03
Return on Investment (ROI) (PBT/Networth)		0.20	0.05	0.23
Debt Equity Ratio (Total Liability/Networth)		0.41	0.38	0.36
Current Ratio (Current Asset/Current Liability)		1.61	2.16	2.53

LOCAL AGENCY FURTHER INFORMATION

OPERATIONS:

The company earned Rs.860.570 Millions sales and subscription of Publication and Rs.2597.508 Millions from Advertisements.

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	No
15. Capital in the business	Yes
16. Details of sister concerns	Yes
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	------

CONTINGENT LIABILITIES:

Particulars	31.03.2010	31.03.2009
	Rs. In Millions
Bills Discounted	0.135	5.808

Bankers Charges Report as per Registry

Name of the company	LOK PRAKASHAN LIMITED
Presented By	Mr. Shantilaal A Shah, Managing Director
1) Date and description of instrument creating the change	Hypothecation of Book Debts dated 27.06.1994
2) Amount secured by the charge/amount owing on the securities of charge	Rs.25.000 Millions
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given	All book debts of the company both present and future
4) Gist of the terms and conditions and extent and operation of the charge.	Rate of Interest 5% DRR with Minimum of 17% p.a. plus interest Tax Margin: 50% Directors of the company shall executes demand promissory note.
5) Name and Address and description of the person entitled to the charge.	Bank of Baroda, Bhadra Branch, Ahmedabad
6) Date and brief description of instrument modifying the charge	01.12.1997. No instrument was executed. A mortgaged by deposit of title deeds was created by the company in favour of IDBI, by deposit of title deeds with IDBI, IDBI acting for interest and as agent of state Bank of India (SBI) and Bank of Baroda (BOB) in respect of all the immovable properties of the company situated at Shahpur Ward (II)l, Taluka City, District. Ahmedabad in the state of Gujarat as security, inter alia, for the due repayment and discharge by the company to BOB with its total Working capital Facilities of Rs.195.000 Millions together with interest, Compound interest, additional interest, liquidated damages, premia on prepayment for on redemption, costs, charges expenses and other monies payable by the company to BOB under the said Agreement.
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification.	The B OB total working capital facilities of Rs.195.000 Millions, together with interest liquidated damages, commitments charges premia on prepayment or on redemption, costs, charges and expenses all other monies payable by the company to BOB which is secured by the said deed of hypothecation dated the 22^nd Day of July, 1994 being the original charge, is now also secured by the said joint mortgage by deposit of title deed created by the company on 1^st December 1997 in favour of IDBI and others. The IDBI has first charge over the fixed and immovable assets specified in the schedule to the joint equitable mortgage dated 01.12.1997 and State Bank of India and Bank of Baroda have second Charge ranking pari passu interest whereas IDBI has second charge over all the movable assets as mentioned in the deed of hypothecation dated 22.07.1994

FIXED ASSETS:

· Freehold Land

· Building

· Plant and Machinery

· Electric Fittings

· Office Equipment

· Furniture and Fixture

· Library

· Vehicles

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.50.27
UK Pound	1	Rs. 80.07
Euro	1	Rs. 68.44

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	7
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILIRY	1~10	8
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--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		66

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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.