MIRA INFORM REPORT

Report Date :

12.11.2011

IDENTIFICATION DETAILS

Name :	TATA ADVANCED SYSTEMS LIMITED (w.e.f. 18.02.2008)
Formerly Known As :	TARA SYSTEMS AND TECHNOLOGIES LIMITED
Registered Office :	Bombay House, 1^st Floor, 24, Homi Maody Street, Fort, Mumbai – 400 001, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	19.09.2006
Com. Reg. No.:	11-164730
Capital Investment / Paid-up Capital :	Rs.840.213 Millions
CIN No.: [Company Identification No.]	U72900MH2006PLC164730
TAN No.: [Tax Deduction & Collection Account No.]	MUMT13406B
PAN No.: [Permanent Account No.]	AACCT5245K
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Providing solutions for defence, homeland security and disaster management through technology development, transfer and research.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

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

Maximum Credit Limit :	USD 2137688
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is promoted by tata group, a country’s Premier Industrial House. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be regarded as promising business partner in a medium to long run.

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 :	Bombay House, 1^st Floor, 24, Homi Maody Street, Fort, Mumbai – 400 001, Maharashtra, India
Tel. No.:	91-22-66658282/ 66657102/ 66657830/ 7897
Fax No.:	91-22-66657974/ 66658001
E-Mail :	aahuja@tataadvancedsystems.com ssingh@tata.com
Website :	http://www.tataadvancedsystems.com
Corporate Office :	Thapar House Western Wing, 124 Janpath, New Delhi – 110 001, India
Tel. No.:	91-11-66222666 Direct: 91-11-66222730
Fax No.:	91-11-23311585
E-Mail :	skapur@tataadvancedsystems.com

DIRECTORS

AS ON 24.09.2010

Name :	Mr. Sukaran Singh
Designation :	Director
Address :	Peregrine Building Apartment, 3C, Veer Savarkar Marg, Prabhadevi, Mumbai – 400 025, Maharashtra, India
Date of Birth/Age :	14.05.1969
Date of Appointment :	28.09.2006

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	U32109DL1996PTC082215	TVLIVE INDIA PRIVATE LIMITED	Director	25/09/1996	25/09/1996	-	Active	NO
2	U72901DL2006PTC148713	InformNet Media Pvt. Ltd.	Director	09/05/2006	09/05/2006	-	Active	NO
3	U72900MH2006PLC164730	Tata Advanced Systems Limited	Director	11/07/2007	28/09/2006	-	Active	NO
4	U72900MH2006PTC163193	STRATEGIC ENERGY TECHNOLOGY SYSTEMS Private Limited	Director	11/07/2007	05/05/2007	-	Active	NO
5	U74990MH2008PLC183426	Nova Integrated Systems Limited	Director	11/06/2008	11/06/2008	-	Active	NO
6	U74990MH2008PLC183446	Tara Aerospace Systems Limited	Director	12/06/2008	12/06/2008	-	Active	NO
7	U72900MH2008PLC188713	AVANA INTEGRATED SYSTEMS LIMITED	Director	24/09/2010	24/02/2010	-	Active	NO
8	U29119MH2008PTC187825	TASL Aerostructures Private Limited	Director	24/09/2010	24/02/2010	-	Active	NO
9	U29268MH2010PLC201707	Tata Lockheed Martin Aerostructures Limited	Director	05/04/2010	05/04/2010	-	Active	NO
10	U31909AP2004PTC042753	HBL ELTA AVIONICS SYSTEMS PRIVATE LIMITED	Director	03/11/2010	03/11/2010	-	Active	NO

Name :	Mr. Prakash M. Telang
Designation :	Additional Director
Address :	313-13^th Floor, Samundra Mahal, Dr. A.B. Road, Worli, Mumbai – 400 018, Maharashtra, India
Date of Birth/Age :	21.06.1947
Date of Appointment :	29.07.2009

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	U34101JH1993PLC005546	TATA CUMMINS LIMITED	Director	01/09/2000	01/09/2000	-	Active	NO
2	U29113PN1994FLC139153	CUMMINS TECHNOLOGIES INDIA LIMITED	Director	07/03/2001	07/03/2001	27/02/2007	Active	NO
3	L35911GA1980PLC000400	AUTOMOBILE CORPORATION OF GOA LIMITED	Director	30/07/2002	30/07/2002	-	Active	NO
4	U29100PN2000PLC130290	TAL MANUFACTURING SOLUTIONS LIMITED	Director	17/07/2006	26/04/2004	-	Active	NO
5	U85110KA1998PLC024588	TELCO CONSTRUCTION EQUIPMENT COMPANY LIMITED	Nominee director	30/06/2006	30/06/2006	-	Active	NO
6	U34101MH2006PLC164771	TATA MARCOPOLO MOTORS LIMITED	Nominee director	25/06/2007	20/09/2006	-	Active	NO
7	L28920MH1945PLC004520	TATA MOTORS LIMITED	Managing director	02/06/2009	18/05/2007	-	Active	NO
8	U34100MH2000PLC124874	TML Drivelines Limited	Director	22/05/2008	22/08/2007	14/07/2009	Active	NO
9	U29130MH2000PLC124872	HV TRANSMISSIONS LIMITED	Director	22/05/2008	22/08/2007	15/07/2009	Amalgamated	NO
10	U28900PN1997PLC130940	FIAT INDIA AUTOMOBILES LIMITED	Director	26/09/2008	19/03/2008	-	Active	NO
11	U63000MH2008PLC180593	TML DISTRIBUTION COMPANY LIMITED	Director	25/08/2009	11/07/2008	-	Active	NO
12	U72900MH2006PLC164730	Tata Advanced Systems Limited	Director	16/09/2009	29/07/2009	-	Active	NO
13	L72300PN1990PLC056696	PERSISTENT SYSTEMS LIMITED	Director	18/07/2011	19/08/2010	-	Active	NO
14	U85300DL2008NPL181612	National Skill Development Corporation	Director	26/09/2011	29/07/2011	-	Active	NO
15	U29268MH2010PLC201707	Tata Lockheed Martin Aerostructures Limited	Director	20/09/2011	10/08/2011	-	Active	NO
16	U74990MH2008PLC183446	Tara Aerospace Systems Limited	Director	20/09/2011	01/09/2011	-	Active	NO

Name :	Mr. Ramadorai Subramanian
Designation :	Additional Director
Address :	104, Sagar Darshan, Worli Seaface, Mumbai – 400 025, Maharashtra, India
Date of Birth/Age :	06.10.1944
Date of Appointment :	29.07.2009

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	U29309TN1987PLC029075	WTI ADVANCED TECHNOLOGY LIMITED	Director	10/10/1991	10/10/1991	13/11/2009	Active	NO
2	L85110KA1989PLC009968	TATA ELXSI LIMITED	Director	26/06/1995	26/06/1995	-	Active	NO
3	U72200PN1994PLC013313	TATA TECHNOLOGIES LIMITED	Director	08/03/2001	08/03/2001	-	Active	NO
4	U44003MH1945PLC004403	TATA INDUSTRIES LIMITED	Director	03/07/2001	03/07/2001	-	Active	NO
5	L72200AP1975PLC001970	CMC LIMITED	Director	16/10/2001	16/10/2001	-	Active	NO
6	L15140MH1933PLC002030	HINDUSTAN UNILEVER LIMITED	Director	20/05/2002	20/05/2002	-	Active	NO
7	L24110MH1947PLC005719	Piramal Healthcare Limited	Director	24/10/2002	24/10/2002	-	Active	NO
8	L22210MH1995PLC084781	TATA CONSULTANCY SERVICES LIMITED	Director	02/07/2010	05/05/2004	-	Active	NO
9	U74899DL1995PLC066685	TATA TELESERVICES LIMITED	Director	11/10/2004	11/10/2004	23/03/2009	Active	NO
10	U72900MH2006PLC159038	C-EDGE TECHNOLOGIES LIMITED	Nominee director	19/01/2006	19/01/2006	13/11/2009	Active	NO
11	L64200MH1995PLC086354	TATA TELESERVICES (MAHARASHTRA) LIMITED	Director	10/08/2006	10/08/2006	-	Active	NO
12	U51900MH2006PLC159776	COMPUTATIONAL RESEARCH LABORATORIES LIMITED	Director	06/08/2007	17/11/2006	-	Active	NO
13	U85310KA2006NPL040052	ACCION Technical Advisors India	Director	27/12/2007	04/01/2007	-	Active	NO
14	L64200MH1986PLC039266	Tata Communications Limited	Director	02/08/2007	28/06/2007	-	Active	NO
15	U72900MH2006PLC164730	Tata Advanced Systems Limited	Director	13/11/2009	29/07/2009	-	Active	NO
16	L24220MH1945PLC004598	ASIAN PAINTS LIMITED	Director	16/07/2010	16/09/2009	-	Active	NO
17	U67120MH2005PLC155188	BSE Limited	Director	29/05/2010	08/03/2010	-	Active	NO
18	U93000AP2009PTC062441	IKP INVESTMENT MANAGEMENT COMPANY PRIVATE LIMITED	Director	03/07/2010	22/03/2010	-	Active	NO
19	U29268MH2010PLC201707	Tata Lockheed Martin Aerostructures Limited	Director	20/09/2011	13/07/2011	-	Active	NO
20	U74990MH2008PLC183446	Tara Aerospace Systems Limited	Director	20/09/2011	01/09/2011	-	Active	NO

Name :	Mr. Davinder Kumar
Designation :	Additional Director
Address :	41 Lodhi Estate, New Delhi - 110003, Delhi, India
Date of Birth/Age :	23.09.1946
Date of Appointment :	01.04.2009

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	U80103HR2006PTC036411	HERMES KNOWLEDGE AND INFOTECH SOLUTIONS PRIVATE LIMITED	Director	01/10/2008	29/09/2006	-	Active	NO
2	L32200MH1940PLC003164	NELCO LIMITED	Director	22/12/2006	17/11/2006	03/10/2011	Active	NO
3	U72900MH2006PTC163193	STRATEGIC ENERGY TECHNOLOGY SYSTEMS Private Limited	Director	11/07/2007	05/05/2007	23/01/2008	Active	NO
4	U72900MH2006PLC164730	Tata Advanced Systems Limited	Managing director	16/09/2009	01/04/2009	22/09/2011	Active	NO
5	U72900MH2008PLC188713	AVANA INTEGRATED SYSTEMS LIMITED	Director	24/09/2010	24/02/2010	23/09/2011	Active	NO
6	U29119MH2008PTC187825	TASL Aerostructures Private Limited	Director	24/09/2010	24/02/2010	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Amit Ahuja
Designation :	Secretary
Address :	836, Sainik Colony, Sector – 49, Faridabad – 121001, Haryana, India
Date of Birth/Age :	26.09.1976
Date of Appointment :	15.07.2009
Date of ceasing :	10.07.2010

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 24.09.2010

Names of Shareholders	No. of Shares
Tata Sons Limited	84021294
Tata Sons Limited Jointly with K R Bhagar	1
Tata Sons Limited Jointly with Sukran Singh	1
Tata Sons Limited Jointly with F N Subedar	1
Tata Sons Limited Jointly with E N Kapadia	1
Tata Sons Limited Jointly with Bharat D. Vasani	1
Tata Sons Limited Jointly with Manoj Kumar	1
Total	84021300

AS ON 24.09.2010

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	100.00

BUSINESS DETAILS

Line of Business :

Providing solutions for defence, homeland security and disaster management through technology development, transfer and research.

GENERAL INFORMATION

Bankers :

Axis Bank Limited, Credit Management Centre, 4/10, Opg House, Asaf Ali Road,, New Delhi - 110002, Delhi, India

Facilities :

UNSECURED LOANS :	AS ON 31.03.2010 RS. IN MILLIONS	AS ON 31.03.2009 RS. IN MILLIONS
From Holding Company	0.000	60.355
Total	0.000	60.355

Banking Relations :	--
Auditors :
Name :	M.A. Parikh and Company Chartered Accountants
Address :	Yusuf Building, 2^nd Floor, 43, Mahatma Gandhi Road, Fort, Mumbai – 400 001, Maharashtra, India
Holding Company :	Tata Sons Limited CIN No.: U99999MH1917PLC000478
Subsidiaries :	Nova Integrated Systems Limited CIN No.: U74990MH2008PLC183426 Tara Aerospace Systems Limited CIN No.: U74990MH2008PLC183446 Avana Integrated Systems Limited CIN No.: U72900MH2008PLC188713 TASL Aerostructures Private Limited CIN No.: U29119MH2008PTC187825

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
100000000	Equity Shares	Rs.10/- each	Rs.1000.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
84021300	Equity Shares	Rs.10/- each	Rs.840.213 Millions

(Note: The above equity shares are held by the Holding Company, Tata Industries Limited and its nominees)

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		840.213	115.663	0.500
2] Share Application Money		0.000	0.000	49.500
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(305.791)	(131.251)	(46.801)
NETWORTH		534.422	(15.588)	3.199
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	17.255
TOTAL BORROWING		0.000	0.000	17.255
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		534.422	(15.588)	20.454
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		43.781	21.413	6.279
Pre-operative Expenditure Pending Capitalization		183.600	0.000	0.000
Capital work-in-progress		40.776	8.182	13.831
INVESTMENT		10.469	10.206	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	61.217	0.000	0.000
	Sundry Debtors	14.378	0.000	0.000
	Cash & Bank Balances	61.261	6.437	1.182
	Other Current Assets	1.626	0.000	0.000
	Loans & Advances	230.469	29.218	18.248
Total Current Assets		368.951	35.655	19.430
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	101.052	24.201	18.631
	Other Current Liabilities	9.913	12.483	0.451
	Provisions	2.190	0.403	0.004
Total Current Liabilities		113.155	37.087	19.086
Net Current Assets		255.796	(1.432)	0.344
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		534.422	(15.588)	20.454

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		Income	16.870	0.000
		Other Income	0.677	0.000
		TOTAL (A)	17.547	0.000
Less	EXPENSES
		Cost of Equipment sold and Services	14.888	0.000
		Personal Expenses	73.820	32.734
		Office and Administrative Expenses	96.213	44.965
		TOTAL (B)	184.921	77.699
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		(167.374)	(77.699)
Less	FINANCIAL EXPENSES (D)		0.000	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		(167.374)	(77.699)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.151	5.876
	PROFIT BEFORE TAX (E-F) (G)		(174.525)	(83.575)
Less	TAX (I)		0.015	0.876
	PROFIT AFTER TAX (G-I) (J)		(174.540)	(84.451)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(131.251)	(46.801)
	BALANCE CARRIED TO THE B/S		(305.791)	(131.251)
	IMPORTS
		Raw Materials	4.515	0.000
		Capital Goods	13.709	0.000
		Tools	0.133	0.000
	TOTAL IMPORTS		18.357	0.000
	Earnings Per Share (Rs.)		(6.87)	(17.58)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	(994.70)	NA	NA
Net Profit Margin (PBT/Sales)	(%)	(1034.53)	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	(42.28)	(146.45)	NA
Return on Investment (ROI) (PBT/Networth)		(0.33)	(5.36)	NA
Debt Equity Ratio (Total Liability/Networth)		0.21	(2.38)	5.97
Current Ratio (Current Asset/Current Liability)		3.26	0.96	1.02

LOCAL AGENCY FURTHER INFORMATION

FORM 8:

Corporate identity number of the company	U72900MH2006PLC164730
Name of the company	Tata Advanced Systems Limited
Address of the registered office or of the principal place of business in India of the company	Bombay House, Homi Mody Street, Fort, Mumbai – 400001, Maharashtra, India
This form is for	Creation of charge
Type of charge	Book Debts Movable Property
Particular of charge holder	Axis Bank Limited
Nature of instrument creating charge	1. Composite Hypothecation Deed dated 26.8.2011-CCD -20. 2. Sanction Letter dated 19.7.2011 3. Board Resolution dated 19.8.2011
Date of instrument Creating the charge	26/08/2011
Amount secured by the charge	Rs.287.500 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Cash Credit (CC): Base Rate + 1.75% p.a. (i.e. 11.50% p.a. at present),payable monthly Letter of Credit(inl:0.75% p.a all inclusive, payable upfront. Bank Guarantee: 0.75% p.a. plus applicable taxes Terms of Repayment On demand/ maturity Margin i)Cash Credit (CC) The DP will be calculated by applying the margins mentioned below: RM: 25%, Stock-in-Process: 25%, FG&Pkg. Material: 25%, Stores & Spares: 25%, Book debts(cover period 120 days) : 25% ii) Letter of Credit (inland/ import) Cash Margin: Nil iii) Bank Guarantee: Margin: Nil; 100% cash margin in case if disputed liabilities iv)Loan Equivalent Risk(LER) : Margin: Nil Extent and Operation of the charge The charge operates as a security for the repayment of credit facility availed by the Company together with the payment of interest and any other charges, costs and expenses payable to or incurred by the creditor.
Short particulars of the property charged	For Cash Credit (CC)- Primary: Exclusive charge by way of Hypothecation of the company's current assets both present and future For Cash Credit (CC) -Collateral: Second charge on all the present and future movable fixed assets of the Company. For Letter of Credit (LC) - a. Charge on Goods under LC b. As stipulated for Cash Credit facility, mentioned above, in point (i) and (ii) For Bank Guarantee (BG) - a. Counter Guarantee of the borrower b. As stipulated for Cash Credit facility, mentioned above, in point (i) and (ii) For Loan Equivalent Risk (LER):As stipulated for Cash Credit facility, mentioned above, in point (i) and (ii)

FIXED ASSETS:

• Computers
• Motor Vehicles
• Office Equipments
• Computer Software
• Website

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	6
--RESERVES	1~10	5
--CREDIT LINES	1~10	6
--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		48

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.