MIRA INFORM REPORT

Report Date :

17.11.2011

IDENTIFICATION DETAILS

Name :	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED
Registered Office :	Plot No.44, MIDC Industrial Area, Taloja, Taluka Panvel, Raigad - 410 208, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	10.08.2005
Com. Reg. No.:	11-155252
Capital Investment / Paid-up Capital :	Rs. 3.200 millions
CIN No.: [Company Identification No.]	U28129MH2005PTC155252
TAN No.: [Tax Deduction & Collection Account No.]	MUMR18969G
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of world class packing and sealing progland packing, jointing sheets, spirals wounds, gaskets high temperature insulation ropes.
No. of Employees :	18 Approximately

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 63924
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. 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.

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. Gaurav Singh
Designation :	Manager
Contact No.:	91-8108867404
Date :	14.11.2011

LOCATIONS

Registered Office /Factory :	Plot No.M-44,MIDC Industrial Area, Taloja, Taluka Panvel, Raigad – 410 208, Maharashtra
Tel. No.:	91-22-27401912
Mobile No.:	91-8108867404 (Mr. Gaurav)
Fax No.:	91-22-27402387
E-Mail :	singh.rexseal@gmail.com sales@rexseal.com
Website :	www.rexseal.com
Area :	1000 sq. ft.
Location :	Owned

DIRECTORS

AS ON 30.09.2011

Name :	Mr. Naresh Manjunath Nayak
Designation :	Director
Address :	17, Ram Nam Mansion (Anil Chambers), Cinema Lane, Dhobi Talao, Mumbai – 400 020, Maharashtra,
Date of Birth:	20.05.1978
Qualification :	B.E
Date of Appointment :	10.08.2005
DIN No:	00347765

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	U28129MH2005PTC155252	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED	Director	10/08/2005	10/08/2005	-	Active	NO

Name :	Mr. Niranjan M. Nayak
Designation :	Director
Address :	17, Anil Chambers, Cinema Road, Azad Maidam, Kalbadevi, Mumbai, Maharashtra
Date of Birth / Age :	09.09.1974
Qualification :	B.E
Date of Appointment :	10.08.2005
DIN No:	02606926

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	U28129MH2005PTC155252	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED	Director	10/08/2005	10/08/2005	-	Active	NO

Name :	Mrs. Meeta Nayak
Designation :	Director
Address :	17, Ram Nam Mansion (Anil Chambers), Cinema Lane, Dhobi Talao, Mumbai – 400 020, Maharashtra, India
Date of Birth / Age :	02.05.1942
Date of Appointment :	10.08.2005
DIN No:	02606944

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	U28129MH2005PTC155252	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED	Director	10/08/2005	10/08/2005	-	Active	NO

Name :	Mr. Manjunath Nayak
Designation :	Director
Address :	17, Ram Nam Mansion (Anil Chambers), Cinema Lane, Dhobi Talao, Mumbai – 400 020, Maharashtra, India
Date of Birth / Age :	13.02.1940
Date of Appointment :	10.08.2005
DIN No:	00347731

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	U28129MH2005PTC155252	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED	Director	10/08/2005	10/08/2005	-	Active	NO

KEY EXECUTIVES

Name :	Mr. Gaurav Singh
Designation :	Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2011

Names of Shareholders	No. of Shares
Mr. Niranjan Manjunath Nayak	80000
Mrs. Meeta Nayak	80000
Mr. Naresh Nayak	80000
Mr. Manjunath Nayak	80000
Total	320000

EQUITY SHARE BREAKUP

AS ON 30.09.2011

Category	Percentage of Holding
Directors or relatives of directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of world class packing and sealing progland packing, jointing sheets, spirals wounds, gaskets high temperature insulation ropes.
Products :	· Gland Packing · Jointing Sheets · Spiral Wounds · High Temperature Insulation Ropes · Fabrics · Fabric Bellows · De-greasing Chemicals
Imports :
Products :	Raw Materials
Countries :	China
Terms :
Selling :	Cash, Credit (30-60 Days)
Purchasing :	L/C, Cash, Credit (30-60 Days)

GENERAL INFORMATION

Customers :

• OEM’s
• Industries

No. of Employees :

18 Approximately

Bankers :

· Indian Overseas Bank, Kalbadevi Road Branch, Chunilal Mehta Chambers,15/17 Oval Wadi, Vithalwadi, Kalbadevi Road, Mumbai – 400 002, Maharashtra

Email: kalbabr@mummsco.iobnet.co.in

· ICICI Bank Limited

Facilities :

Secured Loans	31.03.2011 Rs. in Millions	31.03.2010 Rs. in Millions
CC A/c with Indian Overseas Bank, Kalbadevi Branch (Secured against hypothecation of socks and book debts)	16.050	8.919
Term Loans for car – 1	0.877	0.504
Term Loans for car – 2	0.365	0.000
Term Loans for land and building	0.487	0.786
Term Loan for machinery – 1	1.453	2.352
Term Loans for machinery – 2 (The above loans are secured against the respective assets for which the loans have been availed)	1.160	1.640
Total	20.392	14.201

Unsecured Loans	31.03.2011 Rs. in Millions	31.03.2010 Rs. in Millions
From Directors
Mrs. Meeta M Nayak	2.875	1.274
Mr. Niranjan Nayak	2.910	3.019
Mr. Naresh Nayak	2.226	1.014
Mr. Manjunath Nayak	3.226	3.039
Total	11.237	8.339

Banking Relations :

--

Auditors :

Name :

A. Pai and Association

Chartered Accountant

Address :

Shop No. 3, Sanskriti, Neelam Nagar, Phase II, Mulund (East), Mumbai 400081, Maharashtra, India

Email :

ca.ajitpai@gmail.com

Tel. No.:

91-22-25639300

CAPITAL STRUCTURE

AS ON 30.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
800000	Equity Shares	Rs. 10/- Each	Rs.8.000 millions
200000	6 % Cumulative Redeemable Preference Shares	Rs. 10/- Each	Rs.2.000 millions
	Total		Rs.10.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
320000	Equity Shares	Rs. 10/- Each	Rs.3.200 millions
	Total		Rs. 3.200 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		3.200	3.200	3.200
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		12.781	8.273	5.320
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		15.981	11.473	8.520
LOAN FUNDS
1] Secured Loans		20.392	14.201	13.514
2] Unsecured Loans		11.237	8.339	12.182
TOTAL BORROWING		31.629	22.540	25.696
DEFERRED TAX LIABILITIES		0.000	0.032	0.000
TOTAL		47.610	34.045	34.216
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		15.004	14.073	16.056
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.040	0.000	(0.083)
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	7.714	1.898	4.669
	Sundry Debtors	33.086	20.474	17.668
	Cash & Bank Balances	0.203	0.411	0.703
	Other Current Assets	7.758	4.201	3.643
	Loans & Advances	0.000	0.000	0.000
Total Current Assets		48.761	26.984	26.683
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	8.517	2.272	5.223
	Current Liabilities	3.078	2.240	7.278
	Provisions	4.600	2.500	1.200
Total Current Liabilities		16.195	7.012	8.478
Net Current Assets		32.566	19.972	18.205
MISCELLANEOUS EXPENSES		0.000	0.000	0.038
TOTAL		47.610	34.045	34.216

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2011	31.03.2010
	SALES	83.124	46.428
	EXPENSES	76.590	42.226
	PROFIT BEFORE TAX	6.534	4.202
Less	TAX	2.027	1.249
	PROFIT AFTER TAX	4.507	2.953
	EARNING PER SHARES	14.09	9.23

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
Net Profit Margin (PBT/Sales)	(%)	7.86	9.05	NA
Return on Total Assets (PBT/Total Assets}	(%)	10.24	10.23	NA
Return on Investment (ROI) (PBT/Networth)		0.40	0.36	NA
Debt Equity Ratio (Total Liability/Networth)		2.99	2.57	4.01
Current Ratio (Current Asset/Current Liability)		3.01	3.84	3.15

LOCAL AGENCY FURTHER INFORMATION

trade references:

· JSW Steel Limited

· Ispat Industries

Form 8:

Corporate identity number of the company	U28129MH2005PTC155252
Name of the company	REX SEALING AND PACKING INDUSTRIES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Plot No.44, MIDC Industrial Area, Taloja, Taluka Panvel, Raigad - 410 208, Maharashtra, India
This form is for	Modification of charge
Type of charge	Book debts Movable property (not being pledge)
Particular of charge holder	Indian Overseas Bank, Kalbadevi Road Branch, Chunilal Mehta Chambers,15/17 Oval Wadi, Vithalwadi, Kalbadevi Road, Mumbai – 400 002, Maharashtra Email: kalbabr@mummsco.iobnet.co.in
Nature of instrument creating charge	Letter of Hypothecation
Date of instrument Creating the charge	01.11.2010
Amount secured by the charge	Rs. 19.899 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Cash Credit : Base rate + 2.75% presently 11.25% Term Loan I to III : Base rate + 2.75% presently 11.25% Terms of repayment Cash Credit : Repayable on Demand. Term Loan I : Repayable in 60 monthly installments of Rs.0.024 million each w.e.f. December 2007 Term Loan II : Repayable in 60 monthly installments of Rs.0.074 million each w.e.f. December 2008 Term Loan III : Repayable in 60 monthly installments of Rs.0.040 million each. Margin Cash Credit : 25% on Stocks 50% Book Debts Term Loan I : 50.00% Term Loan II & III : 25.00% Extent and operation of the charge The Charge to operate as security, by way of first exclusive charge, for the due repayment of the Cash Credit / Term Loan facility of Rs.19.899 millions together with interests, additional interest, costs, charges, expenses and all other moneys payable by the Company to the Bank from time to time in terms of sanction. Other Facility --------- Cash Credit Rs.16.000 Term Loan I Rs. 1.903 Term Loan II Rs. 0.636 Term Loan III Rs. 1.360 ------------------ ------------- Total Rs.19.899
Short particulars of the property charged (Including location of the property)	Hypothecation, by way of first charge, of all the company's : a) stocks which are stored / to stored at the Company's premises or elsewhere. b) book debts, receivables and all other claims which may due and owing to the company from time to time. c) plant and machineries installed / to be installed at the Company's premises, godowns or any other places.
Date of instrument modifying the charge	29.10.2010
Particulars of the present modification	The amount secured by charge has been enhanced to Rs.19.899 millions. Facilities ------------ Cash Credit Rs.16.000 Term Loan I Rs. 1.903 Term Loan II Rs. 0.636 Term Loan III Rs. 1.360 ------------------ ------------- Total Rs.19.899

Fixed Assets:

• Factory Building
• Factory Shed
• Plant and Machinery
• Computer and Software
• Printer
• Air Conditioner
• Motor Car
• Motor Bike
• Commercial Vehicles
• Furniture and Fixture
• Electrical Installation
• Mobile Phone Handset

Check List by Info Agents	Available in Report (Yes / No)
1) Year of Establishment	Yes
2) Locality of the firm	Yes
3) Constitutions 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	--
13) Reasons for variation <> 20%	--
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 (if applicable)	Yes
21) Market information	--
22) Litigations that the firm / promoter involved in	--
23) Banking Details	Yes
24) Banking facility details	--
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	--

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.50.90
UK Pound	1	Rs.80.30
Euro	1	Rs.68.47

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
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	Yes
--AFFILIATION	YES/NO	No
--LISTED	YES/NO	No
--OTHER MERIT FACTORS	YES/NO	Yes
TOTAL		45

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

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.