MIRA INFORM REPORT

Report Date :

18.11.2011

IDENTIFICATION DETAILS

Name :	JOSTS ENGINEERING COMPANY LIMITED
Registered Office :	Great Social Building, 60, Sir Phiozeshah Mehta Road, Mumbai – 400001, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	09.05.1907
Com. Reg. No.:	11-00252
Capital Investment / Paid-up Capital :	Rs. 7.646 Millions
CIN No.: [Company Identification No.]	L28100MH1907PLC000252
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed in Stock Exchanges.
Line of Business :	Manufacturing and Selling of Material Handling Equipments, Industrial Finishing, Machine Tools, etc. Importing and Exporting of Industrial Engineering Products.
No. of Employees :	About 400 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (53)

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

Maximum Credit Limit :	USD 400000
Status :	Satisfactory
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is an old and an established company having satisfactory track records. 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.

INFORMATION DECLINED BY

Name :	Mr. H P Sanga
Designation :	Account Manager
Date :	18.11.2011

LOCATIONS

Registered Office :	Great Social Building, 60, Sir Phiozeshah Mehta Road, Mumbai – 400001, Maharashtra, India
Tel. No.:	91-22-22661150 / 22661166/ 61202300
Fax No.:	91-22-22661951 / 61202345
E-Mail :	jostho@bom2.vsnl.net.in jostsho@josts.in infomhe@josts.in (Material Handling) bullowsthance@josts.in (Industrial Finishing) info@josts.in (Engineered Products)
Website :	www.josts.com
Branch Office 1:	Plot Number 3, Survey Number 126, Paud Road, Pune 411 038, Maharashtra, India.
Tel. No.:	91-20-25434390/25434350
Fax No.:	91-20- 25434393
E-Mail :	salespune@josts.in
Website :	www.josts.com
Branch Office 2:	C-7 Wagle Industrial Estate, Road No. 12, Thane-400604, Maharashtra, India
Tel. No.:	91-22-25821727/ 25821746/ 25821748/ 25822083
Fax No.:	91-22-25823478
E-Mail :	jostfact@josts.in
IFD:	bullowsthane@jostsl.in
Branch Office 3:	304, 3^rd Floor, 5, PUSA Road, New Delhi-110005, India
Tel. No.:	91-11-45676000/ 45676014
Fax No.:	91-11-28750819
E-Mail :	salesdelhi@josts.in
Branch Office 4:	C39, II Avenue, Annanagar, Post Box 3477, Chennai-600040, Tamilnadu, India
Tel. No.:	91-44-26268536/ 26288407
Fax No.:	91-44-26211708
E-Mail :	saleschennai@josts.in
Branch Office 5:	103, Maruti Apartments, 31, Haribhakti Society Race Course Circle, Vadodara-390007, Gujarat, India
Tel. No.:	91-265-2351642
E-Mail :	salesbaroda@josts.in
Branch Office 6:	19, British Indian Street, Post Box 64, Kolkata-700069, West Bengal, India
Tel. No.:	91-33-22429510
Fax No.:	91-33-22480861
E-Mail :	salescal@josts.in
Branch Office 7:	Krishna Vilas, 1/3 Palace Road, Bangalore-560001, Karnataka, India
Tel. No.:	91-80-22263707/ 22263708
Fax No.:	91-80-22259871
E-Mail :	salesblr@josts.in
Branch Office 8:	Plot No. 9-1-9/1, Flat No. -101, Sri Raghava Beside Sangeet Theatre, Sarojini Devi Road, Secunderabad-500003, Andhra Pradesh, India
Tel. No.:	91-40-27714934/ 44/ 45
Fax No.:	91-40-27712655
E-Mail :	saleshyd@josts.in
Factory 1 :	C-7, Wagle Industrial Estate, Road No. 12, Thane - 400 604, Maharashtra
Tel. No.:	91-22-25821727/25821746/25821748/25822083
Fax No.:	91-22-25823478
E-Mail :	jostfact@thane.josts.com

DIRECTORS

(AS ON 31.03.2011)

Name :	Mr. Burjor Hormusji Reporter
Designation :	Chairman
Address:	24-C, Bal Gangadhar Kher Marg, Mumbai-400006, Maharashtra, India
Date of Birth/ Age:	13.02.1924
Date of Appointment :	27.08.1953
DIN No.:	00282711
Name :	Mr. Shailesh Rajnikant Sheth
Designation :	Director
Address:	Shakuntala School Building, 1^st Floor, Flat No. 2, 38, Maharshi Karve Marg, Marine Lines, Mumbai-400020, Maharashtra, India
Date of Birth/Age:	29.121.1946
Date of Appointment:	27.11.1997
DIN No.:	00041713
Name :	Mr. Marco Philippus Ardeshir Wadia
Designation :	Directors
Address:	Thakur Niwas, 173, Jamshedji Tata Road, Mumbai-400020, Maharashtra, India
Date of Birth/ Age:	30.01.1956
Date of Appointment:	02.06.1998
DIN No.:	00244357
Name :	Mr. Farokh Kekhushroo Banatwalla
Designation :	Director
Address:	603, Neelsagar, TPSIII 28^th Roadl, Bandra West, Mumbai-400050, Maharashtra, India
Date of Birth/ Age:	19.04.1949
Date of Appointment:	21.04.2009
DIN No.:	02670802
Name :	Mr. Pradeep Kumar Bhargava
Designation :	Director
Address:	19, Cozy Retreat Sindh Society Road, No. 3, Aundh, Pune-411007, Maharashtra, India
Date of Birth/ Age:	25.06.1949
Date of Appointment:	30.10.2009
DIN No.:	00525234

KEY EXECUTIVES

Name :	Mr. Chandrakant Bhalchandra Sagvekar
Designation :	Company Secretary
Address:	Kumar Co-Operative Housing Society, Block No. B 11, Koparl Road, Dombivali (West), Thane-421202, Maharashtra, India
Date of Birth/ Age:	01.12.1948
Date of Appointment :	02.09.1996
PAN No.:	ACRPS4712J
Name :	Crawford Bayley and Company
Designation :	Solicitors
Name :	Mr. R.P. Pargaonkar
Designation :	President
Name :	Mr. S. Subramani
Designation :	Head Material Handling
Name :	Mr. D.P. Deodhar
Designation :	Head Industrial Estate
Name :	Mr. V M Deodar
Designation :	Head Sound and Vibration
Name :	Mr. S. B. Bhat
Designation :	Head Environment Simulation
Name :	Mrs. Neena Ramesh
Designation :	Head Components
Name :	Mr. A A Nag
Designation :	Head Electrical
Name :	Mrs. Neena Ramesh
Designation :	Head Nanotech Analytical Solutions
Name :	Mr. L Sharath Kumar
Designation :	Head Process Control Instrumentation
Name :	Mr. H P Sanga
Designation :	Account Manager

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2011)

Category of Shareholders	No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	186,870	24.44
Bodies Corporate	147,040	19.23
Sub Total	333,910	43.67
(2) Foreign
Individuals (Non-Residents Individuals / Foreign Individuals)	36,000	4.71
Sub Total	36,000	4.71
Total shareholding of Promoter and Promoter Group (A)	369,910	48.38
(B) Public Shareholding
(1) Institutions
Financial Institutions / Banks	595	0.08
Sub Total	595	0.08
(2) Non-Institutions
Bodies Corporate	5,849	0.76
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 Million	195,248	25.53
Individual shareholders holding nominal share capital in excess of Rs.0.100 Million	180,294	23.58
Any Others (Specify)	12,754	1.67
Non Resident Indians	12,754	1.67
Sub Total	394,145	51.55
Total Public shareholding (B)	394,740	51.62
Total (A)+(B)	764,650	100.00
(C) Shares held by Custodians and against which Depository Receipts have been issued	-	-
(1) Promoter and Promoter Group	-	-
(2) Public	-	-
Sub Total	-	-
Total (A)+(B)+(C)	764,650	100.00

SHAREHOLDING BELONGING TO THE CATEGORY

"PROMOTER AND PROMOTER GROUP"

Sl. No.	Name of the Shareholder	Number	As a % of
1	Aloo Burjor Reporter	73,450	9.61
2	Bullows India Private Limited	71,040	9.29
3	Burjor Hormusji Reporter	76,420	9.99
4	Farrokh Jamshyd Batliwala	17,000	2.22
5	Parviz Jamshyd Batliwala	39,000	5.10
6	Phiroze Sethna Private Limited	76,000	9.94
7	Shireen Jamshyd Batliwala	17,000	2.22
	Total	369,910	48.38

"PUBLIC" AND HOLDING MORE THAN 1% OF THE TOTAL NO.OF SHARES

Sl. No.	Name of the Shareholder	No. of Shares	Shares as % of Total No. of Shares
1	Akshay Raheja	38,200	5.00
2	Hafeez Sorab Contractor	10,147	1.33
3	Jigna Kanayalal Shah	8,078	1.06
4	Laila Hitchens	8,000	1.05
5	Saraiya Bhavin Ramakant	8,059	1.05
6	Sharad Kanayalal Shah	28,117	3.68
7	Shireen Nowrosji Gamadia	16,000	2.09
8	Sodhi Parvathi Devi	17,540	2.29
9	Subbarayan Behram Kumar Ramangalam	21,980	2.87
10	Varsha Sharad Shah	10,110	1.32
11	Viren Raheja	38,200	5.00
	Total	204,431	26.74

BUSINESS DETAILS

Line of Business :

Manufacturing and Selling of Material Handling Equipments, Industrial Finishing, Machine Tools, etc.

Importing and Exporting of Industrial Engineering Products.

Products :

Product Description	ITC Code
Material Handing Equipment	842700
Agency Services	--

PRODUCTION STATUS AS ON 31.03.2011

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Material Handling Equipment	Nos.	Not Applicable	The Company manufacturers various products on versatile machines and hence the installed capacity cannot be ascertained.	545

GENERAL INFORMATION

No. of Employees :

About 400 (Approximately)

Bankers :

· Oman International Bank S.A.O.G.

· The South India Bank Limited, EMCA House, Ground Floor, 289, S.B. Singh Road, Fort, Mumbai-400039, Maharashtra, India

· Standard Chartered Bank

· The Zoroastrian Co- Operative Bank Limited, Mumbai Main Branch, Yusuf Building, Ground Floor, V.N. Road, Fort, Mumbai-400001, Maharashtra, India

· HDFC Bank Limited

· ANZ Grindlays Bank Limited O.R.D.S.A., 90 , Mahama Gandhi Road, Mumbai -400001, Maharashtra, India

· Central Bank of India, 1^st Floor, Mumbai Main Office Building, Fort, Mumbai – 400023, Maharashtra, India

· Oman International Bank Saog, A-Wing, Mittal Court, Nariman Point, Mumbai-400021, Maharashtra, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
Cash credit from banks Secured by hypothecation of stock and book debts and an equitable mortgage of the Company’s properties at Thane on a pari passu basis.	0.000	0.000
Auto Loans from Bank Secured by hypothecation of Underlying vehicles	0.255	0.626
Term Loan from Bank Secured by hypothecation of related items of Plant and Machinery	--	0.422
Term Loan from Bank To be secured by hypothecation of Plant and Machinery and an equitable mortgage of the company’s properties at Thane on a pari passu basis	--	0.023
Total	0.255	1.071

Banking Relations :	--
Auditors :
Name :	Sorab S. Engineer and Company Chartered Accountants
Address :	Ismail Building, 4^th Floor, 381, Dr. D.N. Road, Mumbai-400001, Maharashtra, India
Associates Companies :	· Bullows India Private Limited · Bullows Paint Equipment Private Limited · Phiroze Sethna Private Limited

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital:

No. of Shares	Type	Value	Amount
1000000	Equity Shares	Rs.10/-each	Rs.10.000 millions

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount
764650	Equity Shares	Rs.10/- each	Rs.7.647 millions
Less	Calls unpaid (other than by directors)		Rs.0.001 million
	Total		Rs. 7.646 Millions

Of the above:

· 10000 Shares are allotted as fully paid – up pursuant to a contract without payment being received in cash.

· 210000 Shares are allotted as fully paid up by way of Bonus Shares by Capitalisation of Reserves.

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		7.646	7.646	7.646
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		86.908	60.706	46.365
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		94.554	68.352	54.011
LOAN FUNDS
1] Secured Loans		0.255	1.071	3.135
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.255	1.071	3.135
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		94.809	69.423	57.146
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		17.698	15.961	14.635
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.216	13.172	0.414
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	59.444	56.962	56.379
	Sundry Debtors	207.163	164.171	144.789
	Cash & Bank Balances	34.632	20.170	20.512
	Other Current Assets	0.250	0.227	0.232
	Loans & Advances	31.906	27.060	25.102
Total Current Assets		333.395	268.590	247.014
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	143.940	122.888	97.018
	Other Current Liabilities	77.511	70.637	74.673
	Provisions	35.049	34.775	33.226
Total Current Liabilities		256.500	228.300	204.917
Net Current Assets		76.895	40.290	42.097
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		94.809	69.423	57.146

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	694.215	516.875	389.274
		Commission	53.553	61.720	82.972
		Other Income	32.390	31.095	23.202
		TOTAL	780.158	609.690	495.448
Less	EXPENSES
		Manufacturing, Trading and Other Expenses	718.360	565.573	464.071
		Interest on Fixed Loans	0.699	1.151	0.705
		Interest on Others	0.712	0.158	0.322
		TOTAL	719.771	566.882	465.098
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		60.387	42.808	30.350
Less/ Add	DEPRECIATION/ AMORTISATION		5.314	5.522	5.981
	PROFIT BEFORE TAX		55.073	37.286	24.369
Less	TAX		11.097	14.000	11.784
	PROFIT AFTER TAX		43.976	23.286	12.585
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		40.323	28.311	23.710
Less	APPROPRIATIONS
		Transfer to General Reserve	4.398	2.329	1.275
		Proposed Dividend	15.293	7.646	5.735
		Tax on Proposed Dividend	2.481	1.299	0.974
	BALANCE CARRIED TO THE B/S		62.127	40.323	28.311
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	2.375	0.000	0.000
		Commission Earnings	53.553	61.720	82.723
	TOTAL EARNINGS		55.928	61.720	82.723
	IMPORTS
		Components	21.163	4.810	33.097
		Finished Goods for resale	114.820	59.976	61.397
	TOTAL IMPORTS		135.983	64.786	94.494
	Earnings Per Share (Rs.)		57.51	30.45	16.46

QUARTERLY RESULTS

PARTICULARS	30.06.2011	30.09.2011
Type	1^st Quarter	2^nd Quarter
Net Sales	155.580	198.470
Total Expenditure	143.890	176.760
PBIDT (Excl OI)	11.690	21.710
Other Income	0.300	0.240
Operating Profit	11.990	21.950
Interest	0.080	0.530
Exceptional Items	0.000	0.000
PBDT	11.910	21.420
Depreciation	0.990	1.240
Profit Before Tax	10.930	20.180
Tax	3.550	6.550
Provisions and contingencies	0.000	0.000
Profit After Tax	7.380	13.630
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	7.380	13.630

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.64	3.82	2.54
Net Profit Margin (PBT/Sales)	(%)	7.93	7.21	6.26
Return on Total Assets (PBT/Total Assets}	(%)	15.69	13.10	9.31
Return on Investment (ROI) (PBT/Networth)		0.58	0.55	0.45
Debt Equity Ratio (Total Liability/Networth)		2.72	3.36	3.85
Current Ratio (Current Asset/Current Liability)		1.30	1.17	1.21

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2011	31.03.2010	31.03.2009
	(Rs. In Millions)
Sundry Creditors
- Due to Micro and small enterprises	--	--	--
- Others	143.940	122.888	97.018
Total	143.940	122.888	97.018

OPERATIONS:

Sales for the year were Rs. 694.200 Millions as against Rs. 516.900 Millions in the previous year. The Profit after tax was Rs. 44.000 Millions as against Rs. 23.300 Millions in the previous year. Generally business should continue to progress. Barring unforeseen circumstances, there should be improved results in the current year.

CONTINGENT LIABILITIES:

Particulars	31.03.2011 Rs. In Millions	31.03.2010 Rs. In Millions	31.03.2009 Rs. in Millions
Disputed Sales Tax Matters	64.724	14.084	14.693
Disputed Service Tax Matters	0.552	0.552	0.552
Bank Guarantee for performance contracts	26.484	35.791	20.671
Other disputed matters	0.850	0.850	0.850
Central excise matters	17.098	17.098	0.667

Bankers Charges Report as per Registry

Name of the company	JOSTS ENGINEERING COMPANY LIMITED
Presented By	The South Indian Bank Limited, Fort Branch, Mumbai-400038, Maharashtra, India
1) Date and description of instrument creating the change	Memorandum of Entry for Equitable Mortgage dated 17.11.1997
2) Amount secured by the charge/amount owing on the securities of charge	Bank Guarantee Rs. 10.000 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	Equitable Mortgage on the property of the company situated at Thane and Faridabad to cover the facilities granted by The South Indian Bank Limited, Fort Branch with other consortium Members. Details of the Properties: All the freehold plot of Land admeasuring 2428 sq. yds. Or thereabouts situated and lying and being Plot No. 37, Industrial Estate No.-1 in the Revenue Estate of Mevla Maharajpur, Tehail Ballbagarh, originally District Gurgaon, now district Faridbad, Haryana All that piece or parcel of land known as Plot No. C-7, in the Thana Industrial Area within the village limits of Panchkhadi, Taluka and Registration Sub-District Thana, District and Registration District Thane, Containing by and Registration District Thane, containing by admeasurements 6921 square meters i.e. 8277 sq. yds.
4) Gist of the terms and conditions and extent and operation of the charge.	The Bank Guarantee Facility is secured by creation of Equitable Mortgage of Property.
5) Name and Address and description of the person entitled to the charge.	The South India Bank Limited, Emca House, Ground floor, 289, S.B. Singh Road, P.B. No.- 1602l, Fort, Mumbai-400039, Maharashtra, India
6) Date and brief description of instrument modifying the charge	Memorandum of Entry of Equitable Mortgage dated 17^th April, 2003.
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.	By this modification, the Bank Guarantee limit of Rs. 10.000 Millions reduced by Rs. 8.000 Millions. The Present limit stand Rs. 2.000 Millions

Corporate identity number of the company	L28100MH1907PLC000252
Name of the company	JOSTS ENGINEERING COMPANY LIMITED
Address of the registered office or of the principal place of business in India of the company	Great Social Building Sir P M Road Fort Mumbai 400001 Maharashtra India
This form is for	Modification of Charge
Charge identification number of the charge to be modified	10022862
Type of charge	Book Debts Movable Property (not being pledge) Floating Charge
Particular of charge holder	The Zoroastrian Co- Operative Bank Limited, Mumbai Main Branch, Yusuf Building, Ground Floor, V.N. Road, Fort, Mumbai-400001, Maharashtra, India
Nature of instrument creating charge	Supplemental Deed of Hypothecation (I) Additional Limit
Date of instrument Creating the charge	27.11.2009
Amount secured by the charge	Rs. 46.000 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest Rate of Interest may be stipulated by Bank from time to time Terms of Repayment On Demand Margin As may be stipulated by Bank from time to time Extent and Operation of the charge Company’s Stocks, book debts and plant and machinery particularly described in Column No. 15 as security for the repayment of credit facilities of Rs. 46.000 Millions together with interest cost and all other charges.
Short particulars of the property charged	Hypothecation of stock and book debts Hypothecation of Plant and Machinery
Date of instrument modifying the charge	30.08.2007
Particulars of the present modification	The charge now stands increased from Rs. 20.000 Millions to Rs. 46.000 Millions in favour of the bank

FIXED ASSETS:

Tangible Assets

· Leasehold Land

· Building on Leasehold Land

· Plant and Machinery

· Furniture, Fixtures and Equipments

· Vehicles

Intangible assets

· Software

· Trade Marks

· Technical Know – How

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] 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.50.72
UK Pound	1	Rs.79.88
Euro	1	Rs.68.46

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	9
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--PROFITABILIRY	1~10	6
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--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	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		53

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.