MIRA INFORM REPORT

Report Date :

18.11.2011

IDENTIFICATION DETAILS

Name :	METTUR GRANITES PRIVATE LIMITED
Registered Office :	2/1, 166 Salem Main Road, Kunjandiyur Konur Post, Mettur Dam, District Salem - 636402 , Tamilnadu
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	27.08.2004
Com. Reg. No.:	18-011300
Capital Investment / Paid-up Capital :	Rs.50.000 Millions
CIN No.: [Company Identification No.]	U14102TZ2004PTC011300
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of granite slabs.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

B (26)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 137000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some accumulated losses recorded by the company. However, Trade relations are reported as fair. Business is active. Payments are reported to be slow. The company can be considered for business dealings with some cautions.

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 :	2/1, 166 Salem Main Road, Kunjandiyur Konur Post, Mettur Dam, District Salem - 636402 , Tamilnadu, India
E-Mail :	rocatgsa@gmail.com
Website :	www.metturgranites.com
Administrative Office :	New No: 208 / 12, Csm Castle, Fourth Floor, Lloyds Road, Royapettah, Chennai - 600 014, Tamil Nadu
Tele Fax No.:	91-44-28133908
E-Mail :	metturgranites@yahoo.co.in
Area :	750 Acres
Location :	Owned
Factory :	277/1,2 and 3, Reddiyur, Pottaneri, Mettur Dam, Salem District – 636453, Tamil Nadu
Tel. No.:	91-4298-262171
Fax No.:	91-4298-262172
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :

Mr. Chinnappan Muthu

Designation :

Managing Director

Address :

208-12 C.S.M Castly, WNO 95 Avaishanmugam Road Royapettah, Chennai, 600014, Tamil Nadu, India

Date of Birth/Age :

07.01.1951

Qualification :

Post – Graduate

Experience :

38 years

Mobile No.:

91-9440-33908

Date of Appointment :

27.08.2004

DIN No. :

01826336

Name :

Mrs. Muthu Kala

Designation :

Director

Address :

208-12 C.S.M Castly, WNO 95 Avaishanmugam Road Royapettah, Chennai, 600014, Tamil Nadu, India

Date of Birth/Age :

14.05.1962

Date of Appointment :

27.08.2004

DIN No. :

01826704

Name :

Mr. Muthu Sasikumar

Designation :

Director

Address :

208-12 C.S.M Castly, WNO 95 Avaishanmugam Road Royapettah, Chennai, 600014, Tamil Nadu, India

Date of Birth/Age :

12.07.1978

Qualification :

MBBS

Date of Appointment :

27.08.2004

DIN No. :

01826311

Other Directorship :

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
U14102TZ2004PTC011300	Mettur Granites Private Limited	Director	27/08/2004	27/08/2004	-	Active	NO

Name :

Mr. Muthu Ramesh Kumar

Designation :

Director

Address :

208-12 C.S.M Castly, WNO 95 Avaishanmugam Road Royapettah, Chennai, 600014, Tamilnadu, India

Date of Birth/Age :

12.07.1982

Qualification :

M. Tech.

Date of Appointment :

27.08.2004

DIN No. :

01826089

Name :

Mr. Karuppan Selvakumaran

Designation :

Director

Address :

2/1-166, Kunjandiyur, Gonur, Mettur Dam, Salem - 636404, Tamilnadu, India

Date of Birth/Age :

01.06.1954

Qualification :

MBBS

Date of Appointment :

27.08.2004

DIN No. :

02681864

Name :

Mr. Vadivel Senbagarani

Designation :

Director

Address :

2/1-166, Salem Main Road, Saranya Clinic, Kunjandiyur, Gonur Post, Mettur Dam, 636404, Tamilnadu, India

Date of Birth/Age :

06.07.1960

Qualification :

Post – Graduate

Date of Appointment :

27.08.2004

DIN No. :

02672742

Name :

Mr. Kaliappan Sellammal

Designation :

Director

Address :

10/4-114, Nehru Nagar, Mettur Dam, Salem - 636402, Tamilnadu, India

Date of Birth/Age :

10.06.1958

Qualification :

Under - Graduate

Date of Appointment :

27.08.2004

DIN No. :

02681833

Name :

Mr. Kaliappan Prabhu

Designation :

Director

Address :

10/4-114, Nehru Nagar, Mettur Dam, Salem - 636402, Tamilnadu, India

Date of Birth/Age :

19.08.1983

Qualification :

MBA

Experience :

2 years

Date of Appointment :

27.08.2004

DIN No. :

02672728

Name :

Ms. Selvakumaran Saranya

Designation :

Directors

Address :

2/1-166, Salem Main Road, Kunjandiyur, Gonur Po, Mettur Dam R S, 636404, Tamilnadu, India

Date of Birth/Age :

24.03.1985

Qualification :

MBBS

Date of Appointment :

27.08.2004

DIN No. :

02672745

Name :

Subramaniam Kaliappan

Designation :

Director

Address :

10/4-114, Nehru Nagar, Mettur Dam, salem – 636402, Tamilnadu, India

Date of Birth/Age :

17.08.1951

Date of Appointment :

27.08.2004

DIN No. :

02693434

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
C. Muthu	175000
M. Kala	50000
M. Ramesh Kumar	50000
M Sasi Kumar	50000
K. Selavakumaran	20000
S. Kaliappan	45000
S. Shenbagarani	20000
K. Sellammal	45000
S. Saranya	10000
K. Prabhu	35000
Total	500000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of granite slabs.

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Tamilnad Mercantile Bank Limited, TTK Road Branch, Chennai – 600014, Tamilnadu, India

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
Tamilnad Mercantile Bank Limited – Term Loan (Loans are Secured by Mortgage of Land and Building and Hypothecation of Plant and Machinery, Stocks and the above loan is personally guaranteed by the Directors of the Company)	11.137	19.071
Total	11.137	19.071
Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Shareholders, Relatives and Directors	8.900	8.900
Total	8.900	8.900

Banking Relations :	--
Auditors :
Name :	A M Murugan Chartered Accountant
Address :	21/3, A- Block, First Floor, Krishna Apartments, Vidyalaya Road, Near R K Park, Salem – 636007, Tamilnadu, India
PAN.:	AJLPM2160P

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.100/- each	Rs.50.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
500000	Equity Shares	Rs.10/- each	Rs.50.000 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		50.000	50.000	50.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		0.000	0.000	0.000
4] (Accumulated Losses)		(15.568)	(17.556)	(10.653)
NETWORTH		34.432	32.444	39.347
LOAN FUNDS
1] Secured Loans		11.137	19.071	28.949
2] Unsecured Loans		8.900	8.900	8.900
TOTAL BORROWING		20.037	27.971	37.849
DEFERRED TAX LIABILITIES		1.405	1.205	0.934
TOTAL		55.874	61.620	78.130
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		54.982	62.720	71.653
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	52.688	60.136	61.102
	Sundry Debtors	0.711	3.468	9.662
	Cash & Bank Balances	1.629	0.442	0.788
	Other Current Assets	0.692	1.014	0.949
	Loans & Advances	0.000	0.000	0.000
Total Current Assets		55.720	65.060	72.501
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	55.048	66.404	66.315
	Other Current Liabilities	0.000	0.000	0.000
	Provisions	0.020	0.036	0.030
Total Current Liabilities		55.068	66.440	66.345
Net Current Assets		0.652	(1.380)	6.156
MISCELLANEOUS EXPENSES		0.240	0.280	0.321
TOTAL		55.874	61.620	78.130

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales and Services	29.265	55.088	100.838
		Other Income	0.054	1.307	0.377
		TOTAL (A)	29.319	56.395	101.215
Less	EXPENSES
		Operating Expenses	16.148	49.459	90.049
		Administrative and Other Expenses	1.220	1.563	2.036
		Preliminary Expenses written off	0.040	0.040	0.040
		TOTAL (B)	17.408	51.062	92.125
Less	PROFIT/ LOSS BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		11.911	5.333	9.090
Less	FINANCIAL EXPENSES (D)		1.984	3.032	3.883
	PROFIT/ LOSS BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		9.927	2.301	5.207
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.738	8.932	10.317
	PROFIT/ LOSS BEFORE TAX (E-F) (G)		2.189	(6.631)	(5.110)
Less	TAX (H)		0.201	0.271	0.486
	PROFIT/ LOSS AFTER TAX (G-H) (I)		1.988	(6.902)	(5.596)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		(17.555)	(10.653)	(5.057)
	BALANCE CARRIED TO THE B/S		(15.567)	(17.555)	(10.653)
	IMPORTS
		CIF Basis	1.176	0.000	0.000
	TOTAL IMPORTS		1.176	0.000	0.000
	Earnings/ Loss Per Share (Rs.)		3.98	(13.80)	(10.22)

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	6.78	12.24	5.53
Net Profit Margin (PBT/Sales)	(%)	7.47	12.03	5.06
Return on Total Assets (PBT/Total Assets}	(%)	1.98	5.18	3.54
Return on Investment (ROI) (PBT/Networth)		0.06	0.20	0.12
Debt Equity Ratio (Total Liability/Networth)		2.18	2.91	2.65
Current Ratio (Current Asset/Current Liability)		1.01	0.979	1.09

LOCAL AGENCY FURTHER INFORMATION

FORM 8

This form is for	Modification of charge
Charge identification number of the modified	10002390
Corporate identity number of the company	U14102TZ2004PTC011300
Name of the company	METTUR GRANITES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	2/1, 166 Salem Main Road, Kunjandiyur Konur Post, Mettur Dam, District Salem - 636402 , Tamilnadu, India
Type of charge	Immovable property Book Debts Movable Property (not being pledge) Floating Charge
Particular of charge holder	Tamilnad Mercantile Bank Limited, TTK Road Branch, Chennai – 600014, Tamilnadu, India Email Id : chennai_ttkroad@tnmbonline.com
Nature of description of the instrument creating or modifying the charge	Letter of Hypothecation of Book Debts, Agreement for demand Cash Credit on Hypothecation of Movable Properties, Letter of Hypothecation and Agreement for Opening Inland /Foreign Letter of Credit
Date of instrument Creating the charge	17.08.2007
Amount secured by the charge	Rs.45.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest 7.5% or BRR Terms of Repayment Period Repayable on demand Margin PCL -25% FLC /FBP/FBD/AAFBSC - 10% Extent and Operation of the charge The borrower shall not , during the continuance of this agreement of Hypothecation or otherwise, charge or encumber any of the assets for the time being the subject or indented to be the subject of the security nor do or permit any act whereby the security herein before expressed to be given to the bank shall be any way prejudicially affected. Others Nil
Short particulars of the property charged	Hypothecation of Stock in trade of Granite Slabs, Monuments, Hypothecation of documents covering the above goods , Equitable Mortgage of Land to the extent of 7 Acres and 62 Cents and factory and office building at S.No 277/1,2,3 potteneri
Date of latest modification prior to the present modification	15.04.2006
Particulars of the present modification	The company has renewed the existing Packing Credit Limit of Rs.20.000 Millions and FBP/FBD/AAFBSC Limit of Rs.20.000 Millions and has availed the additional FLC Limit of Rs.5.000 Millions Total charge is enhanced to Rs.45.000 Millions.

FIXED ASSETS

· Land and Site Development

· Building Account

· Machinery

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

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	3
PAID-UP CAPITAL	1~10	4
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	2
--CREDIT LINES	1~10	2
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		26

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.