MIRA INFORM REPORT

Report Date :

22.11.2011

IDENTIFICATION DETAILS

Name :	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED
Registered Office :	79, Anupam Apartments, M.B. Road, New Delhi – 110068
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.09.1988
Com. Reg. No.:	55-033153
Capital Investment / Paid-up Capital :	Rs.11.460 Million
CIN No.: [Company Identification No.]	U74899DL1988PTC033153
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Automobile Parts Components, Springs, Gears, etc.
No. of Employees :	Not Available

RATING & COMMENTS

MIRA’s Rating :

Ba [46]

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

Maximum Credit Limit :	USD 577000
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)

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	79, Anupam Apartments, M.B. Road, New Delhi – 110068, India
Tel. No.:	91-11-29536784
Fax No.:	91-11-29536728
E-Mail :	gpp@specpro.com
Website :	http://www.specpro.com
Office / Factory 1 :	D-32, Bulandshahar Road, Industrial Area, Ghaziabad – 201009, Uttar Pradesh, India
Tel. No.:	91-120-2866418 / 4172900 to 29
Fax No.:	91-120-2866419
Factory 2 :	Plot No. D-50, Phase – II, Eldeco Sidcul Industrial Park, Sitarganj – 262405, District U.S. Nagar, Uttarakhand, India

DIRECTORS

As on 20.09.2011

Name :

Mr. Ishwar Chand Agarwal

Designation :

Managing director

Address :

R-12/52, Raj Nagar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

18.03.1930

Date of Appointment :

13.09.1988

DIN :

00153985

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	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Managing director	13/09/1988	13/09/1988	Active	NO
2	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	5/12/1991	5/12/1991	Active	NO
3	U28118DL2006PTC152621	KATO SPECTRA SPRINGS INDIA PRIVATE LIMITED	Director	28/08/2006	28/08/2006	Under liquidation	NO
4	U29253DL2008PTC175583	KASUYA GPP AUTO PRODUCTS PRIVATE LIMITED	Director	19/03/2008	19/03/2008	Active	NO

Name :

Mr. Jawahar Lal Maheshwari

Designation :

Director

Address :

400, Gagan Vihar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

01.03.1941

Date of Appointment :

13.09.1988

DIN :

00029244

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	U74899DL1984PTC017745	PERFECT SPRINGS PRIVATE LIMITED	Managing director	20/03/1984	20/03/1984	Active	NO
2	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	13/09/1988	13/09/1988	Active	NO
3	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	5/12/1991	5/12/1991	Active	NO

Name :

Mr. Sharad Agarwal

Designation :

Director

Address :

79, Anupam Apartments, M.B. Road, New Delhi – 110068, India

Date of Birth/Age :

26.12.1965

Date of Appointment :

13.12.2005

DIN :

00153510

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	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	5/12/1991	5/12/1991	Active	NO
2	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	13/12/2005	13/12/2005	Active	NO
3	U28118DL2006PTC152621	KATO SPECTRA SPRINGS INDIA PRIVATE LIMITED	Director	28/08/2006	28/08/2006	Under liquidation	NO
4	U80102KA2007PTC042900	A PLUS EDUCATION SOLUTIONS PRIVATE LIMITED	Director	15/07/2008	24/06/2008	Active	NO
5	U45400DL2008PTC174712	EDUCOMP INFRASTRUCTURE SERVICES PRIVATE LIMITED	Director	29/09/2009	4/4/2009	Active	NO
6	U80221DL2008PTC182100	INDIACAN EDUCATION PRIVATE LIMITED	Director	30/12/2009	22/06/2009	Active	NO
7	U70104DL2006PLC152963	EDUCOMP INFRASTRUCTURE AND SCHOOL MANAGEMENT LIMITED	Managing director	3/11/2009	3/11/2009	Active	NO
8	U80301MH2009PLC190552	KNOWLEDGE VISTAS LIMITED	Director	23/04/2010	23/04/2010	Active	NO
9	U74900DL2010PTC206437	SHIKSHA SOLUTIONS TRUSTEE PRIVATE LIMITED	Director	29/07/2010	29/07/2010	Active	NO

Name :

Mr. Amit Agarwal

Designation :

Director

Address :

R-12/52, Raj Nagar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

06.01.1972

Date of Appointment :

13.12.2005

DIN :

02028242

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	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	13/12/2005	13/12/2005	Active	NO
2	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	13/12/2005	13/12/2005	Active	NO
3	U29253DL2008PTC175583	KASUYA GPP AUTO PRODUCTS PRIVATE LIMITED	Director	19/03/2008	19/03/2008	Active	NO

Name :

Mr. Vijay Agarwal

Designation :

Director

Address :

R-12/52, Raj Nagar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

16.11.1943

Date of Appointment :

13.09.1988

DIN :

02069411

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	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	13/09/1988	13/09/1988	Active	NO
2	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	13/12/2005	13/12/2005	Active	NO

Name :

Mr. Narain Das Agarwal

Designation :

Director

Address :

D-18, Chander Nagar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

05.07.1929

Date of Appointment :

01.12.1994

DIN :

02105000

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	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Director	1/12/1994	1/12/1994	Active	NO
2	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	1/12/1994	1/12/1994	Active	NO
3	U29253DL2008PTC175583	KASUYA GPP AUTO PRODUCTS PRIVATE LIMITED	Director	24/03/2008	24/03/2008	Active	NO

Name :

Mr. Sanjeev Agarwal

Designation :

Director

Address :

SD – 425, Shastri Nagar, Ghaziabad, Uttar Pradesh, India

Date of Birth/Age :

09.04.1962

Date of Appointment :

13.09.1988

DIN :

02447684

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	U74899DL1988PTC033153	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED	Director	13/09/1988	13/09/1988	Active	NO
2	U74899DL1991PTC046647	SPECTRA PRODUCTS PRIVATE LIMITED	Whole-time director	13/12/2005	13/12/2005	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 20.09.2011

Names of Shareholders	No. of Shares
Agarwal Chand Ishwar	174200
Maheshwari Lal Jawahar	81500
Agarwal Vijay	129500
Agarwal Sanjeev	12400
Maheshwari Chetna	61900
Mahesh Sudhir	21000
Agarwal Amit	177400
Manjul Mahesh	15000
Monica Agarwal	10
Agarwal Sharad	10
Agarwal Anupama	19700
Agarwal V.K.	200
Spectra Products Private Lmited, India	358100
P.C. Maheshwari	40100
Maheshwari Paresh	55000
Total	1146020

As on 20.09.2011

Equity Share Break Up Category	Percentage
Bodies corporate	31.25
Directors or relatives of Directors	60.19
Other top fifty shareholders	8.56
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Automobile Parts Components, Springs, Gears, etc.

PRODUCTION STATUS As on 31.03.2011

Particulars	Unit	Actual Production
Push Rod	Nos.	4333827
Rocker Shaft	Nos.	673381
Lever Assembly	Nos.	202088
Lever Manufacturing	Nos.	1696447
Adj. Screw	Nos.	876418
Helical Spring	Nos.	14701728
U Bolt	Nos.	10

Note : No license is required to manufacture company’s products. Installed capacity will also differ depending on the item to which, it is put to use.

GENERAL INFORMATION

Customers :

Domestic

• Swaraj Mazda
• Eicher
• Tata Motors
• Royal Enfield
• Indfos
• Pricol
• Delphi
• Terex Vectra
• Mahindra Gujarat Tractor

International

• Caterpillar
• Deutz
• John Deere
• JCB
• Lister Petter
• Perkins
• Trucktec
• SAME
• Mitsubishi

No. of Employees :

Not Available

Bankers :

• State Bank of India, SIB Branch, Navyug Market, Ghaziabad - 201001, Uttar Pradesh, India
• ICICI Bank Limited, Landmarkrace Cource Circle, Alkapuri, Baroda - 390015, Gujarat, India
• HDFC Bank Limited
• Axis Bank Limited
• Punjab National Bank
• Small Industrial Development Bank of India

Facilities :

Secured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
SECURED TERM LOANS :
SIDBI LOAN - Foreign Currency	29.451	43.222
SIDBI LOAN – INR Secured against – a) 1^st pari pasu charge on D-32 Land and Building and all other plant and machinery not financed by ICICI / SIDBI b) 1^st charge on D-31 and exclusive charge on all plant and machinery financed by SIDBI loans c) Unconditional and irrevocable personal guarantee of Directors Mr l.C. Agarwal. Mrs. Vijay Aqarwal and Mr. Amit Aqarwal	12.375	7.100
ICICI-ECB LOAN Secured by first charge on A-22 Meerut Road, and all plant and machinery financed by ICICI Bank Ilnd charge on D-31.B S.R Industrial Area, Ghaziabad Unconditional and irrevocable personal guarantee of Directors Mr. I.C. Agarwal. Mrs. Vijay Agarwal and Mr. Sanjeev Agarwal	14.071	25.719
Term Loan from SIDBI (Secured against First charge by way of of all the movable fixed assets of sitarganj factory Extension of First charge by way of equitable mortgage on immovable properties owned by borrower located at D-31 admeasuring 2496 sq mtrs Extension of First charge by way of hypothecation of all movables fixed assets acquired by the company under its earlier. projects assisted by SIDBI Unconditional and irrevocable personal guarantee of Directors Shri I.C. Agarwal. Smt. Vijay Agarwal and Shri Amit Agarwal	24.800	0.000
WORKING CAPITAL SECURED LOAN
ICICI BANK (Secured against first pari pasu charge along with SBI on the hypothecation of Stock of raw material, semi finished goods, finished goods, and spares and consumables 8 assignment of book debts) and first pari pasu charge with SIDBI) and SBI on D-32 fixed assets not financed by SIDBI / ICICI Bank Unconditional and irrevocable personal guarantee of Directors Mr. I.C. Agarwal. Mrs. Vijay Agarwal and Mr. Sanjeev Agarwal
OCC	13.174	0.000
PCFC	10.560	13.020
Bill Discounting	17.034	0.000
PUNJAB NATIONAL BANK (Secured against hypothecation of Stock of raw material, semi finished goods, finished goods, and spares and consumables and assignment of book debts) and first pari pasu charge with SIDBI) in all fixed assets not financed by SIDBI / ICICI Bank Unconditional and irrevocable personal gurantee of Directors Mr. I C. Agarwal, Mrs. Vijay Agarwal and Mr. Amit Agarwal
OCC	0.000	11.307
PCL	0.000	12.416
Bill Discounting	0.000	25.374
STATE BANK OF INDIA (Secured against first pari pasu charge with 'ICICI bank on the hypothecation of Stock of raw material, semi finished goods, finished goods, and spares and consumables and assignment of book debts) and first paripasu charge with SIDBI)and ICICI Bank on D-32 fixed assets not financed by SIDBI / ICICI Bank Unconditional and irrevocable personal guarantee of Directors Mr. I,C, Agarwal. Mrs. Vijay Agarwal and Mr. Amit Agarwal
OCC	6.496	0.000
PCL	23.399	0.000
Bill Discounting	16.353	0.000
SECURED Car Loans
ICICI BANK Car Loan	1.244	0.202
HDFC Car Loan	0.000	0.108
AXIS BANK Car Loan	3.221	0.000
Car Loan from ICICI Bank (Sitarganj)	0.475	0.000
Total	172.653	138.468
Unsecured Loan	Rs. In Millions 31.03.2011	Rs. In Millions 31.03.2010
Directors/Shareholders	4.943	4.563
From Spectra- Associate Company	46.623	44.602
From Kasuya Gpp- Associate Company	15.000	15.000
From Sky Tech Infotech Private Limited	2.651	0.000
Total	69.217	64.165

Banking Relations :	--
Auditors :
Name :	Rakesh and Company Chartered Accountants
Address :	A-77, Malviya Nagar, New Delhi – 110017, India
Tel. No.:	91-11-26680296 / 26680181
PAN :	AAHFR9106R
Associates :	Spectra Products Private Lmited Kasuya GPP Auto Products Private Limited Address : D-32, Bulandshahar Road, Industrial Area, Ghaziabad – 201009, Uttar Pradesh, India

CAPITAL STRUCTURE

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1,500,000	Equity Shares	Rs.10/- each	Rs.15.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,146,020	Equity Shares	Rs.10/- each	Rs.11.460 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

Particulars		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		11.460	11.460	11.460
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		133.038	83.905	74.790
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		144.498	95.365	86.250
LOAN FUNDS
1] Secured Loans		172.653	138.468	140.890
2] Unsecured Loans		69.217	64.165	57.887
TOTAL BORROWING		241.870	202.633	198.777
DEFERRED TAX LIABILITIES		0.880	0.882	2.128
TOTAL		387.248	298.880	287.155
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		133.247	116.759	123.854
Capital work-in-progress		16.117	4.631	3.244
INVESTMENT		7.500	7.500	7.500
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	70.042	56.195	49.682
	Sundry Debtors	208.034	145.519	116.189
	Cash & Bank Balances	9.312	1.711	3.044
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	36.330	19.928	19.180
Total Current Assets		323.718	223.353	188.095
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	65.155	38.731	19.623
	Other Current Liabilities	11.179	7.671	8.287
	Provisions	17.000	6.961	7.628
Total Current Liabilities		93.334	53.363	35.538
Net Current Assets		230.384	169.990	152.557
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		387.248	298.880	287.155

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	599.100
		Other Income	13.685
		TOTAL (A)	612.785	371.654	329.164
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses
		TOTAL (B)	546.654	356.825	315.732
	PROFIT / [LOSS] BEFORE TAX (E-F) (G)		66.131	14.829	13.432
Less	TAX (H)		17.000	6.961	7.629
	PROFIT / [LOSS] AFTER TAX (G-H) (I)		49.131	7.868	5.803
	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		83.797	74.682	67.518
	BALANCE CARRIED TO THE B/S		133.038	83.797	74.682
	EARNINGS IN FOREIGN CURRENCY
		Export Sales	205.507	97.625	135.919
	TOTAL EARNINGS		205.507	97.625	135.919
	IMPORTS
		Raw Materials	19.781	17.501	25.826
		Plant and Machinery	0.000	0.000	0.966
	TOTAL IMPORTS		19.781	17.501	26.792
	Earnings/[Loss] Per Share (Rs.)		42.87	7.95	6.25

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	8.02	2.12	1.76
Net Profit Margin (PBT/Sales)	(%)	11.04	NA	NA
Net Profit Margin (PBT/Sales)	(%)	10.79	3.99	4.08
Return on Total Assets (PBT/Total Assets}	(%)	14.47	4.36	4.30
Return on Investment (ROI) (PBT/Networth)		0.46	0.15	0.16
Debt Equity Ratio (Total Liability/Networth)		2.32	2.68	2.72
Current Ratio (Current Asset/Current Liability)		3.47	4.18	5.29

LOCAL AGENCY FURTHER INFORMATION

Operations :

The Company's sales increased 65 % during the year from 362.600 millions to Rs.599.100 millions .The Profit after tax also increased from Rs. 7.868 millions to Rs. 49.131 millions.

Bankers Charges Report as per Registry

Corporate identity number of the company	U74899DL1988PTC033153
Name of the company	GHAZIABAD PRECISION PRODUCTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	79, Anupam Apartments, M B Road, New Delhi – 110068, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10280519
Type of charge	Immovable Property
Particular of charge holder	State Bank of India, SIB Branch, Navyug Market, Ghaziabad - 201001, Uttar Pradesh, India Email : jkscond@gmail.com
Nature of instrument creating charge	Letter of confirmation for creation of mortgage by deposit of title deeds
Date of instrument Creating the charge	27.05.2011
Amount secured by the charge	Rs.82.000 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest - Interest to be charged @ 4.50% margin above Base Rate with monthly rests or at such other rates as may be notified by the Bank to the Borrower from time to time. Terms of Repayment - Working Capital - Repayable on demand. Margin – 25% on Raw Materials-Imported/Indigenous 25% on Semi Finished Goods 25% on Finished Goods 25% on Components/consumables/spares 40% on Domestic Receivables 15% on LC 15% on BG Extent and Operation of the charge - The Company's immovable properties as mentioned hereunder are mortgaged to secure following credit facilities aggregating to Rs.82.000 Millions granted by the Bank to the Borrower:- 1.CC (Stocks and Book Debts)Rs.10.000 Millions 2.EPC/PCFC Rs.30.000 Millions 3.FBP/FBD Rs.35.000 Millions 4.BG Rs. 1.000 Million 5.ILC/FLC Rs. 6.000 Millions TOTAL Rs.82.000 Millions
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Equitable mortgage by deposit of title deeds of immovable properties situated at Plot No.D-50, Phase-II, Eldeco SIDCUL, Sitarganj, District Udham Singh Nagar, Uttarakhand
Date of instrument modifying the charge	26.05.2011
Particulars of the present modification	The credit facilities aggregating to Rs.82.000 Millions shall now also be collaterally secured by equitable mortgage of immovable properties

FIXED ASSETS :

§ Land

§ Building

§ Plant and Machinery

§ Furniture and Fixtures

§ Computer

§ Office Equipments

§ Motor Car

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.51.71
UK Pound	1	Rs.81.41
Euro	1	Rs.69.88

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	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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		46

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.