MIRA INFORM REPORT

Report Date :

05.10.2011

IDENTIFICATION DETAILS

Name :	BANSAL WIRE INDUSTRIES LIMITED
Registered Office :	42 Rajasthani Udyog Nagar, G.T. Karnal Road Delhi, Delhi- 110033, Delhi, India
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	11.12.1985
Com. Reg. No.:	55-022737
Capital Investment / Paid-up Capital :	Rs.30.926 millions
CIN No.: [Company Identification No.]	U31300DL1985PLC022727
TAN No.: [Tax Deduction & Collection Account No.]	DELB01242D
PAN No.: [Permanent Account No.]	AAACB1305Q
Legal Form :	A closely held public limited liability company.
Line of Business :	Manufactures Stainless Steel Wire and Mild Steel Wire.
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 753000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an well 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 – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
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 :	42 Rajasthani Udyog Nagar, G.T. Karnal Road Delhi, Delhi- 110033, Delhi, India
E-Mail :	spaaco@bol.net.in INFO@BANSALWIRE.COM
Website:	http://www.bansalwire.com
Factory No.1	B-3 Site II, Zoni Road Indl. Area, Mohan Nagar, Ghaziabad- 201007, India
Tel. No.:	91- 120- 6453010 / 2657034-35
Fax No.:	91- 120- 2659394
Corporate Office :	F-3,Shastri Nagar, New Delhi- 110052, India
Tel. No.:	91- 11- 23651891/92/93
Fax No.:	91- 11- 23651890
Mobile No:	91- 9871697611 (Mr. V K Garg), 9810047097 (Mr. Vijay Jain)
E-Mail :	info@bansalwire.com

DIRECTORS

As on 29.09.2010

Name :

Mr. Arun Kumar Gupta

Designation :

Director

Address :

F-7, Ashok Vihar, Phase-1, Delhi- 110052, India

Date of Birth/Age :

06.04.1958

Date of Appointment :

11.12.1985

Din No:

00255850

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	U31300DL1985PLC022737	BANSAL WIRE INDUSTRIES LIMITED	Director	12/11/1985	12/11/1985	-	Active	NO
2	U74899DL1989PTC037148	MANISHI TOWERS PRIVATE LIMITED	Director	8/29/1989	8/29/1989	-	Active	NO
3	U74899DL1977PTC008500	VIKAS ELECTRONICS (INTERNATIONAL) PRIVATE LIMITED	Director	8/10/1990	8/10/1990	-	Active	NO
4	U74899DL1994PTC057334	BANSAL STRIPS PVT LTD	Director	2/10/1994	2/10/1994	-	Active	NO
5	U74899DL1988PTC030216	BALAJI WIRES PRIVATE LIMITED	Director	3/25/1997	3/25/1997	-	Active	NO
6	U27101DL1997PTC088181	BANSAL HIGH CARBONS PRIVATE LIMITED	Director	6/26/1997	6/26/1997	-	Active	NO
7	U33111HR1998PTC034082	SHIVAM DIAGNOSTICS PRIVATE LIMITED	Director	12/2/1998	12/2/1998	-	Active	NO
8	U40102DL1999PTC100040	INDRAPRASTHA VIDYUT UDYOG PVT LTD	Director	6/12/1999	6/12/1999	5/7/2008	Active	NO
9	U51420DL1999PTC100475	S S PRANAV STEELS PRIVATE LIMITED	Director	7/1/1999	7/1/1999	3/26/2011	Active	NO
10	U74899DL1992PTC050941	SHIVAM WIRES PRIVATE LIMITED	Director	8/14/2000	8/14/2000	-	Active	NO
11	U74899DL1995PLC068689	SFIL STOCK BROKING LIMITED	Director	6/2/2005	6/2/2005	-	Active	NO
12	U52322DL1996PTC082040	FAIR VALUE TRADERS PRIVATE LIMITED	Director	6/4/2005	6/4/2005	5/18/2011	Active	NO
13	U27106DL1999PTC101645	S S A P STEELS PRIVATE LIMITED	Director	5/6/2011	5/6/2011	-	Active	NO

Name :

Mr. Dharam Pal Singh

Designation :

Director

Address :

A-47, Ashok Vihar, Delhi- 110052, India

Date of Birth/Age :

05.01.1956

Date of Appointment :

01.06.1991

Din No:

00319731

Name :

Miss. Manishi Gupta

Designation :

Director

Address :

F-7, Ashok Vihar, Phase-1, Delhi- 110052, India

Date of Birth/Age :

16.05.1986

Date of Appointment :

22.01.2010

Din No:

00256368

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	U51420DL1999PTC100475	S S PRANAV STEELS PRIVATE LIMITED	Director	9/29/2005	9/29/2005	3/26/2011	Active	NO
2	U74899DL1977PTC008500	VIKAS ELECTRONICS (INTERNATIONAL) PRIVATE LIMITED	Director	3/1/2008	3/1/2008	-	Active	NO
3	U74899DL1992PTC050941	SHIVAM WIRES PRIVATE LIMITED	Director	3/1/2008	3/1/2008	3/26/2011	Active	NO
4	U74899DL1994PTC057334	BANSAL STRIPS PVT LTD	Director	1/11/2010	1/11/2010	-	Active	NO
5	U27101DL1997PTC088181	BANSAL HIGH CARBONS PRIVATE LIMITED	Director	1/11/2010	1/11/2010	-	Active	NO
6	U31300DL1985PLC022737	BANSAL WIRE INDUSTRIES LIMITED	Director	1/22/2010	1/22/2010	-	Active	NO
7	U74899DL1989PTC035628	BIRBAL DRESSES PRIVATE LIMITED	Director	7/9/2011	7/9/2011	-	Active	NO
8	U74899DL1992PTC050797	BIRBAL LEASING AND FINANCE PRIVATE LIMITED	Director	7/9/2011	7/9/2011	-	Active	NO

Name :

Mr. Hari Om Goyal

Designation :

Director

Address :

BN-9, East Shalimar Bagh, Delhi-110052, India

Date of Birth/Age :

15.10.1945

Date of Appointment :

13.05.1989

Din No:

00396564

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	U74899DL1984PTC019413	OM AUTO TRADING PRIVATE LIMITED	Director	11/27/1984	11/27/1984	-	Active	NO
2	U31300DL1985PLC022737	BANSAL WIRE INDUSTRIES LIMITED	Director	5/13/1989	5/13/1989	-	Active	NO
3	U74899DL1987PTC028903	RAJASTHANI DHATU UDYOG PRIVATE LIMITED	Director	6/28/1995	6/28/1995	-	Active	NO
4	U40102DL1999PTC100040	INDRAPRASTHA VIDYUT UDYOG PVT LTD	Director	7/20/1999	7/20/1999	5/7/2008	Active	NO
5	U85191DL2009PTC197517	Mind & Soul Fitness Private Limited	Director	12/31/2009	12/31/2009	-	Active	NO

Name :

Miss. Anita Gupta

Designation :

Director

Address :

F-7, Ashok Vihar, Phase-1, Delhi- 110052, India

Date of Birth/Age :

30.04.1960

Date of Appointment :

01.02.1994

Din No:

00255938

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	U31300DL1985PLC022737	BANSAL WIRE INDUSTRIES LIMITED	Director	2/1/1994	2/1/1994	-	Active	NO
2	U74899DL1994PTC057334	BANSAL STRIPS PVT LTD	Director	2/10/1994	2/10/1994	-	Active	NO
3	U27101DL1997PTC088181	BANSAL HIGH CARBONS PRIVATE LIMITED	Director	6/26/1997	6/26/1997	-	Active	NO
4	U74899DL1989PTC037148	MANISHI TOWERS PRIVATE LIMITED	Director	11/15/2002	11/15/2002	-	Active	NO
5	U74899DL1988PTC030216	BALAJI WIRES PRIVATE LIMITED	Director	6/5/2003	6/5/2003	-	Active	NO
6	U74899DL1995PLC068689	SFIL STOCK BROKING LIMITED	Director	6/2/2005	6/2/2005	-	Active	NO
7	U74899DL1989PTC036588	MANGLAM WIRES PRIVATE LIMITED	Director	9/29/2005	9/29/2005	-	Active	NO
8	U51420DL1999PTC100475	S S PRANAV STEELS PRIVATE LIMITED	Director	1/11/2010	1/11/2010	3/26/2011	Active	NO
9	U27106DL1999PTC101645	S S A P STEELS PRIVATE LIMITED	Director	5/6/2011	5/6/2011	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 29.09.2010

Names of Shareholders	No. of Shares
Arun Kumar Gupta	115900
Ram Kishan Gupta	7500
Sanjiv Kumar Goyal	900
Anita Gupta C/o. Arun Kumar Gupta	155000
Manishi Gupta C/o. Arun Kumar Gupta	34400
Shivam Wires Private Limited, New Delhi	329460
Satya Credits Private Limited, Delhi	258800
Arun Kumar Gupta C/o. Shyam Sunder Arun Kr	60500
Arun Kumar Gupta C/o. Shyam Sunder Gupta and Mandir Sree Kanhiya Lal Trust	30000
Shri. Arun Kumar Gupta C/o. Shyam Sunder Gupta (HUF)	192000
Shivlok Apartments Private Limited, New Delhi	283000
On Time Financial Services Private Llimited, New Delhi	222000
Master Pranav Bansal C/o Arun Kumar Gupta	187500
Santosh Goel	900
Fair Value Traders Private Limited, New Delhi	384500
Pawan Kumar Jain S/o Late Shri P.C.Jain	100000
Shrassha Finlease Private Limited, New Delhi	20000
Arun Kumar Gupta (Karta) C/o Arun Kumar Gupta (HUF)	49100
S.S.A.P. Steels Private Limited, New Delhi	84900
A.P. Bansal	100000
Shalabh Agarwal	28000
Manglam Wires Private Limited, New Delhi	143200
Satish Kumar C/o Satish Kumar and Nitin Kumar	40000
Total	2827560

As on 28.03.2011

Name of Allottee	No. of Shares allotted
Nimbus Distributors Private Limited, Kolkata	265000
Total	265000

Equity Share Breakup	Percentage of Holding
Category
Bodies corporate	61.04%
Directors or relatives of directors	29.16%
Other top fifty shareholders	9.80%
Total	100%

BUSINESS DETAILS

Line of Business :

Manufactures Stainless Steel Wire and Mild Steel Wire

Products / Services:

PRODUCT DESCRIPTIONS	ITEM CODE NO.
Stainless Steel Wire	332206009
Mild Steel Wires	331508001
Iron and Steel Wire Scraps	331901005

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Canara Bank, Sadar bazar, Delhi- 110006, Delhi, India

Facilities :

Secured Loan	As on 31.03.2010 [Rs. In Millions]	As on 31.03.2009 [Rs. In Millions]
Vijaya Bank, Delhi A/c No. 600706211000005	--	211.588
Canara Bank C/C A/c No. 0271261004762	235.619	--
Note:[Secured by Hypothecation of Raw Material, Work-in-Process, and Finished Goods, Book Debts and Mortgage of Fixed Assets including land and Building of Factory located at S.S Wire Division Unit I,II,III at Ghaziabad U.P and Personal Guarantee of Director
Canara Bank Term Loan	108.426	--
Canara Bank Term Loan	64.224	--
Vijaya Bank, Delhi– Term Loan (Against Plant and Machinery)	--	35.437
Vijaya Bank, Delhi –Corporate Loan	--	9.703
Vijaya Bank, Delhi– Term Loan (Against Land and Building)	--	30.761
Vehicle Loan
The Jammu and Kashmir Bank-Vehicle Loan	0.415	--
Canara Bank (Delhi) Vehicle Loan- A/c No.1473	0.629	0.858
Total	409.312	288.347

Unsecured Loan	As on 31.03.2010 [Rs. In Millions]	As on 31.03.2009 [Rs. In Millions]
From Body Corporate	64.640	65.909
From Others	40.700	10.252
Total	105.340	76.160

Banking Relations :	Not Available
Auditors :
Name :	S.P. Agarwal and Company Chartered Accountants
Address :	5, Todarmal lane, 1^st floor, Bengali market, New Delhi- 110001,India
Tel. No.:	91- 11- 23353621 / 23353622 / 23353642
E-Mail :	spaaco@bol.net.in
PAN No:	AAAFS8972P

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
2827560	Equity Shares	Rs.10/- each	Rs.28.275 millions

After 29.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
5000000	Equity Shares	Rs.10/- each	Rs.50.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3092560	Equity Shares	Rs.10/- each	Rs.30.926 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		28.276	26.381	26.381
2] Share Application Money		8.020	18.020	18.020
3] Reserves & Surplus		151.982	102.002	73.088
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		188.278	146.403	117.489
LOAN FUNDS
1] Secured Loans		409.312	288.347	292.236
2] Unsecured Loans		105.340	76.160	46.859
TOTAL BORROWING		514.652	364.507	339.095
DEFERRED TAX LIABILITIES		9.526	9.741	15.060
TOTAL		712.456	520.651	471.644
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		334.659	185.442	185.061
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	195.208	165.867	208.235
	Sundry Debtors	167.632	156.000	96.611
	Cash & Bank Balances	3.834	4.559	3.112
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	58.888	41.830	36.918
Total Current Assets		425.562	368.256	344.876
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	20.800	20.971	35.867
	Other Current Liabilities	11.041	4.275	17.852
	Provisions	16.600	8.800	5.750
Total Current Liabilities		48.441	34.046	59.470
Net Current Assets		377.121	334.210	285.406
MISCELLANEOUS EXPENSES		0.676	0.999	1.177
TOTAL		712.456	52.0651	471.644

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Sales	1751.771	1674.006	1351.595
		Other Income	1.910	7.100	2.198
		TOTAL (A)	1753.681	1681.106	1353.793
Less	EXPENSES
		Manufacturing and Maintenance Expenses	1605.714	1572.838	1276.899
		Payment and Provision to the Employees	22.702	16.562	13.283
		Administration, Selling, Distribution and Other Expenses	27.536	14.843	16.600
		Directors Remuneration	1.058	1.081	1.140
		Interest	39.601	42.115	27.327
		Increase/(Decrease) In Stock	6.863	(2.533)	(9.912)
		Other Expenses	0.564	0.617	0.573
		TOTAL (B)	1704.038	1646.524	1325.910
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		49.643	35.582	27.883
Less/ Add	DEPRECIATION/ AMORTISATION (F)		9.132	8.325	5.697
	PROFIT BEFORE TAX (E-F) (G)		40.511	27.257	22.186
Less/ Add	TAX (H)		7.586	1.657	8.767
	PROFIT AFTER TAX (G-H) (I)		32.925	28.914	13.419
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		91.275	62.361	48.942
	BALANCE CARRIED TO THE B/S		124.200	91.275	62.361
	EARNINGS IN FOREIGN CURRENCY		--	1.169
	Earnings Per Share (Rs.)		11.64	10.96	5.09

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.88	1.72	0.99
Net Profit Margin (PBT/Sales)	(%)	2.31	1.63	1.64
Return on Total Assets (PBT/Total Assets}	(%)	5.33	4.92	4.19
Return on Investment (ROI) (PBT/Networth)		0.21	0.19	0.19
Debt Equity Ratio (Total Liability/Networth)		2.99	2.72	3.39
Current Ratio (Current Asset/Current Liability)		8.78	10.82	5.80

LOCAL AGENCY FURTHER INFORMATION

Note: The registered office of the company has been shifted from 2121-2122, 1 FLOOR, BAHADURGARTH ROAD, SADAR BAZAR, DELHI-110006, DELHI, INDIA to present address w.e.f.06.11.2009

Bankers Charges Report as per Registry

Corporate identity number of the company	U31300DL1985PLC022727
Name of the company	BANSAL WIRE INDUSTRIES LIMITED
Address of the registered office or of the principal place of business in India of the company	42 Rajasthani Udyog Nagar, G.T. Karnal Road Delhi, Delhi- 110033, Delhi, India
This form is for	Modification of charge
Charge identification (ID) number of the charge to be modified	10043565
Type of charge	Corporate Guarantee
Particular of charge holder	Canara Bank, Sadar bazar, Delhi- 110006, Delhi, India E-mail: ca_rcg@yahoo.co.in
Nature of instrument creating charge	Guarantee Agreement dated 02.09.2011 for Rs.421.500 millions
Date of instrument Creating the charge	02.09.2011
Amount secured by the charge	Rs.421.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest: As applicable to enhanced credit facilities aggregating to Rs.421.500 millions granted to/enjoyed by M/s Bansal High Carbons Private Limited. Terms of Repayment: As applicable to enhanced credit facilities aggregating to Rs.421.500 millions granted to/enjoyed by M/s Bansal High Carbons Private Limited. Margin: As applicable to enhanced credit facilities aggregating to Rs.421.500 millions granted to/enjoyed by M/s Bansal High Carbons Private Limited. Extent and Operation of the charge: 100% Others: To guarantee payment of all sums due to the Bank under enhanced credit facilities aggregating to Rs.421.500 millions granted to/enjoyed by M/s Bansal High Carbons Private Limited.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Corporate Guarantee of the company
Date of instrument modifying the charge	30.03.2011
Particulars of the present modification	Corporate Guarantee of the company stands enhanced from Rs.387.500 millions to Rss.421.500 millions to guarantee payment of all sums due to the bank under various credit facilities aggregating to Rs.421.500 millions granted to/enjoyed by M/s Bansal High Carbons Private Limited. Together with all interests, costs, charges, expenses, commission etc. Other terms and conditions remained the same.

Website Details:

Profile:

Bansal Group, was established as a wire- trading house in 1938 by visionary and philanthropist Shri Shyam Sundar Gupta Under the dynamic leadership of Shri Arun Gupta as Managing Director, the business continues to grow, the group has diversified into various products mix as well as set up six manufacturing units in and around Delhi capital of India.

They at subject commenced commercial production with H.B.Wires in 1985. Ever since inception, they have been rapidly and consistently adding to our product line and meeting the needs of market. At present, they are one of the leading manufacturers & exporters of steel wires in the country, manufacturing:

• Stainless Steel Rod
• Stainless Steel Wire Mesh
• Stainless Steel Wires and Bars
• High and Low Carbon Steel Wires
• Profile/ Shaped Wires
• Cable Armouring Wires and Strips
• Galvanized

Knowledge Sharing has been our management’s’ approach ever since we diversified, into number of production units at different locations. The knowledge sharing programme is designed to speed the flow of best industry practice and techniques around the company. This programme has been a major contributor to our success in meeting the requirements of marketplace.

Bansal group maintains a professional and excellent after sales support, so as to provide better services to the customer. The company has set ambitious targets for the future, which are being achieved with the infusion of new technology and quality management.

They are committed to building strong, long-term relationships with customers through timely product development and effective engineering support.

Management Team

They believe that their organizational team, empowers them to lead the industry. Their highly diligent team of technical and non-technical personnel evaluates every aspect of the production system and overall operations to ensure production of precision products. Our team plays a major role in offering quality products and services to our customers.

Under the ardent leadership of Mr. Arun Gupta, the Managing Director of subject, we have composed our success saga. Owing to his vision, they have grown by leaps and bounds to anchor our position as a reliable manufacturer in the industry.

Besides, all the units of their company is managed and supervised by a board of directors, which consists of experienced professionals. Each and every unit, under their supervision is an autonomous profit center. Contribution of every single section of the organization is vital.

FIXED ASSETS

• Land
• Factory Building
• Plant and Machinery
• Office Equipment
• Computer
• Vehicles
• Furniture and Fixture

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.49.22
UK Pound	1	Rs.76.07
Euro	1	Rs.65.06

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
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	NO
--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	-

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.