MIRA INFORM REPORT

Report Date :

08.10.2011

IDENTIFICATION DETAILS

Name :	RMG POLYVINYL INDIA LIMITED
Registered Office :	302, Elite House, Kailash Colony Extension, Zamrudpur, New Delhi – 110048
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	11.09.1998
Com. Reg. No.:	55-096206
Capital Investment / Paid-up Capital :	Rs.45.250 Millions
CIN No.: [Company Identification No.]	U74899DL1998PLC096206
IEC No.:	0598052674
TAN No.: [Tax Deduction & Collection Account No.]	DELR08012E / DELR09971D
PAN No.: [Permanent Account No.]	AAACG2886R
Legal Form :	A Closely Held Public Limited Liability Company.
Line of Business :	Manufacturer, Exporter and Importer of PVC Films, Sheet Vinyl Floorings, Artificial Leather.
No. of Employees :	400 [Approximately]

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

[]

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

Maximum Credit Limit :	USD 550000
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 – June 30, 2010

Country Name	Previous Rating (01.04.2010)	Current Rating (30.06.2010)
India	A1	A1

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

INFORMATION PARTED BY

Name :	Mr. Arvind Goneka
Designation :	Director

LOCATIONS

Registered Office :	302, Elite House, 26, Community Centre, Kailash Colony Extension, Zamrudpur, New Delhi – 110048, India.
Tel. No.:	91-11-41632024 / 41632022
Fax No.:	91-11-66173679 / 29236482
E-Mail :	agoenka@premierpolly.com info@rmgpoly.com agoenka@rmgpoly.com
Website:	http://www.rmgpoly.com http://www.wonderfloor.com http://www.premierpolly.com
Area :	10000 sq. ft
Location :	Owned
Factory :	10/1, Industrial Area, Sikandrabad, District Bulandshar - 203205, Uttar Pradesh, India
Tel. No.:	91-05735-221877 91-120-3118801
Fax No.:	91-5735-221878
E-Mail :	info@rmgpoly.com
Area:	16 Acres
Location :	Owned
Branch Office 1:	302, 3^rd Floor, Elite House, 36 Community Centre, Zamprudur, New Delhi-110048, India
Tel. No.:	91-11-51632024 / 51632022 / 29246481
Fax No.:	91-11-26226482 / 29236482
E-Mail :	info@rmgpoly.com
Branch Office 2 :	10585, Nabi Karim, Jhandewalan Road, New Delhi-110055, India
Location:	Owned
Branch Office 3 :	4B4, Gundecha Onclave, Khairani Road, Sakinaka, Andheri East, Bombay - 400072, India.

DIRECTORS

As on 18.09.2009

Name :

Mr. Arvind Goenka

Designation :

Director

Address :

No.1, Green Avenue, Sector D-3, Vasant Kunj, New Delhi-110070

Date of Birth/Age :

03.10.1964

Qualification :

B.Com (HONS)

Experience :

15 Years

Date of Appointment :

10.01.2004

DIN :

00061010

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74899DL1983PTC016849	HARYANA WOVEN SACK PRIVATE LIMITED	Director	31/10/1991	31/10/1991	19/07/2008	Active	NO
2	U25209DL1988PLC030793	KAY ESS POLYMERS LIMITED	Director	1/5/1996	1/5/1996	-	Active	NO
3	U74899DL1998PLC096206	RMG POLYVINYL INDIA LIMITED	Whole-time director	1/2/2010	10/1/2004	-	Active	NO
4	U25200MH1955NPL009601	THE PLASTICS EXPORT PROMOTION COUNCIL	Whole-time director	10/1/2004	10/1/2004	-	Active	NO
5	L25209DL1992PLC049590	PREMIER POLYFILM LIMITED	Director	26/10/2007	15/11/2006	21/07/2008	Active	NO
6	L51491WB1929PLC006467	D L MILIAR AND COMPANY LIMITED	Director	23/09/2008	14/10/2007	31/03/2010	Active	NO

Name :

Mrs. Indira Goenka

Designation :

Director

Address :

No.1, Green Avenue, Sector D-3, Vasant Kunj, New Delhi-110070

Date of Birth/Age :

08.18.1946

Qualification :

B.A.

Experience :

35 Years

Date of Appointment :

07.05.2006

DIN :

00061078

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	L74999DL1984PLC017713	PREMIER POLYPLAST AND PROCESSORS LIMITED	Director	3/1/1994	3/1/1994	Active	NO
2	U74899DL1998PLC096206	RMG POLYVINYL INDIA LIMITED	Director	5/7/2006	5/7/2006	Active	NO

Name :

Mr. Umesh Agarwal

Designation :

Director

Address :

B-705, Badrinath Apartment, Malad, Mumbai

Date of Birth/Age :

13.10.1953

Qualification :

B.E.

Experience :

25 Years

Date of Appointment :

09.07.2003

DIN :

00231799

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	U72900MH1982PLC028908	POLO QUEEN INFOTECH AND TEXTILE LIMITED	Director	12/6/1987	12/6/1987	Active	NO
2	L51900MH1984PLC094539	POLO QUEEN INDUSTRIAL AND FINTECH LIMITED	Whole-time director	1/4/2008	27/09/1993	Active	NO
3	U15500MH1996PLC100602	AAJIWAN INDUSTRIES LIMITED	Director	29/03/2000	29/03/2000	Active	NO
4	U70100MH1984PLC032898	ARJAY APPAREL INDUSTRIES LIMITED	Director	18/08/2001	18/08/2001	Active	NO
5	U18101MH1981PLC024335	R J KNIT WEARS LIMITED	Director	27/08/2001	27/08/2001	Active	NO
6	U74899DL1998PLC096206	RMG POLYVINYL INDIA LIMITED	Director	23/07/2002	23/07/2002	Active	NO
7	U18101DL1992PLC049502	SRI VISHVANATH ENTERPRISES LIMITED	Director	23/07/2002	23/07/2002	Active	NO
8	U51311MH1982PLC027820	BALAJI PRINTS LIMITED	Director	28/04/2003	28/04/2003	Active	NO
9	U45201MH1998PTC114282	BOW BALALESHWAR MININGS PRIVATE LIMITED	Director	14/12/2006	14/12/2006	Active	NO
10	U45400MH2007PTC174208	GYANESHWAR INFRASTRUCTURE PRIVATE LIMITED	Additional director	25/11/2010	25/11/2010	Active	NO

Name :

Mr. Gopal Gupta

Designation :

Whole-time Director

Address :

329, Sector - 7A, Faridabad, Haryana, India

Date of Birth/Age :

09.08.1952

Date of Appointment :

01.06.2004

DIN :

00120368

Other Directorship :

S.No.	CIN	Name of the Company	Current designation of the director	Date of appointment at current designation	Original date of appointment	Date of cessation	Company Status	Defaulting status
1	U74899DL1983PTC016849	HARYANA WOVEN SACK PVT LTD	Director	1/4/1993	1/4/1993	19/07/2008	Active	NO
2	L74999DL1984PLC017713	PREMIER POLYPLAST AND PROCESSORS LIMITED	Director	1/9/1995	1/9/1995	-	Active	NO
3	U74899DL1998PLC096206	RMG POLYVINYL INDIA LIMITED	Whole-time director	1/4/2010	1/6/2004	-	Active	NO
4	U74899DL1995PTC072212	SUNHIL LEASING AND FINANCE PVT. LTD.	Director	17/11/2009	17/11/2009	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 18.09.2009

Names of Shareholders	No. of Shares
Avidesh Mital	160
Vasudha Shanghai	400000
Usha Devi Shanghai	400000
Manvi Goneka	260000
Nisha Goneka	639360
Arvind Goneka	250160
Amitabh Goneka	250160
Gaurav Agarwal	160
Ganga Infin Private Limited, India	25000
New Generation Invest Private Limited, India	30000
Right choice Consultant Private limited, India	25000
Technocom Associates Private Limited, India	25000
Arvind Goneka (HUF)	15000
Aajiwan Industries Limited, India	900000
Hillridge Investments Limited, India	25000
G K Consultants Limited, India	50000
P D Taneja	25000
Sri Vishwanath Enterprises limited, India	680000
D L Millar and company Limited, India	75000
Metalcity Construction Kovai Private Limited, India	50000
Texcity Construction Kovai Private Limited, India	50000
Finage Leasing and Finance limited, India	25000
S R Cables Private Limited, India	50000
Pitambra Securities Private Limited, India	25000
Sunny Cast and Forge Limited, India	25000
Parioshud Finance Company Priavte Limited, India	25000
Vijay Chand Sukhani	125000
TOTAL	4525000

As on 18.09.2009

Category	Percentage
Bodies corporate	46.40
Directors or relatives of directors	52.82
Other top fifty shareholders	0.78
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer, Exporter and Importer of PVC Films, Sheet Vinyl Floorings, Artificial Leather.
Products :	Robust Fully Flexible Heavy Duty PVC Flooring Robust Antiskid / Embossed PVC Flooring Gemini Designer Prints (Printed Flooring) Antique (Vinyl Printed Flooring) HITECH Flooring Accessories Electrical Safety Products Specialty PVC Films and Sheeting’s Automobile Accessories Water Conservations Products Recycled and Virgin PVC Raw Materials Contract Flooring (Heavy Duty PVC Flooring) Embossed Flooring (Antiskid) Anti-Static and Conductive (ESD) Flooring Switch Board Matting (High Insulation Vinyl Floor Mats) Printed Flooring (also known as PVC Linoleum) PVC Printed Flooring with Jute backing PVC for Auto Vehicles. Hospital & Healthcare Flooring PVC Planks
Exports :
Products :	PVC Flooring Covering, PVC Sheeting and Film, Artificial Leather.
Countries :	African countries, Gulf countries, Middle East
Imports :
Products :	Raw Material
Countries :	Europe, South East Asia
Terms :
Selling :	L/C and Cash, Credit (30-60 – 90 days)
Purchasing :	L/C, Cash, Credit ( 30-60 – 90 days)

PRODUCTION STATUS As on 31.03.2010

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
PVC Film and sheets	M.T.	20000	20000	13128

GENERAL INFORMATION

Customers :

• Wholesalers
• Retailers
• OEM’s

No. of Employees :

400 [Approximately]

Bankers :

· Centurion Bank Of Punjab Limited

M-29, Outer Circle, Connaught Place, New Delhi-110001, India

· HDFC Bank Limited

H-39, Outer Circle, Connaught Place, New Delhi-110001, India

· State Bank Of Indore

354, Ganga Niwas, Chandni Chowk, Delhi – 110 006, India

Facilities :

Secured Loan [Rs. in million]	31.03.2010	31.03.2009
Term Loan – State Bank of Indore	6.491	13.561
Cash Credit – State Bank of Indore	76.361	33.002
Loan for Vehicles	0.813	2.241
Packing Credit - State Bank of Indore	0.000	7.806
Total	83.665	56.610
Unsecured Loan [Rs. in million]	31.03.2010	31.03.2009
From Directors	13.935	22.897
From Others	73.903	38.234
TOTAL	87.838	61.131
Note,: 1. The Term Loan obtained by the Company from State Bank of Indore, is secured by a first charge by way of mortgage of the Company’s immovable properties, both present and future and a first charge by way of hypothecation of Company’s movable properties, both present and future in their favour except book debts and subject to prior charge to be created on specified movables In favour of Company’s bankers for securing the borrowing for working capital requirements in the ordinary course of business. The Term Loan Is further secured by the personal guarantees of Mr Arvind Goenka Director and Smt. I. Goenka, Director of the Company. 2. Short Term Loan from Banks is secured by hypothecation of Raw materials, Stock-in-process, Finished goods, Stores and spares and Book debts and has also to be secured by creating a second charge of mortgage over immovable properties of the Company. These loans are collaterally secured by personal guarantees of Mr. Arvind Goenka, Director and Smt. I. Goenka, Director of the Company. 3. The Company has taken vehicle loans from Banks, which are secured by way of hypothecation of the vehicles.

Banking Relations :	--
Auditors :
Name :	Manoj Ambuj and Associates Chartered Accountants
Address :	FB- 20, Shivaji Enclave, New Delhi-110027, India
Tel. No.:	91-25433589/25117076
Fax No.:	91-11-25117076
E-Mail :	Mkgupta94@yahoo.com
Associates/Subsidiaries :	Premier Polyplast and Processor Limited Premier Poly Film Limited D L Millar and Company Limited G B and company 1000 Plus Trade INC SH Amitabh Goneka HUF Jarella Baba Finance company Private Limited Sunhil Leasing and Finance company Private Limited Sri Viswanath Enterprises Limited

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
4525000	Equity shares	Rs. 10/- each	Rs.45.250 millions

After 31.03.2010

Authorised Capital : Rs.175.000 millions

Issued, Subscribed & Paid-up Capital : Rs.49.750 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		45.250	45.250	45.250
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		92.789	79.819	66.915
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		138.039	125.069	112.165
LOAN FUNDS
1] Secured Loans		83.665	56.610	64.973
2] Unsecured Loans		87.838	61.131	65.943
TOTAL BORROWING		171.503	117.741	130.916
DEFERRED TAX LIABILITIES		12.286	10.626	8.532
TOTAL		321.828	253.436	251.613
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		128.682	128.963	130.609
Capital work-in-progress		55.980	37.886	4.556
INVESTMENT		1.607	0.100	0.100
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	104.226	99.809	82.174
	Sundry Debtors	67.075	43.867	84.243
	Cash & Bank Balances	12.877	13.362	10.830
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	26.546	17.648	22.168
Total Current Assets		210.724	174.686	199.415
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	48.786	53.870	81.731
	Other Current Liabilities	21.493	29.044
	Provisions	4.886	5.285	1.336
Total Current Liabilities		75.165	88.199	83.067
Net Current Assets		135.559	86.487	116.348
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		321.828	253.436	251.613

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	630.448	664.479	545.773
		Other Income	12.239	12.024	6.103
		TOTAL (A)	642.687	676.503	551.876
Less	EXPENSES
		Cost of Sales	473.961	505.285	415.074
		Manufacturing Expenses	70.925	69.859	45.721
		Employees Remuneration and Benefits	26.178	21.743	14.857
		Administrative and Other Expenses	15.739	15.305	11.009
		Selling and Distribution Expenses	13.243	20.066	30.998
		Miscellaneous expenses	0.000	0.000	0.048
		TOTAL (B)	600.046	632.258	517.707
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		42.641	44.245	34.169
Less	FINANCIAL EXPENSES (D)		16.016	17.003	11.876
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		26.625	27.242	22.293
Less/ Add	DEPRECIATION/ AMORTISATION (F)		7.109	6.903	5.269
	PROFIT BEFORE TAX (E-F) (G)		19.516	20.339	17.024
Less	TAX (H)		6.546	7.435	4.864
	PROFIT AFTER TAX (G-H) (I)		12.970	12.904	12.160
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		37.199	24.295	12.135
	BALANCE CARRIED TO THE B/S		50.169	37.199	24.295
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	151.366	189.238	NA
	TOTAL EARNINGS		151.366	189.238	NA
	IMPORTS
		Raw Materials	114.247	172.384	NA
		Capital Goods	1.265	1.037	NA
	TOTAL IMPORTS		115.513	173.421	NA
	Earnings Per Share (Rs.)		0.02	0.02	--

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	2.01	1.90	2.20
Net Profit Margin (PBT/Sales)	(%)	3.09	3.06	3.11
Return on Total Assets (PBT/Total Assets}	(%)	5.75	6.69	5.15
Return on Investment (ROI) (PBT/Networth)		0.14	0.16	0.15
Debt Equity Ratio (Total Liability/Networth)		1.78	1.70	1.90
Current Ratio (Current Asset/Current Liability)		2.80	1.98	2.40

LOCAL AGENCY FURTHER INFORMATION

HISTORY:

They have restarted the factory in September 04, after purchasing it from the government. They are manufacturing vinyl floorings by the calendaring process and are manufacturing products up to 2 meters wide and up to 3.0 mm thickness. They products have already received the RDSO registration for supplies to Indian railways and the company has obtained ISO 9001:2000 quality systems certificate from TUV group, Germany. They are looking for collaboration to modernize they product line and are already looking for a joint venture partner wherein they could modernize they plant and machinery and cater to the markets Europe and U.K. at present the company is already exporting its goods to African countries, Gulf countries, Central Asian Republics and South American Countries.

FUTURE PROSPECTS

The Products of the company are well received and have been accepted in the market. The Working Capital requirements have been met by the Banks.

FORM 8

This form is for	Modification of charge
Charge identification number of the modified	10059281
Corporate identity number of the company	U74899DL1998PLC096206
Name of the company	RMG POLYVINYL INDIA LIMITED
Address of the registered office or of the principal place of business in India of the company	302, Elite House 3^rd Floor, 26, Community Centre Kailash Colony Extension, Zamrudpur, New Delhi – 110048, India.
Type of charge	Immovable Property
Particular of charge holder	State Bank Of Indore, 354, Ganga Niwas, Chandni Chowk, Delhi – 110 006
Nature of description of the instrument creating or modifying the charge	Copy of Recital Evidending Extension of Equitable Mortgage
Date of instrument Creating the charge	18.08.2009
Amount secured by the charge	Rs.200.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest AS PER AGREEMENT Terms of Repayment AS PER AGREEMENT Margin AS PER AGREEMENT Extent and Operation of the charge 100% Others The Above is to secure the following credit facilities: Cash Credit – Rs.80.000 millions EPC – Rs.(20.000)millions Term Loan – Rs.20.000 millions FLC/LC – Rs.100.000 millions BG – Rs. (30.000) millions
Short particulars of the property charged	Equitable mortgage of company’s immovable property i.e. Leasehild Land situatedat 101/, UPSIDC Industrial Area, Sikandarabad, District Bulandsahar together with all Buildings and Structures thereon and all Plant and Machinery and other movable assets therein or to be therein
Particulars of the present modification	Bank’s charge over company’s immovable. property by equitable mortgage of leasehold land situated at 10/1, Upsidc industrial area, Sikandarabad, Dish. Bulandsahar (UP.) together with all buildings and structures thereon and all plant and machinery and other movable assets therein or to be therein, already regd. for Rs. 100.000 millions shall stand enhanced to Rs. 200.000 millions.

FIXED ASSETS

• Land
• Building
• Plant and Machinery
• Furniture and Fixture
• Office and Fire Fittings equipment
• Computers
• Vehicles
• Air Conditioners

WEBSITES DETAILS

Profile

Subject is an ISO 9001:2000 Systems approved company and is the largest manufacturer and exporter from India for PVC Floor Coverings, Films, Sheetings and Artificial Leather. The company has two modern calendaring lines, one from Germany and the other from U.S.A.

The company’s Flooring range is marketed in India and Overseas under the brand name of “WONDERFLOOR”.

Wonder floor Vinyl Floor Covering primarily consists of the following products:

1.Contract Flooring (Heavy Duty PVC Flooring)
2. Embossed Flooring (Antiskid)
3. Anti-Static and Conductive (ESD) Flooring
4. Switch Board Matting (High Insulation Vinyl Floor Mats)
5. Printed Flooring (also known as PVC Linoleum)
6. PVC Printed Flooring with Jute backing
7. PVC for Auto Vehicles.

The products are well accepted globally with its major markets being the Middle East, Gulf, Americas, various countries in Africa and parts of Europe including Italy, Germany.

The company is also a favoured supplier to various PVC user industries of PVC Compounds including Recycled PVC Compounds. The user industries range from shoes, hose, cables, PVC Flooring etc. Other specialized products include supplies of top layer film to PVC Calendaring units.

The company is also involved in imports of special flooring products from Europe and America and distribution in India.

Subject has a well set up distributor and dealer network and several Regional Sales Offices spread out in India and overseas. The group has been receiving the coveted “TOP EXPORTER’S AWARD” from the Ministry of Commerce, Government of India, for PVC Floor coverings for the last 3 years.

They have as they clients, some of the most reputed institutions in India including The Reserve Bank of India, The Indian Railways and The Indian Armed Forces. Overseas the products have been used extensively in commercial applications like hospitals, gymnasiums, schools, super markets etc. and have also found good acceptance in the Prefabricated Building Industry.

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.49.13
UK Pound	1	Rs.75.97
Euro	1	Rs.65.99

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		45

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	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.