MIRA INFORM REPORT

Report Date :

10.10.2011

IDENTIFICATION DETAILS

Name :	ATAM VALVES PRIVATE LIMITED
Registered Office :	Plot No.1050-51 Industrial Area, Jalandhar-144 001, Punjab
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	30.09.1985
Com. Reg. No.:	16-6476
Capital Investment / Paid-up Capital :	Rs. 8.000 Millions
CIN No.: [Company Identification No.]	U27109PB1985PTC006476
IEC No.:	3003013572
TAN No.: [Tax Deduction & Collection Account No.]	JLDA00576C
TIN No.:	03101017043
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturers and Exporter of Valves, Cocks and Boiler Mountings
No. of Employees :	300 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (27)

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

Maximum Credit Limit :	USD 45000
Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Clear
Comments :	Subject is an established company having moderate track. Profitability of the company appears to be low. Trade relations are reported as fair. Business is active. Payments are reported to be slow. Company can be considered for business dealings with some caution.

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

INFORMATION PARTED BY

Name :	Mr. Amit
Designation :	Director
Contact No.:	91-9815185311
Date :	22.10.2011

LOCATIONS

Registered Office/ Factory:	Plot No.1050-51 Industrial Area, Jalandhar-144001, Punjab, India
Tel. No.:	91-181-5019611//50631111/5019615/2490112/2490113/2490114
Mobile No.:	91-9815185311 (Mr. Amit Jain)
Fax No.:	91-181-2290611
E-Mail :	atamfebi@jla.vsnl.net.in jca_25375@yahoo.co.in amit@atamfebi.com atamfebi@atamfebi.com ca.corporate@gmail.com
Website :	http://www.atamfebi.com
Area :	1.5 Acres
Location :	Owned
Branch Offices :	Sarkhej, Ahmedabad, Gujarat, India.

DIRECTORS

AS ON 30.09.2010

Name :	Mrs. Vimal Prakash Jain
Designation :	Managing Director
Address :	95, S.U.S Nagar, Jalandhar-144001, Punjab, India
Date of Birth/Age :	18.03.1948
Date of Appointment :	30.09.1985
DIN No.:	01063027

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	U27109PB1985PTC006476	Atam Valves Private Limited	Director	01-08-11	30-09-95	Active	NO
2	U29120PB1999PTC022367	Atam And Febi Valves Private Limited	Director	19-03-99	19-03-99	Active	NO

Name :	Mr. Amit Jain
Designation :	Director
Address :	95, S.U.S Nagar, Jalandhar-144001, Punjab, India
Date of Birth/Age :	06.10.1977
Date of Appointment :	06.10.1998
DIN No.:	01063087

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	U27109PB1985PTC006476	Atam Valves Private Limited	Managing director	01-08-11	06-10-98	Active	NO
2	U29120PB1999PTC022367	Atam And Febi Valves Private Limited	Managing director	19-03-99	19-03-99	Active	NO
3	U31103PB1993PTC014058	Febi Valves Private Limited	Managing director	28-05-99	28-05-99	Active	NO

Name :	Mrs. Pramila Jain
Designation :	Director
Address :	95, S.U.S Nagar, Jalandhar-144001, Punjab, India
Date of Birth/Age :	10.04.1978
Date of Appointment :	01.04.2004
DIN No.:	01063136

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2010

Names of Shareholders	No. of Shares
Vimal Parkash Jain	29900
Amit Jain	27699
Pamila Jain	22000
Vimal Parkash Jain (HUF)	200
Amit Jain HUF	200
Muni Lala Jain	1
Total	80000

AS ON 30.09.2010

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturers and Exporter of Valves, Cocks and Boiler Mountings
Products :	Brass Bronze Cast Iron Cast Steel Forge Steel Investment Casting S. S. Valves Cocks Boiler’s Mounting
Brand	ATAM FEBI
Exports :
Products :	· Valves and cocks
Countries :	South Africa Australia
Imports :
Products :	· Finished goods
Countries :	America
Terms :
Selling :	L/C, Cash, Credit
Purchasing :	L/C, Cash, Credit

GENERAL INFORMATION

Customers :

· Wholesalers

No. of Employees :

300 (Approximately)

Bankers :

• State Bank of India, Main Branch, Civil Lines, Jalandhar-144001, Punjab, India

• HDFC Bank Limited, HDFC Bank House Senapati Bapat, Marg, Lower Parel West, Mumbai-400013, Maharashtra, India

Facilities :

Secured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
State Bank of India – (E.P.C.) (Secured against hypothecation of goods)	2.378	0.010
State Bank of India (C/C) (Secured against hypothecation of stock)	16.834	22.394
State Bank of India (B/D) (Secured against hypothecation of debtors)	7.006	3.640
State Bank of India (T/L) (Secured against hypothecation of plant and machinery)	0.000	1.216
State Bank of India SME (Secured against hypothecation of Stock)	2.496	2.528
Small Industries Development Bank of India (Secured against hypothecation of plant and machinery)	1.535	2.299
Small Industries Development Bank of India (Secured against hypothecation of plant and machinery)	1.455	2.099
ICICI Bank Limited (Secured against hypothecation of car)	0.000	0.458
HDFC Bank Limited (Secured against hypothecation of Car)	1.523	3.049
Total	33.227	37.693
Unsecured Loan	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Director	19.091	21.890
Share Holder	4.864	8.222
Total	23.955	30.112

Banking Relations :	--
Auditors :
Name :	Y K Sud and Company Chartered Accountants
Address :	Durga Niwas, Opposite Friends Cinema, Civil Lines, Jalandhar-144001, Punjab, India
Tel. No.:	91-181-2220220 / 2224174
Fax No.:	91-181-2230214
PAN No. :	ABNPS7871D
Sister Concern :	Amco Industries

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
80000	Equity Shares	Rs.100/- each	Rs. 8.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
80000	Equity Shares	Rs.100/- each	Rs. 8.000 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		8.000	8.000	8.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		3.403	2.097	0.432
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		11.403	10.097	8.432
LOAN FUNDS
1] Secured Loans		33.227	37.693	34.493
2] Unsecured Loans		23.955	30.112	36.067
TOTAL BORROWING		57.182	67.805	70.560
DEFERRED TAX LIABILITIES		0.454	0.279	0.267
TOTAL		69.039	78.181	79.259
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		21.237	23.887	18.473
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.361	0.342
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	24.109	36.761	40.746
	Sundry Debtors	29.844	21.901	25.802
	Cash & Bank Balances	1.103	0.809	0.415
	Other Current Assets	0.000	0.295	0.719
	Loans & Advances	4.203	2.110	3.311
Total Current Assets		59.259	61.876	70.993
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	5.121	2.925	5.620
	Other Current Liabilities	3.008	4.155	4.707
	Provisions	3.328	0.863	0.222
Total Current Liabilities		11.457	7.943	10.549
Net Current Assets		47.802	53.933	60.444
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		69.039	78.181	79.259

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income / Gross Income	119.588	110.846	90.156
		Other Income	3.893	NA	NA
		TOTAL	123.481	NA	NA
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Financial Expenses	121.142	27.359	24.166
		Depreciation
		Advertising Expenses
		TOTAL	121.142	27.359	24.166
	PROFIT BEFORE TAX		2.339	NA	NA
Less	TAX		1.084	NA	NA
	PROFIT AFTER TAX		1.255	2.220	0.308
	Earnings Per Share (Rs.)		0.02	27.75	3.85

Particulars	31.03.2011
Sales Turnover (Approximately)	130.000

The above information has been parted by Mr. Amit.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.02	NA	NA
Net Profit Margin (PBT/Sales)	(%)	1.96	NA	NA
Return on Total Assets (PBT/Total Assets}	(%)	2.91	NA	NA
Return on Investment (ROI) (PBT/Networth)		0.21	NA	NA
Debt Equity Ratio (Total Liability/Networth)		6.06	7.50	9.62
Current Ratio (Current Asset/Current Liability)		5.17	7.79	6.73

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report (Yes / No)
1. Year of Establishment	Yes
2. Locality of the firm	Yes
3. Constructions of the firm	Yes
4. Premises details	Yes
5. Type of Business	Yes
6. Line of Business	Yes
7. Promoter’s background	-----
8. No. of Employees	Yes
9. Name of person contacted	Yes
10. Designation of contact person	Yes
11. Turnover of firm for last three years	Yes
12. Profitability for last three years	No
13. Reasons for variation <> 20%	No
14. Estimation for coming financial year	Yes
15. Capital in the business	Yes
16. Details of sister concerns	Yes
17. Major suppliers	No
18. Major customers	No
19. Payments terms	Yes
20. Export / Import details	Yes
21. Market information	-----
22. Litigations that the firm / promoter involved	-----
23. Banking Details	Yes
24. Banking facility details	No
25. Conduct of the banking account	-----
26. Buyer visit details	-----
27. Financials, if provided	No
28. Incorporation details, if applicable	-----
29. Last accounts filed at ROC	-----
30. Major Shareholders, if available	-----

BUSINESS OF THE COMPANY

During the year the company achieved a gross turnover less sale returns of Rs. 119.588 millions and earned a net profit of Rs. 2.339 millions, after providing for salary to staff and directors, repair and maintenance, interest to banks and depositors, deprecation, commission and other expenses of Rs. 30.891 millions. The Company has not declared any dividend during the year and Company hopes to do better in the coming years.

FORM 8

This form is for	Creation of charge
Corporate identity number of the company	U27109PB1985PTC006476
Name of the company	ATAM VALVES PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1050-51 Industrial Area, Jalandhar-144001, Punjab, India
Type of charge	Book Debts Movable Property (not being pledge) Floating Charge
Particular of charge holder	HDFC Bank Limited, HDFC Bank House Senapati Bapat, Marg, Lower Parel West, Mumbai-400013, Maharashtra, India
Email	rbbform8@hdfcbank.com
Nature of description of the instrument creating or modifying the charge	Letter of Hypothecation.
Date of instrument Creating the charge	16.07.2010
Amount secured by the charge	Rs.35.000 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest Interest at the rate as may be communicated by the Bank from time to time. Terms of Repayment On demand. Margin Company shall at all times during the continuance of this security maintain the said debts of a sufficient amount to provide the margin of security as may from time to time advised by the Bank. Extent and Operation of the charge Hypothecation by way of First Charge on Company's Stocks, Book Debts etc., to secure as a continuing security as mentioned in Column No.15 below for the repayment of Rs. 35.000 millions, together with interest, costs, charges, expenses and other moneys due and payable by the Company to the Bank.
Short particulars of the property charged	I) All the Stock in Trade both present and future consisting of raw materials, finished goods, goods in process of manufacturing and other merchandise II) All the book-debts, out standings monies receivables, claims and bills which are now due and owing or which may at any time hereafter during the continuance

FIXED ASSETS

• Furniture and Fixture
• Machinery
• Tools
• Generator Set
• Typewriter
• Scooter
• Cycle
• Computer
• Lable Machine
• Pager
• Camera
• Fans
• Fax Machine
• Water Cooler
• Motor Cycle
• Fire Extingtor

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	6
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	2
--PROFITABILIRY	1~10	2
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--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		27

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.