MIRA INFORM REPORT

Report Date :

10.10.2011

IDENTIFICATION DETAILS

Name :	TOPLINE SWITCHGEAR PRIVATE LIMITED
Registered Office :	A-105, Satkar Appartment, Near Udgam School, Drive-in-Road, Thaltej, Ahmedabad – 380054, Gujarat
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	12.06.2006
Com. Reg. No.:	04-48444
Capital Investment / Paid-up Capital :	Rs.1.500 Millions
CIN No.: [Company Identification No.]	U31200GJ2006PTC048444
TAN No.: [Tax Deduction & Collection Account No.]	AHMT02472B
PAN No.: [Permanent Account No.]	AACCT4765C
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Electrical Transmission Line, Switch Gear and Structures.
No. of Employees :	40 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (28)

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

Maximum Credit Limit :	USD 150000
Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company moderate track. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered for small to mediocre 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. Kothari
Designation :	Technical Engineer
Contact No.:	91-2764-286556
Date :	23.09.2011

LOCATIONS

Registered Office :	A-105, Satkar Appartment, Near Udgam School, Drive-in-Road, Thaltej, Ahmedabad – 380054, Gujarat, India
Tel. No.:	91-79-26856000/ 22810666
Mobile No.:	91-9825120626 (Mr. Shailesh Patel)
Fax No.:	91-2764-22830666
E-Mail :	sales@toplineswitchgear.com psg@psgindia.net nalinkth@yahoo.co.in
Website :	www.Toplineswitchgear.com
Area :	52 sq. ft. Yards
Location :	Owned
Factory :	Survey No. 797, Opposite Riddhi Plastics, Vadsar-Karol Road, Gandhi Nagar – 382721, Gujarat, India
Tel. No.:	91-2764-2856556
Area :	8500 sq. ft
Location :	Owned

DIRECTORS

As on 30.09.2010

Name :	Mr. Shailesh Manilal Patel
Designation :	Director
Address :	A/105, Satkar Appartment, Near Udgam School, Drive-in Road, Thaltej, Ahmedabad – 380054, Gujarat, India
Date of Birth/Age :	01.03.1972
Date of Appointment :	12.06.2006
DIN No.:	01567689
Name of Partnership :	Power Systems
Address :	D/72, Diamond Park, GIDC, Naroda, Ahmedabad – 382330, Gujarat, India
Name of Proprietorship :	Jay Ambe Diamond Company
Address :	D/72, Diamond Park, GIDC, Naroda, Ahmedabad – 382330, Gujarat, India
Name :	Mr. Himanshu Vinodray Vyas
Designation :	Director
Address :	A/105, Satkar Appartment, Near Udgam School, Drive-in Road, Thaltej, Ahmedabad – 380054, Gujarat, India
Date of Birth/Age :	18.10.1968
Date of Appointment :	12.06.2006
DIN No.:	02449519
Name :	Mrs. Munliben Manilal Patel
Designation :	Director
Address :	A/105, Satkar Appartment, Near Udgam School, Drive-in Road, Thaltej, Ahmedabad – 380054, Gujarat, India
Date of Birth/Age :	07.10.1951
Date of Appointment :	12.06.2006
DIN No.:	01567679

KEY EXECUTIVES

Name :	Mr. Kothari
Designation :	Technical Engineer

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders	No. of Shares
Shailesh Manilal Patel	13333
Himanshu Vinodray Vyas	10000
Muliben Manilal Patel	33334
Kalpanaben Jitubhai Patel	25000
Kalpesh Kantilal Patel	26000
Sangitaben Shaielshbhai Patel	2333
Indumatiben Tulsidas Dave	40000
Total	150000

Equity Share Break up (Percentage of Total Equity)

As on 30.09.2010

Category	Percentage
Directors or relatives of Directors	73.33
Other top fifty shareholders	26.67
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Electrical Transmission Line, Switch Gear and Structures.
Exports :
Products :	· Electrical Transmission Line · Switch Gear · Structures
Countries :	· Uganda · UK · Somalia
Imports :
Products :	· Parts · Raw Material
Countries :	China
Terms :
Selling :	L/C / Cash/ Credit (30 Days)
Purchasing :	L/C / Cash/ Credit (30 Days)

GENERAL INFORMATION

Customers :

· OEM’s

· Manufacturer

No. of Employees :

40 (Approximately)

Bankers :

· Central Bank of India, H. L. Commerce College Area Branch, Near Vijay Char Rasta, Ahmedabad – 380009, Gujarat, India

· Kalupur Commercial Co – operative Bank Limited

Facilities :

Secured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Bank
Central Bank of India (Term Loan against mortgage of Factory Building)	0.586	0.928
Central Bank of India (Term Loan against hypothecation of Plant and Machineries)	0.034	0.396
Central Bank of India (Cash Credit against Hypothecation of Stocks)	5.574	2.426
Central Bank of India (Cash Credit against Hypothecation of Book Debts) (ODBD)	0.000	1.454
Central Bank of India (3045892699)	3.719	0.000
Kalupur Commercial Co – operative Bank Limited (Vehicle Loan)	0.078	0.197
Total	9.991	5.401
Unsecured Loan	As on 31.03.2010 (Rs. in Millions)	As on 31.03.2009 (Rs. in Millions)
From Directors, Shareholders and their relatives	5.770	4.615
Total	5.770	4.615

Banking Relations :	--
Auditors :
Name :	Nalin Kantilal Thakkar Chartered Accountant
Address :	602, Samudra Annexe, Near Hotel Classic Gold, Off. C.G. Road, Ahmedabad – 380006, Gujarat, India
Tel. No.:	91-79-26568526
Mobile No.:	91-79-26568598
Fax No.:	91-9825047487
E-Mail :	nalinkth@yahoo.co.in
PAN.:	AAKPT0207G

CAPITAL STRUCTURE

As on 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.10/- each	Rs.1.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
150000	Equity Shares	Rs.10/- each	Rs.1.500 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		1.500	1.500	1.500
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		2.256	1.400	0.875
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		3.7560	2.900	2.375
LOAN FUNDS
1] Secured Loans		9.991	5.401	5.389
2] Unsecured Loans		5.770	4.615	3.315
TOTAL BORROWING		15.761	10.016	8.704
DEFERRED TAX LIABILITIES		0.483	0.350	0.234
TOTAL		20.000	13.266	11.313
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		6.870	5.960	6.180
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.046	0.046	0.046
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.901	3.648	2.738
	Sundry Debtors	12.807	5.228	2.125
	Cash & Bank Balances	0.174	0.176	0.196
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1.384	0.597	0.745
Total Current Assets		19.266	9.649	5.804
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	5.482	2.218	0.466
	Other Liabilities	0.000	0.000	0.000
	Provisions	0.709	0.190	0.279
Total Current Liabilities		6.191	2.408	0.745
Net Current Assets		13.075	7.241	5.059
MISCELLANEOUS EXPENSES		0.009	0.019	0.028
TOTAL		20.000	13.266	11.313

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	GROSS TURNOVER		51.198	30.602	34.242
Less	EXPENSES
		Office Expenses
		Administrative Expenses
		Advertising Expenses	NA	NA	NA
		TOTAL	NA	NA	NA
	PROFIT BEFORE TAX		1.214	0.774	1.009
Less	TAX		0.375	0.243	0.305
	PROFIT AFTER TAX		0.839	0.531	0.704
	Earnings Per Share (Rs.)		5.59	3.54	4.69

Particulars	31.03.2011
Sales Turnover	60.000

Expected Sales ( 2011-12 ) : Rs.100.000 Millions

The above information has been parted by Mr. Kothari

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
Return on Total Assets (PBT/Total Assets}	(%)	4.64	4.96	8.42
Return on Investment (ROI) (PBT/Networth)		0.32	0.26	0.42
Debt Equity Ratio (Total Liability/Networth)		4.19	3.45	3.66
Current Ratio (Current Asset/Current Liability)		3.11	4.01	7.79

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report(Yes/No)
Year of Establishment	Yes
Locality of the firm	Yes
Constitutions of the firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s background	--
Number of employees	Yes
Name of person contacted	Yes
Designation of contact person	Yes
Turnover of firm for last three years	Yes
Profitability for last three years	No
Reasons for variation <> 20%	--
Estimation for coming financial year	Yes
Capital in the business	Yes
Details of sister concerns	--
Major suppliers	--
Major customers	--
Payments terms	Yes
Export/Import details (if applicable)	Yes
Market Information	--
Litigations that the firm/ promoter involved in	--
Banking Details	Yes
Banking facility details	No
Conduct of the banking account	--
Buyer visit details	--
Financials, if provided	No
Incorporation details, if applicable	--
Last accounts filed at ROC	--
Major Shareholders, if available	--

OPERATIONS

This being the Fourth year of the company, it has continued manufacturing activity of switchgear products. The company earned Net Profit Before Tax of Rs.1.214 Millions (Previous year Rs.0.774 Millions), Profit After Tax of Rs.0.839 Millions (Previous year Rs.0.531 Millions) and achieved gross turnover of Rs.51.198 Millions (Previous year Rs.30.602 Millions). The Company expects good turnover and profits in the coming years. In order to conserve the liquidity of the company, the directors have not recommended any dividend in the year.

FORM 8

Corporate identity number of the company	U31200GJ2006PTC048444
Name of the company	TOPLINE SWITCHGEAR PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	A-105, Satkar Appartment, Near Udgam School, Drive-in-Road, Thaltej, Ahmedabad – 380054, Gujarat, India Email Id. : nalinkth@yahoo.co.in
This form is for	Modification of charge
Type of charge	Immovable property
Particular of charge holder	Central Bank of India, H.L. Commerce College Area Branch, Near Vijay Char Rasta, Ahmedabad – 380009, Gujarat, India Email Id : bmahme1389@CentralBank.co.in
Nature of instrument creating charge	Memorandum of Extension of Equitable Mortgage by Deposit of Title Deed
Date of instrument Creating the charge	16.08.2010
Amount secured by the charge	Rs.21.521 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Bank interest at the rate as agreed to by the Borrower in terms of the Sanction letter and its subsequent modification or amendments there of from time to time Terms of repayment As per sanction letter Margin Cash Credit (H) - 25% ODBD (upto 90 days only) – 25% Bills Discounting (Backed by L/C – upto 90 days) – 10% Term Loan II – 25% Fresh Term Loan – 34% Extent and operation of the charge · All the Securities as below mentioned in the Column No. 15 have been charged to the Bank in order to secure the following enhanced financial assistance limit aggregating to Rs.2152.100 Millions together with interest and all other moneys payable by the Company to the Lender : · Cash Credit (H) – Rs.5.000 Millions · ODBD – Rs.7.500 Millions · Bills Discounting (Backed by L/C- upto 90 days) – Rs.2.500 Millions · Term Loan II – Rs.0.521 Millions · Fresh Term Loan – Rs.6.000 Millions · Total aggregating limit of Rs.21.521 Millions Other NIL
Short particulars of the property charged (Including location of the property)	· Land and Building being at survey No.797 paiki admeasuring 3743 sq.mtrs. alongwith construction of 3593 sq.mtrs., Mouje Village Vadsar, Taluka Kalol more particularly described in Memorandum · Land and Building being at survey No.353, Sub plot no. D-72, GIDC Estate, Mouje Village Naroda, District Ahmedabad more particularly described in Memorandum
Date of Last Modification	13.08.2010
Particulars of the present modification	By virtue of said modification, the charge created earlier and modified from time to time is now further extended for additional Working Capital limit of Rs.9.000 Millions and Fresh Term loan of Rs.6.000 Millions and now charge is valid for enhanced limit aggregating to Rs.21.521 Millions

FIXED ASSETS

· Factory Building

· Electrification

· Plant and Machinery

· Furniture and Fixtures

· Computer

· Delivery Van

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.49.07
UK Pound	1	Rs.76.65
Euro	1	Rs.66.16

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--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	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		28

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.