MIRA INFORM REPORT

Report Date :

20.10.2011

IDENTIFICATION DETAILS

Name :	K K NAG LIMITED
Registered Office :	Gat No.393, At Post Urse, Taluka Maval, Pune – 410506, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	13.07.1965
Com. Reg. No.:	11-013267
Capital Investment / Paid-up Capital :	Rs.8.470 Millions
CIN No.: [Company Identification No.]	U25209MH1965PLC013267
TAN No.: [Tax Deduction & Collection Account No.]	PNEK00493D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer, Exporter and Importer of Packaging Materials, Plastic Goods and Chemical Equipments.
No. of Employees :	More than 300 (Approximately)

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 240000
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.

INFORMATION PARTED BY

Name :	Mr. Nagesh
Designation :	Chief Manager Finance
Contact No.:	91-20-30269650
Date :	19.10.2011

LOCATIONS

Registered Office/ Factory 1:	Gat No. 393, At Post Urse, Taluka Maval, Pune – 410 506, Maharashtra, India
Tel. No.:	91-2114-237081/ 82/ 83
Fax No.:	91-2114-237084
E-Mail :	njkulkarni@kknag.com cof@kknag.com sales@kknag.com partners@kknag.com innovations@kknag.com info@kknag.com pso@kknag.com mur@kknag.com finance@kknag.com
Website :	http://www.kknag.com
Location :	Owned
Corporate / Pune Sales Office/ Breezair Business Group :	15 Sangam Project, Phase II, Sangam Bridge, 46 Dr Ambedkar Road, Pune -411-001, Maharashtra, India
Tel No.:	91 20 30269650
Fax No.:	91 20 30269651
Email :	cof@kknag.com pso@kknag.com
Factory 2 :	Plot No. E - 86, Ranjangaon Industrial Area, Village Karegaon , Taluka Shirur, District Pune – 412 208, Maharashtra, India
Tel. No.:	91-2138-288276
Fax No.:	91-2138-237084
E-Mail :	mrn@kknag.com
Factory 3/ Bangaluru Sales Office :	Survey No. 182/1l, Anekal To Attibelel Raod, Bidragere Grama, Kasaba Hobli, Bestamanahalli Post, Anekal, Bengaluru-562106, Karnataka, India
Tel. No.:	91-80-27841638
Fax No.:	91-80-27841639
E-Mail :	mbl@kknag.com bso@kknag.com
Factory 4/ Ponducherry Sales Office :	Promol Division, Pondicherry 84/1, Molapakkam Road, Kariamanichkkam, Netapakkam Commune, Pondicherry – 605106, India
Tel. No.:	91-413-2699970/ 2699971
Fax No.:	91-413-2699785
E-Mail :	mkm@kknag.com
Factory 5 / Chennai Sales Office :	Survey No. 490/2A and 2B, Vengathur Village, Kilnallathur-Vengathur Thandupattai Roadl, Thiruvallur-602002, India
Tel. No.:	91-44-27640554
Fax No.:	91-44-27640554
E-Mail :	mtv@kknag.com cso@kknag.com
Factory 6 :	Plot No. 26A, Veerasandra Industrial Area Hosur Road, Bengaluru 561 229 India
E-Mail :	mbl@kknag.com
Engineering Support Division/ Rotomoulding Division :	Shembekar Industrial Compound, Chinchwad, Pune – 411019, Maharashtra, India
Tel. No.:	91-20-65104554/ 27461440
Fax No.:	91-2114-237084
E-Mail :	esd@kknag.com rmd@kknag.com
Nag Foundation:	3 Boat Club Road, Pune-411001, Maharashtra, India
Tel No.:	91-20-26125091
E mail:	art@kknag.com

DIRECTORS

(AS ON 30.09.2010)

Name :

Mr. Milon K. Nag

Designation :

Chairman and Managing Director

Address :

“Barodi”, 3, Boat Club Road, Pune – 411001, Maharashtra, India

Date of Birth/Age :

06.07.1962

Date of Appointment :

01.11.1986

DIN No.:

00267622

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	U25209MH1965PLC013267	K K NAG LIMITED	Managing director	01-11-86	01-11-86	-	Active	NO
2	U99999MH1991PTC063433	MAGNAPLAST TECHNOLOGIES (INDIA) PRIVATE LIMITED	Director	16-11-99	16-11-99	-	Dormant	NO
3	U72200PN1991PTC014364	MAGNAPLAST TECHNOLOGEIS (INDIA) PRIVATE LIMITED	Director	16-11-99	16-11-99	09-01-09	Active	NO

Name :

Mr. Promeet K. Nag

Designation :

Director

Address :

Segeberger Chaussee, 249 B, 22851, Norderstedt, Germany

Date of Birth/Age :

17.03.1965

Date of Appointment :

28.03.1989

DIN No.:

00335636

Name :

Mr. Ulhas D. Damle

Designation :

Director

Address :

A -501, Eves Garden, Opposite Baner Telephone Exchange, Baner Road, Pune – 411 045, Maharashtra, India

Date of Birth/Age :

08.04.1954

Date of Appointment :

01.07.2001

DIN No.:

00267735

Name :

Mr. Ramanathan V. Ayyapankar

Designation :

Director

Address :

A-3/22, Agrasen Co-Operative Housing Society, 8, Koregaon Road, Pune – 411 001, Maharashtra, India

Date of Birth/Age :

15.03.1939

Date of Appointment :

02.10.1978

DIN No.:

01489659

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	U25209MH1965PLC013267	K K NAG LIMITED	Director	02-10-78	02-10-78	Active	NO
2	U32102MH1962PTC012271	MADHAV CAPACITORS PRIVATE LIMITED	Director	14-04-94	14-04-94	Active	NO
3	U74140MH1995PTC089011	ARCHER MANAGEMENT SERVICES PRIVATE LIMITED	Director	08-06-97	08-06-97	Active	YES

KEY EXECUTIVES

Name :	Mr. Nagesh
Designation :	Chief Manager Finance
Name :	Mr. Purshottam A Ranade
Designation :	Company Secretary
Address :	B-37, Woodland, Near Gandi Bhavan, Kothrud, Pune- 411029, Maharashtra, India.
Date of Birth/Age :	13.09.1954
Date of Appointment :	01.04.1995
Pan No.:	AEFPR5295D

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 30.09.2010)

Names of Shareholders	No. of Shares
Nag K Milon Jointly with Nag Milon Mitali	18575
Nag K Milon Jointly with Nag Milon Shona	18575
Nag K Milon Jointly with Nag Milon Crishna	18576
Nag Milon Mitali Jointly with Nag K Milon	1
Nag K Promeet Jointly with Nag Promeet Marina	8350
Nag K Promeet Jointly with Nag Promeet Philip	8350
Nag K Promeet Jointly with K Nag and Promeet Nag	8349
Sabnberwal Joya Jointly with Nag K Milon	8
Damle D Ulhas	3920
Total	84704

EQUITY SHARE BREAKUP (PERCENTAGE OF TOTAL EQUITY)

(AS ON 30.09.2010)

Category	Percentage
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer, Exporter and Importer of Packaging Materials, Plastic Goods and Chemical Equipments.

Products :

· Expanded Polystyrene Products

· Chemical Equipments

ITC Code	Product Description
39239090	Expanded Polystyrene Products

Exports :

Products :

· Packaging Materials

· Plastic Goods

· Chemical Equipments

Countries :

· UK

· Australia

· Sri Lanka

Imports :

Products :

Raw Materials

Countries :

Thailand

Terms :

Selling :

L/C, Cash and Credit (30 days)

Purchasing :

L/C, Cash and Credit (30 days)

PRODUCTION STATUS (AS ON 31.03.2010)

Particulars	Unit	Licensed Capacity (See Notes 2 and 3 Below) (Quantity)	Actual Production
Shape Mouldings	Nos.	--	24,062,038
Rotational Moulding	Nos.	--	41,033
Trading Air Coolers (See Note 4 Below)	Nos.	--	215
Rotational Mounding (See Note 4 Below)	Nos.	--	23,380
Pallets (See Note 4 Below)	Nos.	--	--
Shape Moulding (See Note 4 Below)	Nos.	--	1,350
Moulds	Nos.	--	62

NOTE:

o The quantitative information has been given in numbers and sets in respect of those dealt with in numbers and sets.

o The Company has been exempted from the Industries (Development and Regulation) Act, 1951 being Small Scale Ancillary industrial Unit and as such the Central Government has not prescribed Licensed capacity for the products.

o The installed capacity depends on product mix and in view of the varied nature of the products, it is not possible to give an indication.

o Information given under the column “Production” represents “Purchases”

o Figures in brackets are in respect of previous year

GENERAL INFORMATION

Customers :

End Users and OEM’s

· Aankit Granites Limited

· Aasahi Glass India Limited

· Ambit Info Tech Limited

· American Power Conversion

· Amul

· Applicomp (India) Limited

· ARS Exports

· Aquamall Water Solutions Limited

· Asea Brown Boveri Limited

· Automatic Electric Limited

· Bajaj Auto Limited

· Balzer India Limited

· Bharat Forge Limited

· Blue Star Limited

· Bombay Exports

· BPL Limited

· Carrier Aircon Limited

· Chandfruit Company

· Coca Cola India Limited

· Crystal Granite and Marble Private Limited

· Easun Reyrolle Limited

· EKL Appliances Limited

· Enkei Castalloy

· ETA General Private Limited

· Eureka Forbes Limited

· Forbes Marshall Limited

· FAL Industries Limited

· Gera Developments

· Glaxo Smithkline Pharmaceuticals Limited

· Glittek Granites Limited

· Godrej and Boyce Manufacturing Company Limited

· Greaves Limited

· HCL Peripherals

· IBM India Limited

· ICFAI Institute of Technology

· Indo Western Refrigeration (India) Limited

· Invensys India Private Limited

· Jabil Circuits

· L. G. Balakrishnan and Bros

· L J International Limited

· Larsen and Toubro Limited

· Lenova India Limited

· Madhav Marbles and Granites Limited

· Maral Overseas

· Maya Appliances Private Limited

· Motherson Sumi Limited

· Namdhari Fresh Vegetables

· Oxfam

· Panasonic Home Appliances Limited

· Paradise Foodcourt

· Philips India Limited

· Prince Plastics

· Raien Trading Corporation

· S.D. Fine-Chem Limited

· Satyam Computers

· Scanet Exports Limited

· Serum Institute of India Limited

· Solaris Fitness World

· Spencer’s Hyper Markets

· Sudarshan Chemicals

· Supreme Treves Limited

· Tata Auto Plast

· TVS Electronics Limited

· Tyco Electronics Corporation

· Videocon Industries Limited

· Web Peripherals Limited

· Whirlpool of India Limited 

No. of Employees :

More than 300 (Approximately)

Bankers :

· State Bank of India

Industrial Finance Branch, Pimpri Mumbai Highway, Near Kalasagar Hotel, Kasarwadi, Pimpri, Pune - 411034, Maharashtra, India

Facilities :

Secured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
From Banks: Cash Credit (Secured by hypothecation of Inventories and book debts and collaterally secured by hypothecation of Specific Plant and Machinery and Equitable Mortgage of immovable properties and personal guarantee of one directors) Cash Credit Limited Rs.65.000 Millions ( 2008-09 RS. 55.000 Millions )	47.552	58.611
Term Loan (Secured by hypothecation of unencumbered Plant and Machinery and Land and Buildings) (Amount repayable within 1 year Rs.16.290 Millions (2008-09 Rs.12.250 Millions)	22.581	27.236
Working Capital Demand Loan (Amount repayable within 1 year Rs. Nil (2008-09 Rs.11.000 Millions) (Secured by hypothecation of Inventories and book debts ands collaterally secured by hypothecation of specific plant and machinery and equitable mortgage of immovable properties and personal guarantee of one directors)	0.000	11.000
Hire Purchase Loans (Secured against exclusive charge on the vehicles acquired on Hire-purchase) (Amount repayable within 1 year Rs. Nil 2008-09 Rs.0.312 Million)	0.000	0.312
Total	70.133	97.159
Unsecured Loans	31.03.2010	31.03.2009
	(Rs. In Millions)
i) Fixed Deposits
a) From Directors (Including Rs.6.488 Millions repayable within one year (2008-09 Rs. Nil) and Interest accrued and Due Rs. Nil (2008-09 Rs. Nil)	6.488	6.488
b) From Others (Including Rs.1.374 Millions Repayable within one year (2008-09 Rs.0.552 Million) and Interest Accrued and Due Rs. Nil (2008-09 Rs. Nil)	1.809	1.811
ii) Sales Tax Deferral Loan (Including Rs.3.584 Millions Repayable within one year (2008-09 Rs.5.000 Millions)	14.707	18.162
iii) ICD Received (Repayable within one year Rs. Nil (2008-09 Rs.5.000 Millions)	0.000	5.000
iv) HSBC Limited – Factoring Accounting	0.000	5.742
v) Tata Capital Factoring A/C	13.925	0.000
Total	36.929	37.203

Banking Relations :	--
Auditors :
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	706, B Wing, 7^th Floor, ICC Trade Towers, Senapati Bapat Road, Pune – 411 016, Maharashtra, India
Tel No:	91-20-66244600
Fax No:	91-20-66244605

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
100000	Equity shares	Rs.100/- Each	Rs.10.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
84704	Equity shares	Rs.100/- Each	Rs.8.470 Millions

NOTES:

Includes 70000 Equity Shares of Rs.100/- each allotted as fully paid up bonus shares by capitalization of General Reserve.

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		8.470	8.470	8.470
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		50.899	41.914	35.973
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		59.369	50.384	44.443
LOAN FUNDS
1] Secured Loans		70.133	97.159	80.638
2] Unsecured Loans		36.929	37.203	42.390
TOTAL BORROWING		107.062	134.362	123.028
DEFERRED TAX LIABILITIES		9.831	9.222	10.684
TOTAL		176.262	193.968	178.155
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		131.299	130.143	128.208
Capital work-in-progress		15.161	4.717	4.751
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	53.239	56.090	55.795
	Sundry Debtors	132.053	113.914	105.774
	Cash & Bank Balances	7.671	3.778	4.770
	Other Current Assets	0.273	0.203	0.282
	Loans & Advances	30.193	33.747	25.696
Total Current Assets		223.429	207.732	192.317
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	170.549	123.429	125.491
	Other Current Liabilities	10.938	7.928	9.471
	Provisions	12.140	17.267	12.159
Total Current Liabilities		193.627	148.624	147.121
Net Current Assets		29.802	59.108	45.196
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		176.262	193.968	178.155

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	668.606	557.609	485.695
		Other Income	10.523	10.867	10.885
		TOTAL (A)	679.129	568.476	496.580
Less	EXPENSES
		Consumption of Raw Materials	306.482	264.456	227.956
		Finished Goods for Re-sales	20.099	23.573	25.183
		Increase/ Decrease in Stock of Finished Goods and Work in process	5.748	[1.133]	[3.229]
		Other Cost	292.194	235.325	201.865
		TOTAL (B)	624.523	522.221	451.775
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		54.606	46.255	44.805
Less	FINANCIAL EXPENSES/INTEREST (D)		18.806	17.575	17.123
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		35.800	28.680	27.682
Less/ Add	DEPRECIATION/ AMORTISATION (F)		19.654	18.102	16.082
	PROFIT BEFORE TAX (E-F) (G)		16.146	10.578	11.600
Less	TAX (H)		5.179	3.646	3.741
	PROFIT AFTER TAX (G-H) (I)		10.967	6.932	7.859
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		24.773	19.832	13.964
Less	APPROPRIATIONS
		Transfer to General Reserve	1.500	1.000	1.000
		Proposed Dividend	1.694	0.847	0.847
		Tax on Proposed Dividend	0.288	0.144	0.144
	BALANCE CARRIED TO THE B/S		32.258	24.773	19.832
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	30.659	22.894	11.614
	TOTAL EARNINGS		30.659	22.894	11.614
	IMPORTS
		Raw Materials	30.765	36.456	34.498
		Stores & Spares	2.220	0.964	0.511
		Capital Goods	5.900	8.400	4.296
		Others	9.421	21.016	15.247
	TOTAL IMPORTS		48.306	66.836	54.552
	Basic and Diluted Earnings Per Share (Rs.)		129.47	81.84	92.78

Particulars	31.03.2011
Sales Turnover (Approximately)	800.000

Expected Sales (2011-12): Rs.1000.000 Millions.

The above information has been parted by Mr. Nagesh.

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.61	1.22	1.58
Net Profit Margin (PBT/Sales)	(%)	2.41	1.90	2.39
Return on Total Assets (PBT/Total Assets}	(%)	4.55	5.59	6.69
Return on Investment (ROI) (PBT/Networth)		0.27	0.21	0.26
Debt Equity Ratio (Total Liability/Networth)		5.06	5.62	6.08
Current Ratio (Current Asset/Current Liability)		1.15	1.40	1.31

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS:

Particulars	31.03.2010	31.03.2009	31.03.2008
	(Rs. In Millions)
Sundry Creditors
- Total Outstanding Dues to Creditors other than Micro, Small and Medium Enterprises	165.143	118.856
- Total Outstanding Dues to Mirco, Small and Medium Enterprises	5.406	4.573	125.491
Total	170.549	123.429	125.491

Check list by info Agents	Available in Report (Yes/ No)
Year of Establishment	Yes
Locality of the Firm	Yes
Constitution of the Firm	Yes
Premises details	Yes
Type of Business	Yes
Line of Business	Yes
Promoter’s Background	---------
No. 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	No
Details of sister concerns	---------
Major Suppliers	No
Major Customers	No
Payments Terms	Yes
Export/ Imports Details (If applicable)	Yes
Market Information	---------
Litigations that the firm/ Promoters Involved in	---------
Banking details	Yes
Banking Facility Details	---------
Conduct of the Banking Account	---------
Buyer visit details	---------
Financials, if provided	No
Incorporation details is applicable	---------
Last Accounts filed at ROC	---------
Major Shareholders, if available	---------

CORPORATE RESULTS

The Company achieved a robust 19% growth in the top line, recording a turnover of Rs.668.606 Millions and a net profit before tax of Rs.16.146 Millions representing an increase of 53% over the previous year.

OPERATIONS

As Sales and Other Income increased 19% and the Profit before tax by 53%, the Company’s net profit margin improved to 2.38% compared to 1.86% of last year.

The Division-wise performance was as under:

MANUFACTURING DIVISION: URSE

In spite of an increase in Sales of more than 19%, this Division continued to make a loss due to increase in input costs and overheads, which could not be passed on to the customers in view of the very competitive market conditions.

MANUFACTURING DIVISION: RANJANGAON

This Division continued its excellent performance registering a top line growth of 37%. Due to the dedicated and concerted efforts and a focus on the rigorous implementation of TQM activities, the profitability of this Division improved substantially, thereby becoming a benchmark for the other Divisions.

MANUFACTURING DIVISION: BENGALURU

Sales went up marginally by 5% which was inadequate to cover the increase in overheads resulting in a loss for the year. The Division witnessed a huge fire on 12 March, 2010 as a result of which the profitability was further adversely affected.

With conperted efforts by the team at Bengaluru supported very ably by all the other Divisions, the Plant recommenced operations within a period of 41 days on 24th April’2010. The Board is of the opinion that all the losses would be recovered from the insurers.

MANUFACTURING DIVISION: KARIAMANICKKAM

In spite of recording a growth in sales of about 19%, the profitability of the Division could not be sustained on account of lower productivity and higher costs.

BREEZAIR BUSINESS GROUP

Due to recessionary trends during the first half of the year, the performance of this Division was below expectations. The sales were lower by 15% during the year. The Company is confident that with the signs of recovery and increase in economic activity, this Division would perform better in the near future.

ROTOMOULDING DIVISION

The turnover of this Division went up substantially by 46% mainly on account of better export performance.

MODERNISATION AND EXPANSION PLANS

The Company continued its commitment to Total Quality Management and Continuous Improvement by conducting Gemba Kaizen Workshops with the help of a reputed consultant. The Company has also set up a new manufacturing facility at Chennai which has commenced production in June’2010. –

CURRENT YEAR

In the current year the company’s emphasis is on increasing the market share for EPP and Rotomoulding products to broad base its product offering and to improve its profitability.

Bankers Charges Report as per Registry

This form is for	Modification of charge
Charge identification number of the modified	10018036
Corporate identity number of the company	U25209MH1965PLC013267
Name of the company	K.K NAG LIMITED
Address of the registered office or of the principal place of business in India of the company	Gat No. 393, At And Post Urse, Taluka Maval, Pune – 410 506, Maharashtra, India
Type of charge	Immovable Property
Particular of charge holder	State Bank of India, Industrial Finance Branch, Pimpri Mumbai Highway, Near Kalasagar Hotel, Kasarwadi, Pimpri, Pune - 411034, Maharashtra, India
Nature of description of the instrument creating or modifying the charge	Memorandum for recording extension of mortgage by deposit of title deeds covering enhanced limits (SME- 7) executed on 23.03.2009 to create a single charge against the fixed assets as additional security to cover the enhanced limit sanction by the Bank.
Date of instrument Creating the charge	23.03.2009
Amount secured by the charge	Rs.126.300 Millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: The rate of Interest as applicable Terms of Repayment: The enhanced portion of the facility i. e Rs.11.000 Millions will have to be repay as Five installments of Principal Rs.1.833 Millions from 15.09.2009 to January 2010 and the last installment of Principal Rs.1.835 Million payable on February 2010 along with interest thereon as and when due. Margin: Margin as per sanction letter Extent and Operation of the charge: State Bank of India IFB Branch Pune will have entire and single charge on the additional security provided by the borrower company by way of Memorandum of title deeds till the repayment of full amount of the loan facility extended by the Bank. Managing Director Mr. Milon K Nag has offered personal guarantee to stand for and to set out the loan extended by SBI IFB Pimpri Branch, Pune.
Short particulars of the property charged	State Bank of India IFB Branch Pune will have entire and single charge on the additional security provided by the borrower company by way of memorandum of title deeds till the repayment of full amount of the loan facility extended by the Bank. Managing director Mr. Milon K Nag has offered personal guarantee to stand for and to set out the loan extended by SBI IFB Pimpri Branch Pune for which the have been maintained at the works and registered office of the borrower company.
Particulars of the present modification	By this present modification, the company has offered the additional security of the fixed assets- properties more particularly described in the Memorandum of title deeds for the enhanced loan facility of Rs.126.300 Millions

FIXED ASSETS

v Freehold Land

v Leasehold Land

v Factory Building

v Plant and Machinery

v Moulds

v Furniture and Fixtures

v Office Equipments

v Software

v Vehicles

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.48.89
UK Pound	1	Rs.77.31
Euro	1	Rs.67.79

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	YES
--AFFILIATION	YES/NO	YES
--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.