MIRA INFORM REPORT

Report Date :

25.10.2011

IDENTIFICATION DETAILS

Name :	RESINS AND PLASTICS LIMITED
Registered Office :	Plot No. 8, Marol Industrial Estate of MIDC Cross Road, Andheri (East), Mumbai-400093, Maharashtra
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	22.12.1961
Com. Reg. No.:	11-012223
Capital Investment / Paid-up Capital :	Rs. 35.723 millions
CIN No.: [Company Identification No.]	L25209MH1961PLC012223
TAN No.: [Tax Deduction & Collection Account No.]	MUMR14062G
PAN No.: [Permanent Account No.]	AAACRI888C
Legal Form :	A Public Limited Liability Company. The company’s Shares are Listed on the Stock Exchange.
Line of Business :	Manufacturer of various types of Synthetic Resins.
No. of Employees :	88 (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 828000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. Trade relations are fair. Financial position of the company appears to be sound. Payments are reported to be usually correct and as per commitments. The company can be considered good for business dealings at usual trade terms and condition.

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 – September 30, 2011

Country Name

Previous Rating (30.06.2011)

Current Rating (30.09.2011)

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

LOCATIONS

Registered Office :	Plot No. 8, Marol Industrial Estate of MIDC Cross Road, Andheri (East), Mumbai-400093, Maharashtra, India
Tel. No.:	91-22-28207897 / 28321671 / 28347897
Fax No.:	91-22-28217906 / 27412380
E-Mail :	resplast@bom7.vsnl.net.in info@resplast.com
Website :	http://www.resplast.com
Factory 1 :	Taloja Industrial Estate of M.I.D.C., Post Box No.6, Taloje A. V. 410208, District Raigad, India.
Tel. No.:	91-2646-223262 / 91-22-7412229, 7412380
Factory 2 :	Plot No. 3607, GIDC Industrial Estate, Ankleshwar, District Bharuch – 393 002, Gujarat
Tel. No.:	91-2646-223262

DIRECTORS

As on 31.03.2011

Name :

Mr. Ashwin Suryakant Dani

Designation :

Chairman

Address :

Home Villa, 48 Krishna Sanghi Path, Mumbai-400007, Maharashtra, India

Date of Birth/Age :

24.10.1942

Date of Appointment :

13.01.1970

DIN No :

00009126

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	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Director	13/01/1970	13/01/1970	-	Active	NO
2	L99999GJ1978PLC022924	GUJARAT ORGANICS LIMITED	Director	16/08/1979	16/08/1979	-	Active	NO
3	L28992MH1991PLC168235	HITECH PLAST LIMITED	Director	13/01/1992	13/01/1992	-	Active	NO
4	U24200MH1997PLC105961	ASIAN PPG INDUSTRIES LIMITED	Director	1/8/1997	1/8/1997	-	Active	NO
5	U24220MH2001PLC133523	ASIAN PAINTS INDUSTRIAL COATINGS LIMITED	Director	1/10/2001	1/10/2001	28/06/2007	Active	NO
6	U65990MH1992PTC065289	SBI FUNDS MANAGEMENT PRIVATE LIMITED	Director	24/10/2002	24/10/2002	24/10/2008	Active	NO
7	L24220MH1945PLC004598	ASIAN PAINTS LIMITED	Director	26/06/2009	18/12/2003	-	Active	NO
8	L24230GJ1993PLC019050	SUN PHARMACEUTICAL INDUSTRIES LIMITED	Director	28/01/2004	28/01/2004	-	Active	NO
9	U65990MH1979PTC021049	GEETANJALI TRADING AND INVESTMENTS Private LIMITED	Director	9/2/2007	9/2/2007	-	Active	NO
10	U85100MH1991PLC063096	WOCKHARDT HOSPITALS LIMITED	Director	9/9/2008	30/07/2007	8/5/2009	Active	NO
11	U66000MH2008PLC181725	RANGUDYAN INSURANCE BROKING SERVICES LIMITED	Director	29/04/2008	29/04/2008	-	Active	NO

Name :

Mr. Amar Arvind Vakil

Designation :

Director

Address :

Geetanjali, 9 N Gamadia Road, Mumbai-400026, Maharashtra, India

Date of Birth/Age :

11.08.1952

Date of Appointment :

01.10.1996

DIN No :

00009252

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	U24110MH1979PLC031289	PRAGATI CHEMICALS LIMITED	Director	18/04/1979	18/04/1979	Active	NO
2	L65990MH1981PLC025770	ELCID INVESTMENTS LIMITED	Director	9/2/1982	9/2/1982	Active	NO
3	L24220MH1945PLC004598	ASIAN PAINTS LIMITED	Director	1/10/1995	1/10/1995	Active	NO
4	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Director	1/10/1996	1/10/1996	Active	NO

Name :

Mr. Chatrabhuj Dwarkadas Kapadia

Designation :

Director

Address :

64, Walkeshwar Road, Sital Baug, Sital Sagar, Mumbai-400006, Maharashtra, India

Date of Birth/Age :

14.07.1933

Date of Appointment :

15.03.1989

DIN No :

00022463

Name :

Mr. Bharat Bhogilal Chovatia

Designation :

Director

Address :

10 Sanjog, 18 Pheroz Shah Street, Santacruz (West), Mumbai-400054, Maharashtra, India

Date of Birth/Age :

13.09.1954

Date of Appointment :

28.08.2002

DIN No :

00271613

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	U24110MH1979PLC031289	PRAGATI CHEMICALS LIMITED	Director	30/03/1983	30/03/1983	Active	NO
2	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Director	28/08/2002	28/08/2002	Active	NO

Name :

Mr. Gobind J Lulla

Designation :

Managing Director [w.e.f. 01.10.2010]

Name :

Mr. Rupen Ashwin Choksi

Designation :

Executive Director

Address :

11A, Jeevan Asha, 60A Peddar Road, Mumbai-400026, Maharashtra, India

Date of Birth/Age :

02.08.1976

Date of Appointment :

21.06.2007

DIN No :

00059326

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	U67120MH1985PTC035634	URVASHI HOLDINGS PRIVATE LIMITED	Director	10/5/2000	10/5/2000	Amalgamated	NO
2	U67120MH1982PTC026889	RUPEN INVESTMENT AND INDUSTRIES PRIVATE LIMITED	Director	10/5/2000	10/5/2000	Active	NO
3	U24110MH1979PLC031289	PRAGATI CHEMICALS LIMITED	Director	4/5/2006	4/5/2006	Active	NO
4	U91110MH1996NPL099079	INDIAN RESING MANUFACTURERS ASSOCIATION	Director	1/6/2007	1/6/2007	Active	NO
5	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Whole-time director	21/06/2010	21/06/2007	Active	NO
6	U65990MH1986PLC039188	JATAYU INVESTMENTS LIMITED	Director	2/11/2007	2/11/2007	Amalgamated	NO
7	U67120MH1983PTC029562	PRAGATI MARKETING PRIVATE LIMITED	Director	29/09/2009	27/01/2009	Strike off	NO

Name :

Mr. Vinod Chintamani Malshe

Designation :

Director

Address :

1, University Staff Quarters, UDCT Campus, Matunga, Mumbai-400019, Maharashtra, India

Date of Birth/Age :

28.02.1947

Date of Appointment :

27.01.2009

DIN No :

00642540

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	L23209DL1991PLC219214	INTERLINK PETROLEUM LIMITED	Director	30/06/1998	30/06/1998	13/10/2008	Active	NO
2	U24110MH2000PLC128198	FILTRA CATALYSTS AND CHEMICALS LIMITED	Director	1/9/2001	1/9/2001	-	Active	NO
3	U24100PN2004PLC140957	ALUCHEM INDIA LIMITED	Director	19/09/2004	19/09/2004	30/03/2009	Active	NO
4	U29299PN2005PTC020920	ECOSUSTAIN TECHNOLOGIES PRIVATE LIMITED	Director	23/06/2005	23/06/2005	-	Active	NO
5	U74110PN2006PTC129206	PEERLESS TECHNO-LEGAL SERVICES PRIVATE LIMITED	Director	3/3/2007	3/3/2007	-	Active	NO
6	U27101MH1986PTC041207	TRANSPARENT TECHNOLOGIES PRIVATE LIMITED	Director	8/7/2007	8/7/2007	-	Active	NO
7	L99999MH1994PLC076236	ASTEC LIFESCIENCES LIMITED	Director	30/09/2008	10/3/2008	-	Active	NO
8	U24110MH1988PLC047161	ANUVI CHEMICALS LIMITED	Whole-time director	1/6/2008	14/03/2008	-	Active	NO
9	U74999MH2008PTC180168	AM OZONICS PRIVATE LIMITED	Director	17/03/2008	17/03/2008	-	Active	NO
10	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Director	23/09/2009	27/01/2009	-	Active	NO

Name :

Mr. Dhiren Purshottam Mehta

Designation :

Director

Address :

804, Vastu Shilp, Behind Manish Park, R. J. Road, Pump House, Andheri (East), Mumbai-400093, Maharashtra, India

Date of Birth/Age :

31.08.1952

Date of Appointment :

08.12.2009

DIN No :

00001471

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	U24110MH1979PLC031289	PRAGATI CHEMICALS LIMITED	Director	30/07/1984	30/07/1984	21/01/2010	Active	NO
2	L65990MH1981PLC024860	AEONIAN INVESTMENTS COMPANY LIMITED	Director	30/04/2001	30/04/2001	-	Active	NO
3	U65994MH1983PLC030231	SAMMELAN INVESTMENT AND TRADING LIMITED	Director	13/11/2003	13/11/2003	-	Active	NO
4	U67120MH1986PLC040436	CONS HOLDING LIMITED	Director	13/11/2003	13/11/2003	-	Active	NO
5	L99999MH1986PLC041612	SUNSHIELD CHEMICALS LIMITED	Director	29/07/2008	29/01/2008	-	Active	NO
6	L25209MH1961PLC012223	RESINS AND PLASTICS LIMITED	Director	22/07/2010	8/12/2009	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

Major Shareholders – Not Available

As on 22.07.2010

Equity share breakup
Category	Percentage
Foreign holdings (Foreign institutional investor (s), Foreign companie (s) Foreign financial institution (s), Non-resident Indian (s) or Overseas corporate bodies or Others)	0.04
Bodies corporate	33.31
Directors or relatives of directors	38.85
Other top fifty (50) shareholders	7.70
Others	20.10
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Marketer of various types of Synthetic Resins.

Products :

Products Description	Item Code (ITC Code)
Alkyd Resins	39075000
Phenolic Resins	39094090
Polyamide Resins	39081090

• RPL Products
• PCL Products

PRODUCTION STATUS [As on 31.03.2011]

Particulars	Unit	Installed Capacity
Synthetic Resin 100%	M.T.	5450

Note: *As per certificate issued by the managing director on whom auditors have relied without verification.

PRODUCTION STATUS [As on 31.03.2011]

Particulars	Unit	Actual Production
Synthetic Resin (100%) Manufactured Per Year Traded Per Year	M.T. M.T.	4952 227

GENERAL INFORMATION

No. of Employees :

88 (Approximately)

Bankers :

State Bank of India, Backbay Reclamation Branch, Nariman Point, Mumbai, Maharashtra, India

Facilities :

Unsecured Loan	31.03.2011 (Rs. In Millions)	31.03.2010 (Rs. In Millions)
Fixed Deposits [Amount repayable within one year Rs.0.285 Millions (P.Y. Rs.0.910 Millions)	3.720	3.990
Trade Deposits	0.100	0.125
Total	3.820	4.115

Banking Relations :	--
Auditors :
Name :	Shah and Company Chartered Accountants
Address :	Maker Bhavan 2, Marine Lines, Mumbai-400020, Maharashtra, India.
Companies controlled by directors and relatives :	· Pragati Chemicals Limited · Asian Paints Limited · Asian PPG Industries Limited · Ricinash Oil Mill Limited · Choksey Chemical Private Limited · Ayme Chemicals

CAPITAL STRUCTURE

AS ON 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
5,000,000	Equity Share	Rs.10/- Each	Rs. 50.000 Millions

Issued Capital :

No. of Shares	Type	Value	Amount
3,661,100	Equity Share	Rs.10/- Each	Rs. 36.611 Millions.

Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3,572,300	Equity Share	Rs.10/- Each	Rs. 35.723 Millions.

Note: Of the above, 2375000 Equity Shares are allotted as Bonus Shares by capitalization of Reserves.

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2011	31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		35.723	35.723	35.723
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		171.366	145.720	116.960
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		207.089	181.443	152.683
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		3.820	4.115	1.555
TOTAL BORROWING		3.820	4.115	1.555
DEFERRED TAX LIABILITIES		9.468	10.362	10.356
TOTAL		220.377	195.920	164.594
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		49.813	47.567	47.621
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.002	0.002	0.002
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	95.427	51.125	41.575
	Sundry Debtors	114.729	129.551	109.408
	Cash & Bank Balances	26.536	20.871	21.324
	Other Current Assets	0.000	0.454	0.231
	Loans & Advances	13.871	9.097	4.537
Total Current Assets		250.563	211.098	177.075
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	64.900	46.977	45.718
	Current Liabilities	0.342	0.362	0.313
	Provisions	14.759	15.408	14.073
Total Current Liabilities		80.001	62.747	60.104
Net Current Assets		170.562	148.351	116.971
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		220.377	195.920	164.594

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	663.252	644.880	540.506
		Processing Charges	0.657	2.309	2.845
		Other Income	2.139	2.543	0.897
		TOTAL	666.048	649.732	544.248
Less	EXPENSES
		Material Consumed	517.008	500.255	432.263
		Employees Remuneration and Benefits	33.012	30.807	28.677
		Manufacturing, Administrative, selling and distribution Expenses	60.051	55.424	51.250
		TOTAL	610.071	586.485	512.190
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION		55.977	63.247	32.058
Less/ Add	DEPRECIATION/ AMORTISATION		3.678	3.617	3.606
	PROFIT BEFORE TAX		52.299	59.630	28.452
Less	TAX		16.613	20.603	10.395
	PROFIT AFTER TAX		35.686	39.027	18.057
Add/ Less	Prior period items		0.339	0.147	0.745
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		92.445	67.685	59.242
Less	APPROPRIATIONS
		Transfer to General Reserve	3.600	4.000	2.000
		Proposed Dividend	8.931	8.931	7.145
		Tax on Dividend	1.448	1.483	1.214
	BALANCE CARRIED TO THE B/S		114.491	92.445	67.685
	EARNINGS IN FOREIGN CURRENCY		6.340	8.180	5.893
	IMPORTS
		Raw Materials	165.901	142.087	98.215
		R and D Material	0.000	0.000	0.000
	TOTAL IMPORTS		165.901	142.087	98.215
	Earnings Per Share (Rs.)		10.09	10.97	5.26

QUARTERLY RESULTS

PARTICULARS	30.06.2011
Type	1^st Quarter
Sales Turnover	233.690
Total Expenditure	215.170
PBIDT (Excl OI)	18.520
Other Income	0.160
Operating Profit	18.680
Interest	0.240
Exceptional Items	0.000
PBDT	18.440
Depreciation	0.840
Profit Before Tax	17.600
Tax	5.730
Reported PAT	11.870
Extraordinary Items	0.000
Prior Period Expenses	0.000
Other Adjustments	0.000
Net Profit	11.870

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	5.36	6.01	3.32
Net Profit Margin (PBT/Sales)	(%)	7.88	9.25	5.26
Return on Total Assets (PBT/Total Assets}	(%)	17.41	23.05	12.66
Return on Investment (ROI) (PBT/Networth)		0.25	0.33	0.19
Debt Equity Ratio (Total Liability/Networth)		0.40	0.37	0.40
Current Ratio (Current Asset/Current Liability)		3.13	3.36	2.95

LOCAL AGENCY FURTHER INFORMATION

Fixed Assets

• Leasehold Land
• Buildings
• Plant and Machinery
• Efflument Treatment Plant
• Electric and Pipe Fitting
• Other Equipment and Accessories
• Furniture and Office Equipments
• Vehicles
• Research and Development Building
• Research and Development Equipment
• Intangible Assets

WEB DETAILS

History

Subject is one of India’s leading Synthetic Resin manufacturer catering to a wide range of industries today such as Adhesives, Coatings, Printing Inks, Insulating Varnishes, Wire Enamels, Lamination, Construction, Cosmetics, Textiles and Foundries. RPL commenced its operations in 1971 for manufacturing Alkyd Resins, Epoxy Resins, Foundry Resins, Ketonic Resins, Phenolic Resins some of which are import substitutes. RPL’s manufacturing facilities are located at MIDC, Taloja in Maharashtra and GIDC, Ankleshwar in Gujarat both of which are in close proximity to the shipping ports. RPL’s strength lies in its manufacturing and strong distribution network that spans across India. RPL has its own sales offices and branches across the country and also deals through a few major distributors across different regions.

Subject also has an associate Company, Pragati Chemicals Limited (PCL) that focuses on the manufacturing of Amino Resins, Ketonic Resins and Epoxy Resins. PCL has a plant in Ankleshwar in Gujarat that is eco-friendly using natural gas as a resource for heat.

Subject believes in leveraging technology to achieve a competitive advantage. It has a well designed comprehensive in-house IT System that does demand generation and sales forecast projections. They also have an in-house CRM software that ensures efficient customer service and maintenance of long term business relations.

Over the years, RPL has also established itself as a noteworthy exporter of Synthetic Resins to the Coatings and Printing Ink manufacturers of the neighboring countries. In the coming years, they are also focusing on expanding our wings further across Asia, Africa, Middle East and South East Asian countries.

Management

Over the years, Resins and Plastics is lead by a strong professional team consisting of MBA’s, Chemical Engineers and Doctorates with a wide variety of experience. Today, they bet on intellectual capital and hire some of the best talent within different departments.

The promoters of the Company, Choksi’s, Dani’s and Vakil’s are the same as those of India’s leading paint manufacturer, Asian Paints, which have embedded strong commitment levels and transparency across the organization. The management strongly believes in fostering a long lasting relationship and trust with its customers.

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.49.87
UK Pound	1	Rs.79.72
Euro	1	Rs.69.52

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--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.