MIRA INFORM REPORT

Report Date :

17.09.2011

IDENTIFICATION DETAILS

Name :	PRINCIPAL PNB ASSET MANAGEMENT COMPANY PRIVATE LIMITED [w.e.f. 24.01.2005]
Formerly Known As :	INDIAN INVESTMENT MANAGEMENT COMPANY LIMITED
Registered Office :	Exchange Plaza, 2^nd Floor, B Wing, NSE Building, Bandra Kurla Complex, Bandra (East), Mumbai-400051, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	20.11.1991
Com. Reg. No.:	11-64092
Capital Investment / Paid-up Capital :	Rs.100.000 Millions
CIN No.: [Company Identification No.]	U25000MH1991PTC064092
TAN No.: [Tax Deduction & Collection Account No.]	MUM105257A
PAN No.: [Permanent Account No.]	AAACI9361B
Legal Form :	Private Limited Liability Company
Line of Business :	Asset Management Company.
No. of Employees :	Not Divulged by Management

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 1040000
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 DECLINED BY

Name :	Mr. Devang Ghia
Designation :	Finance Manager
Date :	15.09.2011

LOCATIONS

Registered Office :	Exchange Plaza, 2^nd Floor, B Wing, NSE Building, Bandra Kurla Complex, Bandra (East), Mumbai-400051, Maharashtra, India
Tel. No.:	91-22-67720555
Fax No.:	91-22-22044990
Tol Free No.:	1800225600
E-Mail :	compliance@principalindia.com assetmanagement@principalindia.com
Website :	http://www.principalindia.com
Head Office :	Maker Bhavan-2, 1^st Floor, 18, Sir Vihaldas Thackersey Marg, New Marine Line3s, Mumbai-400020, Maharashtra, India
Tel. No.:	91-22-66209233
Fax No.:	91-22-22044990

DIRECTORS

As on 28.09.2010

Name :

Mr. Rustam Jehangir Gagrat

Designation :

Director

Address :

9, Om Ratan Pochkhanawala Road, New Worli, Mumbai-400025, Maharashtra, India

Date of Birth/Age :

05.11.1959

Date of Appointment :

29.05.2001

DIN :

00096581

Other Directorship:

Top of Form S.No. Bottom of Form	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	U24120MH1974PTC017549	POTASH FERTILIZERS ( INDIA) PRIVATE LIMITED	Director	1/12/1992	1/12/1992	Active	NO
2	U74999MH1949PTC007341	INDO ADEN SALT MFGANDTRADING COMPANY PRIVATE LIMITED	Director	7/4/1998	7/4/1998	Active	NO
3	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Director	29/05/2001	29/05/2001	Active	NO
4	U70100MH2004PTC147060	BLUE ROSE PROPERTIES PRIVATE LIMITED	Director	5/5/2006	5/5/2006	Active	NO
5	U45200MH1987PLC042112	ARISTO REALTY DEVELOPERS LIMITED	Director	29/09/2007	2/12/2006	Active	NO

Name :

Mr. Ashok Vij

Designation :

Director

Address :

A-1/117A, Safdarjung Enclave, New Delhi-110029, India

Date of Birth/Age :

05.05.1955

Date of Appointment :

05.07.2006

DIN :

00494487

Other Directorship

Top of Form S.No. Bottom of Form	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	U74899DL1984PTC018856	DEDICATED DIGITAL MACHINES PRIVATE LIMITED	Director	5/4/1997	5/4/1997	-	Active	NO
2	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Director	16/08/2007	5/7/2006	-	Active	NO
3	L24231DL2003PLC119441	Fresenius Kabi Oncology Limited	Director	25/07/2007	23/01/2007	11/8/2008	Active	NO
4	U63040MH1975PTC018267	DEWANCHAND RAMSARAN INDUSTRIES PRIVATE LIMITED	Director	30/09/2008	5/3/2008	7/1/2009	Active	YES
5	L51430WB1918SGC003026	THE ORISSA MINERALS DEVELOPMENT COMPANY LIMITED	Director	28/09/2010	6/4/2010	-	Active	NO
6	U74140DL1986PLC023140	INDIA PROFESSIONAL SERVICES AND INVESTMENTS LIMITED	Director	1/1/2011	1/1/2011	-	Active	NO

Name :

Mr. Rex Kuen Pak Auyeung

Designation :

Director

Address :

Flat B 13/F, Victoria Heights, 43A, Stubb Road, Hong Kong

Date of Birth/Age :

16.04.1952

Date of Appointment :

17.01.2008

DIN :

00504658

Other Directorship:

Top of Form S.No. Bottom of Form	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	U74140MH1998PTC116498	PRINCIPAL CONSULTING (INDIA) PRIVATE LIMITED	Director	10/9/1998	10/9/1998	Active	NO
2	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Director	29/09/2008	17/01/2008	Active	NO
3	U67190MH2004PTC149084	PRINCIPAL RETIREMENT ADVISORS PRIVATE LIMITED	Additional director	25/02/2011	25/02/2011	Active	NO

Name :

Mr. Rajan Ramkrishna Ghotgalkar

Designation :

Managing Director

Address :

10 A II, Great, Eastern Royale 1/322, Belassis Road, Tardeo, Mumbai-400034, Maharashtra, India

Date of Birth/Age :

04.05.1958

Date of Appointment :

19.09.2006

DIN :

00777125

Other Directorship:

Top of Form S.No. Bottom of Form	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	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Managing director	16/08/2007	19/09/2006	-	Active	NO
2	U64120PN2005PTC129516	PRINCIPAL GLOBAL SERVICES PRIVATE LIMITED	Director	22/12/2006	22/09/2006	-	Active	NO
3	U67200MH2003PTC141356	Pnb Insurance Broking Private Limited	Director	16/08/2007	25/09/2006	12/1/2011	Active	NO
4	U67190MH2004PTC149084	PRINCIPAL RETIREMENT ADVISORS PRIVATE LIMITED	Director	16/08/2007	26/09/2006	-	Active	NO
5	U66010MH2006PLC160508	Pnb Life Insurance Company Limited	Alternate director	24/09/2007	20/03/2007	12/1/2011	Active	NO
6	U65991MH1995NPL092062	ASSOCIATION OF MUTUAL FUNDS IN INDIA	Director	5/11/2009	5/11/2009	-	Active	NO
7	U91990MH2005NPL150661	FINANCIAL PLANNING STANDARDS BOARD INDIA	Director	1/4/2011	1/4/2011	-	Active	NO

Name :

Mr. Mukundd Manohar Chitale

Designation :

Director

Address :

4/46, Vishnu Prasad Society Shahaji Raje Marg, Vile Parle (East), Mumbai-400057, Maharashtra, India

Date of Birth/Age :

16.11.1949

Date of Appointment :

29.03.2007

DIN :

00101004

Other Directorship:

Top of Form S.No. Bottom of Form	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	U65990MH1984PLC033929	TCS e-Serve Limited	Director	25/09/2001	25/09/2001	10/8/2007	Active	NO
2	U67100MH2003GOI143291	ASREC (INDIA) LIMITED	Director	10/3/2004	10/3/2004	-	Active	NO
3	L99999MH1946PLC004768	LARSEN AND TOUBRO LIMITED	Director	6/7/2004	6/7/2004	-	Active	NO
4	L31300MH1992PLC067802	RAM RATNA WIRES LIMITED	Director	23/09/2006	28/12/2005	-	Active	NO
5	L65191TN1979PLC007874	SHRIRAM TRANSPORT FINANCE COMPANY LIMITED	Director	26/10/2006	26/10/2006	-	Active	NO
6	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Director	16/08/2007	29/03/2007	-	Active	NO
7	U74999MH2006PLC160835	ITZ CASH CARD LIMITED	Director	3/5/2007	3/5/2007	-	Active	NO
8	U40107KA2006PLC041258	ONGC Mangalore Petrochemicals Limited	Director	24/07/2009	20/03/2008	-	Active	NO
9	U23209GJ2006PLC060282	ONGC Petro additions Limited	Director	20/06/2008	20/03/2008	-	Active	NO
10	L74950MH1982PLC028947	ESSEL PROPACK LIMITED	Director	12/5/2009	24/03/2009	-	Active	NO
11	L24294MH1958PLC011052	FOSECO INDIA LIMITED	Director	20/01/2010	27/10/2009	-	Active	NO
12	U66030MH2007PLC177117	L&T GENERAL INSURANCE COMPANY LIMITED	Director	23/08/2010	26/05/2010	-	Active	NO

Name :

Mr. Shahi Kant Dubey

Designation :

Director

Address :

A-17, Eden Topwers Plot 20, Sector 5, Dwarka, New Delhi-110075, India

Date of Birth/Age :

16.12.1951

Date of Appointment :

16.08.2007

DIN :

01770805

Other Directorship:

Top of Form S.No. Bottom of Form	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	U25000MH1991PTC064092	Principal Pnb Asset Management Company Private Limited	Director	16/08/2007	16/08/2007	-	Active	NO
2	L74899DL1996PLC077120	PNB GILTS LIMITED	Director	19/08/2009	3/6/2009	-	Active	NO
3	U67200MH2003PTC141356	Pnb Insurance Broking Private Limited	Alternate director	21/10/2010	21/10/2010	23/10/2010	Active	NO
4	U66010MH2006PLC160508	Pnb Life Insurance Company Limited	Alternate director	21/10/2010	21/10/2010	23/10/2010	Active	NO
5	U67190MH2004PTC149084	PRINCIPAL RETIREMENT ADVISORS PRIVATE LIMITED	Alternate director	21/10/2010	21/10/2010	23/10/2010	Active	NO

KEY EXECUTIVES

Name :	Mr. Devang Ghia
Designation :	Finance Manager
Name :	Mr. Ashutosh Ashok Naik
Designation :	Secretary
Address :	C-303, Mansi Vihar, Datta Mandir Road, Malad (East), Mumbai-400097, Maharashtra, India
Date of Birth/Age :	26.05.1976
Date of Appointment :	01.11.2007

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 28.09.2010

Names of Shareholders	No. of Shares
Principal Financial Group (Mauritius) Limited, Mauritius	1499998
Principal Financial Group (Mauritius) Limited, Mauritius	5000004
Punjab National Bank	3000000
Vijaya Bank	500000
Vijay Ramniwas Gupta	1
Chandra Sudhin Arvind Padhye	5
Total	10000008

Equity Share Breakup (Percentage of Total Equity)

As on 28.09.2010

Category	Percentage of Holding
Foreign holdings (Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident indian(s) or overseas corporate bodies or others)	64.99
Nationalised or other banks	35.00
Others	0.01
Total	100.000

BUSINESS DETAILS

Line of Business :

Asset Management Company.

GENERAL INFORMATION

No. of Employees :	Not Divulged by Management
Bankers :	Punjab National Bank Vijaya Bank
Banking Relations :	--
Auditors :
Name :	Mr. Sanjiv V Pilgaonkar Chartered Accountant
Address :	12, Dr. Annie Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai-400018, Maharashtra, India
Auditors :	Statutory Auditors to the Asset Management Company:
Name :	Deloitte Haskins and Sells Chartered Accountants
Address :	12 Dr. Annie Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai – 400018, Maharashtra, India
Tel. No.:	91-22-66679000
Fax No.:	91-22-66679100
Ultimate Holding Company :	Principal Financial Group, Inc
Holding Company:	Principal Financial Group (Mauritius) Limited, Mauritius
Subsidiaries :	Principal International, Inc
Fellow Subsidiaries:	Principal Pnb Trustee Company Private Limited PNB Principal Financial Planners Private Limited
Associates:	Punjab National Bank

CAPITAL STRUCTURE

As on 31.03.2009

Authorised Capital :

No. of Shares	Type	Value	Amount
15,000,000	Equity Shares	Rs. 10/- each	Rs. 150.000 Millions
1,000,000	10% Cumulative Redeemable Preference Shares	Rs. 100/- each	Rs. 100.000 Millions
	Total		Rs. 250.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
10,000,008	Equity Shares	Rs. 10/- each	Rs. 100.000 Millions

Note:

(Of the above 6,500,008 shares (Previous year 6500008 shares) are held by principal Financial group (Mauritius) Limited, the holding company and its nominee. The ultimate holding company is principal Financial Group Inc, USA)

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		100.000	100.000	100.000
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		460.000	460.000	568.024
4] (Accumulated Losses)		(299.786)	[319.394]	0.000
NETWORTH		260.214	240.606	668.024
LOAN FUNDS
1] Secured Loans		0.000	0.000	0.000
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.000	0.000
DEFERRED TAX LIABILITIES		0.000	0.000	0.183
TOTAL		260.214	240.606	668.024
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		62.484	76.115	87.743
Capital work-in-progress		0.220	4.055	2.325
INVESTMENT		55.099	28.488	422.594
DEFERREX TAX ASSETS		0.000	0.000	7.673
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	38.466	12.995	17.168
	Cash & Bank Balances	1.162	1.128	0.840
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	167.898	145.062	182.932
Total Current Assets		207.526	159.185	200.940
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	20.920	7.985	16.362
	Other Current Liabilities	43.130	16.738	33.446
	Provisions	1.065	2.514	3.443
Total Current Liabilities		65.115	27.237	53.251
Net Current Assets		142.411	131.948	147.689
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		260.214	240.606	668.024

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	TOTAL INCOME		387.499	216.697	506.074
	TOTAL EXPENSES		376.006	633.541	403.645
	PROFIT / LOSS BEFORE TAX		11.493	[416.844]	102.429
Less	TAX		[8.115]	10.574	28.695
	PROFIT / LOSS AFTER TAX		19.608	[427.418]	73.734
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		[390.707]	36.711	17.148
Less	APPROPRIATIONS
		Transfer to General Reserve	0.000	0.000	7.373
		Equity Dividend	0.000	0.000	46.798
	BALANCE CARRIED TO THE B/S		[371.099]	[390.707]	36.711
	EARNINGS IN FOREIGN CURRENCY
	From Portfolio Management Services and Advisory Services		0.362	0.400	NA
	TOTAL EARNINGS		0.362	0.400	NA
	Earnings Per Share (Rs.)		1.96	[42.74]	7.37

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	5.06	[197.24]	14.57
Return on Total Assets (PBT/Total Assets}	(%)	4.26	[177.15]	35.48
Return on Investment (ROI) (PBT/Networth)		0.04	[1.73]	0.15
Debt Equity Ratio (Total Liability/Networth)		0.25	0.11	0.08
Current Ratio (Current Asset/Current Liability)		3.19	5.84	3.77

LOCAL AGENCY FURTHER INFORMATION

DETAILS OF SUNDRY CREDITORS

(Rs. In Millions)

Particulars		31.03.2009	31.03.2008
Sundry Creditors
-Due to Micro and Small Enterprises	--	--	--
-Other Creditors	20.920	7.985	16.362

Note: The Registered office of the company has been shifted from Apeejay House, 5^th Floor, 3 Dinshaw Vachha Road, Church gate, Mumbai, Maharashtra, India to present address w.e.f. 01.12.2007

OPERATIONAL PERFORMANCE:

During the year Principal Mutual Fund witnessed decrease in the assets under management- the net assets under management as at March 31, 2010 increased to Rs. 58430.000 Millions as against Rs. 54390.000 Millions compared to the previous year, i.e. a increase of 7% compared to the previous year. The Management fee earned for the year rose to Rs. 380.891 Millions from Rs. 209.083 Millions – an increase of 82% compared to the previous year.

The company continued to invest money in retaining a highly motivated quality workforce, as well as in enhancing business infrastructure to further strengthen the existing platform for continued future growth amidst stiff competition.

There was a net profit for the current year of Rs.19.608 millions as compared to net loss of Rs.427.418 millions in the previous year.

The following schemes managed by the Company received recognitions during the financial year 2009-2010:

• Principal Emerging Bluechip Fund - Growth Option ranked as a Five Star Fund in the category of' Open-Ended Equity Diversified - Defensive Category' schemes for its 1 year performance till December 3 L 2009. (1CRA Mutual Fund Awards 2010)
• Principal Monthly Income Plan - MIP Plus - Growth Option ranked as a Five Star Fund in the category of 'Open-Ended Marginal Equity- Category ' schemes for its 3 year performance till December 3 i. 2009. {1CRA Mutual Fund Awards 2010)
• Principal Monthly Income Plan - MIP Plus - Growth Option is Runner-Up in the category of "India Conservative Allocation Category" schemes for its 1 year performance till December 31, 2009. (Morning Star Fund Awards 2009)

Future Outlook

Significant regulatory changes in 2009 have ushered in a new era in the Indian MF Industry - the era focusing on greater transparency & gaining investor trust. In the short run, asset management companies have been compelled to re-look at their current business model but in the long run, it is bound to benefit all the industry participants through more and more investor participation from all parts of the country.

While the top-line growth for the Industry is expected to be healthy, asset management companies will look at newer geographical areas, newer customer segments, newer distribution channels and new asset classes for clocking the growth rates.

Industry is expected to focus on increasing retail penetration given the longevity of the assets and the available growth potential. Towards this end. Investor Education & Awareness Programs will gain prominence. They expect to see increased activity in Tier III centers and below as more and more AMC's tap these markets for next phase of growth. New distribution channels like PSU banks will play a key role in increasing retail penetration owing to their reach in every nook and corner of the country. On the products side. Gold and Real Estate are expected to emerge as alternative asset classes as AMC's bring out their new fund offerings. Also, post introduction of the proposed direct tax code; asset allocation funds are expected to take centre stage.

Year 2010 and 2011 might also see a phase of consolidation in the Industry as non-serious small players find it difficult to manage profitability on the back of shrinking margins.

They will continue to focus on investor education initiatives in a planned manner. Their endeavor will be to bring asset allocation and capital protection oriented products for the target retail segment of the markets. All this white their business focus will be on true to label fund management and managing business targeted at healthy topline and bottom-line growth with proper governance and controlling potential risks.

FIXED ASSETS

· Computer Software

· Furniture and Fixture

· Office Equipments

· Computers

· Leasehold Improvements

· Electrical Installations

· Motor Cars

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.47.46
UK Pound	1	Rs.74.95
Euro	1	Rs.65.79

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	NO
--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	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.