MIRA INFORM REPORT

Report Date :

06.04.2012

IDENTIFICATION DETAILS

Name :	INDUSTRIAL DEVELOPMENT SERVICES PRIVATE LIMITED
Registered Office :	M-1, Kanchanjunga Building, 18, Barakhamba Road, New Delhi – 110 001
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	13.03.1968
Com. Reg. No.:	55-004856
Capital Investment / Paid-up Capital :	Rs.2.100 Millions
CIN No.: [Company Identification No.]	U74899DL1968PTC004856
TAN No.: [Tax Deduction & Collection Account No.]	DELI04403A
PAN No.: [Permanent Account No.]	AAACI0175R
Legal Form :	Private Limited Liability Company
Line of Business :	Market Research and Management Consultants.
No. of Employees :	25 (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 140000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. There appears some dip in the turnover and profitability of the company. However, 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 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)
India	A1	A1

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

LOCATIONS

Registered Office :	M-1, Kanchanjunga Building, 18, Barakhamba Road, New Delhi – 110 001, India
Tel. No.:	91-11-23312287/ 23310590/ 23313469 /23314714
Fax No.:	91-11-23738227
E-Mail :	idsindia@satyam.net.in ids@del2.vsnl.net.in
Website :	http://www.industrialdevservices.com http://www.ids-india.org
Area :	2451 sq. ft.
Location :	Rented

DIRECTORS

(AS ON 29.09.2011)

Name :

Dr. Inder Bhushan Gulati

Designation :

Chairman

Address :

L-28/5, DLF Qutab Enclave, Phase II, Gurgaon-122 002, Haryana, India

Date of Birth/Age :

10.12.1925

Date of Appointment :

01.07.2000

DIN No.:

00564719

Name :

Mr. Ram Kumar Gupta

Designation :

Managing Director

Address :

House No. 4377 / 4B, Ansari Road, Daryaganj, New Delhi-110 002, India

Date of Birth/ Age :

20.05.1948

Qualification :

B.E. (Metallurgical)

Date of Appointment :

01.07.1999

DIN No.:

00460646

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	U74899DL1968PTC004856	INDUSTRIAL DEVELOPMENT SERVICES PRIVATE LIMITED	Managing director	1/7/1999	1/7/1999	Active	NO
2	U74899DL1976PTC008169	SERVO ELECTRONICS PRIVATE LIMITED	Director	3/9/2003	3/9/2003	Active	NO

Name

Ms. Madhu Krishna

Designation

Director

Address

3/8, Sriram Road, Civil Lines, New Delhi-110 054, India

Date of Birth/ Age :

11.11.1959

Date of Appointment :

25.01.2008

DIN No.:

00708907

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	U72900DL2004PTC125005	VOXIVA INDIA PRIVATE LIMITED	Director	20/04/2004	20/04/2004	Active	NO
2	U74899DL1968PTC004856	INDUSTRIAL DEVELOPMENT SERVICES PRIVATE LIMITED	Additional director	25/01/2008	25/01/2008	Active	NO

Name :

Mr. Dharam Paul Gupta

Designation :

Director

Address :

BA/11F, DDA Flats, Munirka, New Delhi-110 067, India

Date of Birth/ Age :

02.08.1944

Qualification :

B.E. (Metallurgical)

Date of Appointment :

01.04.2000

DIN No.:

00419795

Name :

Mr. Niranjan Raghunath Raje

Designation :

Director

Address :

House No.650, Kamaljeet Sandhu Block Asiad Village, New Delhi – 110049, India

Date of Birth/ Age :

10.02.1945

Date of Appointment :

24.09.2010

DIN No.:

02053057

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	U24233WB2002PLC094530	EMAMI BIOTECH LIMITED	Director	17/03/2008	17/03/2008	Active	NO
2	U74990MH2008PTC177519	LIGNOIL TECHNOLOGIES PRIVATE LIMITED	Director	11/8/2008	11/8/2008	Active	NO
3	U70109DL2007PLC167079	GUJARAT HYDROCARBONS AND POWER SEZ LIMITED	Director	30/06/2010	26/10/2009	Active	NO
4	U74899DL1968PTC004856	INDUSTRIAL DEVELOPMENT SERVICES PRIVATE LIMITED	Director	24/09/2010	22/06/2010	Active	NO

Name :

Mr. Manoj Kumar Joshi

Designation :

Director

Address :

27, SFS Flats, Pocket 10, Sector 11 Ext. Rohini, Delhi – 110085, India

Date of Birth/ Age :

27.07.1950

Date of Appointment :

27.06.2011

DIN No.:

00137228

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	L74899DL1965GOI004352	ENGINEERS INDIA LIMITED	Whole-time director	21/01/2005	21/01/2005	31/07/2010	Active	NO
2	U74899DL1994GOI062371	CERTIFICATION ENGINEERS INTERNATIONAL LIMITED	Director	11/9/2007	1/10/2006	31/07/2010	Active	NO
3	U74899DL1968PTC004856	INDUSTRIAL DEVELOPMENT SERVICES PRIVATE LIMITED	Director	29/09/2011	27/06/2011	-	Active	NO

KEY EXECUTIVES

Name :	Gupta Vinod and Company (Chartered Accountants )
Designation :	Company Secretary
Address :	U-75 Kalra Complex, First Floor, Shakarpur, Delhi – 110092, India
Tel No.:	91-11-65252586/9312230937

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

(AS ON 29.09.2011)

Names of Shareholders	No. of Shares
Lakshmi Chand Jain	31
Brij Lal Dhar	50
Devaki Jain	140
Neena Laroia	868
Gopal Krishna Jain	7108
Gokul Laroia	5628
Madhu Krishna	1680
Gautam R. Morarka	1148
Srinivasan Jain	1485
Ram Kumar Gupta	75
Dharam Paul Gupta	75
Chand Prakash Jain	75
Vandana Sachdeva	75
Rekha Misra	75
Rajeev Koul	75
Monika Koley	75
V.O. John	75
S. Thanukuttan	75
Veena Kapoor	75
Sher Singh Nainwal	75
S. Prakash Babu	75
Uma Naidu	75
Vinod Kumar	75
Pan Singh Bisht	75
Netra Singh	75
Shambhavi Patil	75
Neerja Morarka	1148
Deveshari devi Patwal	75
Nisha Narain Jain	91
Surekha Narain	91
Urvashio Narain	91
Sunita Narain	91
Total	21000

(AS ON 30.09.2011)

Equity Shares Break – up

Category	Percentage
Directors or relatives of directors	42.70
Other top fifty shareholders	57.30
Total	100.00

BUSINESS DETAILS

Line of Business :

Market Research and Management Consultants.

GENERAL INFORMATION

Customers :

CHEMICALS / PETROCHEMICALS

Petrochemicals

· Bharat Petroleum Corporation Limited (BPCL)

· Chemtex Engineering of India Limited

· Engineers India Limited

· Gujarat Heavy Chemicals Limited (GHCL)

· Gujarat Narmada Fertilizers Corporation (GNFC)

· Gujarat State Industrial Development Corporation

· Jay Polychem

· Krishak Bharati Cooperative Limited (KRIBHCO)

· National Aromatics and Petrochemicals Corporation

· Shalimar Industries Limited

· Shriram Fertilizers and Chemicals

· Tamil Nadu Industrial Development Corporation

· Tecnon, UK

· US Embassy

Elastomers

· Consindia

· Herdillia Chemicals Limited

· Punjab Department of Industries, Government of Punjab

· Raymond Synthetics Limited

· RPG Enterprises

Inorganic Chemicals

· Duncan Agro Industries Limited

· Indian Rayon Manufacturing Company Limited

· Indian Aluminium Company

· Jayshree Tea Industries

· Krishak Bharati Cooperative Limited

· National Aluminium Company Limited

· Rashtriya Chemicals and Fertilizers

· Tecnon, UK

Synthethic Fibres/Paper and Pulp

· JK Synthetics Limited

· Shirram Fibres Limited

· Unimin India Limited

· Ballarpur Industries Limited

· INALSA

· JK Synthetics Limited

Polymers

· Bongaigaon Refinery and Petrochemicals Limited

· Dhunseri Tea and Industries Limited

· Haldia Petrochemicals

· Hindustan Polymers Limited

· NOCIL Limited

· South India Viscose Limited

· Uniplas India Limited

Fertilizers

· Cooperative Limited

· Pradeshiya Industrial and Investment Corporation of UP Limit

· Shriram Fertilizers and Chemicals

· Mitsubishi Corporation

Petroleum Refining and Products

· Energy Institute

· Gas Authority of India Limited

· Kline and Company, USA

· Kerala State Industrial Development Corporation

· Madras Refineries Limited

· Tinna Overseas Limited

· Vico India Limited

· Al Mansoor Group of Companies, Saudi Arabia

· Bechtel Corporation, UK

METALS/ENGINEERING INDUSTRY

Metals (Ferrous and Non-Ferrous)

· Alloy Steel Plant, Durgapur

· Bellary Steel and Engineering Products Limited

· Graco, US

· G-Steel, Thailand

· Hero Group of Industries

· Ispat Industries Limited

· JK Industries Limited

· Kalyani Steels Limited

· Southern Iron and Steel Company Limited (SISCOL)

· State Bank of India Limited

· Skipper Steel

· Steel Authority of India Limited (SAIL)

· TATA Steel

· Mitsui Chemicals Limited

· International Iron and Steel Institute

· Bao Steel

· Mawana Sugars Limited

· Jay Polycjem India Limited

· Gujarat Alkalis and Chemicals Limited

· South Asian Petrochem Limited

· Tayo Rolls Limited

· Kline and Company, USA

· Tecnon Orbichem, UK

· Mitsui Chemicals Inc., Japan

· Bao Steel Hong Kong Trading Company Limited, China

No. of Employees :

25 (Approximately)

Bankers :

· Syndicate Bank,

19, Barakhamba Road, New Delhi – 110 001, India

· Axis Bank Limited,

148, Barakhamba Road, New Delhi, India

· Kotak Mahindra Bank Limited

14, Kasturba Gandhi Marg, New Delhi – 110 001, India

Facilities :

Secured Loans	31.03.2011	31.03.2010
	(Rs. In Millions)
From Scheduled Banks secured against pledge of Fixed Deposits with the Bank	0.000	0.168
Total	0.000	0.168

Banking Relations :	--
Auditors :
Name :	G. Basu and Company Chartered Accountants
Address :	2, Jeevan Tara Building, Parliament Street, New Delhi – 110 001, India
Tel. No.:	91-11-23361715 / 26494230
PAN No.:	AACFG9413D

CAPITAL STRUCTURE

(AS ON 29.09.2011)

Authorised Capital :

No. of Shares	Type	Value	Amount
25000	Equity Shares	Rs.100/- each	Rs.2.500 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
21000	Equity Shares	Rs.100/- each	Rs.2.100 Millions

NOTE:

(Including 20250 equity shares of Rs.100/ allotted as fully paid up bonus shares by capitalization of General 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		2.100	2.100	2.100
2] Share Application Money		0.000	0.000	0.000
3] Reserves & Surplus		32.154	30.898	23.301
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		34.254	32.998	25.401
LOAN FUNDS
1] Secured Loans		0.000	0.168	1.177
2] Unsecured Loans		0.000	0.000	0.000
TOTAL BORROWING		0.000	0.168	1.177
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		34.254	33.166	26.578
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		1.141	0.656	0.783
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.000	0.000	0.000
DEFERREX TAX ASSETS		0.213	0.190	0.190
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000	0.000
	Sundry Debtors	1.350	2.885	3.832
	Cash & Bank Balances	24.656	28.145	20.322
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	18.230	19.998	14.079
Total Current Assets		44.236	51.028	38.233
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditor	1.001	0.930	2.438
	Other Current Liabilities	0.311	0.455	0.304
	Provisions	10.024	17.323	9.886
Total Current Liabilities		11.336	18.708	12.628
Net Current Assets		32.900	32.320	25.605
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		34.254	33.166	26.578

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	21.168	34.679	26.789
		Other Income
		TOTAL (A)	21.168	34.679	26.789
Less	EXPENSES
		TOTAL (B)	18.650	19.208	16.905
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		2.518	15.471	9.884
Less	FINANCIAL EXPENSES (D)		0.002	0.003	0.002
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		2.516	15.468	9.882
Less/ Add	DEPRECIATION/ AMORTISATION (F)		0.358	0.196	0.249
	PROFIT BEFORE TAX (E-F) (G)		2.158	15.272	9.633
Less	TAX (H)		0.657	5.226	2.923
	PROFIT AFTER TAX (G-H) (I)		1.501	10.046	6.710
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2.398	2.300	1.610
	Excess Provision of Taxes		0.000	0.000	0.226
Less	APPROPRIATIONS
		Dividend including Dividend Tax	0.244	2.449	0.246
		General Reserve	1.000	7.500	6.000
	BALANCE CARRIED TO THE B/S		2.655	2.398	2.300
	EARNINGS IN FOREIGN CURRENCY
		Professional Fee	10.157	14.626	6.334
		Reimbursement of Expenses	0.525	0.451	0.367
		Service tax	1.100	1.553	0.828
	TOTAL EARNINGS		11.782	16.630	7.529
	Earnings Per Share (Rs.)		71.48	478.39	319.51

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	7.09	28.97	25.05
Return on Total Assets (PBT/Total Assets}	(%)	4.76	29.55	24.69
Return on Investment (ROI) (PBT/Networth)		0.06	0.46	0.38
Debt Equity Ratio (Total Liability/Networth)		0.33	0.57	0.54
Current Ratio (Current Asset/Current Liability)		3.90	2.73	3.03

LOCAL AGENCY FURTHER INFORMATION

REVIEW OF WORK

During the current year, there was no significant change in the activities of the company. The market research continued to be its main activity. Company has entered into the area of technical due-diligence of refineries with the successful completion of technical due-diligence of Cuddalore refinery project. This was a very challenging assignment which was successfully completed during the year.

In case of market research, they continued to provide services to all their existing clients. Some new clients include Oman International Development and Investment Company (OMAN), Dhunseri Petrochem and Tea Limited, Sharma Fabricators and Erectors Private Limited, The National Small Industries Corporation Limited, Karam Chand Thapar and Bros. (Coal Sales) Limited, etc.

Company arranged three loans for a total of US $ 9.66 Million for two companies for import of equipment as well as software from the US under the Equipment Buyer Credit Programme of UPS Capital Business Credit / US Ex-Im guarantee.

PRESENT ACTIVITIES

On the whole, the work on existing activities have been very satisfactory.

Market Studies

During the year, studies in the market research segment included:

Domestic Companies

· Detailed Profiling of Selected FMCG Products in Food Industry and Estimation of Potential for PET Resin - Dhunseri Petrochem and Tea Limited.

· Preparation of Bankable Project Report for PP Woven Sacks -Sharma Fabricators and Erectors Private Limited.

· Feasibility Study for Utilization of Vacant Land and Available Infrastructure at NSIC Technical Services Centre, Aji Industrial Area, Rajkot (Gujarat) - The National Small Industries Corporation Limited, (NSIC).

· Feasibility Study for Utilization of Vacant Land and lable Infrastructure of NSIC Industrial Estate, Naini, Allahabad (U.P) - The National Small Industries Corporation Limited, (NSIC)

· Market Survey for Cold Roll Formed Sections and Site Selection -Karam Chand Thapar and Bros. (Coal Sales) Limited, Westfalia Division.

Foreign Companies

· Technical Due-Diligence Study of Nagarjuna Oil Refinery Project in Cuddalore - Oman International Development and Investment Company SAOG (OMINVEST), Oman.

· Water Treatment - Potential New Project - Tecnon Orbichem, London (U.K)

· Identification of Product Testing Labs in India – Technology Catalysts International / Church and Dwight Company, Inc., USA.

· Identification of Product Development Companies – Technology Catalysts International / Church and Dwight Company, Inc., USA.

· Identification of Companies for Contract Packaging of Selected Products - Technology Catalysts International / Church and Dwight Company, Inc., USA.

· Market Survey for Molded Fiber Products – Huhtamaki Molded Fiber Technology BV, The Netherlands.

· Historical Prices for Selected Products viz. Scrap, Pig Iron, Sponge Iron, etc. - Mitsui and Company (Asia Pacific) Pte. Limited, Singapore.

· Historical Price Trend for Selected Products viz. Acetic Anhydride, Vinyl Acetate Monomer and Acetic Acid – CMAI Middle East FZ LLC, Dubai.

Some of the above projects are still in hand, at present.

Technology Catalysts International (TCI)

IDS continued marketing the products of TCI to Indian pharmaceutical companies. Working with TCI helps IDS in making new contacts and networking with other corporates specially in pharmaceutical sector benefits in other ventures of IDS also. The prospects of working with TCI seem to be lucrative.

Tecnon Orbichem

IDS has running agreement with Tecnon Orbichem to provide data for their synthetic fibres newsletter on regular monthly basis and market their services in India. In addition, Tecnon Orbichem keep on giving small projects to IDS from time to time.

Consumer Research Area

As a diversification programme, IDS is trying to enter into the area of consumer research. IDS now continuously participate in tenders related to customer value management, customer satisfaction survey, etc.

Other Activities

The Board of Directors have been actively examining the possibilities of IDS utilizing infrastructure available for other compatible areas. Currently, the following program are continuing

· The Behavioral Safety Program (BSP) is a systematic and innovative approach towards improved safety performance of employees through change in behavioral pattern. Efforts were made to market this programme to various clients.

· IDS represents Gannon University of USA in India for its “Undergraduate and Post Graduate Training Programs”. Under this program, IDS is to assist in arranging bilateral agreement with interested Indian Educational Institutions and Gannon University. Several Indian educational institutions have already signed the MOU. Discussions with some more institutions are in progress.

FINANCIAL RESULTS:

The income during this year was Rs.21.168 millions as compared to Rs.34.679 millions last year. Gross Profit (before interest, depreciation, income tax, etc.) during the year increased to Rs.2.518 millions to Rs.15.470 millions last year and the net profit during the year decreased to Rs.1.501 millions as compared to Rs.10.046 millions last year.

FIXED ASSETS

· Vehicles

· Office Equipments

· Refrigerator

· Air Conditioner

· Computer

· Furniture and Fixtures

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.51.05
UK Pound	1	Rs.81.09
Euro	1	Rs.67.39

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	6
--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	NO
--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.