MIRA INFORM REPORT

Report Date :

06.04.2012

IDENTIFICATION DETAILS

Name :	SEL TEXTILES LIMITED (w.f.e. 15.10.2009)
Formerly Known As :	SEL TEXTILES PRIVATE LIMITED (w.f.e. 03.04.2009) JUPITER DRAPES AND CUTS APPARELS PRIVATE LIMITED
Registered Office :	274, Dhandari Khurd, G.T. Road, Ludhiana- 141014, Punjab, India
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	01.07.2008
Com. Reg. No.:	16-032050
Capital Investment / Paid-up Capital :	Rs.286.300 Millions
CIN No.: [Company Identification No.]	U17299PB2008PLC032050
TAN No.: [Tax Deduction & Collection Account No.]	JLDS07468G
PAN No.: [Permanent Account No.]	AANCS0401M
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	Manufacturer and sale of combed and carded cotton yarns
No. of Employees :	Not Available

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 5500000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track. The company is progressing well. 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.

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 / Plot No. :	274, Dhandari Khurd, G.T. Road, Ludhiana- 141014, Punjab, India
Tel. No.:	91-161-6611111
Fax No.:	91-161-6611112
E-Mail :	cs@selindia.in ipo@selindia.in ipo@rssalujagroup.co.in
Website :	www.rssalujagroup.co.in
Factory 1 :	23Km. Stone, Delhi-Hisar Highway, Hisar – 125033, Haryana, India
Tel. No.:	91-1663-256527 / 28 / 29
Factory 2 :	15-B, Rig of Industrial Area, Alwar – 301705 Rajasthan, India

SOLE PROPRIETOR/PARTNERS/DIRECTORS

As on 01.06.2011

Name :

Mr. Ram Saran Saluja

Designation :

Managing Director

Address :

9-C, Sarabha Nagar, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

07.07.2008

Date of Appointment :

01.07.2008

DIN No.:

01145051

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	U17115PB2002PTC025227	SHIV NARAYAN INVESTMENTS PRIVATE LIMITED	Director	30/03/2006	30/03/2006	-	Active	NO
2	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Director	24/04/2006	24/04/2006	-	Active	NO
3	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Managing director	8/10/2009	1/7/2008	-	Active	NO
4	U55101UP1987PLC009131	OMEGA HOTELS LIMITED	Director	23/08/2011	30/10/2010	-	Active	NO
5	U45201PB2008PTC031579	SEL DEVELOPERS PRIVATE LIMITED	Director	5/9/2011	27/11/2010	-	Active	NO
6	U93000PB2008PTC031580	SEL AVIATION PRIVATE LIMITED	Director	11/7/2011	27/11/2010	-	Active	NO
7	U17200PB2008PLC032259	SILVERLINE CORPORATION LIMITED	Director	1/6/2011	9/2/2011	-	Active	NO
8	U24296DL2003PTC121095	SEL ECOCHEM PRIVATE LIMITED	Director	18/07/2011	13/07/2011	-	Active	NO
9	U65990PB2011PLC035763	SHRI LAKSHMI NARAYAN FINANCIAL SERVICES LIMITED	Director	19/12/2011	19/12/2011	-	Active	NO

Name :

Mr. Neeraj Saluja

Designation :

Director

Address :

9-C, Sarabha Nagar, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

06.03.1967

Date of Appointment :

07.05.2009

DIN No.:

00871939

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	U17115PB2002PTC025227	SHIV NARAYAN INVESTMENTS PRIVATE LIMITED	Director	30/03/2006	30/03/2006	-	Active	NO
2	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Managing director	26/05/2009	30/03/2006	-	Active	NO
3	U45201PB2008PTC031579	SEL DEVELOPERS PRIVATE LIMITED	Director	11/1/2008	11/1/2008	-	Active	NO
4	U93000PB2008PTC031580	SEL AVIATION PRIVATE LIMITED	Director	11/1/2008	11/1/2008	-	Active	NO
5	U45208PB2008PLC031841	RYTHM TEXTILE AND APPARELS PARK LIMITED	Director	16/04/2008	16/04/2008	-	Active	NO
6	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	2/9/2011	7/5/2009	-	Active	NO
7	U17200PB2008PLC032259	SILVERLINE CORPORATION LIMITED	Director	30/09/2010	15/03/2010	-	Active	NO
8	U55101UP1987PLC009131	OMEGA HOTELS LIMITED	Director	23/08/2011	30/10/2010	-	Active	NO
9	U17119PB2010PTC034482	AHUJA COTSPIN PRIVATE LIMITED	Director	16/12/2010	16/12/2010	-	Active	NO
10	U91900PB2011NPL034564	YOUNG PRESIDENT'S ORGANISATION (PUNJAB CHAPTER)	Director	5/1/2011	5/1/2011	-	Active	NO
11	U24296DL2003PTC121095	SEL ECOCHEM PRIVATE LIMITED	Director	18/07/2011	13/07/2011	-	Active	NO
12	U65990PB2011PLC035763	SHRI LAKSHMI NARAYAN FINANCIAL SERVICES LIMITED	Director	19/12/2011	19/12/2011	-	Active	NO

Name :

Mr. Dhiraj Saluja

Designation :

Director

Address :

9-C, Sarabha Nagar, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

03.09.1972

Date of Appointment :

01.07.2008

DIN No.:

01144870

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	U17115PB2002PTC025227	SHIV NARAYAN INVESTMENTS PRIVATE LIMITED	Director	28/06/2002	28/06/2002	-	Active	NO
2	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Managing director	20/05/2011	28/05/2007	-	Active	NO
3	U45201PB2008PTC031579	SEL DEVELOPERS PRIVATE LIMITED	Director	11/1/2008	11/1/2008	-	Active	NO
4	U93000PB2008PTC031580	SEL AVIATION PRIVATE LIMITED	Director	11/1/2008	11/1/2008	-	Active	NO
5	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	1/7/2008	1/7/2008	-	Active	NO
6	U17200PB2008PLC032259	SILVERLINE CORPORATION LIMITED	Director	5/9/2008	5/9/2008	-	Active	NO
7	U55101UP1987PLC009131	OMEGA HOTELS LIMITED	Director	23/08/2011	30/10/2010	-	Active	NO
8	U24296DL2003PTC121095	SEL ECOCHEM PRIVATE LIMITED	Director	18/07/2011	13/07/2011	-	Active	NO
9	U65990PB2011PLC035763	SHRI LAKSHMI NARAYAN FINANCIAL SERVICES LIMITED	Director	19/12/2011	19/12/2011	-	Active	NO

Name :

Mr. Navneet Gupta

Designation :

Director

Address :

193-D, U/E PH-I, Focal Point, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

11.11.1969

Date of Appointment :

07.05.2009

DIN No.:

02122420

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	U45208PB2008PLC031841	RYTHM TEXTILE AND APPARELS PARK LIMITED	Director	16/04/2008	16/04/2008	-	Active	NO
2	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Whole-time director	8/5/2011	8/5/2008	-	Active	NO
3	U17200PB2008PLC032259	SILVERLINE CORPORATION LIMITED	Director	5/9/2008	5/9/2008	-	Active	NO
4	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	2/9/2011	7/5/2009	-	Active	NO

Name :

Mr. Ashwani Kumar

Designation :

Director

Address :

19-A, Udham Singh Nagar, Civil Lines, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

14.07.1955

Date of Appointment :

25.11.2009

DIN No.:

00030307

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	U65999DL1984PLC019607	DANDM COMPONENTS LIMITED	Director	23/03/1985	23/03/1985	-	Active	NO
2	U74899DL1991PTC043092	GLOBE TROTTERS PRIVATE LIMITED	Director	13/02/1991	13/02/1991	-	Active	NO
3	L74899DL1984PLC019492	VARDHMAN INDUSTRIES LIMITED	Director	5/7/1993	5/7/1993	-	Active	NO
4	L99999PB1973PLC003385	GARG FURNACE LIMITED	Director	2/9/1996	2/9/1996	4/5/2011	Active	NO
5	L15490PB1992PLC012662	PRIME INDUSTRIES LIMITED	Director	21/12/1996	21/12/1996	-	Active	NO
6	U67120CH2000PLC023244	L S E SECURITIES LIMITED	Director	6/10/2004	6/10/2004	19/07/2007	Active	NO
7	L65991PB1985PLC006414	MASTER TRUST LIMITED	Director	30/09/2006	31/12/2005	-	Active	NO
8	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Director	24/04/2006	24/04/2006	-	Active	NO
9	U74899DL1986PTC025068	UNIQUE HOLDINGS PRIVATE LIMITED	Director	11/8/2006	11/8/2006	-	Strike off	NO
10	U18101PB1993PLC013745	SHIVA TEXFABS LIMITED	Director	1/9/2006	1/9/2006	10/3/2012	Active	NO
11	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	16/06/2010	25/11/2009	-	Active	NO
12	U67120PB1981PLC004696	LUDHIANA STOCK EXCHANGE LIMITED	Director	10/12/2009	10/12/2009	-	Active	NO

Name :

Mr. Sandeep Gupta

Designation :

Director

Address :

HNO 590, Sector B, Aeear Nagar, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

19.06.1966

Date of Appointment :

13.02.2010

DIN No.:

00844408

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	U17117PB1989PTC009016	SHREE NATH SYNCOT (INDIA) PRIVATE LIMITED	Director	14/04/1995	14/04/1995	-	Active	NO
2	U51490PB2004PTC027287	SYNTAX POLYFIBRES PRIVATE LIMITED	Director	8/7/2004	8/7/2004	-	Active	NO
3	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	16/06/2010	13/02/2010	-	Active	NO
4	U17200PB1985PTC006564	GAL COTTEX PRIVATE LIMITED	Director	29/09/2011	5/1/2011	-	Active	NO

Name :

Mr. Gulshan Kumar

Designation :

Director

Address :

H.No. B-l/803/1, Brindaban Road, Civil Lines, Ludhiana – 41001, Punjab, India

Date of Birth/Age :

16.07.1963

Date of Appointment :

18.11.2009

DIN No.:

01952150

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	U18101DL1995PTC189720	GANGA KNIT PRIVATE LIMITED	Director	25/04/1995	25/04/1995	-	Active	NO
2	U51909WB2005PTC104064	MEDHAVI GOODS PRIVATE LIMITED	Director	29/08/2009	29/08/2009	-	Active	YES
3	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	16/06/2010	18/11/2009	-	Active	NO
4	U17119PB2010PTC034482	AHUJA COTSPIN PRIVATE LIMITED	Director	6/12/2010	6/12/2010	-	Active	NO
5	U51109WB2007PTC114252	JOJOBA DEALCOM PRIVATE LIMITED	Director	14/12/2010	14/12/2010	-	Active	NO
6	U74900PB2011PTC035251	AHUJA PROCESSORS PRIVATE LIMITED	Director	6/7/2011	6/7/2011	-	Active	NO

Name :

Mr. Amar Gopal Dass Narang

Designation :

Director

Address :

H.NO. 894, BV, Tilak Nagar PS 3, Ludhiana – 411008, Punjab, India

Date of Birth/Age :

14.05.1959

Date of Appointment :

07.10.2009

DIN No.:

02075412

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	L51909PB2000PLC023679	SEL MANUFACTURING COMPANY LIMITED	Director	30/09/2008	16/03/2008	13/02/2012	Active	NO
2	U17299PB2008PLC032050	SEL TEXTILES LIMITED	Director	16/06/2010	9/10/2009	13/02/2012	Active	NO
3	U70109PB2011PTC034947	DAFFODIL REAL ESTATE AND DEVELOPERS PRIVATE LIMITED	Director	18/04/2011	18/04/2011	-	Active	NO

KEY EXECUTIVES

Name :	Mrs. Jyoti Aggarwal
Designation :	Secretary
Address :	Near M.C. Office, Mandi Harji Ram, Muktsar - 152107, Punjab, India
Date of Birth/Age :	16.12.1984
Date of Appointment :	07.07.2010
PAN No.	AQQPA4740H

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 01.06.2011

Names of Shareholders	No. of Shares
Ram Saran Saluja	28000
Neeraj Saluja	700
Dhiraj Saluja	21000
Sneh Lata Saluja	21000
Ritu Saluja	700
Reema Saluja	700
SEL Manufacturing Company Limited	28557900
Total	28630000

As on 01.06.2011

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	99.75
Directors or relatives of Directors	0.25
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and sale of combed and carded cotton yarns

Products :

Product Description	Item Code No.
Cotton Yarn	5509.21

PRODUCTION STATUS (As on 31.03.2011

Particulars	Unit	Installed Capacity	Actual Production
Cotton Yarn	Kgs	32176	10506837

(Installed Capacities have been certified by the management and not verified by the Auditors being Technical matter)

(Installed capacities per annum on the basis of 360 working days. Installed Capacities are in terms of spindles capacities)

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

Central Bank Of India, C-14, Focal Point, Ludhiana - 141010, Punjab, India

Facilities :

(Rs. In Millions)

Secured Loan	As on 31.03.2011	As on 31.03.2010
Rupee term loans banks secured	1096.151	347.869
Working capital loans banks secured	574.001	243.161
Total	1670.152	591.030
Unsecured Loan	As on 31.03.2011	As on 31.03.2010
Other debt unsecured	14.281	1.917
Total	14.281	1.917

Banking Relations :	--
Auditors :
Name :	Dinesh Mehtani and Company Chartered Accountants
Address :	B-XI-1916, Old Civil Hospital Road, Ludhiana -141001, Punjab, India
PAN.:	ABIPM4723H
Holding Company :	SEL Manufacturing Company Limited
Enterprises over which key management personnel and relatives of such personnel are able to exercise significant influence	Shiv Narayan Investments Private Limited Saluja International Saluja Fabrics SEL Aviation Private Limited SEL Developers Private Limited Rythm Textiles and Apparels Park Limited Silverline Corporation Limited SE Exports Kudu Industries

CAPITAL STRUCTURE

As on 04.06.2011

Authorised Capital : Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital : Rs.364.300 Millions

As on 31.03.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
50000000	Equity Shares	Rs.10/- each	Rs.500.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
28630000	Equity Shares	Rs.10/- each	Rs.286.300 Millions

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		286.300	286.300	0.100
2] Share Application Money		790.339	0.000	0.000
3] Reserves & Surplus		303.160	184.929	0.000
4] (Accumulated Losses)		0.000	0.000	(0.039)
NETWORTH		1379.799	471.229	0.061
LOAN FUNDS
1] Secured Loans		1670.152	591.030	0.000
2] Unsecured Loans		14.281	1.917	0.000
TOTAL BORROWING		1684.433	592.947	0.000
DEFERRED TAX LIABILITIES		27.333	11.935	0.000
TOTAL		3091.565	1076.111	0.061
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		839.585	408.425	0.000
Capital work-in-progress		820.013	199.070	0.000
INVESTMENT		72.350	43.980	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	1005.468	485.894	0.000
	Sundry Debtors	84.835	27.973	0.000
	Cash & Bank Balances	116.200	24.486	0.000
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	431.102	131.954	0.064
Total Current Assets		1637.605	670.307	0.064
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	227.521	199.418	0.000
	Other Current Liabilities	27.087	38.853	0.003
	Provisions	32.700	7.400	0.000
Total Current Liabilities		287.308	245.671	0.003
Net Current Assets		1350.297	424.636	0.061
MISCELLANEOUS EXPENSES		9.320	0.000	0.000
TOTAL		3091.565	1076.111	0.061

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	1921.572	386.261	0.000
		Other Income	26.248	13.818	0.000
		TOTAL (A)	1947.820	400.079	0.000
Less	EXPENSES
		Consumption materials changes inventories	1271.767	249.959	0.000
		Manufacturing service costs	180.606	42.549	0.000
		Employee related expenses	70.634	18.695	0.000
		Administrative selling other expenses	114.316	22.906	0.039
		TOTAL (B)	1637.323	334.109	0.039
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		310.497	65.970	(0.039)
Less	FINANCIAL EXPENSES (D)		103.002	16.914	0.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		207.495	49.056	(0.039)
Less/ Add	DEPRECIATION/ AMORTISATION (F)		43.651	10.085	0.000
	PROFIT BEFORE TAX (E-F) (G)		163.844	38.971	(0.039)
Less	TAX (H)		44.198	14.023	0.000
	PROFIT AFTER TAX (G-H) (I)		119.646	24.948	(0.039)
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		24.909	(0.039)	0.000
Less	APPROPRIATIONS
		Transfer to General Reserve	1.415	0.000	0.000
	BALANCE CARRIED TO THE B/S		143.140	24.909	(0.039)
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	804.815	177.612	0.000
	TOTAL EARNINGS		804.815	177.612	0.000
	TOTAL IMPORTS		43.158	0.266	0.000
	Earnings Per Share (Rs.)		4.18	1.88	--

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	6.14	6.24	0.000
Net Profit Margin (PBT/Sales)	(%)	8.53	10.09	0.000
Return on Total Assets (PBT/Total Assets}	(%)	6.61	3.61	(60.94)
Return on Investment (ROI) (PBT/Networth)		0.12	0.08	(0.64)
Debt Equity Ratio (Total Liability/Networth)		1.43	1.78	0.05
Current Ratio (Current Asset/Current Liability)		5.70	2.73	21.33

LOCAL AGENCY FURTHER INFORMATION

REVIEW OF OPERATIONS

• Turnover and Profits:

During the year, the Company registered a turnover of Rs.1921.600 Millions as compared to Rs.386.300 Millions, showing an increase of 397% over the previous year. The Profit before Depreciation, Interest and Tax stood at Rs.304.400 Millions (Previous Year Rs.62.900 Millions). After providing for Interest and financial expenses of Rs.96.00 Millions (Previous Year Rs.13.900 Millions), depreciation of Rs.43.600 Millions (Previous Year Rs.10.100 Millions), profit before tax was Rs.63.800 Millions as against Rs.38.900 Millions in the previous year, showing an increase of 321.08%. After providing for tax of Rs.44.200 Millions (Previous Year Rs.14.000 Millions), profit after tax was Rs.119.600 Millions as against Rs.24.900 Millions, a remarkable increase of 380.32%.

• Production:

During the year, the production of yarn was 10,506.84 MT as against 3148.55 MT in the previous year, showing an increase of 233.70%.

• Exports:

The exports of the Company increased from Rs.179.700 Millions to Rs.811.400 Millions, registering an increase of 351.53%.

• EXPANSIONS

During the year, the Company acquired a spinning unit with a capacity of 24,960 spindles located at Neemrana in Rajasthan. The Company had earlier acquired a spinning unit with a capacity of 25,200 spindles. The capacities of both these units are proposed to be expanded by addition of 60,960 spindles

Approximately. The Board of Directors have also approved the setting up of a spinning unit in the state of Punjab with a capacity of 188,160 spindles. All these projects are to be part financed from debt and equity. The debt financing for the projects is already firmed up.

Fixed Assets

• Land
• Plant and Machinery
• Electric Fitting
• Electric Installation
• Furniture and Fixtures
• Vehicles
• Computer
• Office Equipments

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	4
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	6
--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.