MIRA INFORM REPORT

Report Date :

11.04.2012

IDENTIFICATION DETAILS

Name :	BABA WOOD PRODUCTS PRIVATE LIMITED
Registered Office :	F-10/22, Sector-15, Rohini, New Delhi – 110089, Delhi
Country :	India
Financials (as on) :	31.03.2011
Date of Incorporation :	06.07.1994
Com. Reg. No.:	55-060064
Capital Investment/ Paid-up Capital:	Rs.9.856 Millions
CIN No.: [Company Identification No.]	U74899DL1994PTC060064
TAN No.: [Tax Deduction and Collection Account No.]	DELB04357D DELB06189B
PAN No.: [Permanent Account No.]	AABCB1530G
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer and Exporter of Kattha and Cutch
No. of Employees:	Not Available

RATING and COMMENTS

MIRA’s Rating :

B (29)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	USD 80000
Status :	Moderate
Payment Behaviour :	Slow But correct
Litigation :	Clear
Comments :	Subject is an established company having moderate track. There appears some dip in the turnover and profitability of company for current year. However, net worth appears to be sound. Trade relations are reported as fair. Business is active. Payments are reported to be slow bur correct. The company can be considered for business dealings with some caution.

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 :	F-10/22, Sector-15, Rohini, New Delhi – 110089, Delhi
Tel. No.:	Not Available
Mobile No.:	91-9350101871 ( Mr. Vivek Kumar Agarwal)
Fax No.:	Not Available
E-Mail :	babawood@gmail.com vka001@gmail.com
Factory/ Corportation Office	393-395 Modern Industrial Estate, Bahadurgarh Distt. Jhajjar, Bahadurgarh – 124507, Haryan, India
Tel. No.:	91-1276-267049

DIRECTORS

As on: 20.09.2011

Name :

Mr. Vivek Kumar Agarwal

Designation :

Director

Address :

1/A602, Rang Rasayan Apartment, Sector-13, Rohini, Delhi – 110085, India

Date of Birth/Age :

02.01.1964

Date of Appointment :

22.09.1998

DIN No:

00691447

Other Directorships:

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	U24111UP1987PTC009042	VEE GEE CHEMICALS PRIVATE LIMITED	Director	13-10-87	13-10-87	18-02-08	Active	NO
2	U65192UP1996PTC020284	RISHUBH HEALTH AND LIFESTYLE PRIVATE LIMITED	Director	05-07-96	05-07-96	-	Active	NO
3	U65910UP1997PTC022776	KCF IMPEX PRIVATE LIMITED	Whole-time director	28-10-97	28-10-97	-	Active	NO
4	U74899DL1994PTC060064	BABA WOOD PRODUCTS PRIVATE LIMITED	Director	22-09-98	22-09-98	-	Active	NO
5	U99999DL1995PTC160340	SUKHRAJ VINIMAY PRIVATE LIMITED	Director	06-01-05	06-01-05	07-07-08	Active	NO

Name :

Mr. Pawan Kumar Agarwal

Designation :

Director

Address :

128/174, K Block, Kidwai Nagar, Kanpur – 208011, Uttar Pradesh, India

Date of Birth/Age :

10.03.1956

Date of Appointment :

22.09.1998

DIN No:

02236398

Other Directorships:

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	U24111UP1987PTC009042	VEE GEE CHEMICALS PRIVATE LIMITED	Managing director	13-10-87	13-10-87	-	Active	NO
2	U74899DL1994PTC060064	BABA WOOD PRODUCTS PRIVATE LIMITED	Director	22-09-98	22-09-98	-	Active	NO
3	U65192UP1996PTC020284	RISHUBH HEALTH AND LIFESTYLE PRIVATE LIMITED	Director	13-12-04	13-12-04	-	Active	NO
4	U27202DL2004PTC129948	UTTRANCHAL METALS PRIVATE LIMITED	Director	23-09-09	15-01-09	-	Active	NO

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on: 20.09.2011

Names of Shareholders	No. of Shares
Vivek Kumar Agarwal	125000
Pawan Kumar Agarwal	70920
Sukhraj Vinimay Private Limited, India	200000
Seema Agarwal	175000
Manohar Lal Agarwal	110000
Rama Devi Agarwal	200000
Risubh Health and Lifestyles Private Limited, India	40700
A. K. Chemicals Private Limited, India	64000
Total	985620

As on: 20.09.2011

Category	Percentage
Bodies corporate	31.00
Directors or relatives of directors	69.00
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Kattha and Cutch

PRODUCTION STATUS

As on 31.03.2011

Particulars	Unit	Actual Production
Kattha	Kgs	57342
Cutch (By Product)	Kgs	174300

GENERAL INFORMATION

No. of Employees :

Not Available

Bankers :

• HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, Maharashtra, India
• ICICI Bank Limited
• State Bank of India, Industrial Complex Branch, Bahadurhar – 124507, Haryana, India

Facilities :

Secured Loans Particular	As on 31.03.2011 (Rs In Millions)	As on 31.03.2010 (Rs in Millions)
Vehicle Loan from HDFC Bank Ltd.	0.149
Vehicle Loan from ICICI Bank Ltd.	0.513
Total	0.662	7.311

Unsecured Loans Particular	As on 31.03.2011 (Rs In Millions)	As on 31.03.2010 (Rs in Millions)
From Body Corporate	8.593	1.080
From Directors	0.631	10.599
From Others	12.717	12.312
Total	21.941	23.991

Banking Relations :	--
Auditors :
Name :	Ashok and Ajai Chartered Accountant
Address :	IInd Floor 117/H-1/381, Model Town, Pandu Nagar, Kanpur – 208005, Uttar Pradesh, India
Tel No :	91-512-2232526/ 2233020
E- Mail :	ashok_ajai@rediffmail.com
PAN No:	AAGFA1476J

CAPITAL STRUCTURE

As on: 20.09.2011

Authorised Capital :

No. of Shares	Type	Value	Amount
1000000	Equity Share	Rs.10/- each	Rs.10.000 Millions

Issued, Subscribed and Paid-up Capital :

No. of Shares	Type	Value	Amount
985620	Equity Share	Rs.10/- each	Rs.9.856 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		9.856	9.856	9.856
2] Share Application Money		0.000	0.000	0.000
3] Reserves and Surplus		10.661	5.986	5.460
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		20.517	15.842	15.316
LOAN FUNDS
1] Secured Loans		0.662	7.311	3.533
2] Unsecured Loans		21.941	25.045	21.248
TOTAL BORROWING		22.603	32.356	24.781
DEFERRED TAX LIABILITIES		2.354	1.977	1.874
TOTAL		45.474	50.175	41.971
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		20.657	20.061	17.221
Capital work-in-progress		0.000	1.139	1.598
INVESTMENT		0.825	0.000	0.000
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS and ADVANCES
	Inventories	15.111	13.096	10.495
	Sundry Debtors	10.023	8.271	7.134
	Cash and Bank Balances	3.300	3.031	5.226
	Other Current Assets	0.000	0.000	0.000
	Loans and Advances	1.723	8.468	3.535
Total Current Assets		30.157	32.866	26.390
Less : CURRENT LIABILITIES and PROVISIONS
	Sundry Creditor	2.044	2.295	1.441
	Other Current Liabilities	3.984	1.385	1.583
	Provisions	0.137	0.211	0.214
Total Current Liabilities		6.165	3.891	3.238
Net Current Assets		23.992	28.975	23.152
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		45.474	50.175	41.971

PROFIT and LOSS ACCOUNT

	PARTICULARS		31.03.2011	31.03.2010	31.03.2009
	SALES
		Income	29.329	50.527	31.254
		Other Income	1.035	0.667	0.174
		TOTAL (A)	30.364	51.194	31.428
Less	EXPENSES
		Raw Material Consumed	22.046	40.604	23.621
		Manufacturing Expenses	6.538	6.389	3.564
		Salary, Wages and Employees Benefits	1.293	1.247	1.333
		Selling and Administrative Expenses	1.208	2.043	1.444
		Increase /Decrease in stock)	(5.375)	(3.806)	(1.500)
		TOTAL (B)	25.710	46.477	28.462
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		4.654	4.717	2.966
Less	FINANCIAL EXPENSES (D)		2.990	2.924	1.487
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		1.664	1.793	1.479
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.350	1.032	0.918
	PROFIT BEFORE TAX (E-F) (G)		0.314	0.761	0.561
Less	TAX (H)		0.434	0.238	(0.170)
	PROFIT AFTER TAX (G-H) (I)		(0.120)	0.523	0.731
Add/ Less	Tax of Earlier years		(0.008)	0.002	0.000
Add/ Less	Excess Dep. Written Back		0.004	0.000	0.000
Add/ Less	Income assesses by Honble ITSC		4.780	0.000	0.000
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2.986	2.460	1.729
	BALANCE CARRIED TO THE B/S		7.661	2.986	2.460
	Earnings Per Share (Rs.)		(0.12)	0.53	0.74

KEY RATIOS

PARTICULARS		31.03.2011	31.03.2010	31.03.2009
PAT / Total Income	(%)	(0.39)	1.02	2.32
Net Profit Margin (PBT/Sales)	(%)	1.07	1.50	1.79
Return on Total Assets (PBT/Total Assets}	(%)	0.62	1.44	1.29
Return on Investment (ROI) (PBT/Networth)		0.02	0.05	0.04
Debt Equity Ratio (Total Liability/Networth)		1.40	2.29	1.83
Current Ratio (Current Asset/Current Liability)		4.89	8.45	8.15

LOCAL AGENCY FURTHER INFORMATION

Check List by Info Agents	Available in Report [Yes/No]
Year of Establishment	Yes
Locality of the Firm	Yes
Construction of the firm	Yes
Premises details	No
Type of Business	Yes
Line of Business	Yes
Promoters background	Yes
No. of Employees	No
Name of Person Contacted	No
Designation of contact person	No
Turnover of firm for last three years	Yes
Profitability for last three years	Yes
Reasons for variation <> 20%	-
Estimation for coming financial year	Yes
Capital the business	Yes
Details of sister concerns	No
Major Suppliers	No
Major Customers	No
Payment Terms	Yes
Export / Import Details [If Applicable]	No
Market Information	-
Litigations that the firm / promoter involved in	-
Banking Details	Yes
Banking Facility Details	Yes
Conduct of the banking account	-
Buyer visit details	-
Financials, if provided	Yes
Incorporation details, if applicable	Yes
Last accounts filed at ROC	Yes
Major Shareholders, if applicable	Yes

Note

Registered office of the company has been shifted from Shop No. 3, Ground Floor Saini Enclave Vikas Marg, New Delhi – 10092, India to the present address w.e.f. 10.08.2011

Operations

During the year under consideration the company’s total turnover has decreased by 72% as compared to the precious year’s turnover. The decreased is due to issue of packing of Gutkha. The net profit after tax has also turned to negative to Rs.0.121 Million as compared to last years profit of Rs.0.523 Millions. With resolution of packing issue, your directors hope that current year will show better results.

Bankers Charges Report as per Registry

Corporate identity number (CIN) or foreign company registration number of the company	U74899DL1994PTC060064
Name of the company	BABA WOOD PRODUCTS PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	F-10/22, Sector-15, Rohini, New Delhi – 110089, Delhi, India E-Mail: babawood@gmail.com
This form is for	Creation of charge
Type of charge	Movable property (not being pledge)
Particular of charge holder	HDFC Bank Limited HDFC Bank House Senapati Bapat Marg, Lower Parel (West), Mumbai – 400013, India E-Mail: ruchita.mehta@hdfcbank.com
Nature of instrument creating charge	Agreement for Loan and Guarantee. (Contracts No.: 16046285)
Date of instrument Creating the charge	01.02.2010
Amount secured by the charge	Rs.0.300 Million
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest Interest @ 13.02 % per annum Term of repayment The Loan is repayable in 24 EMIs of Rs.0.014 Million starting from 1st March, 2010 ending on 1st February, 2012 Margin As may be stipulated by bank from time to time. Extent and operation of the change The Company hypothecates to and charges in favour of the Bank by way of first and exclusive charge of the Vehicle/ equipment as security for the repayment/payment by the company of the loan granted or to be granted to the company by the Bank together with all fees, interest, costs and expenses incurred/to be incurred by the Bank and all other monies payable or to become payable by the company to the Bank. Others The Bank shall be absolutely entitled and have full power and authority to sell, assign or transfer in any manner, in whole or in part, and in such manner and on such terms as the Bank may decide, including reserving a right to the Bank to retain its power to proceed against the company on behalf of the purchaser, assignee or transferee, any or all outstanding dues of the company, to any third party of the Bank's choice without reference to or without written intimation to the company.
Short particulars of the property or asset(s) charged (including complete address and location of the property)	Hypothecation of Vehicle namely : Mahindra Maxx CNG (Year Of Manufacture: 2010)

Fixed Assets:

• Land
• Buildings
• Plant and Machinery
• Motor Car
• Transport Vehicle
• Electric Installation
• Furniture and Fixture
• Lab Equipments
• Computer
• Office Equipments
• Two Wheeler
• Cycle
• DDA Shop

CMT REPORT (Corruption, Money Laundering and 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.51.20
UK Pound	1	Rs.81.50
Euro	1	Rs.67.15

SCORE and RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	3
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	3
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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	No
--LISTED	YES/NO	No
--OTHER MERIT FACTORS	YES/NO	Yes
TOTAL		29

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 and 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.